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Concession ideas

Concession ideas

Do you have a proposal for a new concession within Michigan state parks and recreation areas? The following is an outline of the process and a list of information the Department requires in order to consider your proposal.

Process

The Michigan Department of Natural Resources (DNR) is required to offer concession contracts through a competitive bid process. However, if a concession contract does not exist in the particular location you’re interested in operating at, you may be granted a short-term contract. If the concession is successful, a long-term contract must be offered through a competitive bidding process. Prior to issuance of a short-term contract, a DNR team will review a formal proposal and determine if the proposed concession meets approval.

Formal proposal

In order to consider a formal proposal for operation of a concession on state land, the DNR requires that a formal proposal be submitted. A formal proposal should contain, at a minimum, the following information:

Name of park or recreation area where the proposed activity is to occur. Please include a specific location with the park.

  • Full description of the services and/or products to be offered to visitors.
  • Price list. If a food concession, a menu must be included. A food menu must contain a minimum of 33% of healthy choices and those choices must be indicated on the menu.
  • Proposed operational hours (i.e. Daily, 10 a.m. to 9 p.m.).
  • Proposed season (i.e. Labor Day to Memorial Day).
  • Business references – at least two.
  • Description of your business experience.

Insurance requirements

If your proposal is approved and you are issued a short-term contract, the following insurance requirements will be instituted:

  • The State requires that an aggregate general liability insurance policy listing the State of Michigan, its departments, divisions, agencies, offices, commissions, officers, employees, and agents as additional insured. The aggregate coverage amount will depend on the type of operation.
  • The State requires workman compensation, OR a written statement that you are not required to carry this type of insurance.

Payment

The DNR does not require a fee to submit a proposal. Your proposal should include a proposed contract fee, based on a percentage of gross sales. The standard amount collected by a concessionaire is 10% of gross sales.

Submission

Submit your formal proposal to GreenL9@Michigan.gov. If you have questions, you may contact Lori Green at 989-889-9178