Simplified Standard Concession Contracts

Federal RegisterDec 21, 1999

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DEPARTMENT OF THE INTERIOR

National Park Service

Simplified Standard Concession Contracts

ACTION: Proposed National Park Service simplified standard concession

contracts.

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SUMMARY: The National Park Service (NPS) authorizes certain business

entities to operate concessions in areas of the national park system.

The agreements embodying these authorizations consist primarily of

standard language that incorporate NPS terms and conditions established

by law and prudent contract administration. In 1998, Public Law 105-391

was enacted which in many significant ways affects the content of

concession contracts to be entered into after its effective date. On

September 3, 1999, NPS published a proposed new standard concession

contract (Category I contract) reflecting the requirements of the new

law, as well as a variety of improvements NPS wishes to make to its

standard concession contract, including a new organizational structure

for the sake of clarity.

Under this notice, NPS proposes two simplified versions of its

proposed standard concession contract (Category II and Category III

contracts) that will be used for smaller concession operations.

NPS proposes the following distinctions between the three contract

categories:

Category I contracts will be used in situations where the

concessioner will be required or allowed to construct or install

capital improvements on park area lands, thereby acquiring a

compensable interest in real property on park area lands. Category I

contracts will also require that the concessioner perform capital

maintenance on assigned concession facilities, as necessary, and will

require the establishment of a maintenance reserve for this purpose.

Category II contracts will be used in situations where a

concessioner will operate on assigned land or in an assigned concession

facility, but will not allow the concessioner to construct or install

capital improvements or perform capital maintenance and, therefore, do

not involve the concessioner's obtaining a compensable interest in real

property located on park area lands. As an example, a Category II

contract might be used to authorize a gift shop operation in a portion

of a park visitor center, or a snack bar operation in an assigned

building.

Category III contracts will be used in situations where no lands or

buildings are assigned to the concessioner; consequently, the

concessioner will not be allowed to construct or install any capital

improvements or perform capital maintenance and the concessioner will

not obtain any compensable interest in real property located on park

area lands. Many outfitter/guide operations will be authorized by

Category III contracts.

NPS, although not required to do so by law, seeks public comments

on the proposed simplified standard concession contracts (Category II

and Category III contracts) to assist it in the development of final

versions as a matter of public policy.

DATES: NPS will accept written comments on the proposed simplified

concession contracts on or before January 20, 2000.

ADDRESSES: Comments should be addressed to: Concession Program Manager,

National Park Service, 1849 ``C'' Street, NW, Washington, DC 20240.

FOR FURTHER INFORMATION CONTACT: Wendelin Mann, Concession Program,

National Park Service, 1849 ``C'' Street, NW, Washington, D.C. 20240

(202/565-1219).

SUPPLEMENTARY INFORMATION: Public Law 105-391, enacted on November 13,

1998, among other matters, amended the statutory policies and

procedures under which NPS operated its concession program. The new law

requires adoption of new regulations governing the award, content and

management of concession contracts. On June 30, 1999, NPS published for

public comment proposed regulations implementing the new law. On

September 3, 1999, NPS published for public comment a proposed new

standard concession contract. As indicated in the September 3, 1999,

public notice, after adoption of the new regulations and the new

standard contract, NPS intended to develop and adopt a simplified

(``short-form'') concession contract that will be used for smaller

concession operations that do not involve the concessioner's obtaining

a compensable interest in real property located on park area lands.

However, based on its initial review of comments in response to the

proposed regulations and standard concession contract, NPS has

determined that it would be appropriate to develop two simplified

contract categories and publish both simplified concession contracts

for public comment prior to the adoption of final regulations and the

new standard concession contract. Any changes that may be made to the

standard concession contract as a result of public comment will be

incorporated, to the extent applicable, in the simplified concession

contracts. NPS plans to adopt the new regulations, the new standard

concession contract and the simplified concession contracts

contemporaneously after due consideration of all public comments

received on these documents.

Category II Contract

United States Department of the Interior

National Park Service

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[Name of Area]

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[Site]

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[Type of Service]

Concession Contract No.------------------------------------------------

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[Name of Concessioner]

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[Address, including email address and phone number]

Doing Business As ____________________

Covering the Period __________ through __________

Category II--Concession Contract

Table of Contents

Identification of the Parties

Purpose and Authorities

Sec. 1. Term of Contract

Sec. 2. Definitions

Sec. 3. Services and Operations

A. Required and Authorized Visitor Services

B. Operation and Quality of Operation

C. Operating Plan [OPTIONAL]

D. Merchandise and Services

E. Rates

F. Impartiality as to Rates and Services

Sec. 4. Concessioner Personnel

Sec. 5. Legal, Regulatory, Policy Compliance

A. Legal, Regulatory, Policy Compliance

B. Notice

C. How and Where to Send Notice

Sec. 6. Environmental and Cultural Protection

A. Environmental Protection

B. Protection of Cultural and Archeological Resources

Sec. 7. Interpretation of Area Resources

A. Concessioner Obligations

B. Director Review of Content

C. Provision of Interpretation Not Exclusive

Sec. 8. Concession Facilities Used in Operation by Concessioner

A. Assignment of Concession Facilities

B. Concession Facilities Withdrawals

C. Effect of Withdrawal

D. Right of Entry

E. Personal Property

F. Condition of Concession Facilities

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G. Utilities

Sec. 9. Maintenance

A. Maintenance Obligation

B. Maintenance Plan [Optional]

Sec. 10. Fees

A. Franchise Fee

B. Payments Due

C. Interest

Sec. 11. Indemnification and Insurance

A. Indemnification

B. Insurance in General

C. Commercial Public Liability

D. Property Insurance

Sec. 12. Bonds and Liens

A. Bonds

B. Liens

Sec. 13. Accounting Records and Reports

A. Accounting System

B. Annual Financial Report

C. Other Financial Reports

Sec. 14. Other Reporting Requirements

A. Insurance Certification

B. Environmental Reporting

C. Miscellaneous Reports and Data

Sec. 15. Suspension and Termination

A. Suspension

B. Termination

C. Notice of Bankruptcy or Insolvency

D. Requirements in the Event of Termination

E. Removal of Personal Property

Sec. 16. Assignment, Sale or Encumbrance of Interests

Sec. 17. General Provisions

Sec. 18. Special Provisions [Optional]

Exhibits

Exhibit ``A'': Nondiscrimination

Exhibit ``B'': Assigned Land, Real Property Improvements

Exhibit ``C'': Assigned Government Personal Property

Exhibit ``E'': Insurance Requirements

Exhibit ``F'': Maintenance Plan [OPTIONAL]

Exhibit ``G'': Operating Plan [OPTIONAL]

Exhibit ``X'': 36 CFR Part 51

[Corporation]

This CONTRACT is made and entered into by and between the United

States of America, acting in this matter by the Director of the

National Park Service, through the Regional Director of the __________

Region, hereinafter referred to as the ``Director,'' and, a corporation

organized and existing under the laws of the State of __________ doing

business as hereinafter referred to as the ``Concessioner'':

[Partnership]

This CONTRACT is made and entered into by and between the United

States of America, acting in this matter by the Director of the

National Park Service, through the Regional Director of the __________

Region, hereinafter referred to as the ``Director'', and of __________,

__________, and __________ of, partners, doing business as, pursuant to

a partnership agreement dated __________, with the principal place of

business at __________, hereinafter referred to as the

``Concessioner'':

[Sole Proprietorship]

This Contract made and entered into by and between the United

States of America, acting in this matter by the Director of the

National Park Service, through the Regional Director of the __________

Region, hereinafter referred to as the ``Director,'' and, an individual

of, doing business as __________, hereinafter referred to as the

``Concessioner'':

Witnesseth

That whereas, [Name of Park, Recreation Area, etc.] is administered

by the Director as a unit of the national park system to conserve the

scenery and the natural and historic objects and the wild life therein,

and to provide for the public enjoyment of the same in such manner as

will leave such Area unimpaired for the enjoyment of future

generations; and

Whereas, to accomplish these purposes, the Director has determined

that certain visitor services are necessary and appropriate for the

public use and enjoyment of the Area and should be provided for the

public visiting the Area; and

Whereas, the Director desires the Concessioner to establish and

operate these visitor services at reasonable rates under the

supervision and regulation of the Director;

Now, therefore, pursuant to the authority contained in the Acts of

August 25, 1916 (16 U.S.C. 1, 2-4), and November 13, 1998 (P.L. 105-

391), and other laws that supplement and amend the Acts, the Director

and the Concessioner agree as follows:

Sec. 1. Term of Contract

This Concession Contract No. __________ (``CONTRACT'') shall be

effective as of __________, and shall be for the term of __________

(____) years from __________, 20____.

Sec. 2. Definitions

The following terms used in this CONTRACT will have the following

meanings, which apply to both the singular and the plural forms of the

defined terms:

(a) ``Applicable Laws'' means the laws of Congress governing the

Area, including, but not limited to, the rules, regulations,

requirements and policies promulgated under those laws, whether now in

force, or amended, enacted or promulgated in the future, including,

without limitation, federal, state and local laws, rules, regulations,

requirements and policies governing nondiscrimination, protection of

the environment and/or protection of public health and safety.

(b) ``Area'' means the property within the boundaries of [Name of

Park Unit].

CFR Part 51 as of the effective date of this CONTRACT.

(d) ``Concession Facilities'' shall mean all Area lands assigned to

the Concessioner under this CONTRACT, all real property improvements

assigned to the Concessioner under this Contract, including without

limitation all government personal property assigned to the

Concessioner under this CONTRACT. The United States retains title and

ownership to all Concession Facilities.

(e) ``Director'' means the Director of the National Park Service

and his duly authorized representatives unless otherwise indicated.

(f) ``Exhibit'' or ``Exhibits'' shall mean the various exhibits,

which are attached to this CONTRACT, each, of which is hereby made a

part of this CONTRACT.

(g) ``Gross Receipts'' means the total amount received or realized

by, or accruing to, the Concessioner from all sales for cash or credit,

of services, accommodations, materials, and other merchandise made

pursuant to the rights granted by this CONTRACT, including gross

receipts of subconcessioners as herein defined, commissions earned on

contracts or agreements with other persons or companies operating in

the Area, and gross receipts earned from electronic media sales, but

excluding:

(i) Intracompany earnings on account of charges to other

departments of the operation (such as laundry);

(ii) Charges for employees' meals, lodgings, and transportation;

(iii) Cash discounts on purchases;

(iv) Cash discounts on sales;

(v) Returned sales and allowances;

(vi) Interest on money loaned or in bank accounts;

(vii) Income from investments;

(viii) Income from subsidiary companies outside of the Area;

(ix) Sale of property other than that purchased in the regular

course of business for the purpose of resale;

(x) Sales and excise taxes that are added as separate charges to

approved sales prices, gasoline taxes, fishing license fees, and

postage stamps, provided that the amount excluded shall not exceed the

amount actually due or paid government agencies;

(xi) Receipts from the sale of handcrafts that have been approved

for sale by the Director as constituting authentic American Indian,

Alaskan Native, Native Samoan, or Native Hawaiian handicrafts.

All monies paid into coin operated devices, except telephones,

whether

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provided by; the Concessioner or by others, shall be included in gross

receipts. However, only revenues actually received by the Concessioner

from coin-operated telephones shall be included in gross receipts. All

revenues received from charges for in-room telephone or computer access

shall be included in gross receipts.

(h) ``Gross receipts of subconcessioners'' means the total amount

received or realized by, or accruing to, subconcessioners from all

sources, as a result of the exercise of the rights conferred by

subconcession contracts hereunder without allowances, exclusions or

deductions of any kind or nature whatsoever.

(i) ``Leasehold Surrender Interest'' shall have the meaning set

forth in 36 CFR Part 51 as of the effective date of this CONTRACT.

(j) ``Real Property Improvements'' means real property other than

land, including, but not limited to, capital improvements.

(k) ``Superintendent'' means the manager of the Area.

(l) ``Visitor services'' means the accommodations, facilities and

services that the Concessioner is required and authorized to provide by

section 3(a) of this CONTRACT.

Sec. 3. Services and Operations

(a) Required and Authorized Visitor Services

During the term of this CONTRACT, the Director requires and

authorizes the Concessioner to provide the following visitor services

for the public within the Area:

(1) Required Visitor Services. The Concessioner is required to

provide the following visitor services during the term of this

CONTRACT:

[Provide detailed description of required services. Broad

generalizations such as ``any and all facilities and services customary

in such operations'' or ``such additional facilities and services as

may be required'' are not to be used. A provision stating ``The

Concessioner may provide services incidental to the operations

authorized hereunder at the request and written approval of the

Director'' is acceptable.]

(2) Authorized Visitor Services. The Concessioner is authorized but

not required to provide the following visitor services during the term

of this CONTRACT:

[Provide detailed description of authorized services.]

(b) Operation and Quality of Operation

The Concessioner shall provide, operate and maintain the required

and authorized visitor services and any related support facilities and

services in accordance with this CONTRACT to such an extent and in a

manner considered satisfactory by the Director. The Concessioner shall

provide the plant, personnel, equipment, goods, and commodities

necessary for providing, operating and maintaining the required and

authorized visitor services in accordance with this CONTRACT. The

Concessioner's authority to provide visitor services under the terms of

this CONTRACT is non-exclusive.

requirements incorporated under Section 18, Special Provisions.]

The Director, acting through the Superintendent, shall establish

and revise, as necessary, specific requirements for the operations of

the Concessioner under this CONTRACT in the form of an Operating Plan

(including, without limitation, a risk management program, that must be

adhered to by the Concessioner). The initial Operating Plan is attached

to this CONTRACT as Exhibit ``G.'' The Director in his discretion,

after consultation with the Concessioner, may make modifications to the

initial Operating Plan provided that these modifications shall not be

inconsistent with the terms and conditions of the main body of this

CONTRACT.

(d) Merchandise and Services

(1) The Director reserves the right to determine and control the

nature, type and quality of the visitor services described in this

CONTRACT, including, but not limited to, the nature, type, and quality

of merchandise, if any, to be sold or provided by the Concessioner

within the Area.

(2) All material, regardless of media format (i.e. printed,

electronic, broadcast media), provided to the public by the

Concessioner, including promotional material, must be approved in

writing by the Director prior to use. All such material will identify

the Concessioner as an authorized Concessioner of the National Park

Service, Department of the Interior.

(3) [OPTIONAL--To be used only if the concessioner is authorized to

sell merchandise.] The Concessioner, where applicable, will develop and

implement a plan satisfactory to the Director that will assure that all

gift merchandise, if any, to be sold or provided reflects the purpose

and significance of the Area, including, but not limited to,

merchandise that reflects the conservation of the Area's resources or

the Area's geology, wildlife, plant life, archeology, local Native

American culture, local ethnic culture, and historic significance.

(e) Rates

All rates and charges to the public by the Concessioner for visitor

services shall be reasonable and appropriate for the type and quality

of facilities and/or services required and/or authorized under this

CONTRACT. The Concessioner's rates and charges to the public must be

approved by the Director in accordance with rate approval procedures

and guidelines promulgated by the Director from time to time.

(f) Impartiality as to Rates and Services

(1) In providing visitor services, the Concessioner must require

its employees to observe a strict impartiality as to rates and services

in all circumstances. The Concessioner shall comply with all Applicable

Laws relating to nondiscrimination in providing visitor services to the

public including, without limitation, those set forth in Exhibit ``A.''

(2) The Concessioner may grant complimentary or reduced rates under

such circumstances as are customary in businesses of the character

conducted under this CONTRACT. However, the Director reserves the right

to review and modify Concessioner's complimentary or reduced rate

policies and practices.

(3) The Concessioner will provide Federal employees conducting

official business reduced rates for lodging, essential transportation

and other specified services necessary for conducting official business

in accordance with guidelines established by the Director.

Complimentary or reduced rates and charges shall otherwise not be

provided to Federal employees by the Concessioner except to the extent

that they are equally available to the general public.

Sec. 4. Concessioner Personnel

(a) The Concessioner shall provide all personnel necessary to

provide the visitor services required and authorized by this CONTRACT.

(b) The Concessioner shall comply with all Applicable Laws relating

to employment and employment conditions, including, without limitation,

those identified in Exhibit ``A.''

and exercise courtesy and consideration in their relations with the

public. The Concessioner shall have its employees who come in direct

contact with the public, so far as practicable, wear a uniform or badge

by which they may be

[[Page 71471]]

identified as the employees of the Concessioner.

(d) The Concessioner shall establish pre-employment screening,

hiring, training, employment, termination and other policies and

procedures for the purpose of providing visitor services through its

employees in an efficient and effective manner and for the purpose of

maintaining a healthful, law abiding, and safe working environment for

its employees. The Concessioner shall conduct appropriate background

reviews of applicants for employment to assure that they conform to the

hiring policies established by the Concessioner.

(e) The Concessioner shall hire, to the greatest extent possible,

people who are both interested in serving the public in a national park

environment and interested in being positive contributors to the park's

purpose.

(f) The Concessioner shall ensure that its employees are provided

the training needed to provide quality visitor services and to maintain

up-to-date job skills.

(g) The Concessioner shall review the conduct of any of its

employees whose action or activities are considered by the Concessioner

or the Director to be inconsistent with the proper administration of

the Area and enjoyment and protection of visitors and shall take such

actions as are necessary to fully correct the situation.

(h) The Concessioner shall maintain, to the greatest extent

possible, a drug free environment, both in the workplace and in any

employee housing within the Area.

(i) The Concessioner shall publish a statement notifying employees

that the unlawful manufacture, distribution, dispensing, possession, or

use of a controlled substance is prohibited in the workplace and in the

Area, and specifying the actions that will be taken against employees

for violating this prohibition. In addition, the Concessioner shall

establish a drug-free awareness program to inform employees about the

danger of drug abuse in the workplace and the Area, the availability of

drug counseling, rehabilitation and employee assistance programs, and

the Concessioner's policy of maintaining a drug-free environment both

in the workplace and in the Area.

(j) The Concessioner shall take appropriate personnel action, up to

and including termination or requiring satisfactory participation in a

drug abuse or rehabilitation program which is approved by a Federal,

State, or local health, law enforcement or other appropriate agency,

for any employee that violates the prohibition on the unlawful

manufacture, distribution, dispensing, possession, or use of a

controlled substance.

Sec. 5. Legal, Regulatory, Policy Compliance

(a) Legal, Regulatory and Policy Compliance

This CONTRACT, operations thereunder by the Concessioner and the

administration of it by the Director shall be subject to all Applicable

Laws. The Concessioner must comply with all Applicable Laws in

fulfilling its obligations under this CONTRACT at the Concessioner's

sole cost and expense. Certain Applicable Laws governing protection of

the environment are further described in this Contract. Certain

Applicable Laws relating to nondiscrimination in employment and

providing accessible facilities and services to the public are further

described in this CONTRACT.

(b) Notice

The Concessioner shall give the Director immediate written notice

of any violation of Applicable Laws and, at its sole cost and expense,

must promptly rectify any such violation.

All notices required by this CONTRACT, shall be in writing and

shall be served on the parties at the following addresses. The mailing

of a notice by registered or certified mail, return receipt requested,

shall be sufficient service. Notices sent to the Director shall be sent

to the following address:

Superintendent

Park name

Address

Attention:

Notices sent to the Concessioner shall be sent to the following

address:

Concessioner

Address

Attention:

Sec. 6. Environmental and Cultural Protection

(a) Environmental Protection

(1) In addition to complying with all Applicable Laws pertaining to

the protection of natural resources within the area, the Concessioner

will conduct its operation, construction, maintenance, acquisition, and

provision of visitor services in a manner that prevents or reduces

environmental degradation and that promotes the use of environmentally

beneficial products. The Concessioner will develop, pursuant to

guidelines provided by the Director, and carry out, to the satisfaction

of the Director, a documented environmental monitoring program or

programs to ensure that park resources affected by concessioner

activities under this CONTRACT are not unduly impaired. The

Concessioner shall be financially responsible for environmental audits

that may be required by the Director for each three-year period of this

CONTRACT.

(2) The Concessioner shall obtain the Director's approval prior to

using any chemicals, pesticides, any hazardous or toxic substance,

material, or waste of any kind, including building materials such as

asbestos, or any contaminant, pollutant, petroleum, petroleum product

or petroleum by-product.

(3) The Concessioner shall monitor, test, maintain, repair,

upgrade, replace, remove, or mitigate, in accordance with Applicable

Laws and in accordance with the requirements of the Director:

(i) Any discharge, release or threatened release (whether solid,

liquid or gaseous in nature) of any hazardous or toxic substance,

material, or waste of any kind, including building materials such as

asbestos, or any contaminant, pollutant, petroleum, petroleum product

or petroleum by-product on or to the Area, including soil, surface

water or groundwater;

(ii) Any materials, equipment, and facilities associated with such

discharge, release or threatened release; or

(iii) any materials, equipment and facilities used in the handling,

storage, disposal, transport or other use of any such hazardous or

toxic substance, material, or waste of any kind, including building

materials such as asbestos, or any contaminant, pollutant, petroleum,

petroleum product or petroleum by-product.

(4) The Concessioner shall timely contact, notify and/or otherwise

confer with appropriate federal, state and/or local agencies with

respect to any reporting obligation arising out of Concessioner's

operations under this CONTRACT and the Concessioner shall

simultaneously provide notice of such contact to the Director and allow

the Director the opportunity to participate in any such proceedings.

(5) The Concessioner shall give the Director immediate notice of

any discharge, release or threatened release (whether solid, liquid or

gaseous in nature) of any hazardous or toxic substance, material, or

waste of any kind, including building materials such as asbestos, or

any contaminant, pollutant, petroleum, petroleum product or petroleum

by-product.

[[Page 71472]]

(6) The Concessioner shall give the Director immediate written

notice of any threatened or actual notice of violation of any federal,

state or local law, rule, regulation, requirement or policy relating to

or governing the use, handling, storage, disposal, transport, presence,

acceptable concentration, or remediation of any hazardous or toxic

substance, material, or waste of any kind, including building materials

such as asbestos, or any contaminant, pollutant, petroleum, petroleum

product or petroleum by-product received by Concessioner.

(7) The Concessioner, at its sole cost and expense, shall promptly

rectify any discharge or release as set forth in this section or any

threatened or actual violation as set forth in this section, including,

but not limited to, payment of any fines or penalties imposed thereon.

(8) The Concessioner shall indemnify the United States in

accordance with section 12 of the Contract from losses, damages or

judgements (including, without limitation, fines and penalties) and

expenses (including, without limitation, attorneys fees and experts

fees) arising out of the activities of the Concessioner pursuant to

this section. Such indemnification shall survive termination of this

CONTRACT.

(9) If the Concessioner does not promptly rectify the discharge or

release (whether solid, liquid or gaseous in nature) of any hazardous

or toxic substance, material, or waste of any kind, including building

materials such as asbestos, or any contaminant, pollutant, petroleum,

petroleum product or petroleum by-product, the Director may, in its

sole discretion and after notice to Concessioner, take any such action

the Director deems necessary to minimize, remediate, or otherwise clean

up such release or discharge, and recover any costs associated with

such action from the Concessioner upon demand.

(10) Even if not specifically required by Applicable Laws, the

Concessioner shall comply with directives of the Director to clean up

or remove any materials, product or by-product used, handled, stored,

disposed, transported onto or into the Area by the Concessioner to

ensure that the Area remains in good condition.

(11) The Concessioner shall be responsible for managing weeds,

harmful insects, rats, mice and other pests on all lands and

improvements assigned to the Concessioner under this CONTRACT. All such

weed and pest management activities shall be in accordance with

guidelines established by the Director.

(b) Protection of Cultural and Archeological Resources

The Concessioner shall ensure that any protected sites and

archeological resources within the Area are not disturbed or damaged by

the Concessioner, including the Concessioner's employees,

subcontractors or agents, except in accordance with Applicable Laws,

and only with the prior approval of the Director. Discoveries of any

archeological resources by Concessioner shall be promptly reported to

the Director. The Concessioner shall cease work or other disturbance

which may impact any protected site or archeological resource until the

Director grants approval, upon such terms and conditions as the

Director deems necessary, to continue such work or other disturbance.

Sec. 7. Interpretation of Area Resources

(a) Concessioner Obligations

(1) The Concessioner shall provide all visitor services in a manner

that is consistent with and supportive of the interpretive themes,

goals and objectives of the Area.

(2) The Concessioner may assist in Area interpretation at the

request of the Director to enhance visitor enjoyment of the Area. Any

additional visitor services that may result from this assistance must

be recognized in writing through written amendment of Section 3 of this

CONTRACT.

(b) Director Review of Content

The Concessioner must submit the proposed content of any

interpretive programs, exhibits, materials or displays to the Director

for review and approval prior to offering such programs, exhibits or

displays to Area visitors.

Notwithstanding any provision of this CONTRACT to the contrary, the

Director retains the right to provide Area interpretation, including

without limitation, the conduct of interpretive programs and the sale

of interpretive materials, directly or though cooperative or other

agreements with third parties, as the Director determines to be

necessary or appropriate.

Sec. 8. Concession Facilities Used in Operations by Concessioner

(a) Assignment of Concession Facilities

(1) The Director hereby assigns Concession Facilities as described

in Exhibit B to the Concessioner for the purposes of this CONTRACT. The

Concessioner shall not be authorized to construct any Capital

Improvements upon Area lands. The Concessioner shall not obtain a

Leasehold Surrender Interest or other compensable interest in Capital

Improvements constructed or installed in violation of this CONTRACT.

(2) The Director shall from time to time amend Exhibit B to reflect

changes in Concession Facilities assigned to Concessioner.

(b) Concession Facilities Withdrawals

The Director may withdraw all or portions of these Concession

Facilities assignments at any time during the term of this CONTRACT if:

(1) The withdrawal is for the purpose of enhancing or protecting

Area resources or visitor enjoyment or safety;

(2) The operations utilizing the assigned Concession Facilities

have been terminated or suspended by the Director; or

(3) Land assigned to the Concessioner is no longer necessary for

the concession operation.

Any permanent withdrawal of assigned Concession Facilities which

the Director considers as essential for the Concessioner to provide the

visitor services required by this CONTRACT will be treated by the

Director as a termination of this Contract pursuant to Section 16. No

compensation is due the Concessioner in these circumstances.

(d) Right of Entry

The Director shall have the right at any time to enter upon or into

the Concession Facilities assigned to the Concessioner under this

CONTRACT for any purpose he may deem necessary for the administration

of the Area.

(e) Personal Property

(1) Personal Property Provided by the Concessioner. The

Concessioner shall provide all personal property, including removable

equipment, furniture and goods, necessary for its operations under this

CONTRACT.

(2) Personal Property Provided by the Government. The Director may

provide certain items of government personal property and equipment for

the Concessioner's use in the performance of this CONTRACT. The

Director hereby assigns government personal property and equipment

listed in Exhibit C to the Concessioner as of the effective date of

this CONTRACT. This Exhibit C will be modified from time to time by the

Director as items may be withdrawn or additional items added. The

Concessioner shall be accountable to the Director for the government

personal property and equipment assigned to it

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and shall be responsible for maintaining the property and equipment as

necessary to keep it in good and operable condition. If the property

ceases to be serviceable, it shall be returned to the Director for

disposition.

(f) Condition of Concession Facilities

Concessioner has inspected the Concession Facilities, including any

government personal property, is thoroughly acquainted with their

condition, and accepts the Concession Facilities ``as is.''

(g) Utilities

(1) The Director may provide utilities to the Concessioner for use

in connection with the operations required and/or authorized under this

CONTRACT when available at rates to be fixed by the Director under

applicable guidelines.

(2) If the Director does not provide these utilities, the

Concessioner shall, with the written approval of the Director and under

any requirements that the Director shall prescribe, secure necessary

utilities at its own expense from sources outside the Area.

Sec. 9. Maintenance

(a) Maintenance Obligation

The Concessioner shall be solely responsible for maintenance,

repairs, housekeeping, and groundskeeping for all Concession Facilities

to the satisfaction of the Director.

(b) Maintenance Plan [OPTIONAL--This section may be deleted and

maintenance requirements incorporated under Section 18, Special

Provisions.]

For these purposes, the Director, acting through the

Superintendent, shall undertake appropriate inspections, and, after

consultation with the Concessioner, shall establish and revise, as

necessary, a Maintenance Plan consisting of specific maintenance

requirements which shall be adhered to by the Concessioner. The initial

Maintenance Plan is set forth in Exhibit F. The Director in his

discretion may modify the Maintenance Plan from time to time after

consultation with the Concessioner. Such modifications shall not be

inconsistent with the terms and conditions of the main body of this

CONTRACT.

Sec. 10. Fees

(a) Franchise Fee

(1) For the term of this CONTRACT, the Concessioner shall pay to

the Director for the privileges granted under this CONTRACT a franchise

fee equal to __________ Percent (__________ %) of the Concessioner`s

Gross Receipts for the preceding year or portion of a year.

(2) The Concessioner agrees that this franchise fee is consistent

with the probable value of the privileges granted by this CONTRACT as

defined in this section.

(3) The Concessioner shall have no right to an adjustment of the

fees except as provided below. The Concessioner shall have no right to

waiver of the franchise fee.

(b) Payments Due

(1) The franchise fee shall be due on a monthly basis at the end of

each month and shall be paid by the Concessioner in such a manner that

the Director shall receive payment within fifteen (15) days after the

last day of each month that the Concessioner operates. This monthly

payment shall include the franchise fee equal to the specified

percentage of gross receipts for the preceding month.

(2) The Concessioner shall pay any additional fee amounts due at

the end of the operating year as a result of adjustments at the time of

submission of the Concessioner's Annual Financial Report. Overpayments

shall be offset against the following year's fees.

(3) All franchise fee payments consisting of $10,000 or more, shall

be deposited electronically by the Concessioner using the Treasury

Financial Communications System.

An interest charge will be assessed on overdue amounts for each

thirty (30) day period, or portion thereof, that payment is delayed

beyond the fifteen (15)-day period provided for above. The percent of

interest charged will be based on the current value of funds to the

United States Treasury as published quarterly in the Treasury Fiscal

Requirements Manual. The Director may also impose penalties for late

payment to the extent authorized by Applicable Law.

Sec. 11. Indemnification and Insurance

(a) Indemnification

The Concessioner agrees to assume liability for and does hereby

agree to save, hold harmless, protect, defend and indemnify the United

States of America, its agents and employees from and against any and

all liabilities, obligations, losses, damages or judgments (including

without limitation penalties and fines), claims, actions, suits, costs

and expenses (including without limitation attorneys fees and experts

fees) of any kind and nature whatsoever on account of fire or other

peril, bodily injury, death or property damage, or claims for bodily

injury, death or property damage of any nature whatsoever, and by

whomsoever made, in any way relating to or arising out of the

activities of the Concessioner, his employees, subcontractors or agents

under this CONTRACT. This indemnification shall survive the termination

or expiration of this Contract.

(b) Insurance in General

(1) The Concessioner shall obtain and maintain during the entire

term of this CONTRACT at its sole cost and expense, the types and

amounts of insurance coverage necessary to fulfill the obligations of

this CONTRACT. The Director shall approve the types and amounts of

insurance coverage purchased by the Concessioner.

(2) The Director will not be responsible for any omissions or

inadequacies of insurance coverages and amounts in the event the

insurance purchased by the Concessioner proves to be inadequate or

otherwise insufficient for any reason whatsoever.

(3) At the request of the Director, the Concessioner shall at the

time insurance is first purchased and annually, thereafter, provide the

Director with a Certificate of Insurance that accurately details the

conditions of the policy as evidence of compliance with this section.

The Concessioner shall provide the Director thirty (30) days advance

written notice of any material change in the Concessioner's insurance

program hereunder.

(1) The Concessioner shall provide commercial general liability

insurance against claims arising out of or resulting from the acts or

omissions of the Concessioner or its employees in carrying out the

activities and operations required and/or authorized under this

CONTRACT.

(2) This insurance shall be in the amount commensurate with the

degree of risk and the scope and size of the activities required and/or

authorized under this CONTRACT, as more specifically set forth in

Exhibit E. Furthermore, the commercial general liability package shall

provide the coverages and limits described in Exhibit E.

(3) All liability policies shall specify that the insurance company

shall have no right of subrogation against the United States of America

and shall provide that the United States of America is named an

additional insured.

[[Page 71474]]

(4) From time to time, as conditions in the insurance industry

warrant, the Director may, in his discretion, modify Exhibit E to

revise the minimum required limits or to require additional types of

insurance.

(d) Property Insurance

(1) In the event of damage or destruction, the Concessioner will

repair or replace those Concession Facilities and other buildings,

structures, equipment, furnishings, betterments, improvements and

merchandise utilized by the Concessioner in the performance of the

Concessioner's obligations under this CONTRACT.

(2) For this purpose, the Concessioner shall provide fire and

extended insurance coverage on Concession Facilities in amounts that

the Director may require during the term of the Contract. The values

currently in effect are set forth in Exhibit E. This Exhibit will be

revised at least every three (3) years, or earlier if there is a

substantial change in value of Concession Facilities.

(3) Commercial property insurance shall provide for the

Concessioner and the United States of America to be named insured as

their interests may appear.

(4) In the event of loss, the Concessioner shall use all proceeds

of such insurance to repair, rebuild, restore or replace Concession

Facilities, equipment, furnishings and other personal property

hereunder, as directed by the Director. Policies may not contain

provisions limiting insurance proceeds to in situ replacement. The lien

provision of Section 13 shall apply to such insurance proceeds.

(5) Insurance policies that cover Concession Facilities shall

contain a loss payable clause approved by the Director which requires

insurance proceeds to be paid directly to the Concessioner without

requiring endorsement by the United States. The use of insurance

proceeds for repair or replacement of Concession Facilities will not

alter their character as properties of the United States and,

notwithstanding any provision of this CONTRACT to the contrary, the

Concessioner shall gain no ownership, Leasehold Surrender Interest or

other compensable interest as a result of the use of these insurance

proceeds.

(6) The commercial property package shall include the coverages and

amounts described in Exhibit E.

Sec. 12. Bonds and Liens

(a) Bonds

The Director may require the Concessioner to furnish appropriate

forms of bonds acceptable to the Director conditioned upon faithful

performance of its obligations under this CONTRACT,in such form and in

such amount as the Director may deem adequate.

(b) Lien

As additional security for the faithful performance by the

Concessioner of its obligations under this Contract, and the payment to

the Government of all damages or claims that may result from the

Concessioner's failure to observe any such obligations, the Government

shall have at all times the first lien on all assets of the

Concessioner within the Area, including, but not limited to, all

personal property of the Concessioner used in performance of the

CONTRACT hereunder.

Sec. 13. Accounting Records and Reports

(a) Accounting System

(1) The Concessioner shall maintain an accounting system under

which its accounts can be readily identified with its system of

accounts classification. Such accounting system shall be capable of

providing the information required by this CONTRACT. The Concessioner's

system of accounts classification shall be directly related to the

Concessioner Annual Financial Report Form issued by the Director.

(2) If the Concessioner's annual gross receipts are $250,000 or

more, the Concessioner must use the accrual accounting method.

(3) In computing net profits for any purposes of this CONTRACT, the

Concessioner shall keep its account in such manner that there can be no

diversion or concealment of profits or expenses in the operations

authorized hereunder by means of arrangements for the procurement of

equipment, merchandise, supplies or services from sources controlled by

or under common ownership with the Concessioner or by any other device.

(b) Annual Financial Report

(1) The Concessioner shall submit annually as soon as possible but

not later than ninety (90) days after the last day of its fiscal year a

financial statement for the preceding fiscal year or portion of a year

as prescribed by the Director (``Concessioner Annual Financial

Report'').

(2) If the annual gross receipts of the Concessioner are in excess

of $1,000,000, the financial statements shall be audited by an

independent Certified Public Accountant in accordance with the

Generally Accepted Auditing Standards (GAAS) and procedures promulgated

by the American Institute of Certified Public Accountants.

(3) If annual gross receipts are between $250,000, and $1,000,000,

the financial statements shall be reviewed by an independent Certified

Public Accountant in accordance with the Generally Accepted Auditing

Standards (GAAS) and procedures promulgated by the American Institute

of Certified Public Accountants.

(4) If annual gross receipts are less than $250,000, the financial

statements may be prepared without involvement by an independent

Certified Public Accountant, unless otherwise directed by the Director.

(1) Balance Sheet. Within ninety (90) days of the execution of this

CONTRACT or its effective date, whichever is later, the Concessioner

shall submit to the Director a balance sheet as of the beginning date

of the term of this CONTRACT. The balance sheet shall be audited or

reviewed, as determined by the gross receipts, by an independent

Certified Public Accountant.

Sec. 14. Other Reporting Requirements

The following describes certain other reports required under this

CONTRACT:

(a) Insurance Certification

As specified in Section 12, at the time insurance is first

purchased, and annually thereafter, the Concessioner shall provide the

Director with a Certificate of Insurance for all insurance coverages

related to its operations under this CONTRACT. The Concessioner shall

give the Director thirty (30) days advance written notice of any

material change in its insurance program.

(b) Environmental Reporting

The Concessioner shall submit a quarterly report on any matters

related to the Concessioner's environmental compliance requirements

under this CONTRACT.

The Director from time to time may require the Concessioner to

submit other reports and data regarding its performance under the

CONTRACT or otherwise, including, but not limited to, operational

information.

[[Page 71475]]

Sec. 15. Suspension and Termination

(a) Suspension

The Director may temporarily suspend operations under this CONTRACT

in whole or in part when necessary for administrative purposes or to

enhance or protect Area resources, visitor enjoyment or safety. No

compensation of any nature shall be due the Concessioner in the event

of a suspension of operations, including, but not limited to,

compensation for losses based on lost income, profit, or the necessity

to make expenditures as a result of the suspension.

(b) Termination

(1) The Director may terminate this CONTRACT in whole or part at

any time when necessary for the purpose of enhancing or protecting Area

resources or visitor enjoyment or safety.

(2) The Director may terminate this CONTRACT in whole or part for

default if the Director determines that the Concessioner has breached

any requirement of this CONTRACT, including, but not limited to, the

requirement to maintain and operate visitor services to the

satisfaction of the Director, the requirement to provide only visitor

services required or authorized by the Director, the requirement to pay

the established franchise fee, and the requirement to comply with

Applicable Laws.

(3) In the event of a breach of the CONTRACT, the Director will

provide the Concessioner an opportunity to cure by providing written

notice to the Concessioner of the breach. In the event of a monetary

breach, the Director will give the Concessioner a fifteen (15) day

period to cure the breach. If the breach is not cured within that

period, then the Director may terminate the CONTRACT for default. In

the event of a nonmonetary breach, if the Director considers that the

nature of the breach so permits, the Director will give the

Concessioner thirty (30) days to cure the breach or to provide a plan,

to the satisfaction of the Director in his sole discretion, to cure the

breach over a specified period of time. If the breach is not cured

within this specified period of time, the Director may terminate the

CONTRACT for default. Notwithstanding this provision, repeated breaches

of the same nature shall be grounds for termination for default without

a cure period. In the event of a breach of any nature, the Director may

suspend the Concessioner's operations as appropriate in accordance with

Section 16(a).

(4) The Director may terminate this CONTRACT upon the filing or the

execution of a petition in bankruptcy by or against the Concessioner, a

petition seeking relief of the same or different kind under any

provision of the Bankruptcy Act or its successor, an assignment by the

Concessioner for the benefit of creditors, a petition or other

proceeding against the Concessioner for the appointment of a trustee,

receiver or liquidator, or the taking by any person or entity of the

rights granted by this CONTRACT or any part thereof upon execution,

attachment or other process of law or equity. The Director may

terminate this CONTRACT if the Director determines that the

Concessioner is unable to perform the terms of this CONTRACT due to

bankruptcy or insolvency.

(5) Termination of this CONTRACT for any reason shall be by written

notice to the Concessioner.

The Concessioner must give the Director notice fifteen (15) days

prior to filing any petition in bankruptcy, filing any petition seeking

relief of the same or different kind under any provision of the

Bankruptcy Act or its successor, or making any assignment for the

benefit of creditors. The Concessioner must also give the Director

immediate notice of any petition or other proceeding against the

Concessioner for the appointment of a trustee, receiver, or liquidator,

or, the taking by any person or entity of the rights granted by this

CONTRACT or any part thereof upon execution, attachment or other

process of law or equity. For purposes of the bankruptcy statutes, this

CONTRACT is not a lease, but is an executory contract exempt from

inclusion in assets of Concessioner pursuant to 11 U.S.C. 1135.

(d) Requirements in the Event of Termination

(1) In the event of termination of this CONTRACT by the Director

for any reason, no compensation of any nature shall be due the

Concessioner including, but not limited to, compensation for losses

based on lost income, profit, or the necessity to make expenditures as

a result of the termination.

(2) Upon termination of this CONTRACT for any reason, and except as

otherwise provided in this section, the Concessioner shall, at

Concessioner's expense, promptly vacate the Area, remove all of

Concessioner's personal property, repair any injury occasioned by

installation of removal of such property, and ensure that Concession

Facilities are in as good condition as they were at the beginning of

the term of this CONTRACT, reasonable wear and tear excepted.

(e) Removal of Personal Property

Except as otherwise provided in this CONTRACT, upon expiration or

termination of this CONTRACT for any reason, the Concessioner shall

remove its personal property from the Area unless it is sold to the

Director or a successor concessioner. No compensation is due the

Concessioner from the Director or a successor concessioner for such

personal property. The Director or a successor concessioner may

purchase such personal property from the Concessioner subject to

mutually agreed upon terms. Personal property not removed from the Area

by the Concessioner as of the date of expiration or termination of this

CONTRACT, unless the Director in writing extends such date of removal,

shall be considered abandoned property subject to disposition by the

Director, at full cost and expense of the Concessioner, in accordance

with Applicable Laws.

Sec. 16. Assignment, Sale or Encumbrance of Interests

(a) This CONTRACT is subject to the requirements of 36 CFR Part 51

as it may be amended from time to time with respect to proposed

conveyances and encumbrances as those terms are defined in 36 CFR Part

51, including, but not limited to, proposed management and

subconcession agreements. Failure by the Concessioner to comply with 36

CFR Part 51 is a material breach of this CONTRACT for which the

Director may terminate this CONTRACT for default. The Director shall

not be obliged to recognize any right of any person or entity to an

interest in this CONTRACT of any nature or operating rights under this

CONTRACT, if obtained in violation of 36 CFR part 51.

(b) The Concessioner shall advise any person(s) or entity proposing

to enter into a transaction which may be subject to 36 CFR part 51 of

the requirements of that regulation.

Sec. 17. General Provisions

(a) The Director and Comptroller General of the United States, or

any of their duly authorized representatives, shall have access to the

records of the Concessioner as provided by 36 C.F.R. Part 51 as it may

now exist or be amended from time to time.

(b) All information required to be submitted to the Director by the

Concessioner pursuant to this CONTRACT is subject to public release

[[Page 71476]]

by the Director to the extent required or authorized by Applicable

Laws.

management agreements, for the provision of principal services required

and/or authorized under this CONTRACT are not permitted. However,

subconcession or other third party agreements may be allowed for

incidental or specialized services which are incidental to the

principal services required and/or authorized under this CONTRACT. Any

proposal to provide incidental or specialized services through

subconcession or other third party agreements must be submitted to the

Director in writing, along with a copy of the proposed subconcession or

third party agreement, and shall be effective only if approved in

writing by the Director. If the Director approves a subconcession or

other third party agreement, the Concessioner and the Director will

amend the CONTRACT to reflect such approval. Agreements with others to

provide vending or other coin-operated machines shall not be considered

subconcession agreements.

(d) The Concessioner is not entitled to be awarded or to have

negotiating rights to any Federal procurement or service contract by

virtue of any provision of this CONTRACT.

(e) Any and all taxes or assessments of any nature that may be

lawfully imposed by any State or its political subdivisions upon the

property or business of the Concessioner shall be paid promptly by the

Concessioner.

(f) No member of, or delegate to, Congress or Resident Commissioner

shall be admitted to any share or part of this CONTRACT or to any

benefit that may arise from this CONTRACT but this restriction shall

not be construed to extend to this CONTRACT if made with a corporation

or company for its general benefit.

(g) This CONTRACT is subject to the provisions of 43 CFR, Subtitle

A, Subpart D, concerning nonprocurement debarment and suspension. The

Director may recommend that the Concessioner be debarred or suspended

in accordance with the requirements and procedures described in those

regulations, as they are effective now or may be revised in the future.

(h) This CONTRACT contains the sole and entire agreement of the

parties. No oral representations of any nature form the basis of or may

amend this CONTRACT. This CONTRACT may be extended, renewed or amended

only when agreed to in writing by the Director and the Concessioner.

(i) The Concessioner is not granted by this CONTRACT any rights to

renewal of this CONTRACT or to award of a new contract of any nature.

(j) This CONTRACT does not grant rights or benefits of any nature

to any third party.

(k) The invalidity of a specific provision of this CONTRACT shall

not affect the validity of the remaining provisions of this CONTRACT.

Sec. 18. Special Provisions

[OPTIONAL--To be used when operating and maintenance requirements

are incorporated in the body of the contract, rather than as separate

operating and maintenance plans.]

In Witness Whereof, the duly authorized representatives of the

parties have executed this Contract as of the __________ day of

__________, __________.

Concessioner:

By---------------------------------------------------------------------

(Title, Company Name)

United States of America:

By---------------------------------------------------------------------

(Director, National Park Service)

[Corporations]

Attest:

By---------------------------------------------------------------------

Title------------------------------------------------------------------

[Sole Proprietorship]

Witnesses:

Name-------------------------------------------------------------------

Address----------------------------------------------------------------

Title------------------------------------------------------------------

Name-------------------------------------------------------------------

Address----------------------------------------------------------------

Title------------------------------------------------------------------

[Partnership]

Witnesses as to Each:

Name-------------------------------------------------------------------

Address----------------------------------------------------------------

(Name)-----------------------------------------------------------------

Address----------------------------------------------------------------

[Concessioner]

Name-------------------------------------------------------------------

(Name)-----------------------------------------------------------------

Category III--Contract

United States Department of the Interior

National Park Service

----------------------------------------------------------------------

[Name of Area]

----------------------------------------------------------------------

[Site]

----------------------------------------------------------------------

[Type of Service]

Concession Contract No.------------------------------------------------

----------------------------------------------------------------------

[Name of Concessioner]

----------------------------------------------------------------------

[Address, including email address and phone number]

Doing Business As ____________________

Covering the Period__________ through

__________------------------------------------------------------------

Category III--Concession Contract

Table of Contents

Identification of the Parties

Purpose and Authorities

Sec. 1. Term of Contract

Sec. 2. Definitions

Sec. 3. Services and Operations

A. Required and Authorized Visitor Services

B. Operation and Quality of Operation

C. Operating and Maintenance Plan [OPTIONAL]

D. Merchandise and Services

E. Rates

F. Impartiality as to Rates and Services

Sec. 4. Concessioner Personnel

Sec. 5. Legal, Regulatory, Policy Compliance

A. Legal, Regulatory, Policy Compliance

D. Notice

E. How and Where to Send Notice

Sec. 6. Environmental and Cultural Protection

A. Environmental Protection

B. Protection of Cultural and Archeological Resources

Sec. 7. Fees

A. Franchise Fee

B. Payments Due

C. Interest

Sec. 8. Indemnification and Insurance

A. Indemnification

B. Insurance in General

C. Commercial Public Liability

Sec. 9. Bonds and Liens

A. Bonds

B. Liens

Sec. 10. Accounting Records and Reports

A. Accounting System

B. Annual Financial Report

C. Other Financial Reports

Sec. 11. Other Reporting Requirements

A. Insurance Certification

D. Environmental Reporting

E. Miscellaneous Reports and Data.

Sec. 12. Suspension and Termination

A. Suspension

E. Termination

F. Notice of Bankruptcy or Insolvency

G. Requirements in the Event of Termination

E. Removal of Personal Property

Sec. 13. Assignment, Sale or Encumbrance of Interests

Sec. 14. General Provisions

Sec. 15. Special Provisions [Optional]

Exhibits

Exhibit ``A'': Nondiscrimination

Exhibit ``C'': Assigned Government Personal Property

Exhibit ``E'': Insurance Requirements

Exhibit ``G'': Operating and Maintenance Plan [OPTIONAL]

Exhibit ``X'': 36 CFR Part 51

[Corporation]

This CONTRACT is made and entered into by and between the United

States of America, acting in this matter by the Director of the

National Park Service, through the Regional Director of

[[Page 71477]]

the__________Region, hereinafter referred to as the ``Director,'' and,

a corporation organized and existing under the laws of the State

of__________doing business as hereinafter referred to as the

``Concessioner'':

[Partnership]

This CONTRACT is made and entered into by and between the United

States of America, acting in this matter by the Director of the

National Park Service, through the Regional Director of

the__________Region, hereinafter referred to as the ``Director'', and

of__________,__________, and __________ of, partners, doing business

as, pursuant to a partnership agreement dated__________, with the

principal place of business at__________, hereinafter referred to as

the ``Concessioner'':

[Sole Proprietorship]

This CONTRACT made and entered into by and between the United

States of America, acting in this matter by the Director of the

National Park Service, through the Regional Director of

the__________Region, hereinafter referred to as the ``Director,'' and,

an individual of, doing business as__________, hereinafter referred to

as the ``Concessioner'':

Witnesseth

That whereas, [Name of Park, Recreation Area, etc.] is administered

by the Director as a unit of the national park system to conserve the

scenery and the natural and historic objects and the wild life therein,

and to provide for the public enjoyment of the same in such manner as

will leave such Area unimpaired for the enjoyment of future

generations; and

Whereas, to accomplish these purposes, the Director has determined

that certain visitor services are necessary and appropriate for the

public use and enjoyment of the Area and should be provided for the

public visiting the Area; and

Whereas, the Director desires the Concessioner to establish and

operate these visitor services at reasonable rates under the

supervision and regulation of the Director;

Now, therefore, pursuant to the authority contained in the Acts of

August 25, 1916 (16 U.S.C. 1, 2-4), and November 13, 1998 (P.L. 105-

391), and other laws that supplement and amend the Acts, the Director

and the Concessioner agree as follows:

Sec. 1. Term of Contract

This Concession Contract No. ________(``CONTRACT'') shall be

effective as of ____________, and shall be for the term of (________)

years from________, 20____.