Updated RCC concessionaire agreement obtained by Exeter Examiner
The same basic 75%-25% scheme again disadvantages the taxpayers
The Exeter Examiner has come into possession of a new agreement that Exeter Township has negotiated with Reading Hospitality Management (RHM). In the proposed agreement, the 75-25 hosing of the Exeter taxpayer continues, but now includes all facets of the food and beverage business at the Reading Country Club (RCC).
Obtained from a confidential source, the agreement, yet to be finalized or signed but said to be the final draft, will give RHM the rights to the restaurant on the property, and the snack shack. The snack shack has already been rebranded as “Mulligans” and is being run by RHM employees, though no acceptance of the agreement has occurred through a vote of the Supervisors.
The update, dated April 8th, continues the economically disadvantageous terms of the original concessionaire agreement, with the taxpayers receiveing the short end of the 75-25 split of revenues in the food and beverage business on the property, with but a couple of changes. RHM will pay $750 a month in a lease for the snack shack property, but only in the months that the RCC is busy. The lease payment begins in April of 2024, and runs through November, then no payment is incurred by RHM for December, or January and February of 2025, and resumes in March.
The township maintains the liquor license, so is on the hook to pay for liquor purchased on the property. The difference is that the liquor sold through the snack shack will now have to be split 75-25 with RHM, and the township will be reimbursed for purchase and delivery charges of alcohol. “Exeter will retain that portion of revenue it receives from the Snack Shack as reimbursment in an amount equal to the cost of the purchase and the cost of any delivery charges” is an update. The previous contract called for all revenue generated at the snack shack to be that of the township. It will now be split disadvantageously.
Staffing for the entire operation now becomes the responsibility of RHM.
All of the candidates in last year’s election pointed to the slanted terms of the RCC agreement as needing an update that is more equitable to taxpayers. This is what they’re delivering. More of the same.