2014-03-25 Planning & Organisation Committee Agenda Pages 168-231

PLANNING & ORGANISATION COMMITTEE MEETING AGENDA                                  25 MARCH 2014


REPORT

In January 2014, Noosa Council issued invitations to tender for the management of the Boreen
Point Campgrounds. The tender was advertised through LG Tenderbox (Queensland Wide), the
Noosa News and the Sunshine Coast Daily.

Prospective tenderers were invited to attend an inspection of the campground on Monday 3
February 2013 and were given the opportunity to inspect the facilities, including plant rooms and
the residence. The tender closed on 19 February 2014.

The Boreen Point Management Service Agreement is proposed to be a three year fixed retainer
contract commencing 7 April 2014, paid by fortnightly instalments for the ongoing management
and maintenance of the campgrounds facilities. The total fee applicable for the service is $77,000
per annum (GST exclusive). Each year the management agreement and the budget figures are
indexed by CPI. The successful contractor is required to live in the residence on the campground
site. There are options to extend for an additional two (2) by 12 month periods at Council’s
discretion.

All three tenderers were interviewed on 25 February 2014. They included:

1.     Maclean Parks Pty Ltd (Temporary Caretaker);
2.     Crimmins Enterprises Pty Ltd; and
3.     Coulston Consulting.

The tender submitted by Maclean Parks, scored as the highest tender for the management of the
Boreen Point Camp Ground, before withdrawing. The next highest rated tenderer was Crimmins
Enterprises Pty Ltd, with evaluation criteria being based on track record, methodology, health &
safety and environmental sustainability.

Crimmins Enterprises Pty Ltd have been operating & managing the Noosa Glades Resort in
Tewantin for the past four (4) years, as well as over ten (10) years’ experience in real estate, and
experience in both Tourism & Banking. Crimmins Enterprises Pty Ltd also bring with them
industry experience which is important to ensure business continuity.

Previous Council Consideration

Nil.

Finance & Risk

The current caretaking management are departing the site on 9 April 2014. A familiarisation and
handover process is proposed to take place commencing Monday 7 April when the new
managers commence, which will provide for a degree of business continuity.

Contract costs are commission based set at 25% (standardised across the former Sunshine
Coast Regional Council Holiday Parks) of budgeted annual revenue. 25% of any revenue
earned in excess of the annual budget is also provided as a commission incentive for the onsite
managers (payable on the anniversary of the agreement).

Contract costs of $75,000 are commission based, set at 25% of the proposed annual revenue
budget of $300,000. In addition a $2,000 allowance is provided for cleaning products. The total
contract base cost is $77,000 excluding GST, paid in fortnightly instalments in arrears.




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