H2. Res. 6238, Golf Association Project ApprovalcrrYoF City of Kalispell
ALISPELL Post Office Box 1997 -Kalispell, Montana 59903-1997
Telephone (406) 758-7700 Fax - (406) 758-7758
MEMORANDUM
To: Honorable Mayor Johnson and City Council
From: Doug Russell, City Manager
Re: Kalispell Golf Association Project Approval
Meeting Date: January 21, 2025
BACKGROUND: In the fall of 2024 the Council approved a lease extension with the Kalispell
Golf Association. Part of the impetus of the extension was for the Association to make irrigation
system improvements at the course. With the updated lease, the Association is now prepared to
start the improvement project. Under the terms of the lease, improvements above $75,000 require
the approval of the City.
The proposed project, as identified in the attached request consists of:
- Irrigation System Improvements
- Water Pumping and Storage Enhancements
- Acquisition of Additional Water Rights
As part of the project, a new groundwater source will be drilled for the system improvements. As
Section 9. of the lease is specific to the Stillwater surface right, language should be amended to
provide the use of the groundwater right as well.
Current language:
9. UTILITIES: LESSEE shall also be entitled to continue use of LESSOR's appropriated water
right of the Stillwater River adjacent to the golf course premises without charge. LESSEE in
using the water from the Stillwater River under said water rights shall operate and maintain the
system and pump for such purposes.
Proposed Amendment:
9. UTILITIES: LESSEE shall be entitled to continued use of the LESSOR's appropriated water
right from the Stillwater River, adjacent to the golf course premises, and the groundwater right at
Whitefish Stage Rd. and Fairway Blvd, without charge. LESSEE, in utilizing water from the
Stillwater River and groundwater from Whitefish Stage Rd. and Fairway Blvd under said water
rights, shall operate and maintain the system and pumps for such purposes.
FISCAL IMPACTS: The KGA is responsible for the funding obligations for the proposed
improvements.
RECOMMENDATION: It is recommended that the City Council approve Resolution 6238, a
resolution approving an amendment to the recent 30-year lease renewal between the City of
Kalispell and the Kalispell Golf Association and the associated irrigation system improvements
for the property commonly known as the Buffalo Hill Golf Course.
ATTACHMENTS:
Resolution 6238
KGA Project Request
KGA Lease
RESOLUTION NO. 6238
A RESOLUTION APPROVING AN AMENDMENT TO THE RECENT 30 YEAR LEASE
RENEWAL BETWEEN THE CITY OF KALISPELL AND THE KALISPELL GOLF
ASSOCIATION AND THE ASSOCIATED IRRIGATION SYSTEM IMPROVEMENTS
FOR THE PROPERTY COMMONLY KNOWN AS THE BUFFALO HILL GOLF
COURSE.
WHEREAS, the City of Kalispell owns certain real property within the corporate limits of the
City, which is operated as the Kalispell Municipal Golf Course and commonly
known and referred to as the Buffalo Hill Golf Course; and
WHEREAS, approximately 140 acres of that real property were gifted to the City of Kalispell in
1938 and in 1973. Both land transfers contained deed restrictions requiring that the
property be used for the purpose of developing and improving a municipal golf
course; and
WHEREAS, the City of Kalispell and the Kalispell Golf Association executed a lease agreement
on March 1, 1997 whereby the Kalispell Golf Association leases and manages said
golf course from the City for a period of 20 years; and
WHEREAS, that lease was updated in 2009 in order to make substantial capital improvements
to the course which necessitated extending the lease for financing purposes; and
WHEREAS, the lease was also updated in 2024 to include a new 30-year term in order to
potentially fund improvements at the course through lending arrangements; and
WHEREAS, the Kalispell Golf Association has now approached the City regarding an
amendment to the most recent lease in order to make irrigation system
improvements at the course, including amending language to provide the use of the
groundwater right.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL, AS FOLLOWS:
SECTION 1. That the Lease Agreement between the City of Kalispell and the Kalispell
Golf Association is hereby amended as follows on Exhibit "A"; the current
Lease Agreement is attached hereto as Exhibit "B" and incorporated fully
herein by this reference, and the City Manager is authorized to execute it on
behalf of the City.
SECTION 2. The proposed irrigation system improvements are hereby approved.
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF
THE CITY OF KALISPELL, THIS 21 ST DAY OF JANUARY, 2025.
Mark Johnson
Mayor
ATTEST:
Aimee Brunckhorst, CMC
City Clerk
EXHIBIT A
PROPOSED LEASE AMENDMENT
Current language:
9. UTILITIES: LESSEE shall also be entitled to continue use of LESSOR's appropriated water
right of the Stillwater River adjacent to the golf course premises without charge. LESSEE in using
the water from the Stillwater River under said water rights shall operate and maintain the system
and pump for such purposes.
Proposed Amendment:
9. UTILITIES: LESSEE shall be entitled to continued use of the LESSOR's appropriated water
right from the Stillwater River, adjacent to the golf course premises, and the groundwater right at
Whitefish Stage Rd. and Fairway Blvd, without charge. LESSEE, in utilizing water from the
Stillwater River and groundwater from Whitefish Stage Rd. and Fairway Blvd under said water
rights, shall operate and maintain the system and pumps for such purposes.
To: Esteemed Council Members, Doug Russell, City Manager
Enclosed: Agreement Kalispell City Golf Course Lease
Buffalo Hill Golf Club (BHGC) seeks City Council approval for the following on -site
improvements, as outlined in the current lease agreement:
1. Approval of Capital Improvement Plan (CIP) Projects: Authorization for projects
exceeding $75,000.
2. Amendment to the Lease Agreement: Incorporation of language to include an additional
water right.
Background:
BHGC has been planning the replacement of its irrigation system for several years. The current
system, nearly 50 years old, has exceeded its expected lifespan of 25-35 years for PVC systems.
Although it has performed beyond its intended life, the system is now highly inefficient and in
urgent need of replacement.
The proposed project is a multi -phase endeavor that includes:
• Irrigation System Improvements
• Water Pumping and Storage Enhancements
• Acquisition of Additional Water Rights
Project Details
1. Irrigation Design & Construction: This phase includes the design process, creation of
construction documents, and execution of project contracts for a new irrigation system. The
system will use HDPE piping, a stronger material with a life expectancy of over 50 years. The
upgraded system will significantly improve pumping efficiency, reduce water usage, and deliver
year -over -year water savings.
2. New Well, Pond Renovation, and Pumps: This phase involves drilling a new well on the upper
bench of the golf course near the pond located between holes 8, 10, and 11 (adjacent to Whitefish
Stage Rd. and Fairway Blvd). The project also includes redesigning the pond, dredging and
reshaping it, and installing a liner. New pumps will be installed to supply clean water to the
irrigation system.
3. Water Right and Well Permitting: A new water right will be secured for the well, serving the
same purpose as the current water right outlined in Section 9 of the lease agreement. This section
will need to be amended to incorporate the new water right provision.
Lease Agreement Amendment:
The current agreement, Section 9, reads:
"9. UTILITIES: LESSEE shall also be entitled to continue use of LESSOR'S appropriated water
right of the Stillwater River adjacent to the golf course premises without charge. LESSEE in
using the water from the Stillwater River under said water rights shall operate and maintain the
system and pump for such purposes."
Proposed Amendment:
"9. UTILITIES: LESSEE shall be entitled to continued use of the LESSOR'S appropriated water
right from the Stillwater River, adjacent to the golf course premises, and the groundwater right at
Whitefish Stage Rd. and Fairway Blvd, without charge. LESSEE, in utilizing water from the
Stillwater River and groundwater from Whitefish Stage Rd. and Fairway Blvd under said water
rights, shall operate and maintain the system and pumps for such purposes."
Request for Council Approval:
BHGC's irrigation project exceeds the $75,000 threshold stipulated in Section 8 of the lease
agreement. BHGC will take full responsibility for the costs, operation, and maintenance of these
improvements, in accordance with Sections 6 and 11 of the agreement. To ensure the work can
be completed during the off-season, we respectfully request City Council approval for these
proposals at the January 29, 2025, meeting.
Thank you for your time and consideration. We look forward to addressing any questions at the
meeting.
Thank you
Buffalo Hill Golf Club
1176 N Main St.
Kalispell MT, 59901
IIIlilll II II IIII IIIII IIIII IIIII IIIII IIII! Iilll IIIIIIIIII IIIII IIIIIIIIII IIIIIIIIII IIII IIII Page: I of is 0
Debbie Pierson, Flathead county MT b Jg Fees: 120.00
Return to tY Y 12/SS/2024 :37 PM
City Clerk
P.O. Box 1997
Kalispell, NIT 59903
KALISPELL CITY GOLF COURSE LEASE
THIS LEASE, made and entered into as of the 31 st day of October, 2024, by and between
the City of Kalispell, Montana, a Municipal Corporation, hereinafter referred to as LESSOR, and
the Kalispell Golf Association, a Montana Corporation, hereinafter referred to as LESSEE,
WITNESSETH:
For and in consideration of the mutual covenants and promises hereinafter set forth, the
parties hereto agree as follows:
1. PROPERTY: LESSOR hereby leases to LESSEE and LESSEE hereby leases and
hires from LESSOR those certain premises and all appurtenances thereto situated in Kalispell,
Flathead County, Montana, as follows:
All of that property owned by LESSOR and commonly known, referred to and
utilized as the Kalispell City Golf Course. Attached as Exhibit A is a map with the
* subject premises outlined. Attached is Exhibit B which identifies the boundary
and fence line between the golf course and the north portion of the old Lawrence
Park. The total area consists of approximately 240 acres.
2. TERM: TO HAVE AND TO HOLD the above rented premises during the full
term of thirty (30) years, which term shall begin upon the date above written or the date on
which the agreement is approved by the electors and shall terminate upon the expiration of said
full thirty-year term, unless terminated sooner as hereinafter provided.
3. GROSS RECEIPTS: For purposes of this Lease, "Gross Receipts" shall be
defined as all gross receipts obtained by LESSEE from the operation of the driving range (golf
ball rentals), membership fees (season passes), the sale of green fee punch cards and other green
fees. All other receipts shall not be defined as gross receipts under the provisions of this lease
and shall be and remain the sole income of LESSEE.
Kalispell City Golf Course Lease
4. RENT: LESSEE shall pay to LESSOR, as rent, a sum to be determined annually
as herein provided, payable for the preceding year, on or before the 30th day of June, throughout
the term of this Lease.
The annual rent for the full term of this lease shall be based upon Gross Receipts, as
defined in Section 3, hereof, and be calculated as set forth in Exhibit C, attached hereto and for
purposes of this Agreement made a part hereof.
Said rent payment shall be mailed or delivered to LESSOR at the Kalispell City Hall.
Upon approval of this agreement as provided in section 2, hereof, this lease shall supersede any
and all Leases between the Kalispell Golf Association and the City of Kalispell.
In accordance with a 2014 Memorandum of Understanding, LESSEE shall retain the
lease payment as identified in this Section of the Lease. In consideration for this, the KGA shall
assume responsibilities for any and all obligations that would otherwise be funded by the City of
Kalispell as identified in Section 6(b) of this Lease.
5. USE OF LEASED PREMISES: LESSEE shall use the leased premises for the
primary purpose of operating a municipal golf course. In addition, on March 6, 2006, the City of
Kalispell City Council passed a motion to approve a Multiple -Use Policy for Buffalo Hill Golf
Course, attached hereto as Exhibit E, which Policy is hereby fully incorporated herein by this
reference. LESSEE agrees to observe all Federal, State and municipal laws and regulations
including those related to human and equal rights and in particular Bureau of Outdoor
Recreation, or its successors, regulations.
LESSEE shall not sublease or assign any portion of the leased premises without prior
written permission of the LESSOR. LESSOR shall not agree to any such sublease or use
agreement unless such lease or use is accessory to the management of a typical golf course. For
example, a restaurant or golf cart concession would be considered such a typical accessory use.
6. MAINTENANCE AND REPAIR OF PREMISES: LESSEE agrees to maintain
the above described premises in as good a condition as the same are in at this time, or as good as
they may be put by LESSOR during the tenn hereof in case of a casualty loss causing repair or
reconstruction by LESSOR; and to return said property to LESSOR at the expiration of said
lease in said condition, reasonable wear and tear and damage by the elements alone excepted. In
the event LESSEE refuses or neglects to keep the above -mentioned premises in such order and
condition hereinabove mentioned, LESSOR shall have, after first giving ninety (90) days written
notice to repair, the right to declare this lease null and void and of no further force and effect. In
this case the annual payments of rent shall terminate and LESSEE shall not in any way be
responsible for any future rent payments. LESSEE agrees to maintain and keep in repair all water
lines and pumps on said golf course, and to attend to the shutting off of the water supply and
draining of all pipe lines in the fall, and to turn the water on to said system in the spring.
a). Stormwater Regulations: The City of Kalispell, the LESSOR, is mandated by
the federal and state governments to monitor and enforce the Stormwater MS4 Standards within
the city limits of Kalispell. Because of the topography, watercourses and frequent, somewhat
Kalispell City Golf Course Lease
extensive landscaping projects on the Kalispell City Golf Course, it is essential that the KGA
Superintendent or his designee closely cooperate with the Kalispell Public Works Department to
assure that the MS4 Standards are maintained. For this reason the KGA Superintendent or his
representative shall meet with a representative of the Kalispell Public Works Department for a
training session on an annual basis so that compliance may be maintained. The KGA shall
submit its project stormwater compliance plans to the Kalispell Public Works Department prior
to commencement of such projects. The KGA agrees to remain in full compliance with the MS4
Storm water standards.
b.) Representatives from the KGA and the City's Parks Department and
Department of Public Works shall meet prior to December 31, 2009 to draft a capital protection
program for the property covered by this lease. Items of deferred maintenance shall be identified
as well as any other assets suffering or threatened with damage or devaluation. Estimated costs,
revenue sources and priorities will be developed as a part of a plan to protect and preserve the
assets. In the event that the KGA determines to expend its funds for infrastructure improvements
that are on the capital protection program prior to that time scheduled and that are otherwise
scheduled to be funded by the City of Kalispell, it may apply for a credit of those funds against
its lease payments.
7. (a) Cityof Kalispell's Access to Golf Course: For the purpose of maintaining public
utilities, the City of Kalispell may from time to time require access to the golf course. In the
event such maintenance is required, the City of Kalispell shall provide adequate written notice to
Kalispell Golf Association by providing the KGA with the bid documents upon advertisement.
In no event shall this information be provided less than 60 days prior to scheduled work. The
written notice shall outline the nature, purpose, access dates, and areas affected on the golf
course. In the event that emergency maintenance is required for the purpose of providing city
utilities, the City of Kalispell shall, upon discovery of need for access/maintenance, provide
immediate written and verbal notice to the Kalispell Golf Association. Upon notice thereof,
Kalispell Golf Association will grant access for emergency maintenance as requested.
(b). The City of Kalispell has identified the need for a connection in the pedestrian trail
system along Highway 93 from Highway 2 going North. This may entail encroaching on the
leased property. Both Parties agree that this connection of the trail may need to be constructed
through the leased property, and that realignments may need to occur on the golf course itself.
While uncertain of what this alignment may be, it is agreed that the Parties will strive to limit the
impact on the existing layout, and place the pedestrian trail within the existing Highway right-of-
way if reasonably possible. Costs associated with a trail connection and any necessary
realignment of the golf course related thereto will be the responsibility of the City of Kalispell if
it is in conjunction with the installation of the pedestrian connection. Factors that will be
considered for placement of the trail include reasonableness of layout for both the community
benefit of the trail and the operation of the golf course, safety, accessibility, and cost. Should the
Parties be unable to agree on the connection layout, the final authority shall reside with the
Kalispell City Council.
8. ALTERATIONS AND IMPROVEMENTS: LESSEE shall not make any
alterations or improvements to the premises or the appurtenances located thereon in excess of
Kalispell City Golf Course Lease 3
Seventy -Five Thousand Dollars ($75,000.00) at any one time without having first received
approval from the LESSOR of the intended alteration or improvement. LESSEE shall report to
LESSOR annually on alterations and improvements costing less than $75,000.00.
9. UTILITIES: During the entire term of this lease LESSEE shall pay when due for
required utilities serving the leased premises, including but not limited to, electrical, gas,
telephone, water, sewer and garbage services. LESSEE shall also be entitled to continue use of
LESSOR's appropriated water right of the Stillwater,
River adjacent to the golf course premises
without charge. LESSEE in using the water from the Stillwater River under said water rights
shall operate and maintain the system and pump for such purposes.
10. PERSONAL PROPERTY AND FIXTURES: All personal property hereinbefore
or hereinafter obtained in connection with the operation and maintenance of the Kalispell City
Golf Course shall be the property of LESSEE; provided, however, that all fixtures that have been
or may be installed on the premises and attached thereto have or will become part of the
premises and are the property of LESSOR.
11. COST OF OPERATION: All costs of operation including the cost or providing
supplies, equipment, tools, labor and other such items and the entire cost of maintaining and
operating the golf course, the club house and other appurtenances shall be the sole responsibility
of LESSEE.
12. USE OF CLUBHOUSE BY LESSOR: Although LESSEE shall have the
exclusive use and supervision of all buildings on said premises including that structure known as
the clubhouse, it is agreed that LESSOR shall be entitled to use of the clubhouse at any
convenient time to LESSEE upon adequate notice with LESSOR reimbursing LESSEE for all
actual expenses incurred by LESSEE for the reason of any such use by LESSOR.
13. GOLF COURSE FEES: A schedule of membership fees (season passes), green
fees punch cards and other green fees shall be presented by LESSEE to LESSOR prior to the
first day of April of each year of this Lease. The schedule for such fees for the 2024 golfing
season is attached hereto as Exhibit D, and by this reference made a part hereof.
LESSEE, at its discretion, may from year to year, during the term of this Lease, increase
or decrease its Schedule of Fees, then in effect, up to ten percent (20%) without prior approval of
such an increase from LESSOR. LESSOR shall not unreasonably withhold its approval of any
proposed Fee Schedule for which its approval may be required under this Lease.
14. LESSEE'S FINANCIAL REPORTS: Annually, on or before the 30th day of June,
in conjunction with the payment of the annual rent, LESSEE shall present to LESSOR for review
a copy of LESSEE's annual financial report completed in accordance with generally accepted
accounting principles. The Association's financial records will be subject to an audit conducted
by, and at the option of, the City (internal staff or contract auditor). The cost of such audit shall
be paid by the City.
15. LESSEE'S LIABILITY INSURANCE: LESSEE shall obtain and keep in full
Kalispell City Golf Course Lease
force and effect during the term of this lease, full general liability insurance in the amount of One
Million, Five Hundred Thousand Dollars ($1,500,000.00) with a company licensed to do
business in the State of Montana; and said policy of insurance shall name LESSOR as additional
named insured. In the event the Montana legislature increases the limitations on government
liability for damages in tort LESSEE agrees to increase its liability coverage appropriately.
LESSOR shall be furnished with a certificate that such insurance is in force and the same shall
provide for reasonable notification to LESSOR prior to the same being canceled. LESSEE agrees
to hold LESSOR harmless from any and all liability of any nature, whatsoever, arising from or
out of LESSEE's possession, use, maintenance, improvement or occupancy of the property
herein described; LESSEE further agrees to defend, at LESSEE's expense, any action brought
against LESSOR arising out of LESSEE's possession, use, maintenance, improvement or
occupancy of said property.
16. FIRE INSURANCE: During the full term of this lease, LESSOR shall maintain
its own fire insurance adequate to cover replacement costs on the improvements on said
premises. Should the premises during the term of this lease suffer damages which are covered by
said fire insurance policy, LESSOR agrees to utilize all insurance reimbursements therefore,
toward rebuilding or repairing the damaged premises, or toward providing adequate replacement
facilities. The contents of buildings and fixtures located on the premises shall be insured by
LESSEE and shall be in such amounts as to assure replacement. The parties mutually agree as to
waiver of subrogation rights each with the other.
17. DEFAULT AND BANKRUPTCY: In the event that:
(a) LESSEE shall default in the payment of any installment of rent or other sum
herein specified and such default shall continue for thirty (30) days after written notice thereof,
or
(b) LESSEE shall default in the observance or performance of any other of
LESSEE's covenants, agreements, or obligations hereunder and such default shall not be
corrected within ninety (90) days after written notice thereof; or
(c) LESSEE shall be declared bankrupt or insolvent according to law, or, if any
assignment shall be made of LESSEE's property for the benefit of creditors;
LESSOR shall have the right thereafter, when such default continues, to re-enter and take
complete possession of the leased premises, according to law, and to declare the term of this
lease ended, and to remove LESSEE's effects, without prejudice. In doing so no additional rent
payments may be collected from LESSEE; however, if LESSEE shall default, after reasonable
notice thereof, in observance or performance of any conditions or covenants on LESSEE's part
to be observed or performed by virtue of any of the provisions in any article of this lease,
LESSOR, without being under any obligation to do so and without thereby waiving such default,
may remedy such default for the account and at the expense of LESSEE.
18. NOTICE: No notice from LESSOR to LESSEE relating to the leased premises or
the occupancy thereof, shall be deemed duly served unless personally served upon or mailed to
Kalispell City Golf Course Lease
LESSEE, registered or certified mail, return receipt requested, postage prepaid, and addressed to
LESSEE at its address as follows:
Manager, Kalispell City Golf Course
Post Office Box 1116
Kalispell, Montana 59903
Any notice from LESSEE to LESSOR relating to the leased premises or the occupancy thereof,
shall be deemed duly served, if personally served upon or if mailed to LESSOR by registered or
certified mail, return receipt requested, postage prepaid, and addressed to LESSOR at the address
as follows:
City Manager
City of Kalispell
201 First Avenue East
Kalispell, Montana 59903-1997
19. EXISTING LEASE: It is mutually understood and agreed between the parties
hereto that no actions taken or not taken by either party in the negotiation or execution of this
agreement shall constitute a waiver of any rights that either party may now have or hereafter
have relating to or arising out of the existing Lease between the City of Kalispell and the
Kalispell Golf Association dated April 1, 1997; and, and each party specifically reserves the right
to present any claim or defense to any claim relating to or arising out of said Lease.
20. TIME OF ESSENCE AND BINDING EFFECT: It is mutually agreed by and
between the parties hereto that the time of payment shall be an essential part of this lease
agreement, and that all of the covenants and agreements herein contained shall extend to and be
binding upon the parties hereto, and their successors and assigns.
IN WITNESS WHEREOF, the parties have executed this lease as of the date first above
written.
Kalispell City Golf Course Lease
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ATTEST:
-14
Aimle Brunckhorst
City Clerk
STATE OF MONTANA
CITY OF KALISPELL
D-kg RXse,11
City Manager
County of Flathead
On this' "---day of CGm-� before me, a Notary Public for the State of
Montana, personally appeared Doug Russell, City Manager and Aimee Brunckhorst, City Clerk
of the City of Kalispell, proved to me to be the persons whose names are subscribed to the within
instrument, and acknowledged to me that they each executed the same in their respective
authorized capacities with the City of Kalispell.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day
and year hereinabove first written.
SEAL
Prt me:
JUDI A DUNK
NOTARY PU ate of Montana
NOTARY PUBLIC Jbr the
Residing at:
S'I'All'OF MONTANA
Residing in Kalispell, Montana
M C fission expires:
Y p
or
My Commission Gxpiroa
February 23,202H
Kalispell City Golf Course Lease
ATTEST:
'b- a�k 't3 4/"
Association Secretary
STATE OF MONTANA
County of Flathead
(kALISPELL GOLF ASSOCIATION
President
) ss.
On this -A- day 2 ' before i-ne a Notary Public for the State of
0'3 j0 �Ieand .&
Montana, personally appeared _j e � N4�---, and
proved to me to be the persons whose names are subscribed to the within instrument, and
acknowledged to me that they each executed the same in their respective authorized capacities as
President and Secretary of the Kalispell Golf Association, a Montana not for profit corporation.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day
and year hereinabove first written. , I A A - . A A N (1
SE kL P, S 90 MELI
ZNDA S BOGGESS
0.
Printed Name:
T NOTARY PUBLIC for the Mint I- <�
Z - State of Montana Y PU e
w SEAL Residing at Kalispell, MT NOTARY PU)3L C r State of
�A
j
My Commission Expires Residing at:
December 29, 2026. Commission
I My Commission e pires:
Kalispell City Golf Course Lease
Exhibit "A"
INIAP WrM TEE SUBJECT PRENJOES OUTLINED
r
r
Kalispell City Golf Course Lease 9
Exhibit `tic"
BOUNDARYBETWEEN THE GOLF COURSE AND THE NORTH PORTION OF THE OLD
LAWRENCE PARK
- FEBCE LSHE 2ELQ!`ATIt...t MISPLU MICIPAL
COLD LOURS£ L4[tki'tCE PAM
Constantin;, at the bm earner of the Vatar Dept.
Maiatansnee duildia; IS UVrtnct Pdrki thence
R ii' E. 36 feet to the rib fen4vcotner or the
Uttar Dept. Site 'in Lawrence Pori, thence N W
V, on and along she existing fanca Fine So fact
COI point■ thence t 10' S on and slant the
esiatinj fanett'iine 243 f0t to the point of
beginning of the fence tins rtlacation, thence
Along the foIlowin! courses, B 10' S. 190 rate.
190 feet, it as' WA 47 fast, N 29` V.
102 feet to s point on the Lov War Lice of the
Stillwater Uvass said point on ths'Low tester
Line of the Stillwater Jtivar being the and of
the fangs line relocation.
Low Vetter Live Of
S ±tiva!rr� Riys. NOTE: All bearings were abtiloec( through the
use of a hand compass. All Infarmatton hertaa
via obtained, on Oavesber Id, 19a7.
Point of Beginning' ✓erg..
Of Fence Line Reiocatiov
This Section Of Pence
�ia se Removed
�s -- - X.S. Pence Carver crater
Dept. Site Ia Lavrevice Park
Point am Pence Mae", X.R. Carver Stater Dept.
Paiateasnte BaiidtnY Ia
Lavranee Part
Kalispell City Golf Course Lease 10
Formula for Calculating Annual Lease Payments
In determining, lease payments the parties shall utilize a rolling average of `'Gross Receipts"
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over the previous three years in calculating the lease payment for a particular year.
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2. A minimum base lease payment $ 13,000 shall be payable so long as the rolling average of
the Gross Receipts as defined under section 3 of the Agreement do not exceed $750,000.00.
3. In the event the rolling average of Gross Receipts exceed $750,000.00 but do not exceed
$850,000.00, the Lease Payment shall be two percent (2%) of the Gross Receipts.
4. in the event the rolling average of Gross Receipts exceeds $850,000.00 the Lease Payment
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shall be two and one-half percent (2 1/2%) of the Gross Receipts.
Example:
Rolling Average Level I Level 2 Level 3
C,
Gross Revenue Base Lease
$0 — $750,000 $13,000
$750,001 — $850,000
$850,000+
Kalispell City Golf Course Lease 11
2%
2.5%
Exhibit D
Buffalo Hill Golf Course
2024 Schedule of Fees
*Membership (Season Pass)
2024
2023
Adult — All 27 holes
$1,050
$990
Adult — Cameron 9
$635
$600 N/A
Student (Full -Time College)
$265
$250
Junior (High school Sr & below)
$185
$175
"Green Fees
18 Hole Championship Course $ 82 $78
9 Hole Cameron Course $35 $32
*Above adult season pass rates reflect "regular season" prices. An "early bird" discount rate was
offered in 2023 of $869, and $915 in 2024. Note that a "capital fee" of $125 was assessed to
each adult member included in the pass price above.
"Above Green fees reflect peak season rates. Discounted rates offered to allow for non -peak
conditions, promotions, and package rates. A $5 capital fee is included for each 18-hole green
C, t:>
fee on the Championship 18, and a $3 capital fee is included for each 9-hole green fee.
Kalispell City Golf Course Lease 12
Exhibit E
Kalispell Golf Course Multiple Use Policy
The Kalispell Golf Association (KGA) leases the golf course from the City of Kalispell for the
purpose of providing the best possible golfing conditions for its paying members and guests. As
a result, the KGA and the City of Kalispell must be responsible for controlling access to the golf
course for both golfers and non -golfers. Personal safety is highest priority.
Definitions:
For purposes of this Lease, the following definitions apply:
1. Golfers: Golfers include people using the golf course for golfingpurl2oses including
people golfing, guests of people golfing, spectators watching golfing activities,
employees of KGA, and others granted explicit access by KGA to the golf course during
the golf season.
2. Non -Golfers: Non -Golfers include people who are using the golf course for purposes
other than golfing (e.g., joggers, walkers, bird watchers, cross-country skiers, sledders,
etc.).
Golfer Access:
1. Golfers are allowed on the course only during "open tee time" periods as posted in
the Clubhouse
Rational: There are predictable periods of time when the course is closed for maintenance;
consequently, there are no "open tee times" during these periods of time.
2. Golfers are allowed on the course when the course is safe and ready to play as
determined by the Golf Course Maintenance Staff.
Rational: There are environmental conditions that occasionally occur that result in the closure
of the course. For example, heavy rains can cause dangerous soil conditions for golfers and
traffic during saturated soil conditions, resulting in soil compaction, which is detrimental to the
playability of the turf. Frost covered turf can die if traffic is allowed; consequently, the course is
closed until the frost melts. Nigh winds can result in dangerous debris and hazardous trees on
the course; consequently, the course maybe closed until the dangerous conditions have been
corrected. The Goff Course Maintenance Staff is responsible for making the course playable,
and as a result, making the determination when the course is safe to play,
3. Golfers are not allowed on the course when lightning is in the area, as determined
by the Pro Shop Staff.
Rational: Lightning kills gofers every year. The Pro Shop Staff will do it best to close and clear
the golf course when lightning is threatening. The Pro Shop Staff will also determine when the
lightning appears to have left the area, and then re -open the golf course for play.
Kalispell City Golf Course Lease 13
4. Golfers are not allowed on the course during the nighttime hours when the course is
"open for the season."
Rational. The go f course is irrigated during the nighttime hours. The go f course irrigations
system operates at high pressure (up to 120 PSI). Anyone hit by this high-pressure. high -velocity
water can sustain significant injury and possibly even death, consequently, the course is closed
to non -golfers during the nighttime hours when the course is "open for the season. "Ba Buffalo Hill
Golf Course has significant elevation changes throughout its grounds, and the limited light
during the nighttime hours can impair one's ability to accurately judge the terrain, consequently,
the course is closed to non -golfers during the nighttime hours and when the course is "open for
the season. "
5. Golfers are not allowed on the course when the course is closed for the season as
determined by the General Manager.
Rational: Once the course is closed for the season, other non -gofer activities begin such as
jogging, sledding and skiing. These non -gofers are not aware of the risks go f balls pose and will
not be prepared to look -out for flying golf balls; consequently, when the course is closed for the
season, gofers may not play on the course.
Non -Golfer Access:
1. Non -Golfers activities are encouraged when the golf course is closed for the season,
subject to hours governing city parks, generally open at 6:00 a.m. and closed at
11:00 P.M.
Rational: Non-gotfzng activities such as walking and jogging are encouraged when the go f
course is closed for the season, and during hours consistent with other City of Kalispell parks,
2. Skiing and sledding is encouraged when adequate snow cover exists as determined
by the Golf Course Maintenance Staff.
3. Non -Golfers are not allowed on the course during the daylight hours when the
course is open for the season.
Rational: Golf balls have been clocked at over 150 mph, and typically land with a velocity of
over 50 mph, consequently, flying golf balls pose a significant danger to Non -Gofers who may
stray into landing zones.
4. Non -Golfers are not allowed on the course during the nighttime hours when the
course is open for the season.
Rational: The go f course is irrigated during the nighttime hours. The go f course irrigations
system operates at high pressure (zip to 120 PSI). Anyone hit by this high-pressure, high -velocity
water can sustain significant injury and possibly even death; consequently, the course is closed
to non -gofers during the nighttime hours when the course is open for the season. Buffalo Hill
Go f Course has significant elevation changes throughout its grounds, and the limited light
during the nighttime hours can impair ones ability to accurately judge the terrain, consequently,
the course is closed to Non -Gofers during the nighttime hours and when the course is open for
Kalispell City Golf Course Lease 14
the season.
5. Non -Golfers are not allowed on the course when frost covered turf conditions exist
even when the course is closed for the season.
Rational: Frost covered turf can die if traffic is allowed; consequently, the grounds are closed to
all traffic until the frost melts as determined by the Go Course Maintenance Staff.
Rational: Skiing and sledding can cause damage to the turf when there is inadequate snow
cover, consequently, the course will be closed to skiing and sledding during periods of limited
snow cover as determined by the Golf Course Maintenance Staff.
6. Consistent with other public golf courses in the area, dogs are not allowed on the
grounds at any time, whether with Golfers or Non -Golfers.
Rational: For purposes of liability and safety of pedestrians, dogs are not allowed on the golf
course at any time. Additionally, fecal deposits pose significant health risks to skiers and
sledders as well as, the Golf Course Maintenance Staff during the turf maintenance seasons.
Damage to turf is also a common result of dog waste. Finally, like a baseball field or football
field, go course turf is intended for a specific use, as such, dogs and their waste do not belong
on the golf course because both can negatively impact the competition.
This policy is for the benefit and welfare of both the golfing and non -golfing community.
Kalispell City Golf Course Lease 15