CC MEETING: November 18, 2025
DATE: November 10, 2025
TO: Erin Rinehart, City Manager
FROM: Jonathan Scheu, Interim Director of Parks and Recreation
Chrystal Davis, Assistant City Manager
Title
Consider Authorizing The City Manager To Enter Into An Agreement With Impact Activities Pursuant To RFP #25-036 For Oak Creek Tennis Center Management Services For A Term Not To Exceed Five (5) Years With A Management Fee Not To Exceed $150,000 Per Year.
Body
BACKGROUND:
This agreement is to provide independent management services for Oak Creek Tennis Center and pro shop as well as eleven (11) tennis and ten (10) pickleball satellite courts. The contractor is expected to run the day-to-day operations, provide maintenance and upkeep, and promote and market services for Oak Creek. Additionally, the selected contractor, as well as the City, is expected to meet requirements related to the use of a qualified management agreement, which outlines private business use of property financed with tax-exempt bonds.
On June 10, 2025, the City issued bonds that included funding for new construction of four (4) additional tennis courts and no less than six (6) pickleball courts at the Oak Creek location. The use of tax-exempt bonds places limitations on how a private business may operate a property financed with these bonds. The current agreement could not be updated to meet these provisions, and it was determined the fair and equitable process to get a contract that meets these requirements was to bid it out.
On June 17, 2025, the City issued RFP #25-036 for Oak Creek Tennis Management Services using the updated scope of work that included the bond requirements and change to a new management model. Notifications were posted online, previous and interested vendors were contacted and advertisements placed in the Dallas Morning News. A pre-bid meeting was held on June 26, 2025, and site walkthrough was conducted on July 2, 2025. The RFP closed on July 10, 2025, with three (3) vendors submitting responses.
An evaluation committee comprised of five (5) Parks and Recreation and two (2) Finance staff reviewed the submissions on criteria related to experience and qualifications, operational planning and financial planning. The three (3) vendors were evaluated on the criteria and selected for secondary interviews, where the evaluation committee was able to ask additional questions and gain additional information on the potential management of this contract. Impact Activities was selected as the new management company following the evaluation and interview processes.
The award will be for a (2) two-year initial term. The award also includes three (3) additional (1) one-year renewal options, if mutually agreed upon by the City and the vendors, for a potential (5) five-year period.
FINANCIAL IMPLICATIONS:
The City shall be responsible for funding the contract, including all operating expenses in accordance with the annually approved budget, and is entitled to all revenues received as a result of the operation of the Oak Tennis Center, less the Contractor’s monthly management fee of 9.5% of gross revenue.
IMPACT ON COMMUNITY SUSTAINABILITY:
This project supports and aligns with the City Council’s goals and objectives to manage infrastructure with fiduciary care.
STAFF RECOMMENDATION/ACTION DESIRED:
Staff recommends City Council authorize the City Manager to enter into an agreement with Impact Activities pursuant to RFP #25-036 for Oak Creek Tennis Center Management Services for a term not to exceed five (5) years.