This is to authorize the City to purchase alcohol beverage products for Allen Event Center and The Courses at Watters Creek through Andrews Distributing.  With this, there is no contractual obligation for purchase and will only be purchased on an as-needed basis to ensure competitive pricing.  

Through our Texas Alcoholic Beverage Commission (TABC) license, we currently are able to sell alcohol at both City of Allen locations of Allen Event Center and at The Courses at Watters Creek.  As a revenue source for both locations, we traditionally have maintained 15 - 20% cost of goods sold in our pricing strategy on alcohol.  

The Projected General Fund Expense of $130,000 contributes to the overall projected alcohol beverage revenue of $935,575 within a twelve (12) month period.  The purchase expense is recovered by alcoholic beverage resale at both facilities.  Revenue and expenses are budgeted for and approved in the FY22 Budget.

Staff recommends that the City Council Authorize the City Manager to Approve Annual Beverage Purchases from Andrews Distributing for Parks and Recreation Used for Resale at Allen Event Center and The Courses at Watters Creek in the Amount of $130,000.

I make a motion Authorizing the City Manager to Approve Annual Beverage Purchases from Andrews Distributing for Parks and Recreation Used for Resale at Allen Event Center and The Courses at Watters Creek in the Amount of $130,000.