Texas Horse Park

Project Update

Presented to:

Economic Development Committee
February 21, 2012
City of Dallas Park and Recreation Department
City of Dallas ParkTrinity Watershed Management Department, Trinity and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

River Corridor Project Office

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Briefing Information
• Information provided in this document: – Project Location and Benefits – Economic Impact – Equestrian Facilities - Comparables – Proposed general points for a Request for Proposals (RFP) for selection of an independent Operator/ Manager for the Texas Horse Park – Proposed Schedule – Next Step

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Location of Texas Horse Park

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Project Benefits
• Promote the development of a multi-disciplinary equestrian facility as a component of the Trinity River Corridor Project • Host local and world class equestrian events • Establish inner-city and educational outreach programs • Benefit the City of Dallas and its citizens economically, educationally, culturally, recreationally, and ecologically • Foster conservation and appreciation of Texas’ historic equestrian tradition

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Project Benefits – continued
• Fills need in the South Central U.S. for a major show facility • Economic development is spurred by equestrian show facilities, since hotel, retail and restaurants support events • Provides business and job opportunities • Showcases Dallas as an equestrian and recreational destination

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Economic Impact – Horse Industry
United States Equestrian Economy: Number of Individuals Involved in the Horse Industry: Number of Full-Time Jobs Provided by the Horse Industry: Number of Horses: $101.5 billion Texas $5.2 billion**

7.1 million

455,600

1.4 million 6.9 million

32,200 979,000***

* American Horse Council 2005 Study: Economic Impact of the Horse Industry ** Texas is second, next to California, in making the most of its horse economy *** Texas leads the nation in horse population
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Economic Impact – Phasing Implications for the Texas Horse Park
• The Texas Horse Park, as currently conceived, will be built in phases • As a result, the economic impact will grow as the facility expands and its competitors will change as it grows from a regional to a national facility • The economic impacts and comparable facilities for both the first phase and full build-out are provided in the following pages

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Texas Horse Park – Master Plan

List of Services Provided: - Horse Shows and Events - Equestrian-related Youth Programs - Community Activities and Services, including: -Trail Riding -Therapeutic Riding -Classes -Boarding
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Texas Horse Park – Phase 1 Plan

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Economic Impact
• 10 Year Economic Impact of Full Build-out of the Texas Horse Park* – Facility staff: 14 – Jobs created by contract concessionaires and vendors at the facility: 110 – Indirect or spin-off jobs to be created in the community: 196 – Revenues from programs and events: $ 15.0M – Revenues from concessions and vendors: $ 31.2M – Estimated spending in Dallas • Area visitors: $ 23.4M • Out-of town visitors: $214.4M – Estimated spending on lodging: $ 53.6M

• Total 10 Year Economic Impact

$337.6M

* These projections are provided by Texas Horse Park, Inc. from information in the report by Impact DataSource, Austin, Texas, dated Jan. 2006
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Economic Impact
• 10 Year Economic Impact of a $12M development budget for the Texas Horse Park* – Facility staff: 4 – Jobs created by contract concessionaires and vendors at the facility: 24 – Indirect or spin-off jobs to be created in the community: 17 – Revenues from programs and events: $ 8.6M – Revenues from concessions and vendors: $ 10.6M – Revenues for local: • Stores and other local businesses: $ 28.2M • Hotel and motels: $ 6.8M

• Total 10 Year Economic Impact

$54.2M

* These projections are provided by Texas Horse Park, Inc. from information in the report by Impact DataSource, Austin, Texas, dated Feb. 2012
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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THP TARGETED MARKET & COMPARABLES FOR FULL BUILD-OUT
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Center Owner/Operator – Comparables for Full Build-out
Name / State Kentucky Horse Park, KY New Jersey Equestrian Center, NJ Dream Park, NJ Prince Georges Equestrian Center, MD WestWorld, AZ Los Angeles Equestrian Center, CA The Meadow Event Park, VA Jacksonville Equestrian Center, FL Public Public Contract Owner Operator Operator X X X X X X X X X X X X Private Owner/Operator X

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information*
Kentucky Horse Park, KY (Public Owner/Public Operator)
• They have economic impact studies prepared annually that show the facility generates $180M impact to the economy of Kentucky and $18M in tax income. • In 2011 they had a $200M impact to the economy of Kentucky

* Profit/loss information is based on telephone conversations with the operator or manager of the listed facilities.
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information - continued
Kentucky Horse Park – continued • They generally have $13M in operating costs with $9M in income. The subsidy from the state of Kentucky should be reduced with construction is completed and their annual events are increased from 70 to 90 • They experienced an expense of $3.5M over a three-year period due to construction of facilities causing the cancellation of shows and additional utility expenses. –They made a decision to expand their facilities to increase the number of events and, thereby, decrease the subsidy from the State of Kentucky • Employ 77 full time and 43 seasonal staff
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information - continued
New Jersey Equestrian Center, NJ (Private Owner/Private Operator)
• The facility is operating in the black • Facilities: – 66,000 s.f. indoor arena – – – – – – – 20 x 60 meter dressage ring 2 outdoor arenas 100 stalls Grass Prix field Outdoor track Miles of trails 40 acres
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City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

Equestrian Facilities – Operating Information - continued
Dream Park, NJ (Public Owner/Public Operator)
• The facility is operating in the black • Facilities: – 238 temporary stalls – 45,000 s.f. climate controlled indoor arena with seating – 68,400 outdoor arena – 45,000 s.f. Grand Prix/carriage arena – 45,000 s.f. lighted show ring – Over 75 RV camp sites – 8,024 s.f. annex/meeting room – 17,280 s.f. covered arena w/ schooling ring 22,500 s.f. attached
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information - continued
Prince George’s Equestrian Center, MD (Public Owner/Public Operator)
• The facility is operating in the black • They facility includes a high-end indoor event center that is conditioned space that is used for events, such as concerts • They have camp sites

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information - continued
WestWorld, AZ (Public Owner/Public Operator)
• They currently operate with an 8.2% subsidy from the city, but expect to operate in the black once they enclose their open-air arena which will add three additional months to their event schedule • The Chamber of Commerce for Scottsdale spoke at the recent League of Agricultural and Equestrian Centers national conference and provided a report of the positive economic value of the facility to the city of Scottsdale

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information - continued
Los Angeles Equestrian Center, CA (Private Owner/Private Operator)
• They have always operated in the black since the current owner purchased the facility 10+ years ago • Their annual gross income was $6.5M in 2011 • They have not made any substantial capital investments recently

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information - continued
The Meadow Event Park, VA (Private Owner/Private Operator)
• They have never received a subsidy from the City of Doswell, VA • The private operator also operates Jacksonville Horse Park, FL and Idaho Center Horse Park • They have a friends group that brings in private money and grants

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information - continued
Jacksonville Equestrian Center, FL (Public Owner/Private Operator)
• Private Operator has been at facility for 2 years • Equestrian Center is part of larger park, which includes a pool, ball fields and other park improvements • The Equestrian Center opened in 2004 and was doing well financially • In years 3 and 4, they had approximately $700,000-800,000 in annual revenues, according to the operator, which resulted in a positive cash flow

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Facilities – Operating Information - continued
Jacksonville Equestrian Center, FL – continued
• After the 4th year there was a possibility of the adjacent property being converted back into an active Naval Air Station, which impacted bookings for equestrian events • The Florida economy, and thereby questions of city financial support, has also impacted bookings for events • As a result, they started receiving a subsidy in the range of $200K for the horse park portion from the City of Jacksonville • According to the operator, the number of events and financial results are starting to improve

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Centers – Texas Regional Competition for Phase 1
Name / State Great Southwest Equestrian Center, Katy, TX Los Colinas Equestrian Center Irving, TX Texas Rose Horse Park, Tyler, TX Will Rogers Equestrian Center, Ft. Worth, TX 1st Community Credit Union Spur Arena, San Angelo, TX Extraco Events Center, Waco, TX Public Owner Public Non-Profit Private Operator Operator Owner/Operator X X X X X X X X X

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Centers – Texas
Great Southwest Equestrian, Katy, TX (Private Owner/Private Operator)
• Annual local economic impact for Katy area is $13M/year • Facilities: – 4 covered arenas – 5 outdoor arenas – Stalls for up to 1,000 horses – Seating for over 4,000 in main show complex – 5,000 s.f. arena club – 100 RV slots – Concession stands, office space and vendor space
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Centers – Texas
• Facilities: – Sixty-two acres – Large covered arena – Attached covered schooling arena – Concession stand – Climate controlled viewing – Four outdoor arenas – Permanent stabling for 157 horses • Host to all levels of hunter/jumper horse shows, horse trials, gaited horses and individual breed shows • No horse rental/trail riding or school horses available
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

Los Colinas Equestrian Center, Irving, TX (Private Owner/Private Operator)

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Equestrian Centers – Texas
Texas Rose Horse Park, Tyler, TX (Private Owner/Private Operator)
• Facilities – 39,375 s.f. covered arena with 2,200 seats – 5 outdoor arenas – 350 stalls – Indoor/outdoor vendor areas – Concessions

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Centers – Texas
• From the City of Fort Worth website: “With an annual economic impact of over $210 million from equestrian events and the Fort Worth Stock Show and Rodeo, the City of Fort Worth recognizes the importance to maintain and improve the Will Rogers Equestrian Center as necessary to compete on a national and international level.” • Facilities – 31,250 s.f. climate controlled arena/5,652 seats – 29,120 s.f. climate controlled arena/1,934 seats – 20,000 s.f. climate controlled arena/998 seats – Indoor exercise and show arenas (5) – 843 permanent and 896 portable stalls – Additional facilities to open in early 2012
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

Will Rogers Equestrian Center, Ft. Worth, TX (Public Owner/Public Operator)

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Equestrian Centers – Texas
1st Community Credit Union Spur Arena, San Angelo, TX (Public Owner/Non-Profit Operator)
• A non-profit leases the facility for $1/year • The facility breaks even, plus returns equity to the maintenance and improvements of the building and grounds • There is no subsidy from the city • The facility creates a large economic impact to the area • A foundation supports memorials and honorariums, youth scholarships, and fairground/facilities improvements

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Centers – Texas
1st Community Credit Union Spur Arena, San Angelo, TX - continued
• Facilities – 83,160 climate-controlled square feet – 30' x 70' upstairs private club with elevator – Ticket office, office space, exhibit space in lobby – 155' x 330' (arena without chutes) – 135' x 270' (arena with chutes) – Attached covered holding area – (2) - 120' x 106' attached covered warm up arenas – 90+ RV spaces – Concession area – 262 permanent 10' x 10' stalls – 140 portable 10' x 10' stalls
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Equestrian Centers – Texas
Extraco Events Center, Waco, TX (Public Owner/Non-profit Operator)
• Owned by the McLennan County • Naming rights were sold in 2010 • Master plan approved in 2010 by County Commissioners to expand facility • $40M annual economic impact to the area • Complex hosts more than 225 events, attracting over 420,000 annually

Master Plan
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Recommend Soliciting Proposals for Private Operator
• Private Operator’s services would include: – Provide staff to manage the facility – Market the facility – Program events and community outreach activities – Operate a trail ride concession – Provide opportunities for boarding – Provide day-to-day maintenance – Contract with concessionaires for food service, etc.
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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General Points of the Operation and Management RFP
• Term of agreement will be 20 years with two 5-year options to renew • The Operator will be required to dedicate the facility to the preservation and expansion of Texas’ equestrian tradition by providing a venue for education, competition and community involvement in horse-related and other agricultural activities • City of Dallas (City) will retain ownership of the premises and all improvements • Operator will manage the facility
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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General Points – continued
• Operator shall have the right to offer alternative delivery methods for the design and construction • Operator shall have the right to provide representation on the project team or take a lead role in the design and construction if an alternative delivery method is used • Options will be allowed for entities to propose on the operation of individual elements, such as:
– – – – – Trail ride operation School of Horsemanship Boarding Therapeutic riding Other community service organizations

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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General Points – continued
• Operator can make future capital improvements subject to City approval • City will approve all rates, fees and charges • City will approve operating hours • City will have the right to reserve the facility up to six dates per year, at no charge

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Operator – Selection Process
• Proposing firms will be evaluated and selected based on the following criteria: – Experience of Proposer operating similar facilities – Amount of added contribution to the development costs – Amount of operating reserves – Financial stability – Preliminary operation plan – Proposed revenue sharing – Outreach and education plan – Proposed community services
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Operator – Selection Process Continued
Issue of a City Subsidy
• Currently, the RFP specifies that the City would invest up to $12M in capital construction and it states that the City will not pay an operating subsidy • The evaluation criteria favors the proposers who:
– Bring the most capital to augment the City’s funds – Proposes to return the most revenue sharing with the City

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Role of Texas Horse Park, Inc.
• If a private operator is selected, the existing agreement with Texas Horse Park, Inc. (THPI) will be terminated and a new agreement will be initiated for their role as a foundation to support the operation and development of Texas Horse Park • THPI has raised $1M, of which $900K can be used to support the operations of the facility, including Community Outreach programs, and $100K is earmarked for capital investment • THPI has offered to support the facility, including continuing their fundraising efforts
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Proposed Schedule
Advertise Operation and Management RFP Receive / Evaluate Operators’ Proposals Award Best Value Proposer Design and Construction March 2012 April 2012 June 2012 TBD*

* Schedule is dependent on the type of design and construction scenario proposed by the Operator
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Benefits of Texas Horse Park
• Positive economic impact on Southern Dallas and the City of Dallas • Creates job and business opportunities • Fills gap in the country’s event facility network • Provides venue for residents and tourists to experience equestrian activities • Benefits the City of Dallas and its citizens economically, educationally, culturally, recreationally, and ecologically • Fosters conservation and appreciation of Texas’ historic equestrian tradition
City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Next Step
• Initiation of a Request for Proposals (RFP) process to select an Operator/Manager

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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Texas Horse Park
Project Update

Presented to:

Economic Development Committee
February 21, 2012
City of Dallas Park and Recreation Department
City of Dallas ParkTrinity Watershed Management Department, Trinity and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

River Corridor Project Office

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Appendix
• Draft Request for Proposals for Operation and Management of Texas Horse Park, Inc. • 5-year operating budget for Texas Horse Park ($12M total development cost) – prepared by Texas Horse Park, Inc. • Updated Economic Impact Report for Texas Horse Park ($12M total development cost)

City of Dallas Park and Recreation Department Trinity Watershed Management Department, Trinity River Corridor Project Office

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DRAFT

REQUEST FOR PROPOSALS
FOR THE

OPERATION and MANAGEMENT
OF THE

Dallas Equestrian Complex (Texas Horse Park)
RFP #1233

Park and Recreation Department
City of Dallas
Dallas, Texas February 29, 2012

TABLE OF CONTENTS DEFINITION OF TERMS AND ABBREVIATIONS ..................................................................................... 2 SECTION 1. GENERAL INFORMATION ........................................................................................ 4 1. 2. Goals for the Operation and Management of the Texas Horse Park (THP) ..................... 4 Project Scope and Overview of the Texas Horse Park ..................................................... 4

SECTION 2. SPECIFICATIONS FOR OPERATIONAL MANAGEMENT OF THP ........................ 6 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. General Scope................................................................................................................... 6 Facility Activities ................................................................................................................ 6 Facility Management and Operations................................................................................ 6 Insurance........................................................................................................................... 8 Observance of Laws, Rules and Regulations ................................................................... 8 Permits, Licenses and Taxes ............................................................................................ 8 Fire Protection and Prevention.......................................................................................... 8 Protection and Damage..................................................................................................... 8 Other Contracts ................................................................................................................. 9 Alterations and Improvements .......................................................................................... 9 Property ............................................................................................................................. 9 Access to the Facility....................................................................................................... 10 Liens ................................................................................................................................ 10 Labor Force ..................................................................................................................... 10 Wage Rates.....................................................................................................................11 Complaints and Non-Performance .................................................................................. 11 Reports, Audits and Review ............................................................................................ 11

SECTION 3. PROPOSAL PROCESS ........................................................................................... 12 1. 2. 3. 4. 5. 6. 7. 8. Specification Review and Clarification ............................................................................ 12 Proposal Submission....................................................................................................... 12 Required Documentation................................................................................................. 12 Format for Proposal......................................................................................................... 12 Interviews ........................................................................................................................ 18 Disqualification of Proposer............................................................................................. 18 Due Date ......................................................................................................................... 18 Public Information ............................................................................................................ 18

SECTION 4. SELECTION PROCESS........................................................................................... 19 1. 2. 3. 4. 5. Request for Proposals ..................................................................................................... 19 Selection Process Estimated Schedule........................................................................... 19 Criteria for Review and Evaluation .................................................................................. 19 Evaluation of Proposals................................................................................................... 21 Contract Award................................................................................................................ 21

SECTION 5. CONTRACT .............................................................................................................. 18 1. 2. 3. 4. 5. 6. 7. 8. Award of Contract............................................................................................................ 21 Assignment of Contract ................................................................................................... 21 Indemnity ........................................................................................................................ 22 Default ............................................................................................................................. 22 Termination for Convenience .......................................................................................... 23 Notices............................................................................................................................. 23 Miscellaneous..................................................................................................................23 Conduct of Work.............................................................................................................. 24

ATTACHMENTS A Texas Horse Park - Master Plan B Texas Horse Park – Phase 1 Plan

Operation and Management of the Texas Horse Park

Page 1

Definition of Terms and Abbreviations
The following terms shall have the following meanings when used in these Specifications. 1. Buyer: Member of Business Development and Procurement Services Department of the City responsible for oversight of the Request for Proposal process. All correspondence and communication from potential Proposers shall be directed to the Buyer 2. City: The City of Dallas, Texas, a municipal corporation of Dallas County, Texas, acting by and through (a) its governing body, or (b) its City Manager each of whom is required by law to perform specific duties. Responsibility for final enforcement of contracts involving the City of Dallas is by authority vested in the City Manager. 3. City Attorney: The City Attorney of the City or duly authorized assistants or agents. 4. City Controller: The City Controller of the City or duly authorized assistants or agents. 5. City Council: The governing body of the City. 6. City Manager: The City Manager of the City or duly authorized assistants or agents. 7. City Secretary: The City Secretary of the City or duly authorized assistants or agents. 8. Contract: The written agreement covering the performance of the Operational Management specifications. The Contract includes all specifications, the proposal and any supplemental changes or agreements pertaining to the Operational Management Specifications. The Contract shall be administered through the City of Dallas, Park and Recreation Department. 9. Director: The Director of the Park and Recreation Department or duly authorized assistants or designee(s). 10. THP: Texas Horse Park The City of Dallas, Trinity River Project approved by the citizens of Dallas in 1998 included five (5) defined programs. One of those programs called, The Great Trinity Forest, included the development of an Interpretive Center which has been completed and under operation by the National Audubon Society (Now called; Trinity River Audubon Center) and an Equestrian Center currently referred to as the Texas Horse Park. A feasibility plan was developed defining a location, scale and goals of the Horse Park. Those goals are defined as follows:  To promote the development of a multi-disciplinary equestrian facility, the Texas Horse Park, as a component of the Trinity River Corridor Project. • To manage and operate the Texas Horse Park in order to benefit the city and citizens of Dallas economically, educationally, culturally, historically, recreationally and ecologically. • To foster conservation and appreciation of Texas’ historic equestrian tradition. • Operate and maintain a world class equestrian center that encompasses unique educational, cultural, therapeutic, and recreational opportunities. • Host local, national, and international equestrian events of the highest caliber. • Host inner city and educational outreach programs for youth and the broader community. • Establish an ongoing positive economic impact on the local economy by creating jobs and business opportunities. • Help preserve the Trinity ecosystem with an environmentally conscious facility. • Develop an animal-friendly facility and surrounding environment.

Operation and Management of the Texas Horse Park

Page 2

The City of Dallas Park and Recreation Department is soliciting proposals for the purpose of establishing an operation & management contract with a firm to provide services for the operation, management, marketing and maintenance of the proposed Horse Park for a period of 20 years. Proposals shall include the Operation / Management Company’s proposed contribution to the capitol development costs. The maximum City contribution is $12 million dollars funded by the 2006 bond program. 11. Facility: Texas Horse Park 12. Operation and Management Specifications (Specifications): The directions, provisions, and requirements contained herein pertaining to overall management of the Facility. 13. Operator: The person, persons, partnership, company, firm, association, corporation, and its subcontractors acting directly or through an authorized representative submitting a proposal and entering into a Contract for the services specified in the Operational Management Specifications. 14. Proposal: The written statement or statements duly submitted to the City of Dallas Business Development & Procurement Services Department by the person, persons, partnership, company, firm, association, or corporation proposing to perform as specified in the Operational Management Specifications. 15. Proposer: Any person, persons, partnership, company, firm, association, corporation and their subcontractors acting directly or through a duly authorized representative submitting a Proposal response to the Operational Management Specifications. 16. Sub-contractor: Any firm with which the Operator has a direct or indirect relationship in order to meet any or all of the Specifications or fulfill the terms of the Contract. 17. Sureties: The corporate bodies which are bound by such bonds as are required of the Operator. The Sureties engaged to be responsible for the entire and satisfactory fulfillment of the Contract and for any or all requirements as set out in the Specifications or Contract.

Operation and Management of the Texas Horse Park

Page 3

Section 1 - General Information
1.1 Goals for the Operation and Management of the Texas Horse Park (THP)
The City of Dallas seeks a qualified Company that will work with the City to manage and operate THP as a premier equestrian venue that serves Dallas citizens; Texas, Southwest and National Equestrian communities; and will market the facility for regional, national and international tournaments – not exclusively for equestrian events, but for other events as well, including dog shows, western events, 4H & FAA programs, and partnering with other educational institution and therapeutic riding organizations. A sampling of equestrian events and programs that the complex could support are included in the list below. At a minimum, those marked with asterisks are to be included in the Phase 1 development. A. Horse Events and Shows*  English Equestrian Competitions  Western Equestrian Competitions  Breed shows  Driver Events  Equine Club Shows  Horse Expos  Horse Shows & Sales  Western Demonstrations & Events  Collegiate Events & Competitions  Dog Shows and Trials B. Equestrian-related Youth Programs  Youth-at-risk  After school programs  4H & FFA Events*  Scouting C. Community Activities and Services  Group Riding Classes*  Training & Behavioral Clinics  Inner City Riding Programs*  Trail Riding*  Boarding*  Therapeutic Riding

1. 2

Project Scope and Overview of the Texas Horse Park
It is the intention of the City of Dallas Park and Recreation Department to develop a state-of-theart financially sustainable Equestrian complex on a 300+-acre site located near the intersection of Loop 12 and Pemberton Hill Road in the Southern Dallas community. Master Plan A master plan for the Texas Horse Park (THP) was completed in December 2007 with revisions in December 2010 and adopted by the Dallas Park and Recreation Board. The Master Plan consists of the following components:  Visitor Center  6 Event Arenas: - Showcase Arena: 150’ x 300’ non-conditioned covered with 60’ x 120’ covered warm-up

Operation and Management of the Texas Horse Park

Page 4

area - Large Performance Arena: 230’ x 262’ uncovered with 100’ x 150’ uncovered warm-up area - Main Showcase Arena: 327’ x 262’ non-conditioned covered with 65’ x 250’ covered warm-up area - Two Small Performance Arenas: 100’ x 250’ non-conditioned covered with one 100’ x 150’ covered warm-up and one uncovered warm-up area - Grand Prix Arena: 200’ x 400’ uncovered with four 20m x 60m dressage rings Each arena has general seating with the Main Showcase the largest with 4000 grandstand seats  18 Barns: with 28 12’ x12’ stalls each  Pad Sites for up to 2,000 temporary stalls  A 24-Room Lodge with multi-purpose rooms  School of Horsemanship complex to include: - Two un-conditioned covered arenas 70’ x 200’ - One uncovered arena 100’ x 150’ - One hay, feed and bedding barn  Community Partnership Administration facility  Maintenance facility with caretakers residence  Cross Country Course that includes: - 3.5 mile cross country course - Combined driving course - ½ mile steeplechase course  Trail head for general trail riding program The Master Plan has also included land use areas for:  Therapeutic Riding Complex  Collegiate Equestrian Complex  Horse Rescue Facility  Bunk house(s) for overnight field trips, Boy Scouts, Girl Scouts, corporate retreats, etc.  Paddocks and Pastures  Recreational vehicle area The City of Dallas’ goal is for this complex to be as sustainable as possible in the use of natural resources. The City Council has adopted a policy that any enclosed facility over 10,000 square feet should be a minimum of LEED Silver-rated. The Master Plan has explored various products and systems that would make the Texas Horse Park substantially self-supporting. While these systems and technologies are constantly changing, following are the preliminary concept systems considered for the project: Phase 1:  Native vegetation  On-site storm water collection  On-site well water  Rainwater harvesting system  Solar/Photovoltaic energy Phase 2 / Future Phases:  Constructed wetlands  Geothermal energy  Wind energy  Biomass Gasification plant to power the complex and sell power to the grid Phase 1 Plan To date, the City has allocated approximately $12 million in funding for development of THP. Phase1. Final design and construction of this complex is currently on hold. The current schedule goal for Phase 1 is that it be ready for events approximately 2 years after the execution of the agreement with the Operator/Manager. Future phases and park components are projected to be market driven. Please see Attachment A for Master Plan of the complex. Components to be built Operation and Management of the Texas Horse Park Page 5

in Phase 1 are highlighted in Attachment B. Proposers should submit recommendations to fund additional components of the Master Plan. A description of components currently included in the Phase 1 Plan are as follows:  Visitor center  Horse barns (378 stalls)  Covered, un-conditioned showcase arena (150’x300’; 2000 seats)  Covered, un-conditioned warm-up arena (80’x120’)  Covered, un-conditioned arena (150’x250’ arena floor)  Uncovered exercise arena (100’x200’ arena floor)  Trailhead staging facility  Maintenance and equipment storage

Section 2 - Specifications for Operation and Management of Texas Horse Park (THP)
2.1 General Scope
The City shall award a Contract for the operation and management of THP for a period of 20 years with two 5-year renewal options. The City will consider proposals that provide for the continued management and operation of THP primarily as an equestrian facility in furtherance of the goals of the City as outlined in the previous section. The City will also consider individual proposals for services as outlined in Section 3.2(c) of this RFP. During the design phase, the selected company will be included in the design team to participate in deciding facility components and planning issues that will enhance operations and to be incorporated into the final construction documents for the first phase. Once construction is completed and the Texas Horse Park is open, the responsibilities of the Operator/Manager will include daily management to include staffing, scheduling, grounds maintenance, necessary support for events, cleaning, access control and loss prevention, food service, and the maintenance of all building and grounds components to include, but not be limited to, structure, fixtures, utilities, irrigation systems, and equipment. It is the intention of the City to contribute approximately $12M to the development costs; however, the City will not provide contributions towards the operational, management or maintenance costs for the facility. It is the goal of the City that the facility be self-sufficient and operate with a net profit.

2.2

Facility Activities
A. Service Standard: As a City event venue constantly in the public eye, every aspect of operation for the Facility shall produce and maintain exemplary service standards. Each employee and contracted employee is expected to contribute to an efficient, responsive, positive and safe environment for public enjoyment. B. Marketing: Progressive marketing strategies, including the marketing and selling of sponsorships and naming rights shall be developed to promote the use of the Facility as a premier venue for local, regional, national and international equestrian events, as well as other sports. Additionally, the City is interested in the Operator’s experience and capabilities in marketing shows and visitor events in cooperation with the Dallas Convention and Visitor Bureau & Greater Regional Chamber of Commerce.

2.3

Facility Management and Operations
A. Purpose: The Operator shall operate, manage and maintain THP as a premier venue for

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B. Resources: The Operator shall provide necessary labor, equipment and resources to successfully execute all aspects of the events that take place at the Facility. C. Ticketing Service: The Operator shall provide ticketing services for events that take place at the Facility. D. Staffing: The Operator shall provide parking lot attendants, ticket takers, security guards, sworn peace officers, porters, food concession staff, officiating staff, field maintenance staff, building maintenance staff, and other personnel necessary for the operation and maintenance of the Facility. E. Cleanliness: The Operator shall provide all housekeeping, janitorial, and trash/refuse disposal services necessary for the operation of the Facility. F. Maintenance and Repair: The Operator shall maintain the Facility in good repair, including all event arenas, warm-up pens, barns, visitor facilities and associated equipment and systems, building equipment and systems, electrical, mechanical, plumbing, heating/air conditioning systems, gates and doors, light fixtures and bulbs, security equipment, etc. The Operator shall perform routine repair and maintenance of facility structures, signage, interior and exterior lighting, irrigation systems, pest management, exterior grounds and all public and common areas of the Facility to keep them in a neat, safe, clean, operational, sanitary and attractive condition. The Operator will be required to provide a maintenance facility for the storage of maintenance equipment, vehicles and supplies. G. Utilities: The Operator shall pay the cost of all utility services and initial connection charges, including but not limited to water, gas and electricity used in connection with or chargeable against the Facility for the duration of the term of the contract. The Operator shall be responsible for the installation, maintenance and expense of a security system and its own telephone services serving the Facility. H. Policies: The Operator shall develop proposed operating policies, procedures and rental rates for the facility to be approved by the City. The Operator shall submit any changes to operating policies, procedures and rental rates for prior approval of the Director; such approval will not be unreasonably withheld. The City reserves the right to approve all rates. I. Operating Account: The Operator shall deposit all funds generated from the operation of the facilities in a special bank account with a federally insured commercial bank or savings & loan institution that is located within the City limits of Dallas, Dallas County, Texas. This bank account and the balance of funds shall be used solely for purposes of making payments for costs required to perform this Contract. Annual Operating Budget: The Operator shall submit annual operating budgets for the upcoming fiscal year to the Director for review, at a date to be determined each year by the Director. Such budgets shall include detailed information regarding estimated income to be received from all sources and a clearly detailed budget of expenditures. The Operator shall pay for operational costs of the facilities through revenues generated by events and sales. The Operator shall have the obligation to pay all charges for water, electricity, gas and sewer service used in the Facility and all charges for telecommunication services. The City shall in no event be liable to pay for any interruption for failure of such utilities and service.

J.

K. Business Inclusion and Development (BID) Plan: The Operator shall abide by the City's Business Inclusion and Development Plan (BID), formerly known as the Good Faith Effort Plan, for the utilization of certified minority and women-owned business enterprises. Operation and Management of the Texas Horse Park Page 7

L. Use: The Facility shall be used by the Operator solely for the conduct of the described Specifications unless otherwise approved by the Director.

2.4

Insurance
Operator will be required to purchase and maintain, during the term of the contract, insurance as described in Attachment 1 and agree to the indemnification statement therein.

2.5

Observance of Laws, Rules and Regulations
The Operator shall at all times comply with all applicable laws, rules, regulations and orders of the Federal Government, State of Texas, Dallas County and the City of Dallas. The Operator shall also abide by all rules, regulations and directives prescribed for THP by the City.

2.6

Permits, Licenses and Taxes
The Operator shall comply with all requirements of federal, state, county and local laws and regulations pertinent to or affecting any phase of the security and fire protection services. The Operator shall at its own expense procure and keep in force during the entire period of the Contract all permits and licenses required by such laws and regulations. All permits should be available for inspection by the Director at all times.

2.7

Fire Protection and Prevention
A. Fire Code: The Operator shall comply with all fire protection measures prescribed in the City Fire Code, a copy of which is on file in the office of Fire Prevention Education and Inspection 2014 Main Room 401, Ph. 670-4319. All solvents and compounds shall be products which are free of spontaneous heating tendency. Listing of these products as free of this tendency by qualified nationally recognized testing organizations shall be considered as meeting these requirements. All products stored on City property shall be labeled with Hazardous Warning Data labels as required by the Federal and State of Texas Hazardous Waste Regulations. All electrical appliances, cords and extension cords shall bear the UL approved tags. B. Combustible Materials: The Operator shall not store combustible supplies, including but not limited to rags and paper, near possible sources of ignition, such as, but not limited to steam pipes and high wattage lamps. The Operator shall consider contaminated buckets, mops, cloths, and brushes as potentially subject to spontaneous heating and shall not store such items in buildings. The Operator shall store used wiping cloths in covered metal containers.

2.8

Protection and Damage
A. Operator Responsibility: The Operator shall, without additional expense to the City, be responsible for all damage to persons or property that occurs as a result of the Operator's or any or all Sub-contractor's fault or negligence in connection with the execution of the work, and shall be responsible for the proper care and protection of work performed. Breakage or loss of equipment or property other than that owned by the Operator that may occur in or about the Facility as a result of the Operator's actions or of the actions of the Operator's Subcontractors, shall be repaired or replaced at the Operator's expense. B. Safety: The Operator shall take all precautions necessary for the protection against injury of all persons engaged at the site in the performance of the work. The Operator shall observe all pertinent safety practices and comply with applicable safety regulations. C. Keys: It shall be the Operator's responsibility to provide the Director on an annual basis or within 2 business days of the Director making such request a list of the names of persons who have been issued keys to the Facility, or parts of the Facility. In the event a key is lost or misplaced it shall be the responsibility of the Operator to replace the locks the lost key(s) opened at the Operator's expense.

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2.8

Other Contracts
A. Other: The City may undertake or award other construction contracts for additional work at the Facility. The Operator shall fully cooperate with such other contractors and City employees. The Operator shall not commit or permit any act which shall interfere with the performance of work by any other contractor, or by City employees.

2.10 Alterations and Improvements
A. Right to Improve: During the term of the Contract and with the approval of the City, the Operator may without cost to the City have the right to remodel, renovate and refurbish the premises, or to construct new facilities, including either a temporary or permanent maintenance facility. To the extent reasonably necessary or desirable for the Operator to use and manage the Facility, the Operator may erect or install within the Facility alterations, additions, or equipment that do not alter the aesthetic or structural integrity or basic configuration of the Facility. In doing so, the Operator shall comply with all applicable governmental laws, statues, ordinances, codes, and regulations regarding structures. B. Prior Approval: The Operator shall provide and submit plans and specifications for any and all alterations, additions, remodeling, renovation, or refurbishment to the Director for review and written approval before commencement of any alternations, additions, remodeling, renovation or refurbishment. Prior to commencing any alterations, additions, remodeling, renovation or refurbishments of or to the Facility, the Operator shall provide the City with proof of insurance satisfactory to the City. Operator shall also provide the City with proof of insurance satisfactory to the City for all Sub-contractors of the Operator. The Operator shall also provide the City with proof satisfactory to the City that the Operator has funds available sufficient to complete any such work, including reasonable contingency reserves. All improvements to the facility made by the Operator will be at the Operator’s expense, in a good and workmanlike manner, in compliance with applicable building codes, and free and clear of any liens and encumbrances. All improvements to the facility or any part thereof will become part of the facility and shall remain upon and surrendered with the premises as a part thereof at the end of the contract term without disturbance, molestation or injury. C. Business Inclusion and Development Plan: The Operator and its engineers, construction manager, contractors and subcontractors will make the required good faith effort to hire and contract with certified minority and women-owned business enterprises, in compliance with the City’s Business Inclusion and Development (BID) Plan. D. Failure of Systems: In the event of structural or mechanical failure of an essential facility component or system, or the need to modify or replace an essential Facility component as a result of a requirement imposed by any government, the Operator shall be solely responsible for the costs of completing the necessary repairs and/or modifications. E. City Rights to Improve: The City reserves the right to repair, replace or modify any component or system of the Facility at its sole discretion, subject to appropriation and required City approvals.

2.11 Property
A. Ownership: All property furnished by the City under the Contract shall remain the property of the City. Maintenance, repair, alteration, addition and replacement of all structures, equipment and furnishings supplied by the City or Operator during the Contract shall be at the expense of the Operator. Upon termination of the Contract, the Operator shall render an accounting of all such property which has come into its possession under the Contract. Any property contained within the facility that is lost or damaged, resulting from improper use or negligence by Operator personnel, shall be replaced at the sole expense of the Operator. All alterations, additions and replacements of structures, equipment and furnishings shall be approved by the Director.

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B. Loss or Damage: The City shall not be responsible for any goods, merchandise or equipment stored at the facility, nor shall it be responsible for loss or damage resulting from a power failure, flood, fire, explosion, theft, accident and/or any other cause. C. Use: The Facility and all City property shall be used only official performance of this Contract.

2.12 Access to the Facility
A. City Access: The City and its authorized officers, employees, agents, contractors, subcontractors and other representatives shall have the right (at such times as may be reasonable under the circumstances and with as little interruption of the Operator's operations as is reasonably practicable) to enter upon and in the premises for the following purposes: (1) Inspection: To inspect such premises to determine whether the Operator has complied and is complying with the terms and conditions of the Contract. (2) Access: To gain access to the mechanical, electrical, utility and structural systems of the Facility for the purpose of maintaining, repairing or modifying such systems. (3) Loss Control: The Operator will allow City Property insurer's loss control engineers access to premises for inspections and will comply with their recommendations.

2.13 Liens
The Operator recognizes and understands that no liens may be secured against public property as a matter of law, and agrees to keep the premises and all fixtures and purchased property located thereon free from any and all claims or purported liens arising out of any work performed, materials furnished, or obligations incurred by the Operator, its on-site management, employees, and subcontractors, and shall reimburse the City for any attorney's fees incurred in the defense of proceedings to enforce or foreclose such liens including actions brought by the City to remove any such unlawful liens.

2.14 Labor Force
A. Staffing Levels: The work required shall be performed at the quality standards level, or higher than that outlined herein. If in the conduct of the work, it is determined that the Operator has not provided for sufficient personnel, additional work force shall be engaged by the City, at no cost to the City, to provide the quality of work outlined in the specifications and as required by the City. This level of work force shall be provided at all times, regardless of vacations, sick leave, or other causes. B. Staff Quality: The Operator shall employ only such managers, superintendents, supervisors, and workers who are careful, competent and fully qualified to perform the duties of tasks assigned to them and shall secure the summary dismissal of any person or persons employed by the Operator or its Sub-contractors on or about the work site who shall misconduct him/herself or be incompetent, disrespectful, intemperate, dishonest, or otherwise objectionable or neglectful in the proper performance of his/her duties or who neglects or refuses to comply with or carry out the directions of the Operator. Operator agrees that all Operator or Sub-contractor employees shall submit to, and pass a police background investigation and/or a polygraph examination upon request. C. Supervision by Operator: (1) All supervisory and working supervisory personnel shall understand and speak English fluently, able to understand instructions and communicate to those being supervised the nature of the job and what is to be accomplished.

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(2)

When the work of the Contract is being carried out, the Operator or an authorized competent representative shall be present on the work site at all times, or as otherwise specified by individual locations within these specifications. The personnel employed by the Operator shall be capable employees, qualified in such work. At all times, the Operator shall staff the Facility with trained and experienced personnel. A fully qualified work force shall be on board at the inception of the Contract and shall be maintained throughout the term of the contract. All personnel shall receive close and continuing first line supervision by the Operator. All Operator and Sub-contractor employees shall be at least 16 years of age. Each employee shall be a citizen of the United States of America, or an alien who has been lawfully admitted for permanent residence, as evidenced by Alien Registration Receipt card or who presents other evidence from the Immigration and Naturalization Service that employment shall not affect his immigration status. Acceptable evidence shall consist of a birth certificate or appropriate naturalization papers.

(3)

(4)

(5) (6)

2.15 Wage Rates
Operator agrees to pay not less than the federal minimum wage rates established by law.

2.16 Complaints and Non-Performance
The Operator shall develop a system for resolving and recording complaints, and recording the corrective action taken. The Operator shall make readily available to Facility users information on the procedure for reporting complaints. Any reports of complaints, and corrective action, if any, shall be reported to the Project Manager.

2.17 Reports, Audits, and Review
A. Reports: The Operator shall submit a monthly report to the City in the form provided by the Director. Such reports shall include an accounting of the services provided, events held at the facility, attendance, services provided by Operator and Sub-contractors, and revenue/expense statements for all revenue and expense streams. B. Independent Audit: An audit for the most recently completed fiscal year shall be submitted annually as soon as the audit is completed but no later than 6 months after the completion of City’s fiscal year on September 30. The audit of financial statements shall be conducted by a certified professional accountant in accordance with generally accepted accounting principles; reviews or compilations are not acceptable substitutions for the audited financial statements. C. Audit and Review: City may review any and all of the services performed by Operator under this Contract. City is granted the right to audit, at City’s election, all of Operator’s records and billings relating to the performance of this Contract. Operator agrees to retain such records for a minimum of three (3) years following completion of this Contract. Any payment, settlement, satisfaction, or release made or provided during the course of performance of this Contract shall be subject to City’s rights as may be disclosed by an audit under this section.

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Section 3 - Proposal Process
3.1 Specification Review and Clarification
A. A Pre-Proposal Conference will be held at the date, time and location stated on the RFP Signature Page, or as updated by addendum. Attendance is strongly encouraged. This conference is a scheduled time for proposers to ask questions pertaining to the proposal. Proposers are encouraged to attend the pre-proposal conference to provide input and comments regarding the specifications. All questions must be submitted to the Buyer in writing no later than seven working days prior to the proposal due date. Please contact the Buyer, Sandy Baxter at sandra.baxter@dallascityhall.com or 214 670-3446 with any questions. B. Any adjustments to the Specifications shall be posted as an addendum on the Advantage Vendor Self Service Website, www.bids.dallascityhall.org, for prospective Proposers. C. No other informational meetings shall be held. In fairness to all potential Proposers, only the Buyer may discuss the terms of this solicitation.

3.2

Proposal Submission
A. Sealed proposals are to be submitted by the Proposers responding to the Operational Management Specifications no later than 2:00 p.m. on the due date specified on the RFP Signature Page, or as updated by addendum. Proposals shall be delivered by mail or in person to the Business Development and Procurement Services office at Dallas City Hall, 1500 Marilla St, Room 3FN, Dallas, TX 75201. B. It may be necessary for the City to request supplemental information from individual respondents after proposals have been submitted and reviewed. Such information will be requested in writing by the Buyer to the specific respondent and will be used by the City in evaluating the proposal. This information will not be shared with other respondents during the evaluation and award process. C. City of Dallas will also accept separate proposals for specific services considered inclusive under the goals for the facility as listed in Section 1.1. Proposers for separate services should submit information in the format listed below in Section 3.3 and the information as requested in Section 3.3.1. These separate services are:      School of Horsemanship (riding school), including boarding General Boarding Trail Riding Community Outreach and Educational Programs Therapeutic Riding

3.3

Required Documentation Format for Proposal
Each Proposal shall be contained in one (1) three-ring binder with a maximum size of two (2) inches in thickness.

Binder cover shall identify the name of the respondent and the name of the project for which

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▪ ▪ ▪ ▪

the Proposal is submitted (“Operation and Management of the Texas Horse Park, RFP #1233”) Separate and identify each response to Section 3-A (1-18), Section 3-B, Section 3-C, and BID Plan documents, using divider sheets with an integral tab for ready reference. Use vertical format on 8 ½ x 11 paper, double-sided if possible Number all the pages consecutively Submit original, marked “original” and eight (8) identical copies of each Proposal.

Tab A: Evidence of Qualifications: To provide information with regard to these minimum qualifications, the following shall be submitted with the proposal: (1) Table of Contents (2) A cover letter that indicates the following information: a) Proposer’s entity name and mailing address b) Proposer’s current legal status (corporation, partnership, sole proprietor, etc.) c) Federal ID number or social security number d) Primary Contact Person and Alternate Contact Person’s name, title, phone number, fax number and email address e) Signature of authorized corporate officer for each entity proposing individually or as a partnership or team f) List of the Service Goals (refer to Section 1.1 of the RFP) that Proposer will provide as part their Operation and Management services. Additional goals can be included.

g) List of proposed sub-operators to provide Service Goals as outlined in Section 1.1. (3) A one-page Statement of Interest that briefly describes the Proposer’s unique qualifications as they pertain to this particular project. (4) A Narrative Summary of not more than four (4) pages in length that includes the nature and structure of the proposed management and operation agreement and how the proposal addresses each of the goals. This narrative summary shall include details regarding the Proposer’s plan for maintenance, management, operations and marketing of the Facility. Tab B: Experience (1) A one-page Statement of Qualifications to include summary of relevant background and experience in managing, operating and marketing comparable facilities. Certification of the ability to begin full operations upon award of Contract. (2) A proposed organizational chart, job descriptions and the qualifying experience required for each position. Provide experience of the key company management and of the key management that will be over this facility. Additionally, bios and resumes of key personnel who would manage the facility should be included, if known at the time of submission. This section of the proposal shall not exceed five (5) pages. (3) A one (1) to two (2) page description of Proposer’s office, location, permanent staff size, and any additional material that would support the Proposer’s ability to perform the demands of a Contract. Operation and Management of the Texas Horse Park Page 13

Tab C: Sub-contractors (1) Provide an organizational chart showing the Proposer and the sub-contractors and their relationships. (2) For each proposed sub-contractor listed under Tab A(g), provide the following information: a) Name of the sub-contractor, primary contact person and alternate contact person’s name, title, phone number, fax number and email address. Provide web address, if available. b) Service goal that will be provided by the sub-contractor. c) Length of time that they have been in business, providing similar services to those that are being proposed. d) A list of no less than three (3) clients, with names and phone numbers of contacts, that can attest to the sub-contractor’s capacity to provide the services requested in this Proposal. Ideally, the references shall include clients to whom which the subcontractor has provided services within the past three (3) years. Tab D: Facility and Design Proposal (1) State whether Proposer accepts Master Plan and Phase 1 Plan, as shown in Attachments A and B as is, or has recommended changes. (2) If Proposer recommends changes to the Master Plan or Phase 1 Plan, state what changes are recommended. (3) If Proposer brings additional funding for development, outline the proposed additions or improvements recommended to the current Plan. (4) Provide bio and resume for the person(s) who will provide expertise in the design of similar facilities and participate in the planning and design process for the Texas Horse Park. Tab E: Financial Stability (1) A financial statement, including the Proposer’s assets and liabilities at the close of the most recent accounting period. Said statement is to be certified by a certified public accountant. In addition, the Proposer shall submit financial statements for each of three years preceding the most current statement. (Dunn & Bradstreet, if available) Tab F: Facility Financial, Marketing and Operating Information (1) A preliminary Operating Pro Forma showing the methodology for maintenance and operations of the Facility. This section of the proposal shall not exceed three (3) pages. (2) A preliminary rental and use fee schedule that includes rates for different types of events. This section of the proposal shall not exceed two (2) pages. (3) A ticket sales plan that addresses both rentals and Proposer’s own events (if the Proposer generates its own events). Any ticket surcharge that is planned to be charged shall be outlined in the plan. This section of the proposal shall not exceed two (2) pages. (4) A Facility Utilization and Marketing Plan for maximizing overall usage of the Facility,

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(5) Proposed annual operating budgets for the first year of operation and the second year of operation of the Texas Horse Park. Each budget shall show a detailed breakdown of both anticipated expenses and revenues, to include any proposed management fee to be paid to the City or a plan for shared revenues, concession fees, etc. (6) Listing of key tasks to be completed by Proposer upon signing of Contract and prior to assuming on-site management responsibility for the Facility. Include proposed timeline and estimated costs. (7) Description of plan to address the City’s goals outlined in Section 1.1 and anticipated uses for the Facility for first year of operation and beyond. (8) A manual of proposed operational procedures or a sample manual of operating procedures for a facility currently under the management of the Proposer. (9) A descriptive list of items of equipment and furnishings, including costs that the Proposer proposes to provide in compliance with these Specifications. Tab G: Financial Contributions (1) Provide proposed operating reserve for a minimum of years 1 and 2 of operation and for subsequent years. (2) Provide proposed capital investment: a) To expand the opening phase b) To construct future phases Tab H: References (1) A list of no less than four (4) clients, with names and phone numbers of contacts, that can attest to the Proposer’s capacity to provide the services requested in this Proposal. Ideally, the references shall include clients to whom which the Proposer has provided operational management services within the past three (3) years. (2) Background materials such as letters of support and information pertaining to Proposer’s qualifications, facility management, operation and marketing experience. This section of the proposal shall not exceed five (5) pages. Tab I: Other Documents: (1) Conflict of Interest Form (2) Business Information Form (3) Environmental Affidavit (4) BID Affidavit (BDPS-FRM-203) *

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(5) Ethnic Workforce Composition Report (BDPS-FRM-204) * (6) Affidavit History of M/WBE Utilization Form (BDPS-FRM-205) * (7) Affidavit Type of Work by Prime and Sub-consultant (BDPS-FRM-206) * * Forms 203, 204, 205 and 206 will be scored: see Section 4.3 (8) If the Proposer has any concerns regarding its ability or willingness to meet with any terms and conditions expressed in this RFP or in the attached sample contract, please include a statement that addresses the particular terms and any alternative language preferred by the Proposer. The City Council, City Manager, City Attorney, and Director may require such other information as deemed necessary to ascertain the qualifications of the Proposer.

3.3.1 Separate Proposals for Specific Services
Provide information listed below: Tab A: Evidence of Qualifications: To provide information with regard to these minimum qualifications, the following shall be submitted with the proposal: (1) (2) Table of Contents A cover letter that indicates the following information: a) b) c) d) Proposer’s entity name and mailing address Proposer’s current legal status (corporation, partnership, sole proprietor, etc.) Federal ID number or social security number Primary Contact Person and Alternate Contact Person’s name, title, phone number, fax number and email address Signature of authorized corporate officer for each entity proposing individually or as a partnership or team Service Goal(s) (refer to Section 1.1 of the RFP) that Proposer will provide as part their services.

e)

f)

Tab B: Experience (1) A one-page Statement of Qualifications to include summary of relevant background and experience in managing, operating and marketing comparable services. (2) A proposed organizational chart, job descriptions and the qualifying experience required for each position. Provide experience of the key company management and of the key management that will be over this facility. Additionally, bios and resumes of key personnel who would manage the facility should be included, if known at this time. This section of the proposal shall not exceed five (5) pages. (3) A one (1) to two (2) page description of Proposer’s office, location, permanent staff size, and any additional material that would support the Proposer’s ability to perform the proposed services.

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(4) A list of no less than three (3) clients, with names and phone numbers of contacts, that can attest to the Proposer’s capacity to provide the services proposed. Ideally, the references shall include clients to whom which the Proposer has provided services within the past three (3) years. Tab C: Financial Stability (1) A financial statement, including the Proposer’s assets and liabilities at the close of the most recent accounting period. Said statement is to be certified by a certified public accountant. In addition, the Proposer shall submit financial statements for each of three years preceding the most current statement. (Dunn & Bradstreet, if available) Tab D: Facility Financial, Marketing and Operating Information (1) A description of the facilities that will be required for the operation of the Proposer’s services and capital investment Proposer will provide for those facilities. (2) Proposer shall describe how the will cooperate with the Operator/Manager of the Texas Horse Park to provide their services, including what facilities they propose to utilize and the period of time they propose to utilize said facilities. (3) A preliminary Operating Pro Forma showing the methodology for maintenance and operations of the facilities utilized by Proposer. This section of the proposal shall not exceed three (3) pages. (4) A preliminary rental and use fee schedule that includes rates for different types of events and/or services. This section of the proposal shall not exceed two (2) pages (5) A ticket sales plan, if relevant, that addresses both rentals and Proposer’s own events (if the Proposer generates its own events). Any ticket surcharge that is planned to be charged shall be outlined in the plan. This section of the proposal shall not exceed two (2) pages (6) Proposed annual operating budgets for the first year of operation and the second year of operation at the Texas Horse Park. (7) Description of plan to address the City’s goals outlined in Section 1.1 and anticipated uses for the Facility for first year of operation and beyond. (8) A manual of proposed operational procedures or a sample manual of operating procedures for a facility currently under the management of the Proposer. (9) A descriptive list of items of equipment and furnishings, including costs that the Proposer proposes to provide in compliance with these Specifications. Tab E: Other Documents: (2) Conflict of Interest Form (3) Business Information Form (4) Environmental Affidavit (5) BID Affidavit (BDPS-FRM-203) * (6) Ethnic Workforce Composition Report (BDPS-FRM-204) *

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(7) Affidavit History of M/WBE Utilization Form (BDPS-FRM-205) * (8) Affidavit Type of Work by Prime and Sub-consultant (BDPS-FRM-206) * * Forms 203, 204, 205 and 206 will be scored: see Section 4.3 (9) If the Proposer has any concerns regarding its ability or willingness to meet with any terms and conditions expressed in this RFP or in the attached sample contract, please include a statement that addresses the particular terms and any alternative language preferred by the Proposer. The City Council, City Manager, City Attorney, and Director may require such other information as deemed necessary to ascertain the qualifications of the Proposer.

3.4

Interviews
If deemed necessary, the City may, after the initial proposal evaluations, schedule interviews with any or all Proposers.

3.5

Disqualification of Proposer
Proposer may be disqualified for any of the following reasons: A. Reason to believe collusion exists among the Proposers B. The Proposer is involved in litigation against the City C. The Proposer is in arrears on an existing Contract or has failed to perform on a previous Contract with the City D. Failure to complete RFP forms as requested E. Failure to meet Specifications The decision of the City as to the acceptability of the qualifications of the Proposer shall be final.

3.6

Due Date
Sealed proposals are to be received at the Business Development and Procurement Services office at Dallas City Hall, 1500 Marilla St., Room 3FN, Dallas, TX 75201 by the time and date identified on the RFP Signature Page, or as updated by addendum. Follow the instructions in the official advertisement and City of Dallas website, www.bids.dallascityhall.org, from which the RFP Packet is downloaded from for instructions to address any questions you may have concerning the RFP.

3.7

Public Information
All information, documentation, and other materials submitted in response to this RFP are considered non-confidential and/or non-proprietary and are subject to public disclosure under the Texas Public Information Act after the solicitation is completed and contact executed with the selected Proposer.

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Section 4 - Selection Process
4.1 Request for Proposals
This RFP shall serve to select a new Operator for the Texas Horse Park Complex. The RFP provides information necessary to prepare and submit a proposal for consideration and ranking by the City of Dallas. Based on the evaluation criteria established for this proposal, each properly submitted proposal will be reviewed, evaluated and ranked by the City. Based on this ranking, the City will select one firm to contract as the new operator for the Texas Horse Park Complex. Acceptance of Evaluation Methodology: By submitting its proposal in response to this RFP, proposer accepts the evaluation process as outlined in this RFP and acknowledges and accepts that determination of the most qualified firm offering the best value to the City may require subjective judgments by those evaluating the proposals.

4.2

Selection Process Estimated Schedule
▪ ▪ ▪ ▪ ▪
Pre-proposal meeting Proposals due Interviews (if necessary) City Council authorization of award of contract Texas Horse Park Complex, Phase 1 - event ready March 15, 2012 April 11, 2012 Week of April 30, 2012 June, 2012 Spring, 2014

4.3

Criteria for Review and Evaluation
The following criteria shall be used to evaluate and determine the ranking for the proposals: A. Proposer’s Experience and Qualifications (Max 35 points): (1) (2) (3) (4) (5) Demonstrated knowledge and ability to successfully maintain, manage and operate facilities of comparable nature; Knowledge of the equestrian events industry, including marketing, selling sponsorship and naming rights, booking, scheduling, ticketing and event planning; Experience working with the Dallas Convention & Visitors Bureau Office of Tourism to market, attract, promote local, regional and national equestrian events & competitions Organizational structure and qualifications of key individuals. Financial Stability

B. Proposer’s plan for the management and operations of THP (Max 35 points): (1) The proposed plan for the management and operations of the Facility and how it works toward achieving the City’s goals for the long-term management and operations of THP; Value of the Proposer’s financial contribution to the project, both short and long-term; a) Provide proposed financial contribution for an operating reserve

(2)

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- Year 1 - Year 2 - Future years b) Provide proposed financial contribution for an opening phase capital investment c) Provide proposed financial contribution to a future phase capital investment (3) (4) (5) (6) (7) C. D. Sound fiscal plan for current and future management, operation and maintenance of the facility; Strategy to maximize the use of the Facility and emphasize its attractiveness as a premier venue for high-profile sporting events. Number of services that Proposer plans to provide of the City’s listed goals, including Community Outreach and Service Plan Proposer to outline any recommendations not already included in this RFP, including the planning, design, operation and management Proposer to provide recommendations for the sustainability of the facilities and site.

Proposer’s plan for revenue-sharing with the City. (Max 15 points). Demonstrated inclusion and commitment to and understanding of the City’s Business Inclusion and Development (BID) Plan (Max 15 points) It is the policy of the City of Dallas to involve Minority and Women Business Enterprises (M/WBE) to the greatest extent feasible on the City’s construction, procurement and professional services contracts. The following information shall be submitted with the proposal and shall include: (1) Affirmative Action Plan or Policy – 1 point (2) (3) (4) Ethnic Workforce Composition Report (BDPS-FRM-204) – 1 point RFP/RFQ Contractors Affidavit History of M/WBE Utilization Form (BDPS-FRM-205) documenting the history of M/WBE utilization on previous contracts – 4 points RFP/RFQ Contractors Affidavit Type of Work by Prime and Sub-consultant Form (BDPS-FRM-206) which includes a significant number of diverse M/WBE firms in meaningful roles on the project – 7 points a) The name, address and telephone number of each M/WBE b) The description of the work to be performed by each M/WBE; and c) The approximate dollar amount/percentage of the participation (5) Business Inclusion and Development Affidavit (BDPS-FRM-203) which demonstrates the intent to comply with the policy and evidence of M/WBE inclusion to meet the BID goal for the project. The BID Affidavit exhibits evidence of acknowledgement of the City of Dallas’ BID Plan – 2 points

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4.4

Evaluation of Proposals
The City will evaluate the proposals and submit a recommendation to the Park and Recreation Board and City Council for approval. The City may, in its sole discretion, expand or reduce the criteria upon which it bases its final decision regarding the selection of an Operator. The final selection, if any, will be the proposal which best meets the requirements set by the City.

4.5

Contract Award
Upon selection of a successful Proposer, the City and the Proposer will negotiate a final contract, based on the terms outlined in this RFP. A sample agreement, with the general terms for the final contract, is attached as Sample Contract for Services. By submitting a proposal, the Proposer agrees to be bound by these terms and conditions unless otherwise noted in the Submittal. The final contract is subject to Park and Recreation Board and City Council approval.

Section 5 - Contract
5.1 Award of Contract
A. The City reserves the right to award in part or in whole, whatever is most advantageous to the City. B. The City of Dallas reserves the right to reject any and all proposals and to waive any and all irregularities and formalities where it is in the best interest of the City and the Facility. The submission of a proposal not in keeping with the City's goals and which could adversely affect the City of Dallas' public image shall not be accepted. The City reserves the right to withhold the award of the Contract for a reasonable period of time and no award shall be made until investigations are completed as to the capabilities of Proposers. C. The Contract Documents shall be drafted by the City Attorney's Office and tailored for this overall operational agreement. The Operator shall be required to execute the Contract, and provide all documents required within thirty (30) days after award of the Contract by City Council. The Contract shall be governed by and construed in accordance with the Charter and ordinances of the City, as amended, and all applicable State and Federal Laws. The obligations of the parties to the Contract shall be performable in the City of Dallas, Dallas County, Texas, and if legal action is necessary in connection therewith, exclusive venue shall lie in Dallas County, Texas. D. The City's Contract shall be with the successful Proposer only, and shall not include any third party arrangement. E. In the event that the successful Proposer does not fulfill the immediate obligations of the Contract (acquisition of proper insurance, etc) within thirty (30) days following contract execution, the award of the Contract may then be made to the next most advantageous responsive and responsible Proposer, or the City of Dallas may, as its exclusive option, decide to request for new proposals.

5.2

Assignment of Contract
A. No Assignment: The Operator shall not assign, transfer, sublet, convey or otherwise dispose of the Contract or any part therein or its right, title or interest therein or its power to execute the same to any other persons, firm, partnership, company or corporation without the prior written consent of the Director. Should the Operator assign, transfer, sublet, convey or otherwise dispose of its right, title or interest or any part thereof in violation of this section, the City, at its discretion, may cancel the Contract and all rights, title and interest of the Operator shall therein cease and terminate, and the Operator shall be declared in default. B. Sub-Contracting: The Operator may further sub-contract any portion of the Contract, but

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5.3

Indemnity
A. The Operator shall agree to defend, indemnify and hold the City, its officers; agents, and employees harmless against any and all claims, lawsuits, judgments, costs, and expenses for personal injury (including death), property damage or other harm for which recovery of damages is sought that may arise out of or be occasioned by the Operator's intentional or negligent breach of any of the terms or provisions of this contract, or by any other negligent or strictly liable act or omission of the Operator's, its officers, agents, employees, tenants, or subcontractors, in the performance of this contract; except that the liability resulting from the sole negligence of the City, its officers, agents, or employees. In the event of joint and concurrent negligence of the City and the Operator responsibility, if any, shall be apportioned comparatively in accordance with the law of the State of Texas, without waiving any governmental immunity available to the City under Texas law and without waiving any defense of the parties under Texas law. The provisions of this paragraph are solely for the benefit of the parties hereto and not intended to create or grant any rights, contractual or otherwise, to any other person or entity. B. Anything herein to the contrary notwithstanding, the City shall not be liable or responsible for any failure to furnish the services set forth above occasioned by strike or other work stoppage. Federal, State, or local government action, breakdown, or failure of apparatus, equipment or machinery employed in supplying the said services, any temporary stoppage for the repair, improvement or enlargement thereof or any act or condition beyond its reasonable control.

5.4

Default
A. Events of Default: The following events shall be deemed to be events of default by Operator under this Contract: (1) Operator shall become insolvent, or shall make a transfer in fraud of creditors, or shall make an assignment for the benefit of creditors. (2) Operator attempts to assign the Contract without the prior written consent of the Director; or (3) Operator shall fail to perform, keep or observe any term, provision or covenant of the Contract to be performed, kept or observed. B. If an event of default occurs, the Director shall give the Operator written notice of the default. If the default is not corrected to the satisfaction and approval of the Director within thirty (30) days of receipt of such notice by the Operator, the City may immediately replace the Operator. The City shall not pay any expense to the Operator resulting from this action. C. At the direction of the Director, the Operator shall vacate the facilities and shall have no right to further operate under the Contract. D. Within forty-eight (48) hours after such demand by the City, the Operator, under the supervision of the Director, shall remove all equipment and supplies to which he is properly entitled, as specified herein. E. The Operator in accepting the Contract agrees that the City shall not be liable to prosecution

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F. No waiver by the City of any default or breach of any covenant, condition, or stipulation herein contained shall be treated as a waiver of any subsequent default or breach of the same or any other covenant, condition, or stipulation hereof.

5.5

Termination for Convenience
The City may, at its option and without prejudice to any other remedy to which it may be entitled at law or in equity, or elsewhere under this Contract, terminate this Contract, in whole or in part, by giving ninety (30) days written notice thereof to the Operator with the understanding that all work being performed under the Contract shall cease upon the date specified in such notice. The City shall compensate the Operator in accordance with the terms of the Contract for the Work performed prior to the date specified in such notice and any existing unamortized capital investment.

5.6

Notices
A. Any notices, payments, statements, or demands required or permitted to be given hereunder by either party to the other may be effected by personal delivery in writing or by mail, postage prepaid. Mailed notices shall be addressed to the parties at the addresses appearing below, but each party may change its address by written notice in accordance with this section. Mailed notices shall be deemed communicated as of three days after mailing. B. All notices required or permitted to be given to the City shall be mailed to the Director, Park and Recreation Department, 1500 Marilla Street, Room 6FN, Dallas, TX 75201. C. All notices required or permitted to be given to the Operator shall be presented to the Operator or mailed to the address indicated in the proposal, unless the Operator shall notify the Director in writing of a change of address.

5.7

Miscellaneous
A. Operator shall thoroughly familiarize itself with the provisions of these Specifications and the Facility. After executing the Contract, no consideration shall be given to any claim of misunderstanding. B. In the event that either party hereto is prevented from completing its obligations under the Contract by act of God, strike, lockout, material or labor restrictions by any governmental authority, civil riot, flood or any cause beyond the control of the parties hereto, then such party shall be excused from such performance for such period of time as is reasonably necessary after such occurrence to remedy the effects thereof. C. The section headings in these Specifications are for convenience in reference and are not intended to define or limit the scope of any of the conditions, terms or provisions of these Specifications. D. Should any question arise as to the proper interpretation of the terms and conditions of these Specifications, the decision of the City Attorney shall be final. E. No notice to the Operator to quit possession at the expiration date of the term of this Agreement shall be necessary. Operator covenants and agrees that at the expiration date of the term of the Contract, or at the earlier termination hereof, it shall peaceably surrender possession of the premises in good condition, reasonable wear and tear, and acts of God excepted, and the City shall have the right to take possession of the Facility or any portion thereof without being liable for prosecution or any claim of loss or damages thereof.

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F. The Operator shall not allow the distribution of campaign or political literature of any kind by any employee at any time at the Facility.

5.8

Conduct of Work
Any work which is unsatisfactory to the Director shall be called to the attention of the Operator and the Operator shall be required to properly service the areas in question by commencement of work the following day, and to take steps to improve the overall results in the future. Failure by the Operator to comply with such requests shall result in the corrective work being done by others with the cost charged to the Operator, and deductions being imposed as stated in Complaints and Non-performance, or in termination of the Contract.

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Attachment A – Texas Horse Park - Master Plan

Attachment B – Texas Horse Park – Phase 1 Plan
Operation and Management of the Texas Horse Park Page 25

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Income ProRate Lg Arena $900 Sm Arena $700 Chutes $200 Stall rent $30 Shavings $9 RV Rental $30 Clinics/demos Week Day $600 S/ no stall $10 Trail Rides $500 night stall $30 Vendor $500 Income

Texas Horse Park Five year Operating Budget * is $12M Plan Days/ * Gross Inc Gross Inc* Var Exp Var Exp* 1st Yr Net 75/110* $67,500 $99,000 $5,625 $8,250 $61,875 0/75* $52,500 $5,625 25/30 $5,000 $6,000 $1,000 $1,200 $4,000 7500/18,75 $225,000 $562,500 $205,000 $468,750 $20,000 15000/37,5 $135,000 $337,500 $75,000 $187,500 $60,000 1000/1466 $30,000 $43,800 $5,000 $7,300 $25,000 20/30 $50,000 $75,000 $9,100 $13,650 $40,900 26/36 $15,600 $21,600 $910 $1,260 $14,690 50/75 25$12500 35$26250 $12,500 12, 80* $6,000 $40,000 $6,000 200/300 25/37 $546,600 1,264,150 $301,635 $693,535 $244,965

Expenses Notes Salary  Exec Director Fringe Benefits Federal, State, Health,  Development/ Marketing Director Fringe Benefits Clerical Pt time Fringe Benefits Event Staff are covered in variable cost above Maintenance Staff (barn / arena maintenance are in variable cost above) Fringe Benefits Professional Fees   Accounting, Legal, etc Office/ general supplies postage Utilities Telephone/internet (electricity in variable cost above Garbage/ water for offices (barnes/ RV are in variable cost above) Marketing  General Maintenance Facility Equiptment Mowing  Equiptment Lease or purchase Insurance Misc Security Community Outreach support Total Expenses Maintenance Reserve Operating Reserves

1st Year $54,000 $4,214

$9,000 $7,400 $6,900 $6,000 $15,000 $51,600 $36,800 $6,300 $ $197,214 $47,751

1st Yr Net* $90,750 $46,875 $4,800 $93,750 $150,000 $36,500 $61,350 $20,340 $26,250 $40,000

$570,625

1st Year* $65,000 $13,000 $40,000 $8,000 $15,000 $1,800 $30,000 $6,000 $9,000 $7,000 $10,000 $8,000 $20,000 $72,000 $25,000 $44,000 $20,000 $12,000 $50,000 $455,000 $100,000 $14,825

Income Year 2 Year 2* Lg Arena $69,300 $99,825 Sm Arena $51,625 Chutes $4,320 $4,716 Stall rent $23,833 $105,000 Shavings $71,680 $165,000 RV rental $33,833 $40,150 Clinics/dem $44,990 $67,485 Week Day $18,880 $22,788 S/ no stall $17,050 $29,400 Trail rides $7,800 $44,800 night stall $5,500 $5,500 Vendor $10,800 $21,000 Income $305,553 $657,289 Expenses Salary ED ED Bene Market Dr MD Bene Clerical Cler Bene Event St Main St MS Bene Prof Fees Supplies Utilities Gar/Wat Market   Main/Mow Equipt Insurance Misc Security Com OR Total EP MainRes Op Res

Texas Horse Park Five Year Operating Budget (2) * is $12M Year 3 Year3* Year 4 Year 4* Year 5 $76,725 $109,807 $84,150 $120,787 $94,350 $56,787 $62,465 $4,640 $4,998 $6,960 $5,297 $5,614 $28,036 $117,600 $32,500 $131,712 $37,399 $84, 320 $181,500 $97,920 $199,150 $112,480 $40,300 $44,165 $49,300 $48,581 $59,200 $49,080 $74,233 $53,170 $81,656 $57,260 $21,479 $25,521 $24,860 $28,583 $28,250 $22,200 $32,928 $27,950 $36,879 $34,300.00 9,800 $50,176 $12,000 $56,197 $14,400 $6,000 $6,000 $6,500 $6,500 $7,000 $11,600 $23,100 $12,400 $25,419 $14,400 $354,180 $726,815 $407,710 $796,726 $463,119

$55,620 $8,343

$68,250 $13,650 $42,000 $8,400 $15,600 $1,872 $31,500 $6,300 $9,900 $9,000 $11,000 $10,000 $22,000 $60,000 $30,000 $48,400 $14,000 $13,200 $60,000 $475,072 $100,000 $82,217

$57,288 $8,595

$71,665 $14,335 $44,100 $8,820 $16,224 $1,947 $33,153 $6,630 $10,890 $12,000 $12,320 $12,000 $24,200 $70,000 $35,000 $53,240 $16,000 $14,520 $70,000 $527,044 $100,000 $99,771

$59,007 $8,851

$75,248 $15,051 $46,305 $9,261 $17,497 $2,025 $34,810 $6,962 $11,979 $14,000 $13,798 $14,000 $26,620 $80,000 $40,000 $58,564 $18,000 $15,972 $90,000 $590,092 $100,000 $106,634

$60,119 $9,116

$20,000 $2,300 $9,450 $7,325 $11,769 $9,200 $17,500 $47,880 $9,000 $38,640 $6,300 $50,000 $295,194 $10,359

$21,000 $3,150 $9,922 $12,293 $13,535 $10,580 $19,837 $51,065 $13,500 $40,572 $6,615 $70,000 $336,186 $18,294

$22,500 $3,375 $10,418 $13,767 $13,535 $12,167 $22,813 $52,786 $20,259 $42,600 $6,945 $90,000 $379,014 $28,696

$23,152 $3,472 $10,939 $15,419 $15,565 $13,992 $26,235 $55,428 $30,375 $44,730 $7,293 $120,000 $436,491 $26,262

Year 5* $132,865 $68,711 $5,614 $147,517 $219,065 $53,439 $89,821.00 $32,130 $41,304 $62,940 $7,000 $27,960 $888,366

$79,010 $15,803 $48,620 $9,724 $18,197 $2,106 $36,550 $7,310 $13,177 $17,000 $16,000 $16,000 $29,000 $90,000 $45,000 $64,420 $20,000 $17,569 $120,000 $665,486 $100,000 $122,800

A Report of the Economic Impact of  the Proposed Texas Horse Park in  Dallas, Texas  Over its First Ten Years of  Operations 
   
February 14, 2012          Prepared by:    Impact DataSource  4709 Cap Rock Drive  Austin, Texas 78735  512.892.0205  Fax 512.892.2569  www.impactdatasource.com     

TABLE OF CONTENTS 
    Executive Summary.....................………………………………………………………………….....................    Introduction............................……………………………………………………………………………..............    Description of the Proposed Facility.................................……………………………..…………………    Jobs, Salaries and Revenues at the Facility................................…...…………………………….…...    Spending by Visitors Participating in and Attending Events at the Facility     From Area Communities and From Out‐of‐Town.................................................................    Discussion of the Nature of Indirect and Induced Impacts that the Facility    Will Provide..........................................................................................................................    Summary of the Direct and Indirect Economic Impacts that the Facility    Will Provide..........................................................................................................................    Summary of Additional Sales and Hotel Occupancy Taxes that the      Facility Will Generate for the City of Dallas..........................................................................    Conduct of the Analysis......................................………………………………………………………….…..    Appendices:    A  Estimated Revenues and Expenses of the Facility……………......................................  B  Estimated Revenues for Concessionaires and Vendors that the      that the Facility Will Generate.................................................................................  C  Estimated Number of Events to be Held at the Facility...........................................  D  Estimated Spending by Area and Out‐of‐Town Visitors to the Facility….................   E  Summary of the Economic Impact of the Facility….…………………..….........................    F  Schedule of Additional Revenues for the City of Dallas from the Facility................        3 6 6 7

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17 19 21 23 27 31

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Executive Summary 
  This report presents the results of a study of the economic impact of the proposed Texas Horse  Park in Dallas, Texas over its first ten years of operations.  The study also projected the  additional sales and hotel occupancy taxes that will be collected by the City of Dallas over this  period.  The study was conducted by Impact DataSource, an Austin, Texas economic consulting,  research and analysis firm.    Description of the Facility    The Texas Horse Park at the Trinity is a planned multi‐disciplined facility designed for  international, national, regional, and local use.  The planned location is in southern Dallas near  the intersection of I‐45 and Loop 12, on the Eastern bank of the Trinity River. The site is located  adjoining an 8,000 acre forested area approximately 8 miles from downtown Dallas.  Of the  8,000 acres of the Great Trinity Forest, a portion is designated for use by the Park.      The facility will cost an estimated $12 million.    The facility will include the following components:     Visitor center and administration building,   Horse barns,   Maintenance and equipment storage facility,   Covered showcase arena,   Covered warm‐up arena,   Covered arena,   Uncovered exercise arena,   Trailhead staging facility,   Event office and equestrian lounge, and   Temporary stalls    The facility’s program has been modeled after other successful horse parks in the nation,  including the Virginia Horse Center, Colorado Horse Park, and the Kentucky Horse Park.     The Park will offer a variety of services which include trail riding, competition and show events,  equestrian environmental learning tours, therapeutic riding, and riding lessons.               

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Economic Impact of the Facility over its First Ten Years of Operations    The facility will provide economic impacts for the city of Dallas over its first ten years of  operations.  These impacts are summarized below.   
Economic impact of the Facility Over its First Ten Years of Operations                Jobs to be created:                        The facility's staff       4 Jobs created by  concessionaires and vendors at the facility  24 Indirect or spin‐off jobs to be created in the community  17 Total jobs to be created       45               Workers salaries to be paid over the first ten years:                   The facility's staff       $2,364,656 Jobs created by concessionaires and vendors at the facility          $5,134,460 Indirect or spin‐off jobs to be created in the community          $6,109,217 Total annual salaries to be created     $13,608,333               Number visitors to the facility from area communities and from             154,925  out‐of‐town over the first ten years                      Revenues to be generated by the facility over the first ten years:                   The facility's revenues          $8,570,387 Revenues of concessionaires and vendors at the facility  $10,581,543 Revenues of local stores and other local businesses  $28,207,977 Revenues for local hotel and motels     $6,853,346 Total revenues generated by the facility     $54,213,253               Total room sales subject to hotel occupancy taxes over the first ten years  $6,853,346              

               

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Sales and Hotel Occupancy Taxes that the Facility will Generate for the City of Dallas over the  First Ten Years of its Operation    The facility will generate the following sales and hotel occupancy taxes for the City of Dallas  over its first ten years of operations:   
Sales and Hotel Occupancy Taxes to be Generated  for the City of Dallas by the Facility over the   First Ten Years of Its Operations     Sales tax collections on:     Direct and indirect worker spending  Taxable sales at the facility and in other local businesses  Total sales tax collections     Hotel occupancy tax collections     Total sales and hotel occupancy tax collections                                                     $24,495  $324,960  $349,455     $616,801     $966,256    

  Details of the analysis are on the following pages.

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A Report of the Economic Impact of the Proposed Texas Horse Park in  Dallas, Texas  Over its First Ten Years of Operations   
 

I.  INTRODUCTION   
This report presents the results of an economic impact analysis conducted by Impact  DataSource, an Austin, Texas economic consulting, research and analysis firm.  The purpose of  the study was to project the economic impact of the proposed Texas Horse Park, Dallas, Texas  over the first ten years of its operations and the additional revenues from sales and hotel  occupancy taxes for the City of Dallas over this period.      

II.  DESCRIPTION OF THE PROPOSED FACILITY 
  The Texas Horse Park at the Trinity is a planned multi‐disciplined facility designed for  international, national, regional, and local use.  The planned location is in southern Dallas near  the intersection of I‐45 and Loop 12, on the Eastern bank of the Trinity River. The site is located  adjoining an 8,000 acre forested area approximately 8 miles to downtown Dallas.  Of the 8,000  acres of the Great Trinity Forest, a portion is designated for use by the Park.      The facility will cost an estimated $12 million.    The facility will include the following components:     Visitor center and administration building,   Horse barns,   Maintenance and equipment storage facility,   Covered showcase arena,   Covered warm‐up arena,   Covered arena,   Uncovered exercise arena,   Trailhead staging facility,   Event office and equestrian lounge, and   Temporary stalls    The facility’s program has been modeled after other successful horse parks in the nation,  including the Virginia Horse Center, Colorado Horse Park, and the Kentucky Horse Park.     The Park will offer a variety of services which include trail riding, competition and show events,  equestrian environmental learning tours, therapeutic riding, and riding lessons. 

6

III.  JOBS, SALARIES AND REVENUES AT THE FACILITY 
  Number of Jobs and Salaries at the Facility    The park will have four employees including an executive director and other administrative staff  and maintenance and security.  The facility’s estimated annual payroll in the first year will be  $130,800.    Further, vendors may host or provide services for some events, shows and other activities at  the facility.  These vendors are expected to have an estimated 15 full‐time and about 30 part‐ time workers whose average hourly wages will be $9.50.    The Facility’s Estimated Annual Revenues    The facility expects to generate revenues from renting space to vendors, horse stall rentals,  rental of space in its recreational vehicle park and revenues from renting its facilities.    The facility’s annual revenues expected over the first ten years are shown below.   
The Facility's Estimated  Annual Revenues        Year 1  $570,625  Year 2  $657,289 Year 3  $726,815  Year 4  $796,726  Year 5  $888,366 Year 6  $919,459 Year 7  $951,640  Year 8  $984,947  Year 9  $1,019,420  Year 10  $1,055,100        Total  $8,570,387       

  Details of the facility's annual revenues and expenses are shown on Appendix A.      Revenues for Concessionaires and Other Vendors at the Facility    In addition to revenues generated for the facility from renting stalls and other services,  concessionaires and other vendors, as stated before, will host or provide services for events,  7

shows and other activities at the facility.  Revenues for these concessionaires and other  vendors, including charges of services, entry fees, ticket sales, food and beverage sales, retail  sales and other revenues, are shown below.   
Total Estimated Annual Revenues  for Concessionaires  and Vendors at the Facility        Year 1  $477,500 Year 2  $562,259 Year 3  $656,266 Year 4  $776,733 Year 5  $927,832 Year 6  $1,058,477 Year 7  $1,222,303 Year 8  $1,403,313 Year 9  $1,625,587 Year 10  $1,871,273       Total  $10,581,543      

  Details of the annual revenues of concessionaires and vendors are shown on Appendix B.     

IV.  SPENDING BY VISITORS PARTICIPATING IN AND ATTENDING EVENTS AT THE  FACILITY FROM AREA COMMUNITIES AND FROM OUT‐OF‐TOWN 
  Number of Events at the Facility    While the facility will offer a variety of services to Dallas residents, the facility will host  numerous local, regional and national events.  These events are expected to draw thousands of  people to the facility.  The estimated number of participants and spectators in these events are  shown on the following page:                    8

                        Year 1  Year 2  Year 3  Year 4  Year 5  Year 6  Year 7  Year 8  Year 9  Year 10    

Estimated Number of Events and Participants and  Spectators        Estimated  Number of  Participants  Total  Participants  Estimated  and  and  Number of  Spectators  Spectators  Events  Per Event  25  29  33  38  44  48  53  58  64  70  300  309  318  328  338  348  358  369  380  391  7,500  8,961  10,503  12,457  14,857  16,694  18,985  21,400  24,322  27,400 

  

  Details of the number of events at the facility are shown on Appendix C.                                          9

Area and Out‐of‐Town Visitors to Events at the Facility    The estimated number of area and out‐of‐town visitors to events at the facility is shown below.   
Number of Participants and Spectators at Events at the Facility from  Area Communities and From Out‐of‐Town           Estimated  Estimated  From Area  From  Total  Communities  Out‐of‐Town  4,125  4,929  5,777  6,851  8,171  9,181  10,442  11,770  13,377  15,070  3,000  3,584  4,201  4,983  5,943  6,677  7,594  8,560  9,729  10,960  7,125  8,513  9,978  11,834  14,114  15,859  18,036  20,330  23,106  26,030 

               Year 1  Year 2  Year 3  Year 4  Year 5  Year 6  Year 7  Year 8  Year 9  Year 10    

  Beyond events, area residents are expected to use the facility for trail rides, to board their  horses and for other activities.    Details of the calculation of the calculation of the number of participants and spectators and  their spending are shown on Appendix D.    An estimated 55% of visitors to the facility to attend events will be from other area  communities and an estimated 40% will be from out‐of‐town and will stay overnight during  their visit.                        10

Spending in the Community by Area and Out‐of‐Town Visitors    These area visitors and visitors from out‐of‐town are expected to eat out in Dallas’ restaurants  and shop in local stores during their visit.  This estimated spending is shown below.     
Estimated Taxable Spending in the City by   Visitors Participating in or Attending   Events at the Facility           Visitors Visitors    From Area From    Communities Out‐of‐Town Total           $165,000 $900,000 $1,065,000  $204,042 $1,112,956 $1,316,998  $247,522 $1,350,118 $1,597,639  $303,851 $1,657,368 $1,961,218  $375,065 $2,045,811 $2,420,876  $436,187 $2,379,204 $2,815,391  $513,435 $2,800,553 $3,313,988  $598,984 $3,267,183 $3,866,167  $704,603 $3,843,289 $4,547,892  $821,562 $4,481,245 $5,302,807           $4,370,250 $23,837,727 $28,207,977          

               Year 1  Year 2  Year 3  Year 4  Year 5  Year 6  Year 7  Year 8  Year 9  Year 10     Total    

  Details of the calculation of visitors’ spending are shown on Appendix D.    Room Sales in Local Hotels and Motels to Out‐of‐Town Visitors    While about half of the out‐of‐town visitors may stay in their recreational vehicle during their  visit to the facility, others will stay in a local hotel or motel.  If this is the case, motel and hotels  in the city will see revenues from room sales to out‐of‐town visitors, as shown on the following  page.                  11

Estimated Annual Spending on Local  Hotel/Motel Rooms by Out‐of‐Town  Visitors to the Facility        Year 1  $258,750 Year 2  $319,975 Year 3  $388,159 Year 4  $476,493 Year 5  $588,171 Year 6  $684,021 Year 7  $805,159 Year 8  $939,315 Year 9  $1,104,946 Year 10  $1,288,358       Total  $6,853,346      

  Details of the calculation of visitors’ spending on hotel and motel rooms are shown on  Appendix D.       

V.  DISCUSSION OF THE TYPES OF IMPACTS THAT THE FACILITY WILL PROVIDE  ECONOMIC IMPACTS THAT THE COMPLEX PROVIDES 
The economic impacts provided by the facility can be characterized as direct, indirect and  induced.    The direct economic impact, as discussed above, comes from the operations of the facility and  the spending of its employees.  Indirect and induced benefits or spin‐off benefits are created in  the community from this direct impact.    Indirect sales, jobs and salaries are supported in businesses and organizations in the city that  may supply goods and services to the facility and to area and out‐of‐town visitors to the facility.   In addition, induced sales, jobs and salaries are supported in businesses or organizations in the  city, such as restaurants, gas stations, banks, book stores, grocery stores, convenience stores,  service companies, etc. that supply goods and services to the facility’s employees and their  families and, in turn, to workers in indirect jobs and their families.     To estimate the indirect and induced economic impact of the complex and its employees on the  city of Dallas, regional economic multipliers were used.  Regional economic multipliers for   Texas are included in the US Department of Commerce’s Regional Input‐Output Modeling  System (RIMS II).    12

Regional economic multipliers used in this analysis are shown below.   
Regional Multipliers Used in Analysis           Employment multiplier  Earnings multiplier          

1.8754 1.7293

  An employment multiplier of 1.8754 means that for every job created and supported at the  facility there will be .8754 jobs created and supported in the city.  Similarly, for every dollar paid  to employees at the facility (the facility’s staff and employees of concessionaires and vendors),  there will be $.7293 paid to workers in spin‐off jobs created and supported in the city.         

                                               

13

VI.  SUMMARY OF THE DIRECT AND INDIRECT ECONOMIC IMPACTS THAT THE  FACILITY WILL  PROVIDE  
  The facility will provide the following economic benefits for the city of Dallas over its first ten  years of operation:   
Economic impact of the Facility Over its First Ten Years of Operations                Jobs to be created:                        The facility's staff       4 Jobs created by  concessionaires and vendors at the facility  24 Indirect or spin‐off jobs to be created in the community  17 Total jobs to be created       45               Workers salaries to be paid over the first ten years:                   The facility's staff       $2,364,656 Jobs created by concessionaires and vendors at the facility          $5,134,460 Indirect or spin‐off jobs to be created in the community          $6,109,217 Total annual salaries to be created     $13,608,333               Number visitors to the facility from area communities and from   out‐of‐town over the first ten years          Revenues to be generated by the facility over the first ten years:          The facility's revenues       Revenues of concessionaires and vendors at the facility  Revenues of local stores and other local businesses  Revenues for local hotel and motels  Total revenues generated by the facility          Total room sales subject to hotel occupancy taxes over the first ten years             154,925                         

                 

$8,570,387 $10,581,543 $28,207,977 $6,853,346 $54,213,253 $6,853,346

  Schedules showing the calculations of the economic impact of the facility are shown on  Appendix E.   

 
14

VII.  SUMMARY OF ADDITIONAL SALES AND HOTEL OCCUPANCY TAXES THAT  THE FACILITY WILL GENERATE FOR THE CITY OF DALLAS   
The facility will generate the following sales and hotel occupancy taxes for the City of Dallas  over its first ten years of operations:   
Sales and Hotel Occupancy Taxes to be Generated  for the City of Dallas by the Facility over the   First Ten Years     Sales tax collections on:     Direct and indirect worker spending  Taxable sales at the facility and in other local businesses  Total sales tax collections     Hotel occupancy tax collections     Total sales and hotel occupancy tax collections                                                     $24,495  $324,960  $349,455     $616,801     $966,256    

  Schedules showing the calculations of the sales and hotel occupancy taxes generated by the  facility and to be collected by the City of Dallas are shown on Appendix F.     

VIII.  CONDUCT OF THIS ANALYSIS 
  Impact DataSource conducted this analysis for the Texas Horse Park using data provided by the  City of Dallas.    In addition, local sales tax and hotel occupancy tax rates were used in the analysis along with  some Impact DataSource estimates and assumptions.    Impact DataSource is an eighteen year old Austin, Texas economic consulting, research and  analysis firm.  The firm has conducted over 2,500 economic studies of projects in Texas and 26  other states.  In addition, the firm has developed economic impact computer programs for  several clients.                          The firm’s principal, Jerry Walker, conducted this analysis.  He is an economist and an economic  development consultant and has Bachelor of Science and Master of Business Administration  degrees in accounting and economics from Nicholls State University, Thibodaux, Louisiana.   

15

Appendices providing some details on information and calculations used in this report are on  the following pages.

16

APPENDIX A Estimated Revenues and Expenses of the Facility

17

Texas Horse Park Five Year Operating Budget Income Lg Arena Sm Arena Chutes Stall rent Shavings RV rental Clinics/demos Week Day S/ no stall Trail rides night stall Vendor Income Expenses Salary ED ED Bene Market Dr MD Bene Clerical Cler Bene Event St Main St MS Bene Prof Fees Supplies Utilities Gar/Wat Market   Main/Mow Equipt Insurance Misc Security Com OR Total EP MainRes Op Res Year 1 $90,750 $46,875 $4,800 $93,750 $150,000 $36,500 $61,350 $20,340 $26,250 $40,000 Year 2 $99,825 $51,625 $4,716 $105,000 $165,000 $40,150 $67,485 $22,788 $29,400 $44,800 $5,500 $21,000 $657,289 Year3 $109,807 $56,787 $4,998 $117,600 $181,500 $44,165 $74,233 $25,521 $32,928 $50,176 $6,000 $23,100 $726,815 Year 4 $120,787 $62,465 $5,297 $131,712 $199,150 $48,581 $81,656 $28,583 $36,879 $56,197 $6,500 $25,419 $796,726 Year 5 $132,865 $68,711 $5,614 $147,517 $219,065 $53,439 $89,821 $32,130 $41,304 $62,940 $7,000 $27,960 $888,366

$570,625

$65,000 $13,000 $40,000 $8,000 $15,000 $1,800 $30,000 $6,000 9000 7000 $10,000 8000 $20,000 $72,000 $25,000 $44,000 $20,000 $12,000 $50,000 $455,000 $100,000 $14,825

$68,250 $13,650 $42,000 $8,400 $15,600 $1,872 $31,500 $6,300 $9,900 $9,000 $11,000 $10,000 $22,000 $60,000 $30,000 $48,400 $14,000 $13,200 $60,000 $475,072 $100,000 $82,217

$71,665 $14,335 $44,100 $8,820 $16,224 $1,947 $33,153 $6,630 $10,890 $12,000 $12,320 $12,000 $24,200 $70,000 $35,000 $53,240 $16,000 $14,520 $70,000 $527,044 $100,000 $99,771

$75,248 $15,051 $46,305 $9,261 $17,497 $2,025 $34,810 $6,962 $11,979 $14,000 $13,798 $14,000 $26,620 $80,000 $40,000 $58,564 $18,000 $15,972 $90,000 $590,092 $100,000 $106,634

$79,010 $15,803 $48,620 $9,724 $18,197 $2,106 $36,550 $7,310 $13,177 $17,000 $16,000 $16,000 $29,000 $90,000 $45,000 $64,420 $20,000 $17,569 $120,000 $665,486 $100,000 $122,800

Total salaries

$190,800

$200,772

$211,394

$223,131

$234,889 18

APPENDIX B Estimated Revenues for Concessionaires and Vendors that the Facility Will Generate

19

Estimated revenues for concessionaires and vendors at the facility from each participant/spectator: Entry fees/admission tickets Food, beverage, and other retail sales Total revenues from each participant/spectator Estimated average annual increase in entry fees/admission tickets, food, beverage and other retail sales $15 $30 $45 3.5%

Estimated total annual revenues for concessionaires and vendors at the facility from all participants and spectators: Total Revenues Revenues Estimated Number of  from Each from  Other Participants/ Participant/ Participant/ Vendor Spectators Spectator Spectator Revenues Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10           7,500           8,961         10,503         12,457         14,857         16,694         18,985         21,400         24,322         27,400 $45.00 $46.58 $48.21 $49.89 $51.64 $53.45 $55.32 $57.25 $59.26 $61.33 $337,500 $417,359 $506,294 $621,513 $767,179 $892,201 $1,050,207 $1,225,194 $1,441,233 $1,680,467 $140,000 $144,900 $149,972 $155,221 $160,653 $166,276 $172,096 $178,119 $184,353 $190,806

Total Revenues $477,500 $562,259 $656,266 $776,733 $927,832 $1,058,477 $1,222,303 $1,403,313 $1,625,587 $1,871,273

20

APPENDIX C Estimated Number of Events to be Held at the Facility

21

Estimated number of events at the facility:
Estimated Number of Participants  Total Estimated and  Participants Number of Spectators and Events Per Event Spectators Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 25 29 33 38 44 48 53 58 64 70 300 309 318 328 338 348 358 369 380 391          7,500          8,961        10,503        12,457        14,857        16,694        18,985        21,400        24,322        27,400

22

APPENDIX D Estimated Spending by Area and Out‐of‐Town Visitors to the Facility

23

Percent of visitors to the facility that will be: Local residents (Dallas County) Out‐of‐town visitors who will likely stay over night Residents of surrounding communities who will not stay overnight but   may shop in Dallas during their visit Out‐of‐Town Visitors ‐‐ those that will likely stay overnight  during their visit: Percent of these out‐of‐town visitors that will use RVs and stay at the facility Average length of stay of an out‐of‐town visitor, in days Average number of people in an out‐of‐town visitor group Average daily taxable spending in the community by each out‐of‐town visitor ‐‐ spending outside the facility Estimated percent of out‐of‐town visitors not staying in an RV that will stay in a local motel Estimated number of nights that each of these visitors will stay in a local motel Average nightly room rate for these visitors  Average number of people per room Area visitors to the facility ‐‐ visitors from area communities that will not stay overnight but will shop in Dallas during their visit: Average spending by each area visitor in Dallas during their visit to the  facility $40 50% 3 2 $100 5% 40% 55%

50%

2

$115                   2

24

Number of participants/spectators from area communities and from out‐of‐town: From Area From Communities Out‐of‐Town Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total           4,125           4,929           5,777           6,851           8,171           9,181         10,442         11,770         13,377         15,070           3,000           3,584           4,201           4,983           5,943           6,677           7,594           8,560           9,729         10,960

Total          7,125          8,513          9,978        11,834        14,114        15,859        18,036        20,330        23,106        26,030      154,925

        89,693         65,231

Estimated spending in the City by participants/spectators from area communities and those from out‐of‐town: From Area From Counties Out‐of‐Town Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 $165,000 $204,042 $247,522 $303,851 $375,065 $436,187 $513,435 $598,984 $704,603 $821,562 $900,000 $1,112,956 $1,350,118 $1,657,368 $2,045,811 $2,379,204 $2,800,553 $3,267,183 $3,843,289 $4,481,245

Total $1,065,000 $1,316,998 $1,597,639 $1,961,218 $2,420,876 $2,815,391 $3,313,988 $3,866,167 $4,547,892 $5,302,807

25

Estimated spending on local hotel/motel rooms by out‐of‐town visitors to the facility: Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 $258,750 $319,975 $388,159 $476,493 $588,171 $684,021 $805,159 $939,315 $1,104,946 $1,288,358

26

APPENDIX E Summary of the Economic Impact of the Facility

27

Number of direct and indirect jobs at the facility each year: Employees Indirect of  Jobs to Total Direct Concessionaries be Created and Indirect Facility and  in the  Jobs to Staff Contractors Community Created Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 4 4 4 4 4 4 4 4 4 4 15 18 20 22 24 24 24 24 24 24 17 17 17 17 17 17 17 17 17 17 36 39 41 43 45 45 45 45 45 45

Annual direct and indirect salaries to be supported by the facility: Workers in Employees Indirect of  Jobs to Total Direct Concessionaries be Created and Indirect Facility and  in the  Jobs to Staff Contractors Community Created Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total $190,800 $200,772 $211,394 $223,131 $234,889 $243,110 $251,619 $260,426 $269,541 $278,974 $296,400 $368,129 $423,348 $481,982 $544,201 $563,248 $582,962 $603,366 $624,484 $646,340 $406,965 $469,248 $520,142 $574,640 $631,775 $653,887 $676,773 $700,460 $724,976 $750,351 $894,165 $1,038,149 $1,154,884 $1,279,753 $1,410,865 $1,460,246 $1,511,354 $1,564,252 $1,619,000 $1,675,665

$2,364,656 $5,134,460 $6,109,217 $13,608,333

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Annual revenues/sales at the facility and in other local businesses: Sales in Other Local Businesses, Excluding Hotels $1,065,000 $1,316,998 $1,597,639 $1,961,218 $2,420,876 $2,815,391 $3,313,988 $3,866,167 $4,547,892 $5,302,807

Revenues of Concessionaires  Revenues and Vendors of the Facilityat the Facility Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total $570,625 $657,289 $726,815 $796,726 $888,366 $919,459 $951,640 $984,947 $1,019,420 $1,055,100 $477,500 $562,259 $656,266 $776,733 $927,832 $1,058,477 $1,222,303 $1,403,313 $1,625,587 $1,871,273

Total Sales $2,113,125 $2,536,546 $2,980,720 $3,534,678 $4,237,074 $4,793,327 $5,487,931 $6,254,427 $7,192,899 $8,229,180

$8,570,387 $10,581,543 $28,207,977 $47,359,907

Estimated sales subject to sales tax: Sales in Other Revenues of Local Concessionaires  Businesses, Revenues and Vendors Excluding of the Facilityat the Facility Hotels

Total Sales

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total

$285,313 $382,000 $745,500 $1,412,813 $328,645 $449,807 $921,899 $1,700,350 $363,408 $525,012 $1,118,347 $2,006,767 $398,363 $621,387 $1,372,853 $2,392,602 $444,183 $742,266 $1,694,613 $2,881,062 $459,729 $846,782 $1,970,774 $3,277,285 $475,820 $977,843 $2,319,792 $3,773,454 $492,474 $1,122,650 $2,706,317 $4,321,441 $509,710 $1,300,469 $3,183,525 $4,993,704 $527,550 $1,497,018 $3,711,965 $5,736,533 $4,285,194 $8,465,234 $19,745,584 $32,496,011

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An estimated 50% of the facility's revenues will be subject sales tax, 80% of concessionaire and vendor sales and 70% of visitor spending in local businesses Spending on local hotel rooms by out‐of‐town visitors: Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total $258,750 $319,975 $388,159 $476,493 $588,171 $684,021 $805,159 $939,315 $1,104,946 $1,288,358 $6,853,346

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APPENDIX F Schedule of Additional Revenues for the City of Dallas from the Facility

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Sales taxes collected by the City of Dallas on workers' spending: Direct and Indirect Worker Salaries Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total $894,165 $1,038,149 $1,154,884 $1,279,753 $1,410,865 $1,460,246 $1,511,354 $1,564,252 $1,619,000 $1,675,665 Taxable Sales Tax Worker Collections Spending(1% Retained in Dallas by City) $160,950 $186,867 $207,879 $230,356 $253,956 $262,844 $272,044 $281,565 $291,420 $301,620 $1,609 $1,869 $2,079 $2,304 $2,540 $2,628 $2,720 $2,816 $2,914 $3,016 $24,495

$13,608,333 $2,449,500

An estimated 30% of each worker's salary will be spent on taxable goods and services and an estimated 60% of this taxable spending will be in the City of Dallas. Sales tax collections from taxable sales at the facility and in local businesses Taxable Sales at the Sales Tax Facility and Collections in Local (1% Retained Businesses by City) Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total $1,412,813 $1,700,350 $2,006,767 $2,392,602 $2,881,062 $3,277,285 $3,773,454 $4,321,441 $4,993,704 $5,736,533 $32,496,011 $14,128 $17,004 $20,068 $23,926 $28,811 $32,773 $37,735 $43,214 $49,937 $57,365 $324,960

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Total sales taxes to be collected by the City of Dallas: Collections on  Visitor Spending $14,128 $17,004 $20,068 $23,926 $28,811 $32,773 $37,735 $43,214 $49,937 $57,365 $324,960

Collections on Worker  Spending Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total $1,609 $1,869 $2,079 $2,304 $2,540 $2,628 $2,720 $2,816 $2,914 $3,016 $24,495

Total Sales Tax  Collections $15,738 $18,872 $22,146 $26,230 $31,350 $35,401 $40,455 $46,030 $52,851 $60,382 $349,455

Hotel occupancy taxes to be collected by the City of Dallas: Hotel Hotel/Motel Occupancy Room Sales Tax to Collections Out‐of‐Town(9% Retained Visitors by City) Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total $258,750 $319,975 $388,159 $476,493 $588,171 $684,021 $805,159 $939,315 $1,104,946 $1,288,358 $6,853,346 $23,288 $28,798 $34,934 $42,884 $52,935 $61,562 $72,464 $84,538 $99,445 $115,952 $616,801 9% 9% 9% 9% 9% 9% 9% 9% 9% 9%

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Total sales and hotel occupancy taxes to be collected by the City of Dallas: Hotel Occupancy Tax Collections $23,288 $28,798 $34,934 $42,884 $52,935 $61,562 $72,464 $84,538 $99,445 $115,952 $616,801

Sales Tax Collections Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Total $15,738 $18,872 $22,146 $26,230 $31,350 $35,401 $40,455 $46,030 $52,851 $60,382 $349,455

Total $39,025 $47,670 $57,081 $69,114 $84,286 $96,963 $112,919 $130,568 $152,296 $176,334 $966,256

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