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HomeMy WebLinkAbout2003 07 14 Consent B Exclusive Beverage Agreement " COMMISSION AGENDA ITEM B CONSENT X INFORMATIONAL PUBLIC HEARING . REGULAR ., 07/14/03 Meeting MGR.~EPT CQ Authorization REQUEST: The Parks and Recreation Department is requesting the City Commission to authorize the City Manager to execute an Exclusive Beverage Agreement with the Pepsi Bottling Group for Concessions at Central Winds Park. PURPOSE: The purpose of this item is to obtain City Commission approval to execute the agreement necessary to provide concession beverages, new scoreboards, and marketing support. CONSIDERATION: . June 23,1993, Winter Springs Parks and Recreation Department entered into a 10- year agreement with the Coca-Cola Bottling Company for Product & Scoreboards. . In January, 2003 staff received proposals from Coca-Cola & Pepsi and reviewed them extensively. The Pepsi proposal offered lower produce pricing and a total higher value to the City. . The City Attorney has prepared the attached 7-year Exclush:e Beverage Agreement. . Profitable Food Facilities has reviewed the Pepsi agreemebt and states that it is standard and generally favorable with mostly fair prices. . Staff will be using bag in boxes (Syrup) for maximum profitability as recommended by Profitable Food Facilities. FUNDING: N/ A. 1 '<, RECOMMENDATION: Staff is recommending approval to authorize the City Manager to execute the Exclusive Beverage Agreement with the Pepsi Bottling Group for Concessions at Central Winds Park. IMPLEMENTATION SCHEDULE: 7/15/03 Execute Agreement Begin transition of equipment and products Order removal of old scoreboards. 9/6/03 Baseball and Soccer ~eague Play begins. ATTACHMENTS: #1 Exclusive Beverage Agreement. #2 Profitable Food Facilities Executive Summary. COMMISSION ACTION: ~' 2 " A TT,ACHMENT # 1 EXCLUSIVE BEVERAGE AGREEMENT CITY OF WINTER SPRINGS - THE PEPSI BOTTLING GROUP THIS AGREEMENT is made this _ day of , 2003 by and between the CITY OF WINTER SPRINGS, FLORIDA, a Florida Municipal Corporation, whose address is 1126 East State Road 434, Winter Springs, Florida ("City"), and BOTTLING GROUP, LLC, d/b/a THE PEPSI BOTTLING GROUP, a Delaware limited liability corporation, whose address is One Pepsi Way, Somers, NY 10589 ("PBG"). RECITALS: , WHEREAS, PBG desires to be the exclusive provider ofProQucts (as defined below) to the City's Central Winds Park under the terms and conditions set forth in this Agreement; and WHEREAS', the City desires to accept such services from PBG under the terms and conditions set forth in this Agreement IN CONSIDERATION ofthe mutual covenants and provisions hereof, and other good, and valuable considerations, the receipt and sufficiency all of which is hereby acknowledged, the parties desiring to be legally bound do hereby agree as follows: ARTICLE I GENERAL PROVISIONS ,1.1 Definitions. For purposes ofthisAgreement, the following terms and words'shall have the meaning ascribed to them, unless the context clearly indicates otherwise. (a) "Agreement" or "Contract" shall be used interchangeably and shall refer to this Agreement, as amended from time to time, which shall constitute authorization for PBG to provide the services stated herein to the City. (b) "Products" shall mean pre-mix and post-mix fountain, bottled or canned -> carbonated and non-carbonated beverages, teas, juices, water, energy drinks inclusive of chilled coffee, cups, and lids as provided in Exhibit" A" , which is attached hereto and incorporated herein by this reference and which are sold under the PepsiCo trademarks. ~ (c) "Effective Date" shall be the date on which the last signatory hereto shall execute this Agreement, and it shall be the date on which this Agreement shall Page 1 of 11 10 go into effect. The Agreement shall not be effective against any party until said date. (d) "Park" shall mean the City of Winter Springs Central Winds Park, consisting of all facilities currently provided within Central Winds Park and any and all future expansions of the Park. (e) "PBG" shall mean Bottling Group, LLC, d/b/a The Pepsi Bottling Group, a Delaware limited liability corporation or any of its local affiliates. (f) "Public Record" is as described in Section 119.011(1), Florida Statutes. (g) "Services" shall include the performance ofthe Services outlined in Article 2 of this Agreement. 1.2 Engagement. The City hereby engages the PBG and PBG agrees to perform the Services outlined in this Agreement. No prior or present agreements or representations shall be binding upon any of the parties hereto unless incorporated in this Agreement. 1.3 Due Dilit!ence. PBG acknowledges that it has investigated prior to execution of this Agreement and satisfied itself as to the conditions affecting the Services, the availability of materials and labor, the cost thereof, the requirements to obtain necessary insurance and coordinate with utilities if any and as set forth herein, and the steps necessary to complete the Services within the time set forth herein. The Contractor warrants unto the City that it has the competence and abilities to carefully and faithfi!lly complete the Services within the time set forth. PBG will perform its Services with due and reasonable diligence consistent with sound professional practices. 1.4 Term. The term ofthis Agreement shall commence on July 1,2003 and expire upon June 30, 2010, unless sooner terminated as provided herein. 1.5 Exclusivity. During the term of this Agreement the Products provided by PBG, whether for resale by the City or its concessionaires or sale through vending machines, shall be the exclusive beverage products of their respective types sold, dispensed or otherwise made available, or in any way advertised, displayed, represented or promoted at or in connection with the Park by any method or through any medium whatsoever (including without limitation print, broadcast, direct mail, coupons, handbills, displays and signage), whether public or private. In no event shall there by served, dispensed or otherwise made available, or in ay way advertised, displayed, represented or promoted, beverage products licensed by, or produced by bottlers licensed by The Cocoa-Cola Company or any affiliate thereof. Page 2 of 11 .." ARTICLE 2 DESCRIPTION OF SERVICES TO BE PERFORMED 2.1 Scope of Services. The Services to be performed under this Agreement are as follows: (a) PBG shall be the exclusive provider of Products, as provided above, to the Park during the term of this Agreement and which are resold by City employees, agents or concessionaires, not including vending machines. The Products shall be purchased by the City from PBG as needed at the prices established and provided on Attachment "A". The price ofB&C Product may be changed 'from time to time by providing thirty (30) day advanced written notice to the City. (b) PBG shall provide the City, at no charge, with appropriate equipment for dispensing the Products during the term of this Agreement. Title to such equipment will remain vested in PBG and all such equipment will be returned to PBG upon termination ofthis Agreement, unless otherwise provided herein. (c) PBG shall also provide the City, at no charge, service to the PBG equipment no less than annually. The City may request service calls for maintenance of the PBG equipment on an as needed basis. (d) PBG shall have the right to install, at a minimum, two (2) vending machines at the Park throughout the term of this Agreement. There may be additional vending machines upon the mutual agreement ofthe parties. The location of any such vending machine shall be determined by the mutual agreement of PBG and the Parks and Recreation Director or the director's designee. It shall be the responsibility of PBG to ensure any such vending machine has an adequate amount of Products to meet the demand of users of the Park. Each vending machine, any and all monies and Products located in such vending machine, shall at all times remain the sole property ofPBG. PBG agrees to bear the risk ofIoss to any vending machine and any B&C Product or monies contained therein, and located within the Park from theft or vandalism, provided however, that in the event of repeated or signiticant theft, vandalism, destruction or loss PBG shall have the right to move or remove such vending machines until adequate protection for such mac,hines can be provided. ( (e) PBG shall have the'right to have brand identification for each fountain Product served on all menu-boards and post-mix dispensing valves at the Park throughout the Term. Page 3 of 11 'iI (f) The city, its agents or concessionaires shall only use the post-mix or pre-mix products for use in preparing the fountain Products; (i) in accordance with the standards established by Pepsi-Cola Company; and (ii) only for immediate or imminent consumption and shall not resell the post-mix or pre-mix Products either to non-affiliated outlets or to consumers in any form other than the fountain Products. 2.2 Professionalism. PBG shall do, perform and carry out in a professional manner all Services required to be performed by this Agreement.' 2.3 Warranty of Services. PBG hereby warrants unto the City that it has sufficient experience to properly complete the Services specified herein or as may be performed pursuant to this Agreement. In pursuit of any Services, PBG shall supervise and direct the Services, using its best skill and attention and shall enforce strict discipline and good order among its employees and agents. PBG shall comply with all laws, ordinances, rules, regulations, and lawful orders of any public authority hearing on the performance of the Services. PBG shall pay all taxes, fees, license fees required by law, including but not limited to occupational fees and withholding taxes and assume all costs incident to the Services, except as provided herein. ARTICLE 3 COMPENSATION 3.1 Commission. Throughout the term, PBG will pay the City a commission equal to twenty-five (25) percent of all cash actually collected (less sales taxes, applicable license and recycling fees, if any) from sales of Products through vending machines located at the Park. Payment of such commission shall be made by PBG to the City on a monthly basis. The initial vending rate for Products shall be: 200z Gatorade @ $1.25 and for all other 200z beverage products @ $1.00. The vending rate may be increased or decreased by PBG from time to time upon providing the City with a thirty (30) day advanced written notice. 3.2 Scoreboard Fund. In consideration ofthe exclusive rights granted in this Agreement, PBG shall provide funding of up to Twenty-Four Thousand & NO/I 00 DOLLARS ($24,000.00) to purchase outdoor Pepsi-Cola branded scoreboards for use at the Park. Such scoreboards shall become the property of the City and will be maintained by the City. 3.3 Marketing Support. In further consideration of the exclusive rights granted in this Agreement, PBG shall provide funding of up to Five Thousand & No/IOO DOLLARS ($5,000.00) annually; beginning upon the Effective Date ofthis Agreement, for support of mutually agreed upon marketing programs for the benefit of the PBG and City. Examples of programs to be offered are provided in Exhibit "B", which is attached hereto and made a part of this Agreement by this reference. Page 4 of 11 .. ARTICLE 4 GENERAL CONDITIONS OF SERVICES 4.1 City Inspection. Upon prior written notice to PBG, the City shall have the right to inspect and audit at all reasonable times, the books and records ofPBG relating to the sale of Products at the Park in accordance with this Agreement. 4.2 Services is a Private Undertakine. With regard to any and all Services performed hereunder, it is specifically understood and agreed to by and between the parties hereto that the contractual relationship between the City and PBG is such that PBG is an independent contractor and not an agent ofthe City. PBG is an independent contractor and not an employee ofthe City. Nothing in this Agreement shall be interpreted to establish any relationship other than that of an independent contractor, between the City, on one hand, and PBG, during or after the performance of the Services under this Agreement. 4.3 City's Responsibilities. The City shall cooperate with PBG by: (a) Designating a person with authority to act on the City's behalf on all matters concerning the Services being provided hereunder; (b) Arrange for access to the Park by PBG as necessitated by the Services. (c) To provide, with the agreement ofPBG, for the location of vending machines at the Park. ARTICLE 5 SUBCONTRACTS: ASSIGNMENT 5.1 Assi2:nment and Subcontractine. Unless otherwise specifically required by this Agreement, PBG shall not assign, sublet, or transfer any rights or Services under or interest in (including, but without limitations, moneys that may become due) this Agreement without the written consent ofthe City, except to the extent that any assignment, sublet, or transfer is mandated by law or the effect ofthis limitation may be restricted by law. Unless specifically stated to the contrary in any written consent to any assignment, no assignment will release or discharge the assignor from any duty or responsibility under this Agreement. Further, PBG shall not subcontract any portion or all of the Services without the written consent of the City. Nothing under this Agreement shall be construed to give any rights or benefits in this Agreement to anyone other than the City and PBG, and all duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit ofthe City and PBG and not for the benefit of any other party. Page 5 of 11 " 5.2 Any costs caused by defective or ill-timed Services shall be borne by the party responsible therefor. ARTICLE 6 MISCELLANEOUS PROVISIONS 6.1 Governine Law: Venoe. This Contract shall be governed by the law of the State of Florida. Venue of all disputes shall be properly placed in Seminole County, Florida. The parties agree that the Agreement was consummated in Seminole County, and the site of the Services is Seminole County. If any dispute concerning this Contract arises under Federal law; the venue will ' be Orlando, Florida. 6.2 PBG Representative. PBG shall designate an individual to act as a representative for PBG under this Agreement with the authority to transmit instructions, receive information, and make' or interpret PBG's decisions. This person shall be PBG's contract administrator. PBG may from time to time designate other individuals or delete individuals with the authority to act for PBG under this Agreement with the authority to transmit instructions, receive information, and make or interpret the PBG's decisions. All deletions or designation of individuals to serve as a representative shall be given by written notice. 6.3 Notices. All projects hereunder, all notices, demands, requests, instructions, approvals, and claims shall be in writing. All notices of any type hereunder shall be given by U.S. mail or by hand delivery to an individual authorized to receive mail for the below listed individuals, all to the following individuals at the following locations: TO THE CITY: Mr. Ronald W. McLemore City Manger City of Winter Springs 1126 East State Road 434 Winter Springs, Fl. 32708-2799 407-327-5957 (Phone) 407-327-6686 (Fax) TO THE PBG: Mr. Martin Hainey Director The Pepsi Bottling Group 1700 Directors Row Orlando, FL 32809 407-826-5938 (phone) 407-826-5948 (fax) ; ~ Page 6 of 11 " Notice shall be deemed to have been given and received on the date the notice is physically received if given by hand delivery, or if notice is given by first class U.S. mail, postage prepaid, then notice shall be deemed to have been given, upon the date said notice was deposited 'in the U.S. Mail addressed in the manner set forth above. Any party hereto by giving notice in the manner set forth herein may unilaterally change the name ofthe person to whom notice is to be given or the address at which notice is to be received. 6.4 Public Record. It is hereby specifically agreed that any record, document, computerized information and program, audio or video tape, photograph, or other writing ofPBG related, directly to this Agreement, may be deemed to be a Public Record whether in the possession or control of the City or PBG. Said record, document, computerized information and progranl, audio or video tape, photograph, or other writing ofPBG is subject to the provisions of Chapter 119, Florida Statutes, and may not be destroyed without the specific written approval of the City. Upon request by the City, PBG shall promptly supply copies of said public records to the City. All books, cards, register~" receipts, documents, and other papers in connection with this Agreement shall at any and all reasonable times during the normal working hours ofPBG be open and freely exhibited to the City for the purpose of examination and/or audit. 6.5 Interpretation. Both the City and PBG have participated in the drafting of all parts of this Agreement. As a result, it is the intent ofthe parties that no portion of this Agreement shall be interpreted more harshly against either of the parties as the drafter. 6.6 Amendment of Aereement. Modifications or changes in this Agreement must be in writing and executed by the parties bound to this Agreement. 6.7 Severability. If a word, sentence, or paragraph herein shall be declared illegal, unenforceable, or unconstitutional, the said word, sentence, or paragraph shall be severed from this Contract, and this Contract shall be read as if said illegal, unenforceable, or unconstitutional word, sentence, or paragraph did not exist. 6.8 Additional Assurances. PBG warrants and represents; (a) No principal (which includes officers, directors, or executive) or individual holding a professional license and performing Services under this Agreement is presently debarred, suspended, proposed for debarment, declared ineligible ' or voluntarily excluded from participation in any Services required by this Agreement by any Federal, State, or local governmental commission, ,department, corporation, subdivision, or agency; (b) No principal (which includes officers, directors, or executive), individual holding a professional license and performing Services under this Agreement, Page 7 of 11 , employee, or agent has employed or otherwise provided compensation to, any employee or officer ofthe City; and (c) No principal (which includes officers, directors, or executive), individual holding a professional license and performing Services under this Agreement, employee or agent has willfully offered an employee or officer of the City any pecuniary or other benefit with the intent to influence the employee or officer's official action or judgment. 6.9 Attorney's Fees. Should any litigation arise concerning this Agreement between the parties hereto, the parties agree to bear their own costs and attorney's fees. ' " 6.10 Entire Agreement. This Agreement represents the entire and integrated Agreement between the parties and supersedes all prior negotiations, representations, or Agreements, either or,!l or written, and all such matters shall be deemed merged into this Agreement. 6.11 Sovereign Immunity. Nothing contained in this Agreement shall be construed as a waiver of the City's right to sovereign immunity under Section 768.28, Florida Statutes, or other limitations imposed regarding the City's potential liability under state or federal law. 6.12 Right-of-First-RefusaI. Provided PBG is not in default of this Agreement at the expiration or termination ofthis Agreement, City shall grant to PBG the right-of- first-refusal to match any offer made to City by any third party with respect to the supply of Products to the Park. ARTICLE 7 TIME 7.1 Time of the Essence. PBG acknowledges and agrees that time is ofthe essence for the completion of the Services to be performed under this Agreement. ARTICLE 8 PROTECTION OF PERSONS AND PROPERTY: INSURANCE 8.1 Worker's Compensation. Upon the effective date of this Agreement, PBG shall provide proof of worker's compensation insurance in the minimum amount required by law (if' required). 8.2 General Liabilitv. Upon the effective date of this Agreement, PBG shall submit proof of general liability insurance to cover claims for general liability because of bodily injury or death of any person or property damage arising out of this Agreement or any Services provided hereunder. The insurance shall have minimum limits of coverage of $1 ,000,000.00 per occurrence. Page 8 of 11 " ,. ;~ 8.3 Insurance Requirements. This paragraph shall be applicable to Sections 8.1 and 8.2 The insurance required by this Article shall include the liability and coverage provided herein, or as required by law, whichever requirements afford greater coverage. All ofthe policies of insurance so required to be purchased and maintained for the certificates (or other evidence thereof) shall contain a provision or endorsement that the coverage afforded will not be canceled, materially changed or renewal refused until at least thirty (30) days' prior written notice has been given to the City and PBG by certified mail, retwn receipt requested. All such insurance shall remain in effect during the term of this Agreement. Unless agreed to by the City to the contrary, the City shall be named on the foregoing insurance policies as "additional insured." PBG shall cause its insurance carriers to furnish insurance certificates specifying the types and amounts of coverage in effect pursuant hereto, the expiration dates of such policies, and a statement that no insurance under such policies will be canceled without thirty (30) days' prior written notice to the City in compliance with other provisions of this Agreement. For all Services performed pursuant to this Agreement, the Contractor shall continuously maintain such insurance in the amounts, type~ and quality as required by Sections ~,.1 and 8.2. In the event PBG fails to maintain said insurance, the City, at its option, may elect to terminate this Agreement without penalty by written notice to PBG. 8.4 Indemnification and Hold Harmless. For all Services performed pursuant to this Agreement, PBG agrees to the fullest extent permitted by law, to indemnify and hold harmless the City and its employees, officers, and attorneys from and against all claims, losses, damages, personal injuries (including but not limited to death), or liability (including reasonable attorney's fees), directly or indirectly arising from the negligent acts, errors, omissions, intentional or otherwise, arising out of or resulting from PBG's performance of any Services provided pursuant to this Agreement. The indemnification provided above shall obligate PBG to defend at its own expense or to provide for such aefense, at the option of the City, as the case may be, ofany and all claims of liability and all suits and actions of every name and description that may be brought against the City or its employees, officers, and attorneys which may result from the Services under this Agreement whether the Services be performed by PBG or anyone directly or indirectly employed by them. In all events the City shall be permitted to choose legal counsel of its sole choice, the fees for which shall be reasonable and subject to and included with this indemnification provided herein. This paragraph 8.4 shall survive termination of this Agreement. 8.5 Standard of Care. In performing its Services hereunder, PBG will use that degree of care and skill ordinarily exercised, under similar circumstances by reputable members ,of its profession practicing in the same or similar locality. i; Page 9 of 11 '\ ARTICLE 9 TERMINATION OF THE CONTRACT 9.1 Termination For Cause . Either party may terminate this Agreement iftheothercommits a material breach ofthe Agreement; provided, however, that the terminating party has given the other party sixty (60) days advance written notice and opportunity to remedy the breach. 9.2 Termination For Convenience. Either party may terminate this Agreement for convenience, without penalty other than as provided in this sub-section, by providing one-hundred eighty (180) days advance written notice oftermination to the other. (a) Where the Agreement is terminated for convenience by PBG, to the extent Services have been performed by PBG, the City shall pay PBG, <}s full payment for all Services performed and all expenses incurred, the sums that are actually due and owing t9 PBG for B&C Product delivered to the City for resale through termination, and PBG shall pay to the City all commissions earned from sales ofB&C Product from vending machines through termination. The City shall have no obligation to reimburse any of the monies expended for the purchase of scoreboards in the Park. ' (b) Where the Agreement is terminated for convenience or cause by the City to the extent Services have been performed by PBG, the City shall pay PBG, as full payment for all Services performed and all expenses incurred, the sums that are actually due and owing to PBG for B&C Product delivered to the City for resale through termination, and PBG shall pay to City all commissions earned from sales ofB&C Product from vending machines through termination. The City shall reimburse to PBG a portion of the monies provided for the purchase of scoreboards in the Park. The amount of such reimbursement shall be determined by multiplying the scoreboard fee paid by a fraction, the numerator of which is the number of months remaining in the term at the time of such termination and the denominator of which is eighty-four (84). 9.3. Expiration. Upon expiration ofthe term oftrus Agreement, ifthe City has not entered into a further agreement with PBG for the purchase of Products, the City shall surrender to PBG all equipment installed in the Park for the serving or dispensing of such product. Upon mutual agreement of the parties, the City may purchase such equipment at the current fair market value of such equipment. 9.4 Waiver. Failure of either party to insist upon performance within any time period or upon a proper level or quality of performance shall not act as a waiver of the either parti s right to later claim a failure to perform. Page 10 of 11 , IN WITNESS WHEREOF, the parties hereto caused this Agreement to be executed by their duly authorized representatives as of the date first written above. Witnesses CITY OF WINTER SPRINGS, FLORIDA Print Name: By: , Ronald W. McLemore Print Name: Title: City Manager Dated: ~i /' Witnesses:,/', - '-'-li!-,l(~\ / ,t"l ".~,;tl:i.:1:'-'V)! I / '~...J\JC. . -..... ~, \ J...-..! ...... f-' . Print Name: ....__./(/-u.~ ,:-.:,,,rI{:'J?AI? " BOTTLING GROUP, LLC, d/b/a THE PEPSI BOTTLING GROUP (PBG) ~'" ... ~'F J..-::.--.tC_~1;~-~~.:::;.:' -~~~ ',-;; -:::,::-:::.,<,- ' i 'j.A YM1 (- ." \ -.::. " - Pnnt Name: ttR. I:?\ .., c.~..J C_ By: TypelPrint Name: ....... f\ .... Title: 1/(I!..t:.ZTC"f.L. 0'-..., li~e,,{lY::- 5/\(<.::::..,> Dated: b/ i b /0 .\ J ; (, F:\Docs\City ofWioler SpriogslPepsl BoltlloglAgreemeotlPepsl_Agreemeol_061303.wpd Page 11 of 11 lr Exhibit "A" Central Winds Park Pricing Of Bottled and Canned Products Effective 2003 Package Products AvaDlable Price/Case or " , Gallon 100z NR Bottles CSD Pepsi, Diet Pepsi. $10.75/24 " 120z Cans CSD See Attached ' , c ' $ 7.50/24 200z Non Carb Fruitworks, Lipton . $16.95/24 .. 200z Isotonic AI/sport $13.50/24 200z PET CSD See Attached $16.95/24 200z PET Water Aquafina $ 7.95/24 1.5L PET Water Aquafina $ 7.95/15 Chilled Coffee Starbuck . .',- --. . $10.75/12 160z PET Juices Dole $ 9.55/12 Energy Products Starbucks Double Shot, SoBe $31.95/24 Adrenaline Rush, Dew Amp SoBe 200z Glass Various $11.10/12 GATORADE Fruit Punch, Lemon Lime, Orange, $18.00/24 Strawberry Ice. Riptide Rush, Glacier .' Freeze ' Page 1 of 3 ... FOUNTAIN PRODUCT PRICING - CITY CONTROLLED CONCESSIONS 5 gal. Bag in Boxes(BIB) Dr. Peper, Lipton Teas (Sweet, $46.25/BIB Unsweet, Raspberry), Fruitworks Punch, Lipton Lemonade 5 gal. Bag in Boxes(BIB) Pepsi, Diet Pepsi, Sierra Mist, Mt. $51.25/BIB Dew. Mug Root Beer, Slice Orange, Mt. Dew Code Red FOUNTAIN PRODUCT PRICING - NON CITY CONTROLLED CONCESSIONS 5 gal. Bag in Boxes(BIB) Dr. Peper, Lipton Teas (Sweet, $65/B I B Unsweet, Raspberry), -Fruitworks Punch, Lipton Lemonade 5 gal. Bag in Boxes(BIB) Pepsi, Diet Pepsi, Sierra Mist, Mt. $60/BIB Dew. Mug Root Beer, Slice Orange, .. Mt. Dew Code Red Cups Case Pack Wholesale Cost 16 oz. Paper 1000 $34.00 22 oz. Paper 1000 $40.00 32 ozl Paper 480 $34.00 32 oz. TNG wi Lid & StFaw 150 $50.00 32 oz. Promo wi Lid 250 $48.00 48 oz. Paper 480 $38.00 Lids Case Pack Wholesale Cost 12 oz./16 oz./22 oz. 2000 $28.00 32 oz. 960 $23.00 44 oz. 960 $23.00 ': " Exhibit" B" Marketing Program Examples Marketing Support Pepsi Bottling Group will support Central Winds Park with annual marketing programs valued at $5,000.00 per year. Program descriptions will be determined by Central Winds Park needs. Example~ are as follow: . Sponsorship of local team. . Sponsorship of tournaments. . Banners, signage, t-shirts and event items. . Product Donations . July 4th sponsorship . Product sampling when available Marketing Programs Valued at $5,000 per year Page 3 of 3 , .. ~ ~~~~Jf _____________u.. ~,~....~.~,,~->i..;.i;'-~. ..___.__u__..____ rD~-._~~___..-.~_ ,,~l.t_;;...'>...""'''''''_,......_r.L........1' 'f.f.ti'.~.~-J..r.~...~ :'~:{??:;~<r;' l;~~\;!J~ .,~ '. :.~ . ,,,......: . ; ~ '-.. , , ATTACHMENT #2 To: Chuck Pula From: Bob Mark, Profitable Food Facilities (PFF) Re: Executive Summary of Report for visit May 30-31, 2003 PFF was asked to review the following for the City of Winter Springs (WS): 1. ,Evaluate the concessions operations at Fields of Excellence with respect to profit potential 'and performance. 2. Review the proposal from Pepsi to assume the role of beverage products supplier and corporate sponsor in exchange for services and marketing assistance. J. Weigh the pros and cons of allowing the concessions to be run by an outside' vendor, as well as a review of the bid proposed by that company (Fred's Franks.) 4. Supply any other suggestions regarding menus, expenses (fOOd and labor,) POS, staffing and general information pertinent to better understanding the necessary systems and procedures for a successful food and beverage (fib) operation. The highlights: ) · Yearly fib losses (8-100,/0 of revenues in recent years) are due mainly to a 45-50% cost of goods (COG) and 400,/0 labor (wages only.) Both areas of expense ~ be fixed with a doable and reasonable plan. · The current high COG is a result of a beverage-driven menu mix (the top four sellers account for 63% of sales) that is not cost-friendly. COG can be easily be lowered to an acceptable low-to-mid 30s% by doing the following: , o Switch from bottled sodas to fountain (bag-in-the-box concentrate that is mixed with C02 and water) sodas to reduce the costs by 50% for a single me!lu item that represents one-fifth of sales. o Take advantage of better pricing offered by Pepsi and negotiate better pricing from Best Pops. o Minor men~ price adjustments on a few key items. · Lower supplier prices and menu engineering is not a guarantee for low COG. Concessions management needs to adopt a program based on taslks that monitor expenses and revenues in a timely fashion, including periodic inventories designed to reconcile any possible cash or product pilferage. · High labor is rooted in the manager's rate of pay. An estimated 5-6% can be regained by aligning management hours closer to business needs rather than a schedule that is static. · The fib operation is in a rut, like on autopilot. It cannot be taken to the nen level until management addresses the above issues and as~es a sense of ownership that welcomes change and is always looking for the next way to improve things. · The Pepsi contract is standard and generally favorable. In exchange for the scoreboards and mostly fair prices, WS sells its soul to the Pepsi logo. · The concept of bringing in an outside concessionaire is the easier fix but really deserves further investigation: 11104 Papoose Court. San Diego. CA' 92127 . email: pff@nctimes.net . 858-675-3733 . 858-675-3055 fax. 888-481-6856 pager www.profitablefood.com ..i.i~...,.~~.i.I-.<7-'.'__JI. _. ----- -" - -- - - ~t~?;;~~~'1~~'~1 /~~r!~~ .....; .... o The proposalJbid from Fred's Franks is realistic and reveals dues that they' understand the nuances of the fib business, which is good. They know that there is enough money to be made even after paying a cut to WS. That alone should motivate WS to try it alone one more time. .. o Fred's Franks is jusfa name for now. Reference checks are in order (who have they done business with in the past, and what was the outcome, in the opinion of the client) They must also be seen in action. City employees should make unannounced visits at venues where Fred's Franks is currently working before any d~isions are made. PFF believes that it is 1he wiser move for WS to keep concessions. However, there is a fine line that separates maximizing profits while still satisfYing (or better yet, exceeding) the fib anticipations of Park users, and that line is always moving. It is the job of the concessions manager to watch that line so that expenses are kept to a minimum and customers are continually getting satisfaction. ' -'lC:. . The concessions are capable of generating profits in the 5% range at the current volume level. Any further gairis will be seen through sales building. Sales building is a function of marlceting and repeat business from Park users. Marketing plans should not be put into motion until sound accounting basics are in place; this ensures that all the hard work put forth will not be in vain. , j. , , ~ 2 '. 't-. f,' . , EXCLUSIVE BEVERAGE AGREEMENT CITY OF WINTER SPRINGS - THE PEPSI BOTTLING GROUP lHIS AGREEMENT is made this _ day of , 2003 by and between the CITY OF WINTER SPRINGS, FLORIDA, a Florida Municipal Corporation, whose address is 1126 East State Road 434, Winter Springs, Florida ("City"), and BOTTLING GROUP, LLC, d/b/a THE PEPSI BOTTLING GROUP, a Delaware limited liability corporation, whose address is One Pepsi Way, Somers, NY 10589 ("PBG"). RECITALS: WHEREAS, PBG desires to be the exclusive provider of Products (as defmed below) to the City's Central Winds Park under the terms and conditions set forth in this Agreement; and WHEREAS, the City desires to accept such services from PBG under the terms and conditions set forth in this Agreement IN CONSIDERATION ofthe mutual covenants and provisions hereof, and other good, and valuable considerations, the receipt and sufficiency all of which is hereby acknowledged, the parties desiring to be legally bound do hereby agree as follows: ARTICLE I GENERAL PROVISIONS 1.1 Definitions. For purposes of this Agreement, the following terms and words shall have the meaning ascribed to them, unless the context clearly indicates otherwise. (a) "Agreement" or "Contract" shall be used interchangeably and shall refer to this Agreement, as amended from time to time, which shall constitute authorization for PBG to provide the services stated herein to the City. (b) "Products" shall mean pre-mix and post-mix fountain, bottled or canned carbonated and non-carbonated beverages, teas, juices, water, energy drinks inclusive of chilled coffee, cups, and lids as provided in Exhibit" A" , which is attached hereto and incorporated herein by this reference and which are sold under the PepsiCo trademarks. (c) "Effective Date" shall be the date on which the last signatory hereto shall execute this A~eement, and it shall be the date on which this Agreement shall go into effect. The Agreement shall not be effective against any party until said date. Page 1 of 11 (d) "Park" shall mean the City of Winter Springs Central Winds Park, consisting of all facilities currently provided within Central Winds Park and any and all future expansions of the Park. (e) "PBG" shall mean Bottling Group, LLC, d/b/a The Pepsi Bottling Group, a Delaware limited liability corporation or any of its local affiliates. (f) "Public Record" is as described in Section 119.011(1), Florida Statutes, (g) "Services" shall include the performance of the Services outlined in Article 2 of this Agreement. 1.2 En~a~ement. The City hereby engages the PBG and PBG agrees to perform the Services outlined in this Agreement. No prior or present agreements or representations shall be binding upon any of the parties hereto unless incorporated in this Agreement. '1.3 Due Diligence. PBG acknowledges that it has investigated prior to execution of this Agreement and satisfied itself as to the conditions affecting the Services, the availability of materials and .labor, the cost thereof, the requirements to obtain necessary insurance and coordinate with utilities if any and as set forth herein, and the steps necessary to complete the Services within the time set forth herein. The Contractor warrants unto the City that it has the competence and abilities to carefully and faithfully complete the Services within the time set forth. PBG will perform its Services with due and reasonable diligence consistent with sound professional practices. 1.4 Term. The term of this Agreement shall commence on July 1, 2003 and expire upon June 30, 2010, unless sooner terminated as provided herein. 1.5 Exclusivity. During the term of this Agreement the Products provided by PBG, whether for resale by the City or its concessionaires or sale through vending machines, shall be the exclusive beverage products of their respective types sold, dispensed or otherwise made available, or in anyway advertised, displayed, represented or promoted at or in connection with the Park by any method or through any medium whatspever (including without limitation print, broadcast, direct mail, coupons, handbills, displays and signage), whether public or private. In no event shall there by served, dispensed or otherwise made available, or in any way advertised, displayed, represented or promoted, beverage products licensed by, or produced by bottlers licensed by The Cocoa-Cola Company or any affiliate thereof. ARTICLE 2 DESCRIPTION OF SERVICES TO BE PERFORMED 2.1 Scope of Services. The Services to be performed under this Agreement are as follows: Page 2 of 11 (a) PBG shall be the exclusive provider of Products, as provided above, to the Park during the term of this Agreement and which are resold by City employees, agents or concessionaires, not including vending machines. The Products shall be purchased by the City from PBG as needed at the prices established and provided on Attachment "A". The price of Product maybe changed from time to time by providing thirty (30) day advanced written notice to the City. (b) PBG shall provide the City, at no charge, with appropriate equipment for dispensing the Products during the term of this Agreement. Title to such equipment will remain vested in PBG and all such equipment will be returned to PBG upon termination ofthis Agreement, unless otherwise provided herein. (c) PBG shall also provide the City, at no charge, service to the PBG equipment no less than annually. The City may request service calls for maintenance of the PBG equipment on an as needed basis. (d) PBG shall have the right to install, at a minimum, two (2) vending machines at the Park throughout the term of this Agreement. There may be additional vending machines upon the mutual agreement ofthe parties. The location of any such vending machine shall be determined by the mutual agreement of PBG and the Parks and Recreation Director or the director's designee. It shall be the responsibility of PBG to ensure any such vending machine has an adequate amount of Products to meet the demand of users ofthe Park. Each vending machine, any and all monies and Products located in such vending machine, shall at all times remain the sole property ofPBG. PBG agrees to bear the risk of loss to any vending machine and any Product or monies contained therein, and located within the Park from theft or vandalism, provided however, that in the event of repeated or significant theft, vandalism, destruction or loss PBG shall have the right to move or remove such vending machines until adequate protection for such machines can be provided. ( e) PBG shall have the right to have brand identification for each fountain Product served on all menu-boards and post-mix dispensing valves at the Park throughout the Term. (f) The city, its agents or concessIonaires shall only use the post-mix or pre-mix products for use in preparing the fountain Products; (i) in accordance with the standards established by Pepsi-Cola Company; and (ii) only for immediate or imminent consumption and shall not resell the post-mix or pre-mix Products either to non-affiliated outlets or to consumers in any form other than the fountain Products. Page 3 of 11 , . 2.2 Professionalism, PBG shall do, perform and carry out in a professional manner all Services required to be performed by this Agreement. 2.3 Warranty of Services. PBG hereby warrants unto the City that it has sufficient experience to properly complete the Services specified herein or as may be performed pursuant to this Agreement. In pursuit of any Services, PBG shall supervise and direct the Services, using its best skill and attention and shall enforce strict discipline and good order among its employees and agents. PBG shall comply with all laws, ordinances, rules, regulations, and lawful orders of any public authority hearing on the performance of the Services. PBG shall pay all taxes, fees, license fees required by law, including but not limited to occupational fees and withholding taxes and assume all costs incident to the Services, except as provided herein. ARTICLE 3 COMPENSATION 3.1 Commission. Throughout the term, PBG will pay the City a commission equal to twenty-five (25) percent of all cash actually collected (less sales taxes, applicable license and recycling fees, if any) from sales of Products through vending machines located at the Park. Payment of such commission shall be made by PBG to the City on a monthly basis. The initial vending rate for Products shall be: 200z Gatorade @ $1.25 and for all other 200z beverage products @ $1.00. The vending rate may be increased or decreased by PBG from time to time upon providing the City with a thirty (30) day advanced written notice. 3.2 Scoreboard Fund. In consideration ofthe exclusive rights granted in this Agreement, PBGshall provide funding of up to Twenty-Four Thousand & NOll 00 DOLLARS ($24,000.00) to purchase outdoor Pepsi-Cola branded scoreboards for use at the Park, Such scoreboards shall become the property of the City and will be maintained by the City. 3.3 Marketing Support. In further consideration of the exclusive rights granted in this Agreement, PBG shall provide funding of up to Five Thousand & No/IOO DOLLARS ($5,000.00) annually, beginning upon the Effective Date ofthis Agreement, for support of mutually agreed upon marketing programs for the benefit of the PBG and City. Examples of programs to be offered are provided in Exhibit "B", which is attached hereto and made a part of this Agreement by this reference. ARTICLE 4 GENERAL CONDITIONS OF SERVICES 4.1 City Inspection, Upon prior written notice to PBG, the City shall have the right to inspect and audit at all reasonable times, the books and records ofPBG relating to the sale of Products at the Park in accordance with this Agreement. Page 4 of 11 4.2 Services is a Private Undertaking. With regard to any and all Services performed hereunder, it is specifically understood and agreed to by and between the parties hereto that the contractual relationship between the City and PBG is such that PBG is an independent contractor and not an agent of the City. PBG is an independent contractor and not an employee of the City. Nothing in this Agreement shall be interpreted to establish any relationship other than that of an independent contractor, between the City, on one hand, and PBG, during or after the performance ofthe Services under this Agreement. 4.3 City's Responsibilities. The City shall cooperate with PBG by: (a) Designating a person with authority to act on the City's behalf on all matters concerning the Services being provided hereunder; (b) Arrange for access to the Park by PBG as necessitated by the Services. (c) To provide, with the agreement ofPBG, for the location of vending machines at the Park. ARTICLE 5 SUBCONTRACTS: ASSIGNMENT ,,5.1 Assignment and Subcontracting. Unless otherwise specifically required by this Agreement, PBG shall not assign, sublet, or, transfer any rights or Services under or interest in (including, but without limitations, moneys that may become due) this Agreement without the written consent of the City, except to the extent that any assignment, sublet, or transfer is mandated by law or the effect ofthis limitation may be restricted by law. Unless specifically stated to the contrary in any written consent to any assignment, no assignment will release or discharge the assignor from any duty or responsibility under this Agreement. Further, PBG shall not subcontract any portion or all of the Services without the written consent of the City. Nothing under this Agreement shall be construed to give any rights or benefits in this Agreement to anyone other than the City and PBG, and all duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit of the City and PBG and not for the benefit of any other party. 5.2 Any costs caused by defective or ill-timed Services shall be borne by the party responsible therefor. ARTICLE 6 MISCELLANEOUS PROVISIONS 6.1 Governing Law: Venue. This Contract shall be governed by the law of the State of Florida. Venue of all disputes shall be properly placed in Seminole County, Florida, The parties Page 5 of 11 agree that the Agreement was consummated in Seminole County, and the site of the Services is Seminole County. If any dispute concerning this Contract arises under Federal law, the venue will be Orlando, Florida. 6.2 PBG Representative. PBG shall designate an individual to act as a representative for PBG under this Agreement with the authority to transmit instructions, receive information, and make or interpret PBG's decisions. This person shall be PBG's contract administrator. PBG may from time to time designate other individuals or delete individuals with the authority to act for PBG under this Agreement with the authority to transmit instructions, receive information, and make or interpret the PBG's decisions. All deletions or designation of individuals to serve as a representative shall be given by written notice. 6.3 Notices. All projects hereunder, all notices, demands, requests, instructions, approvals, and claims shall be in writing. All notices of any type hereunder shall be given by U.S. mail or by hand delivery to an individual authorized to receive mail for the below listed individuals, all to the following individuals at the following locations: TO THE CITY: Mr. Ronald W. McLemore City Manger City of Winter Springs 1126 East State Road 434 Winter Springs, Fl. 32708-2799 407-327-5957 (Phone) 407-327-6686 (Fax) TO THE PBG: Mr. Martin Hainey Director The Pepsi Bottling Group 1700 Directors Row Orlando, FL 32809 407-826-5938 (phone) 407-826-5948 (fax) Notice shall be deemed to have been given and received on the date the notice is physically received if given by hand delivery, or if notice is given by first class U.S. mail, postage prepaid, then notice shall be deemed to have been given upon the date said notice was deposited in the U.S. Mail addressed in the manner set forth above. Any party hereto by giving notice in the manner set forth herein may unilaterally change the name of the person to whom notice is to be given or the address at which notice is to be received. Page 6 of 11 6.4 Public Record. It is hereby specifically agreed that any record, document, computerized information and program, audio or video tape, photograph, or other writing ofPBG related, directly to this Agreement, may be deemed to be a Public Record whether in the possession or control ofthe City or PBG. Said record, document, computerized information and program, audio or video tape, photograph, or other writing ofPBGis subject to the provisions of Chapter I 19, Florida Statutes, and may not be destroyed without the specific written approval of the City. Upon request by the City, PBG shall promptly supply copies of said public records to the City. All books, cards, registers, receipts, documents, and other papers in connection with this Agreement shall at any and all reasonable times during the normal working hours ofPBG be open and freely exhibited to the City for the purpose of examination and/or audit. 6.5 Interpretation. Both the City and PBG have participated in the drafting of all parts of this Agreement. As a result, it is the intent of the parties that no portion of this Agreement shall be interpreted more harshly against either of the parties as the drafter. 6.6 Amendment of A~reement. Modifications or changes in this Agreement must be in writing and executed by the parties bound to this Agreement. 6.7 Severability. If a word, sentence, or paragraph herein shall be declared illegal, unenforceable, or unconstitutional, the said word, sentence, or paragraph shall be severed from this Contract, and this Contract shall be read as if said illegal, unenforceable, or tmconstitutional word, sentence, or paragraph did not exist. ' 6.8 Additional Assurances, PBG warrants and represents: (a) No principal (which includes officers, directors, or executive) or individual holding a professional license and performing Services under this Agreement is presently debarred, suspended, proposed for debarment, declared ineligible or voluntarily, excluded from participation in any Services required by this Agreement by any Federal, State, or local governmental commission, department, corporation, subdivision, or agency; (b) No principal (which includes officers, directors, or executive), individual holding a'professionallicense and performing Services under this Agreement, employee, or agent has employed or otherwise provided compensation to, any employee or officer of the City; and (c) No principal (which includes officers, directors, or executive), individual holding a professional license and performing Services under this Agreement, employee or agent has willfully offered an employee or officer of the City any pecuniary or other benefit with the intent to influence the employee or officer's official action or judgment. Page 7 of 11 6.9 Attornev's Fees. Should any litigation arise concerning this Agreement between the parties hereto, the parties agree to bear their own costs and attorney's fees. 6.10 Entire Aereement. This Agreement represents the entire and integrated Agreement between the parties and supersedes all prior negotiations, representations, or Agreements, either oral or written, and all such matters shall be deemed merged into this Agreement. 6.11 Sovereien Immunity. Nothing contained in this Agreement shall be construed as a waiver of the City's right to sovereign immunity under Section 768.28, Florida Statutes, or other limitations imposed regarding the City's potential liability under state or federal law. 6.12 Rieht-of-First-Refusal During the term ofthe Agreement, PBG shall have the right of fIrst refusal to match 'any offer made to the City by any third party with respect to the supply of Products to the Park, provided however, that PBG is not in default of this Agreement nor has the City exercised its option to terminate. This right of fIrst refusal shall in no way affect the City's right to terminate this Agreement pursuant to Article 9. Notwithstanding the foregoing, no sooner than seven (7) months nor later than six (6) months, prior to the natural expiration ofthis Agreement, PBG may request the City to enter into negotiations for the renewal of this Agreement. lfthe City agrees to enter into negotiations for renewal, the parties may mutually agree on the terms and conditions for renewal within sixty (60) days of the City's consent to negotiate, as provided herein. If PBG fails to request renewal negotiations, if the City denies such request, or the parties fail to reach an agreement within the time specifIed, this provision shall terminate. ARTICLE 7 TIME 7.1 Time of the Essence. PBG acknowledges and agrees that time is of the essence for the completion of the Services to be performed under this Agreement. ARTICLE 8 PROTECTION OF PERSONS AND PROPERTY: INSURANCE 8.1 Worker's Compensation. Upon the effective date of this Agreement, PBG shall provide proof of worker's compensation insurance in the minimum amount required by law (if required). 8.2 General Liability. Upon the effective date of this Agreement, PBG shall submit proof of general liability insurance to cover claims for general liability because of bodily injury or death of any person or property damage arising out of this Agreement or any Services provided hereunder. The insurance shall have minimum limits of coverage of$I,OOO,OOO.OO per occurrence. Page 8 of 11 :'. 8.3 Insurance Requirements. This paragraph shall be applicable to Sections 8.1 and 8.2 The insurance required by this Article shall include the liability and coverage provided herein, or as required by law, whichever requirements afford greater coverage. All ofthe policies of insurance so required to be purchased and maintained for the certificates (or other evidence thereof) shall contain a provision or endorsement that the coverage afforded will not be canceled, materially changed or renewal refused until at least thirty (30) days' prior written notice has been given to the City and PBG by certified mail, return receipt requested. All such insurance shall remain in effect during the term of this Agreement. Unless agreed to by the City to the contrary, the City shall be named on the foregoing insurance policies as "additional insured." PBG shall cause its insurance carriers to furnish insurance certificates specifying the types and amounts of coverage in effect pursuant hereto, the expiration dates of such policies, and a statement that no insurance under such policies will be canceled without thirty (30) days' prior written notice to the City in compliance with other provisions of this Agreement. For all Services performed pursuant to this Agreement, the Contractor shall continuously maintain such insurance in the amounts, type, and quality as required by Sections 8,1 and 8.2, In the event PBG fails to maintain said insurance, the City, at its option, may elect to terminate this Agreement without penalty by written notice to PBG, 8.4 Indemnification and Hold Harmless. For all Services performed pursuant to this Agreement, PBG agrees to the fullest extent permitted by law, to indemnify and hold harmless the City and its employees, officers, and attorneys from and against all claims, losses, damages, personal injuries (including but not limited to death), or liability (including reaSonable attorney's fees), directly or indirectly arising from the negligent acts, errors, omissions, intentional or otherwise, arising out of or resulting from PBG's performance of any Services provided pursuant to this Agreement. The indemnification provided above shall obligate PBG to defend at its own expense or to provide for such defense, at the option of the City, as the case may be, of any and all claims of liability and all suits and actions of every name and description th,at may be brought against the City " or its employees, officers, and attorneys which may result from the Services under this Agreement whether the Services be performed by PBG or anyone directly or indirectly employed by them. In all events the City shall be permitted to choose legal counsel of its sole choice, the fees for which shall be reasonable and subject to and included with this indemnification provided herein. This paragraph 8.4 shall survive termination ofthis Agreement. 8.5 Standard of Care, In performing its Services hereunder, PBG will use that degree of care and skill ordinarily exercised, under similar circumstances by reputable members of its profession practicing in the same or similar locality. ARTICLE 9 TERMINATION OF THE CONTRACT 9.1 Termination For Cause. Either party may terminate this Agreement ifthe other commits a material breach ofthe Agreement; provided, however, that the terminating party has given the other party sixty (60) days advance written notice and opportunity to remedy the breach. Page 9 of 11 :. 9.2 Termination For Convenience. Either party may terminate this Agreement for convenience, without penalty other than as provided in this sub-section, by providing one-hundred eighty (I 80) days advance written notice of termination to the other. (a) Where the Agreement is terminated for convenience by PBG, to the extent Services have been performed by PBG, the City shall pay PBG, as full payment for all Services performed and all expenses incurred, the sums that are actually due and owing to PBG for Product delivered to the City for resale through termination, and PBG shall pay to the City all commissions earned from sales of Product from vending machines through termination. The City shall have no obligation to reimburse any ofthe monies expended for the purchase of scoreboards in the Park. (b) Where the Agreement is terminated for convenience or cause by the City to the extent Services have been performed by PBG, the City shall pay PBG, as full payment for all Services performed and all expenses incurred, the sums that are actually due and owing to PBG for Product delivered to the City for resale through termination, and PBG shall pay to City all commissions earned from sales of Product from vending machines through termination. The City shall reimburse to PBG a portion of the monies provided for the purchase of scoreboards in the Park. The amount of such reimbursement shall ,be determined by multiplying the scoreboard fee paid by a fraction, the numerator of which is the number of months remaining in the term at the time of such termination and the denominator of which is eighty-four (84). -9.3. Expiration. Upon expiration oftheterm of this Agreement, if the City has not entered , into a further agreement with PBG for the purchase of Products, the City shall surrender to PBG all equipment installed in the Park for the serving or dispensing of such product. Upon mutual agreement of the parties, the City may purchase such equipment at the current fair market value of such equipment. 9.4 Waiver. Failure of either party to insist upon performance within anytime period or upon a proper level or quality of performance shall not act as a waiver of the either party's right to later claim a failure to perform. Page 10 of 11 IN WITNESS WHEREOF, the parties hereto caused this Agreement to be executed by their duly authorized representatives as of the date first written above. Witnesses CITY OF WINTER SPRINGS, FLORIDA r t Name:~a."It.t.. <- ~.~ PrintN e:~~~-~ By: ~~~~ ~. .- ./ RonallW. McLemore Title: City Manager Dated: July 24. 2003 Witnesse~ Print Name: ~tJ~ SALt'}. 7M . BOTTLING GROUP, LLC, d/b/a THE PEPSI BOTTLING GROUP (pBG) . ~G' .- ~ --t:.... --=- ~e: \-\:A.~ bo..ja~c.... ~~dPt!d:: M~ Title: Dll..CLTOfL 01\,) PLEu l~ 5A~ Dated: 6/l6/05 I l F:\Docs\Cily of Winter Sprlngs\Pepsl BottUng\Agreement\Pepsl_Agreement_ 061303.wpd Page 11 of 11 ") ., ,. Exhibit "A" Central Winds Park Pricing Of Bottled and Cannedl Products Effective 2003 Package Products Available Price/Case or Gallon 100z NR Bottles CSD Pepsi, Diet Pepsi $10.75/24 120z Cans CSD See Attached $ 7.50/24 200z Non Carb Fruitworks, Lipton $16.95/24 200z Isotonic Allsport $13.50/24 200z PET CSD See Attached $16.95/24 200z PET Water Aquafina $ 7.95/24 1.5L PET Water Aquafina $ 7.95/15 Chilled Coffee Starbuck $10.75/12 160z PET Juices Dole $ 9.55/12 Energy Products Starbucks Double Shot, SoBe $31.95/24 Adrenaline Rush, Dew Amp SoBe 200z Glass Various $11.10/12 GATORADE Fruit Punch, Lemon Lime, Orange, . $18.00/24 Strawberry Ice, Riptide Rush, Glacier Freeze Page 1 of 3 " , ' '\ . .' . FOUNTAIN PRODUCT PRICING - CITY CONTROLLED CONCESSIONS 5 gal. Bag in Boxes(BIB) Dr. Peper, Lipton Teas (Sweet, $46.25/BIB Unsweet, Raspberry), Fruitworks Punch, Lipton Lemonade 5 gal. Bag in Boxes(BIB) Pepsi, Diet Pepsi, Sierra Mist, Mt. $51.25/BIB Dew. Mug Root Beer, Slice Orange, Mt. Dew Code Red FOUNTAIN PRODUCT PRICING - NON CITY CONTROLLED CONCESSIONS 5 gal. Bag in Boxes(BIB) Dr. Peper, Lipton Teas (Sweet, $65/BIB Unsweet,. Raspberry), Fruitworks Punch, Lipton Lemonade 5 gal. Bag in Boxes(BIB) Pepsi, Diet Pepsi, Sierra Mist, Mt. $60/BIB Dew. Mug Root Beer, Slice Orange, Mt. Dew Code Red Cups Case Pack Wholesale Cost 16 oz. Paper 1000 $34.00 22 oz. Paper 1000 $40.00 32 ozl Paper 480 $34.00 32 oz. TNG wi Lid & Straw 150 $50.00 32 oz. Promo wi Lid 250 $48.00 48 oz. Paper 480 $38.00 Lids Case Pack Wholesale Cost 12 oz.l16 oz.l22 oz. 2000 $28,00 32 oz. 960 . $23.00 44 oz. 960 $23.00 " '10, . '.- " - . Exhibit" B" Marketing Program Examples Marketing Sugport Pepsi Bottling Group will support Central Winds Park with annual marketing programs valued at $5,000.00 per year. Program descriptions will be determined by Central Winds Park needs. Examples are as follow: . Sponsorship of local team. . Sponsorship of tournaments. . Banners, signage, t-shirts and event items~ . Product Donations ,. July 4th sponsorship . Product sampling when available Marketing Programs Valued at $5,000 per year Page 3 of 3