FENWICK ISLAND – A contract for beach concession services will continue for another two years.
Last Friday, Town Manager Pat Schuchman presented members of the Fenwick Island Town Council with a contract renewal for beach concession services. She said staff was recommending the town renew its contract with Go Melvo for a five-year period.
“They currently pay the town $12,500 per year to operate on the state line beach,” she told the council. “Go Melvo has provided very satisfactory services in the state line beach area for the past eight years and the town has not received a single complaint involving Go Melvo. We’re requesting that a new five-year contract be approved for Go Melvo to continue beach concessionaire services on the state line beach in the amount of $12,500 per year.”
Currently, Go Melvo is the only company to provide concession services to the state portion of Fenwick Island beach.
While the company’s contract, dated May 2013, expired in 2018, the town council at the time opted to extend its contract.
“It was extended for five years, expiring December 31, 2023,” Schuchman told the council last week. “At the time of the original bid process, Go Melvo was the successful bidder, by more than double of the second.highest bidder.”
Schuchman said town staff was recommending the town approve another five-year contract with Go Melvo.
For her part, Mayor Natalie Magdeburger said she was not comfortable with the term.
“I’m thinking maybe two years, just so that we can reassess things after two years,” she said. “I would second a two-year but not a five-year.”
Magdeburger, however, said she supported awarding the contract to Go Melvo.
She said the revenue the company provided the town was fair.
“It’s roughly a third of what he recovers in terms of profits,” she said. “He’s also been very good to the town.”
Councilwoman Jacque Napolitano agreed that a two-year contract should be considered.
“I like the idea of two years as well,” she said. “Five years seems a little long to me.”
Councilman Ed Bishop questioned if the contract could include an escalator clause with a 3% increase after two years.
Magdeburger, however, said she did not support an escalator.
“It’s a money issue versus a service issue,” Bishop said.
After further discussion, the council voted 7-0 to approve a two-year concessions contract with Go Melvo.
