Background:
Tennis Enterprises, LLC (Tennis Enterprises) is a seasoned provider of professional tennis services and has delivered outstanding instruction, program management, court maintenance, and customer service to the Sunrise Tennis Club and community for over 20 years.
The City’s most recent contract with Tennis Enterprises became effective on June 15, 2020 and provides comprehensive tennis professionaland maintenance services at the Sunrise Tennis Club. These services have proven highly successful in maintenance, training, clinics, leagues, programs, membership engagement, and overall club operations. Tennis Enterprises has also implemented numerous special events and community programs that are free for residents to attend, which have been very successful and well-received, such as Meet and Greets, Open House Events and Tennis Appreciation Days. The current contract is scheduled to expire on June 14, 2026.
Tennis Enterprises has consistently offered competitive pricing, implemented effective cost-containment strategies, and developed well-managed tennis programs that serve a wide range of participants. Staff has received very positive feedback from Tennis Club participants who are satisfied with the service being provided and the quality of the facilities. Tennis Enterprises is also very collaborative with City staff to proactively address operational needs to ensure that the Tennis Club is maintained and operated optimally throughout the year.
The priority of this new contract was to maintain the high level of service offered by Tennis Enterprises. Like the current contract, the contractor will continue to receive 90% of the revenue for all instruction (lessons), leagues, programs, tournaments, stringing fees, camps, and merchandise sold/rented and the City receives 10%. The City retains 100% of membership fees, guest court fees, retail sales, and concession sales. Other highlights of the proposed contractual responsibilities include:
- Maintain all 15 Tennis Courts
- Operate youth and adult recreational programs
- Operate high performance tennis programs
- Coordinate and schedule lessons, clinics, and leagues
- Coordinate and schedule tennis professionals for lessons
- Coordinate and facilitate tennis tournaments
- Market the Tennis Club and programs, including paid advertising
Given the significant scope of work required under this contract for Tennis Professional Services, City staff is recommending an increase in the monthly tennis court maintenance fee from $5,500 to $9,500 per month. This tennis court maintenance fee has remained the same since 2020 and the increase is necessary to maintain the expected level of service for the facility. City staff believes the updated fee is reasonable based upon the staffing levels required to appropriately maintain the facilities. This contract also includes a provision for an annual CPI adjustments to the monthly maintenance fee, based on the Consumer Price Index for All Urban Consumers (CPI-U), not to exceed 3%. The CPI increase was requested to provide for cost of living adjustments and for anticipated increased maintenance expenses. Staff seeks to establish a new five-year Contract with one optional five-year renewal period.
This Contract includes provisions requiring the City to obtain liability releases from tennis members and guests, along with revised indemnification terms that more clearly define and appropriately limit the transfer of risk between the City and contractor. While these provisions increase the City’s administrative responsibilities, they also enhance transparency and align risk allocation with the City’s and contractor’s role in delivering services. These new terms are expected on average to reduce long-term risk transfer costs for both the City and contractor.
For the reasons set forth here-in, it is requested that the City Commission waive the competitive process for good cause pursuant to Section 5-173(c)(5) of the Code of the City of Sunrise. It is further requested that the City Commission approve the Contract with Tennis Enterprises for a period of five years with an optional five-year extension, under the same terms and conditions.