Federation Council is going back to the drawing in the pursuit of an operator for Corowa's Ball Park caravan park.
Last month, councillors were presented with a report confirming the tender awarded to management company, Remlap, couldn't be executed after negotiations between the two parties on a conforming tender offer weren't successful.
The contract was due to commence on March 1, but "insurance matters" were reportedly the sticking point.
Key features of the contract included a fixed sum of $150,000 paid annually and an incentive payment of up to five per cent of the total tourist revenue subject to meeting agreed key performance indicators for the management and operation of the park.
Due to the high public interest in the tender process a probity advisor was also appointed.
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To keep the park operational council has engaged short-term caretaker managers with park patronage high during the Victorian Labor Day long weekend, Easter, school holidays and the spike in domestic travel due to COVID-19 bans on overseas travel.
This week the council agreed to allow general manager Adrian Butler to negotiate with three interested parties including Remlap.
The other parties are Elite Park Management and Sonia and Peter Baldwin with an update on negotiations to be presented to the May council meeting.
The reasons for declining to invite fresh tenders relate to time, cost, current staff impacts and the reduced chances of other parties submitting tenders based on the same or similar terms.
Council considers parties named to possess the ability to perform the requirements of the management contract and have expressed interest in the contract.
It took over park management in mid-2019 and encountered a string of setbacks including bushfires, COVID-19 and long-term casual occupants of the park needing to remove caravans, cabins and other structures to meet compliance standards.
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