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LTC 170 - 2020 Sidewalk Cafe Index Pilot Phase I UpdateMIAMI BEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachll.gov OFFICE OF THE CITY MANAGER 170-2020 LETTER TO COMMISSION TO: FROM: DATE: SUBJECT: Mayor Dan Gelber and Members of I e City tis:i: Jimmy L. Morales, City Manager April 21, 2020 SIDEWALK CAFÉ INDEX PILOT PHASE I UPDATE The purpose of this Letter to Commission (L TC) is to communicate the results of the newly implemented Sidewalk Café Index Pilot Phase I from FY 2019/20 Quarter 2 (January 1, 2020 to March 16, 2020 aka secret shopper program). Key Metrics Café Index Pilot Phase I % Sidewalk Well Maintained: 90.4% (% no litter 65.5%) % Menu Well Presented: 85.5% (% specials listed in menu 67.2%) % No Hawking Observed: 44.8% Background The Sidewalk Café Index is an objective measurement of established cleanliness/appearance and customer service criteria. The results of the assessments will be used to monitor the impacts of recently implemented ordinances and regulations to target areas for future improvements and assure the quality of services. Phase one of the pilot program includes sidewalk cafes located on Ocean Drive, Washington Avenue, and Espanola Way. At its May 1, 2019 meeting, the Safety, Security and Infrastructures subcommittee of the Mayor's Panel on Ocean Drive recommended the development of a secret shopper program as an investigative tool. Following City Commission referral on June 5, 2019, at its June 28 meeting, the Finance and Citywide Projects Committee (FCWPC) recommended securing $25,000 in funding in the FY 19/20 budget to implement a pilot program in the MXE district. Upon hearing positive feedback regarding the City's attempts to rein in deceitful business practices by certain sidewalk cafes, on July 31, 2019, the FCWPC approved funding an additional $21,000 to extend the program to Espanola Way and Lincoln Road (attachment A). Initially, the administration considered employing a secret shopper program that would be entirely outsourced to a professionally accredited company to perform the investigatory function. However, the cost of engaging a private firm is significantly higher than the City hiring qualified individuals to monitor and report, similar to the City's successful performance assessment programs for trolleys, garage security and attendants, and valet operators. Comparable to the City's other performance assessment programs, the sidewalk cates pilot index was developed to evaluate criteria under two categories: Cleanliness/Appearance and Customer Service (attachment B). L e tt e r to C o m m is s io n -- Si d e w a lk C a fé In d e x P ilo t P h a s e I Up d a te A p r 1 2 1 , 2 0 2 0 P a g e 2 o f 1 1 Prior to index implementation, City staff met with community representatives from the commercial districts, including Ceci Velasco of the Ocean Drive Association, Troy Wright of the Washington Avenue BID, Timothy Schmand of the Lincoln Road BID, and Josh Robbins of the Espanola Way Association. The proposed index was presented in detail to the hospitality leaders, who provided helpful feedback and were enthusiastically supportive of the City's new index. Summary of Sidewalk Café Index Pilot Phase I Overall, the Sidewalk Café Index pilot program phase I resulted in the assessment of 29 of 34 eligible and open cates on Ocean Drive, Washington Avenue, and Espanola Way. The assessments were conducted between January 1, 2020 through March 16, 2020 as the pilot program was suspended early due to COVID-19 related closures. Positive Criteria in FY 2019/20 Pilot Phase I • Appearance and Cleanliness: Overall, 90.8 percent of appearance and cleanliness café assessment criteria rated well with subareas results as follows: 90.4% Sidewalk well maintained with percent above 90% for all criteria except litter with percent with no litter at 65.5%. 89.6% Sidewalk furniture well maintained with percent above 90% for two criteria and the remaining criteria scoring 82.7% furniture safe- high quality, design, and materials, 82.7% table clean, attractive, and orderly, and 86.2% umbrella clean, attractive, and orderly. Observations made included instances of furniture damage, stains, and signs of deterioration. 92.4% Sidewalk usable with percent above 90% for three criteria and the remaining criteria scoring 89. 7% no physical or visual barriers and 79.3% no advertising/special signage. Observations made included the use of planters on the sidewalk. • Customer Service: Overall, 91.4 percent of customer service café assessment criteria rated well with subareas as follows: o 85.5% Menu well presented with percent above 90% for two criteria and the remaining criteria scoring 79.3% with prices listed, 67.2% specials listed in menu, and 81 % gratuity/service charge in 14 point font. Observations made included items requested but not listed on the menu and items offered with no price on menu and not complimentary (Ex. Soda refills and bread). Additionally, specials were often provided verbally with no listing or pricing on the menu. o 97.2% Check/Bill well presented with all criteria scoring above 90% Areas of Focus in FY 2019/20 Pilot Phase I • Hawking: Overall, 44.8 percent of assessments conducted did not experience or observe any hawking during the assessment. However, hawking during assessments were observed as follows: o o o o 24.1% one instance of hawking o 3.5% two instances of hawking o 6.9% three instances of hawking o 6.9% four instances of hawking o 13.8% five instances of hawking Forms of hawking also varied with the most frequent experiences and/or observations for hawking to be verbal (30 instances) and use of menu (14 instances). • Change inaccurate - Payment was made at each transaction using cash. On nine (9) separate occasions, change provided following payment was inaccurate and rounded in the café's favor. In two (2) instances the café did not correct the error, indicating they did not have coins. Letter to Commission -- Sidewalk Café Index Pilot Phase I Update April 21, 2020 Page 3 of 11 Appearance and Cleanliness 90.8% Sidewalk Well Maintained 90.4% No Sidewalk Stains 93.1% No Graffiti/ Advertisements 96.6% No Litter 65.5% No Standing Water/Organic Material 96.6% No Odor 100.0% Sidewalk Furniture Well Maintained 89.6% Table Clean Attractive and Orderly 86.2% Chairs Clean Attractive and Orderly 93.1% Umbrella Clean Attractive and Orderly 86.2% Furniture Safe - high quality, design, and materials 82.7% Signage well-maintained and usable 100.0% Sidewalk Usable 92.4% No Physical or Visual Barriers 89.7% No Stacking of Chairs 96.6% No Specials Boards 96.6% No Advertising/Specia I Sign age 79.3% No Food Display 100.0% Customer Service 91.4% Menu Well Presented 85.5% Menu Provided with Prices Listed 79.3% Specials Listed in Menu 67.2% Sha ring Fees in 14 pt font 100.0% Gratuity/service charge in 14 pt font 81.0% Corkage Fee Disclosed 100.0% Check/Bill Well Presented 97.2% Electronic or Paper Bill Provided 100.0% Itemized gratuity/tip 100.0% Itemized service charge/corkage fee/sharing fee 100.0% Itemized resort tax and sales tax 93.1% Gratuity calculated pre tax 93.1% Hawking Observation Instances No instances of hawking observed 44.8% One instance of hawking observed 24.1% Two instances of hawking observed 3.5% Three instances of hawking observed 6.9% Four instances of hawking observed 6.9% Five instances of hawking observed 13.8% Forms of Hawking Experienced or Observed Aggressive hawking - Verbal 30 Aggressive hawking- Use of menu 14 Aggressive hawking - Use of card/coupon o Aggressive hawking - following customers 4 Aggressive hawking - blocking pedestrian path o Aggressive hawking- host/hostess on two sides of path 2 Overall Report - Sidewalk Café Phase I Pilot Letter to Commission --- Sidewalk Café Index Pilot Phase I Update April 21, 2020 Page 4 of 11 Due to the impact of COVID-19, all city performance indexes and programs were suspended effective April 1, 2020 through September 31, 2020. The program will be considered for reinstatement during the FY21 budget process. If you or any member of your staff is interested in participating as an Excellence Program assessor, please contact Dr. Leslie Rosenfeld with Organization Development Performance Initiatives at extension 26923. If you have any further questions, please feel free to contact me. Attachment A- Sidewalk Cafes Attachment B - Sidewalk Café Index c: Mark Taxis, Assistant City Manager Eric Carpenter, Assistant City Manager Dr. Leslie Rosenfeld, Chief Learning and Development Officer Amy Mehu, Economic Development Assistant Director 4io Letter to Commission - Sidewalk Café Index Pilot Phase I Update Apnl 21, 2020 Page 5 of 11 ATTACHMENT A SIDEWALK CAFES R e sta u ra n t N a m e Address Number Street SF Senor Frog's 1450 Collins Ave 283 Betsy Ross Hotel 1440 Ocean Drive 418 Purple Penguin Café 1418 Ocean Drive 271 LA CERVECERIA DEL BARRIO 1412 Ocean Drive 331 Havana 1957 Ocean 1410 Ocean Drive 572 II Bolognese 1400 Ocean Drive 342 Finnegans Way 1344 Ocean Drive 495 BICE CUCINA (Cardozo Bar & Grill) 1300 Ocean Drive 599 Carlyle Café 1250 Ocean Drive 539 II Giardino 1236 Ocean Drive 504 Sugar Factory 1144 Ocean Drive 679 WILD 'N OUT (Down & Dirty Tacos) 1144 Ocean Drive 291 Palace 1052E Ocean Drive 235 Margarita Beach Club (la Baguettte) 1052B Ocean Drive 450 SOCIAL (Kitchen) 1024 Ocean Drive 370 2K Clevelander 1020 Ocean Drive 684 Ocean Ten 960 Ocean Drive 753 Havana 1957 (Paparazzi) 940 Ocean Drive 663 Voodoo 928 Ocean Drive 294 Mango's Tropical Café 900 Ocean Drive 860 Café Milano 850 Ocean Drive 312 Letter to Commission - Sidewalk Café Index Pilot Phase I Update April 21, 2020 Page 6 of 11 R e sta u ran t Name Address Number Street SF Pelican Hotel 826 Ocean Drive 340 Larios on the Beach 820 Ocean Drive 333 News Café 800 Ocean Drive 537 Wet Willies 760 Ocean Drive 221 Starlite Hotel 750 Ocean Drive 336 Boulevard Restaurant 740 Ocean Drive 342 A Fish Called Avalon 700 Ocean Drive 563 Ocean 7 Café 660 Ocean Drive 293 Jalapeno Mexican Grill 530 Ocean Drive 731 COLOSSEUM CAFÉ 510 Ocean Drive 228 TGI Friday's 500 Ocean Drive 621 The Place 720 Ocean Drive 518 The Fritz 524 Ocean Drive 440 Five Guys Burgers & Fries 1500 Washington Ave 296 Havana 1957 1446 Washington Ave 486 Andrix Cafe 1443 Washington Ave 188 Pizza Rustica 863 Washington Ave 355 A La Folie 516 Espanola Way 175 Ceviche 105 1245 Lincoln Rd 287 Huahua's LLC 1211 Lincoln Rd 281 Doraku Lincoln Road 1104 Lincoln Rd 240 5egafredo/Colony Theater 1040 Lincoln Rd 1,813 Balans LC 1022 Lincoln Rd 2,059 Letter to Commission -- Sidewalk Café Index Pilot Phase I Update Apr1 21, 2020 Page 7 of 11 Restaurant Name Address Number Street SF Fin nega ns Two 942 Lincoln Rd 858 Groovy's Pizza 938 Lincoln Rd 695 Books & Books of Lincoln Road Inc. 927 Lincoln Rd 1,433 Carmelo Family Kitchen (former TOCAYA} 920 Lincoln Rd 835 Meat Market 915 Lincoln Rd 1,443 LA CERVECERIA DEL BARRIO 836 Lincoln Rd 1,426 MONTALCINO (Sibilla} 833 Lincoln Rd 1,225 Havana 1957 819 Lincoln Rd 2,088 Maya's Tapas & Grill 809 Lincoln Rd 1,226 Starbucks #8251 749 Lincoln Rd 319 Spris Inc. 731 Lincoln Rd 1,349 TAVERNA 719 Lincoln Rd 1,308 Nexxt Café 700 Lincoln Rd 1,414 4D Lincoln LLC 670 Lincoln Rd 224 Pizza Rustica 667 Lincoln Rd 1,252 HAAGEN DAZS (16 Handles) 665 Lincoln Rd 240 KANSAS (El Machos Tacos (former Sugar 647 Lincoln Rd Factory}) 1,242 BAROLO {II Bolognese} 626 Lincoln Rd 1,259 Rio Station Juice Bar Inc 625 Lincoln Rd 1,084 7 SPICES {Freddo} 610 Lincoln Rd 1,121 Cantinetta Restaurant 607 Lincoln Rd 1,648 Starbucks #13007 605 Lincoln Rd 392 Sushi Samba Oromo 600 Lincoln Rd 1,386 Letter to Commission - Sidewalk Café Index Pilot Phase I Update Aprl 21, 2020 Page 8 of 11 Restaurant Name Address Number Street SF -- Tapelia (fmr. Montaditos) 551 Lincoln Rd 1,283 Rosinella (Portofino) 525 Lincoln Rd 1,370 Yuca Restaurant 501 Lincoln Rd 856 Shake Shack 1111 Lincoln Rd, Apt 14 351 Nespresso 1111 Lincoln Rd, Apt 9 252 Haagen Daz 1670 Collins Ave 144 SBarro 1668 Collins Ave 70 Rosetta Bakery 1666 Collins Ave 69 THE ALLEY PIZZERIA 1433 Collins Ave - Cavalier Hotel 1320 Ocean Drive - CHICKEN BRASA 1260 Washington Ave - MIU's TEA 1520 Washington Ave 57 Hiro's Sushi Express South Beach 1518 Washington Ave 42 Sriracha House Fast Food 1502 Washington Ave 116 Sfilatino LLC / DBA Pane & Vino 1450 Washington Ave 105 Moshi Mishi (Sushi Yama Japanese) 1448 Washington Ave 106 Grafa Pizza 1357 Washington Ave 77 Juice & Java II Inc 1346 Washington Ave 56 Peppers Burrito Grill 1238 Washington Ave - MIAMI FRIED CHICKEN 855 Washington Ave - Bolivar Restaurant 841 Washington Ave 114 Iron Sushi 840 Washington Ave 16 La Ventana 71 0 Washington Ave 69 Letter to Commission -- Sidewalk Café Index Pilot Phase I Update Apr1 21, 2020 Page 9 of 11 Restaurant Name Address Number Street SF Panizza Bistro 1229 Lincoln Rd 98 Yogen Fruz 521 Lincoln Rd 132 CALA (Leslie Café) 1244 Ocean Drive 297 ICON (Prime Time) 860 Ocean Drive 383 Kantina (Deco Grill) 834 Ocean Drive 324 Oliver's Bistro (Columbus Restaurant) 736 Ocean Drive 332 Caffe Di Mauro Washington Ave Baires Grill 1116 Lincoln Rd 394 Rosa Mexicano South Beach 1111 Lincoln Rd 603 Rio Station Grill 2 (former Aura) Restaurant 613 Lincoln Rd 929 Lola Restaurant Grill 1223 Lincoln Rd 112 Letter to Commission -- Sidewalk Café Index Pilot Phase I Update April 21, 2020 Page 10 of 11 ATTACHMENT B SIDEWALK CAFÉ INDEX Will use Yes/No for each of the criteria below leading to a score from 1 Extremely well maintained/excellent customer service to 6 Poorly maintained/poor customer service. 5 Yes = 1 score 4 Yes = 2 score 3 yes= 3 score 2 yes = 4 score 1yes = 5 score O yes = 6 score Cleanliness /Appearance Sidewalk Well- Maintained • No sidewalk stains • No graffiti or advertisements • No litter on ground • No standing water/organic material • Odor free Sidewalk Furniture Well-Maintained • Table clean, attractive and orderly • Chairs clean, attractive and orderly • Umbrella clean, attractive and orderly • Furniture safe - high quality, design, and materials • Signage well maintained and usable Pull down comment for informational purposes Furniture damaged Furniture stained • Furniture signs of deterioration Sidewalk Usable • No physical or visual barriers around permitted area • No stacking or pilling of chairs and storage of dishes/silverware • No specials board • No advertising and/or special signage (including on tables) signs • No food displays Pull down comment for informational purposes Furniture blocking walkway • Planters on sidewalk More than 1 menu board every 50 ft Customer Service Menu Well-Presented • Menu provided with prices listed adjacent to item 1. Item requested not listed on menu 2. Item requested no price provided and not complimentary • Specials listed in menu or provided on separate menu with prices listed adjacent to item with terms & conditions • Automatic sharing fees/charges on menu in minimum 14 point font or N/A • Gratuity/service charge explained on all menus in minimum 14 point font and same % on each menu • Corkage fee or set up fee disclosed on menu or N/A Letter to Commission - Sidewalk Café Index Pilot Phase I Update April 21, 2020 Page 11 of 11 Pull down comment for informational purposes Specials provided verbally not on a menu Specials provided separately with no price listed Menu item change requested but price not provided Check/Bill Well-Presented • Electronic or paper bill provided • Itemized gratuities/tip • Itemized service charge, corkage fee, set up fee, or sharing fee • Itemized 2% resort tax and 7% sales tax calculated on pre gratuity/tip charge amount or N/ A ( service charge taxable) • Gratuity calculated on pre-tax sale amount of food/drinks and service charges (if applicable) Pull down comment for informational purposes Tipping not clear on menu or wrong tip calculated • Had to request bill This section will be a selection of one observation resulting in the score indicated: Hawking Observation • No hawking experienced or observed (1 score) • One instance of hawking observed (2 score) • Two instances of hawking observed (3 score) • Three instances of hawking observed (4 score) • Four instances of hawking observed (5 score) • Five or more instances of hawking observed (6 score) Pull down comment for informational purposes Aggressive hawking - verbal Aggressive hawking - use of menu Aggressive hawking - use of card/coupons Aggressive hawking -- following customers Aggressive hawking - blocking pedestrian path • Aggressive hawking - host/hostess on two sides of pedestrian path Pull down comment for general informational purposes Live entertainment or speakers • Single use plastic beverage or stirrers • Café furniture within 5 feet of an alley, pedestrian crosswalk or corner curb out • Café furniture within 1 O feet of bus bench/shelter • Plastic bag provided for single use carry out • Change rounded to favor café • Item requested from menu wrong price on bill