Resolution 2024-33369 RESOLUTION NO. 2024-33369
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, APPROVING AMENDMENT NO.
4 TO THE PROFESSIONAL SERVICES AGREEMENT BETWEEN
THE CITY OF MIAMI BEACH AND CAMILLUS HOUSE, INC. FOR
EMERGENCY SHELTER SERVICES, AMENDING SECTION 3.1 OF
THE AGREEMENT, "FIXED FEE," TO STIPULATE RENEWAL
TERMS OF THE AGREEMENT, AND AMENDING SECTION 3.2 OF
THE AGREEMENT, "INVOICING", TO PERMIT ADVANCED
PAYMENT FOR SHELTER BED SERVICES AND ASSOCIATED
COSTS; AUTHORIZING THE CITY MANAGER AND CITY CLERK TO
EXECUTE THE AMENDMENT; AND FURTHER AMENDING
SECTION 4.6 OF THE AGREEMENT, "CHANGES AND
ADDITIONS," TO AUTHORIZE THE CITY MANAGER AND CITY
CLERK TO EXECUTE SUBSEQUENT AMENDMENTS, BASED ON
NEED AND BUDGET APPROPRIATION.
WHEREAS, on September 25, 2017, the Mayor and City of Miami Beach ("City")
Commission adopted Resolution No. 2017-30000, approving the award of Request for
Proposal ("RFP") No. 2017-293-KB for Emergency Shelter Beds to Serve Homeless
Population; and
WHEREAS, on March 21, 2018, the City and Camillus House Inc. (the "Contractor")
executed a Professional Services Agreement pursuant to the RFP(the"Agreement"); and
WHEREAS, the Agreement included an initial term of five (5) years, with the option
to renew for two-year renewal terms at the City Manager's sole option and discretion; and
WHEREAS, Section 3.1 of the Agreement established the following
Year 1- $26.35 per bed, for a minimum of 12 beds not to exceed $198,126.65
Year 2- $27.14 per bed, for a minimum of 12 beds not to exceed $ 204,069.42
Year 3- $27.95 per bed, for a minimum of 12 beds not to exceed $ 210,191.35
Year 4- $28.79 per bed, for a minimum of 12 beds not to exceed $ 216,497.25
Year 5- $29.66 per bed, for a minimum of 12 beds not to exceed $ 222,992.16; and
WHEREAS, although the RFP stipulated two (2) two-year renewal terms, Section
4.2 of the Agreement inadvertently states two (2) one-year renewal terms; and
WHEREAS, on November 10, 2020, following the determination that the City may
require a greater amount of beds per year than originally anticipated to effectively manage
the rise in demand for said beds, the City executed Amendment No. 1 to the Agreement,
removing the not to exceed amount inadvertently incorporated in the Agreement and
correcting the renewal terms of the Agreement from a two (2) one-year renewal terms to
two (2)two-year renewal terms with the approval of the City Manager; and
WHEREAS, on December 14, 2022, the Mayor and City Commission approved item
C2J, which authorized the increase in the rates by 3% for each additional daytime bed,
pursuant to Section 4.6 of the Agreement, and further authorized the City Manager to
execute the Amendment; and
WHEREAS, on April 5, 2023,the City executed Amendment No. 2 to the Agreement,
adjusting the fixed fee price per bed, per day for the term of the renewal agreement, to
reflect a 3% increase, for a fixed fee price of$30.55 per bed, per day, and to stipulate that
all expenditures are contingent upon annual budget appropriations; and
WHEREAS, on December 19, 2023, Camillus House presented the Office of
Housing and Community Services with a proposal to increase the City's emergency
shelter bed roster by six (6) beds, for a total of eighteen (18) emergency shelter beds at
the current rate of$30.54 per bed, per day; and
WHEREAS, on January 31, 2024, the Mayor and City Commission approved item
C2K, authorizing the purchase of six(6) additional emergency shelter beds at the current
rate of$30.54 per bed, per day; and
WHEREAS, on March 4, 2024, the City executed Amendment No. 3 to the
Agreement, increasing the City's emergency shelter bed roster by six (6) beds, for a total
of eighteen (18) emergency shelter beds at the rate of$30.54 per bed, per day; and
WHEREAS, on or around June 20, 2024, the Contractor notified the City of
significant increases in operational costs that pose challenges in maintaining shelter beds
and related services at the current rate of$30.54, and proposed an increase to the daily
bed rate to $67.44 effective October 1, 2024; and
WHEREAS, the City indicated to the Contractor that it could not agree to pay a rate
other than the rate required by the Agreement; and
WHEREAS, on September 10, 2024, the Contractor sent a letter to the City
indicating it would discontinue services effective September 30, 2024; and
WHEREAS, on September 16, the City notified the Contractor that its September
10, 2024 letter constituted an anticipatory breach of the Agreement and demanded that
the Contractor immediately rescind its termination notice and confirm that it would fully
perform its obligations under the Agreement; and
WHEREAS, on October 18, 2024, the City agreed to amend certain terms of the
Agreement, solely as an accommodaton to the Contractor: and
WHEREAS, Section 3.1 of the Agreement is being amended by inserting the
following sentence at the end of such Section: "Notwithstanding anything to the contrary
in this Agreement, if the City elects to exercise its option to extend the Agreement for the
second two-year renewal term, the City and Contractor acknowledge and agree that they
shall negotiate in good faith the rate to apply to beds to be included in the roster of beds.
The Contractor shall provide the City with documentation substantiating the cost of
providing the shelter services, it being understood and agreed that the fee per bed to be
charged will not exceed the actual, direct costs of providing the emergency housing
services. For the avoidance of doubt, any rate increase agreed to by the parties shall only
apply from and after April 1 2025."; and
WHEREAS, Section 3.2 is being amended to indicate that Contractor may submit a
monthly invoice in advance of providing services via postal or Electronic (E-mail) mail
forty-five (45) days prior to the month of service, which includes a description of the
Services to be provided in the month of service, including the number of beds, associated
costs, and clients served. If the City and Contractor are unable, despite good faith efforts,
to agree on a new rate to apply to beds during the second renewal term, such rate to be
based on the actual cost of providing the shelter services. then this Agreement shall
terminate on March 31, 2025; and
WHEREAS, "Exhibit A", "Scope of Services" is amended to include indication that
the Contractor has requested that the City reduced its bed roster by securing beds with
alternative providers for the remainder of the term ending March 31, 2025; if the City
secures shelter beds with alternative providers that are secured specifically to reduce the
current bed roster for the duration of the Agreement, Camillus House, Inc. will absorb the
difference in daily bed costs; and
WHEREAS, Section 4.6 of the Agreement, "Changes and Additions", stipulates that
any changes and additions to the terms of the Agreement shall be by a written
amendment, signed by the duly authorized representatives of the City and Contractor, and
that no alteration, change, or modification of the terms shall be valid unless amended in
writing, signed by the parties hereto, and approved by the City; and
WHEREAS, the Administration seeks the authorization of the City Manager to
execute subsequent amendments to the Agreement based on need and budget
appropriation.
NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby approve Amendment No. 4 to the Professional Services Agreement
between the City of Miami Beach and Camillus House, Inc. for Emergency Shelter
Services, amending Section 3.1 of the Agreement, "Fixed Fee,"to stipulate renewal terms
of the Agreement, and amending Section 3.2 of the Agreement, "Invoicing", to permit
advanced payment for shelter bed services and associated costs; authorize the City
Manager and City Clerk to execute the Amendment; and further amend Section 4.6 of the
Agreement, "Changes and Additions," to authorize the City Manager and City Clerk to
execute subsequent amendments, based on need and budget appropriation.
PASSED AND ADOPTED this_ o20 day of Avdn16Cd 2024.
ATTEST:
A. NOV 2 Z 2Q24
RAFAEL . GRANADO, CITY CLERK STEVEN MEINER, MAYOR
APPROVED AS TO
Sponsored by Commissioner Alex J. Fernandez FORM & LANGUAGE
& ! : ,ELUTION
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11)131-2-'"24-
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City Attorney .9 Date
INCORP iORATEDI`
Resolutions - C7 N
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Eric Carpenter, City Manager
DATE: November 20, 2024
TITLE: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING AMENDMENT NO. 4 TO THE
PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF MIAMI
BEACH AND CAMILLUS HOUSE, INC. FOR EMERGENCY SHELTER SERVICES,
AMENDING SECTION 3.1 OF THE AGREEMENT, "FIXED FEE," TO STIPULATE
RENEWAL TERMS OF THE AGREEMENT, AND AMENDING SECTION 3.2 OF
THE AGREEMENT, "INVOICING", TO PERMIT ADVANCED PAYMENT FOR
SHELTER BED SERVICES AND ASSOCIATED COSTS; AND AUTHORIZING THE
CITY MANAGER AND CITY CLERK TO EXECUTE THE AMENDMENT; AND
FURTHER AMENDING SECTION 4.6 OF THE AGREEMENT, "CHANGES AND
ADDITIONS," TO AUTHORIZE THE CITY MANAGER AND CITY CLERK TO
EXECUTE SUBSEQUENT AMENDMENTS, .BASED ON NEED AND BUDGET
APPROPRIATION.
RECOMMENDATION
The Administration recommends approving the Resolution to authorize the execution of
Amendment No.4 to the Professional Services Agreement ("Agreement") between the City of
Miami Beach and Camillus House, Inc. ("Contractor") for emergency shelter services.
BACKGROUND/HISTORY
On September 25, 2017, the Mayor and City Commission ("City Commission") adopted
Resolution No. 2017-30000, approving the award of Request for Proposal ("RFP") No. 2017-293-
KB for Emergency Shelter Beds to Serve Homeless Population. On March 21, 2018, the City and
Camillus House, Inc. entered into an Agreement to provide twelve (12) emergency shelter beds
for a five (5)-year term. The rate was set at $26.35 per bed, per day, for Year 1, with the total
amount not to exceed $198,126.65. Each subsequent year of the agreement included a 3%
increase in the daily rate. with the option of two, one-year renewal terms at the City Manager's
discretion.
Although the RFP stipulated two, two-year renewal terms, Section 4.2 of the Agreement
inadvertently stated two, one-year renewal terms. Amendment No.1 to the Agreement was
executed on November 10, 2020 to remove the not-to-exceed amounts incorporated in the
Agreement to permit the purchase of additional emergency shelter beds, and to correct the
renewal terms from two, one-year renewal options to two, two-year renewal options at the City
Manager's discretion.
Following the City Commission approved item C2J at its December 14, 2022 meeting,
Amendment No. 2 was executed on April 5, 2023, to increase the daily bed rate by 3% for the first
renewal term of the Agreement, setting the new rate at a fixed price of$30.55 per bed, per day.
On January 31, 2024, the City Commission approved item C2K, authorizing the purchase of six
(6)additional emergency shelter beds at Camillus House, for a total of eighteen (18)shelter beds,
Page 391 of 1993
at the rate of $30.54 per bed, per day. Amendment No.3 was executed on March 4, 2024, to
reflect the increase in the City's shelter bed allocation from twelve (12) beds to eighteen (18)
beds. The City's current Agreement with the Contractor expires on March 8, 2025. The City and
the Contractor have acknowledged and agreed that if the City elects to exercise its option to
extend the Agreement for the second two-year renewal term, that they shall negotiate in good
faith the rate to apply to beds to be included in the roster of beds.
On June 20, 2024, the Contractor notified the City of significant increases in operational costs
that pose challenges in maintaining shelter beds and associated services at the current rate of
$30.54. As a result, the Contractor proposed increasing the daily bed rate to $67.44. The
Administration responded to the Contractor's proposal, stating that it could not approve a rate
higher than what was specified in the Agreement. In response, the Contractor sent a letter
(attached) to the City on September 16, 2024, formally notifying that it would discontinue its
services, effective September 30, 2024.
The City subsequently informed the Contractor that its letter of discontinuance amounted to an
anticipatory breach of the Agreement, demanding that it be revoked, and it be further confirmed
that the Contractor would fully perform its obligations under the Agreement.
The Contractor additionally requested that the City reduce its bed roster by securing beds with
alternative providers for the remainder of the Agreement's first renewal term, agreeing to absorb
the difference in daily bed rate costs.
On October 18, 2024, the City agreed to amend the terms of the Agreement, solely as an
accommodation to the Contractor.
ANALYSIS
The Administration is seeking the approval of Amendment No.4 (attached) to the Agreement,
amending the following:
• Section 3.1, "Fixed Fee", to memorialize the renewal terms of the Agreement, stipulating
that if the City elects to exercise its option to extend the Agreement for the second two-
year renewal term, the City and Contractor acknowledge and agree that they shall
negotiate, in good faith, the rate of emergency shelter beds.
• Section 3.2, "Invoicing", to permit up to forty-five days advanced payment for emergency
shelter bed services and associated costs.
• "Exhibit A", "Scope of Services", to indicate that if the City secures shelter beds with
alternative providers to specifically reduce the current bed roster for the duration of the
Agreement, the Contractor will absorb the difference in daily bed rate costs.
• Section 4.6, "Changes and Additions", to authorize the City Manager and City Clerk to
execute subsequent Amendments of the Agreement based on need and budget
appropriation.
In addition to the Camillus House, Inc., the City currently has active Agreements for emergency
shelter beds with the following providers:
• The Caring Place (Miami Rescue Mission)- 15 emergency shelter beds for single men
• The Sundari Foundation, Inc. D/b/a The Lotus House- 8 emergency shelter beds for
women, children, and transgender women
• The Salvation Army-23 emergency shelter beds for single men and women, 1 family room
(Inclusive of 6 beds), and 4 emergency shelter beds for Police Afterhours placements
Page 392 of 1993
The Administration is currently exploring options to expand shelter bed services in order to
continue supporting individuals experiencing homelessness in Miami Beach.
FISCAL IMPACT STATEMENT
No Fiscal impact
Does this Ordinance require a Business Impact Estimate?
(FOR ORDINANCES ONLY)
If applicable, the Business Impact Estimate (BIE) was published on:
See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meetinq-notices/
FINANCIAL INFORMATION
N/A
CONCLUSION
The Administration recommends approving Amendment No.4 to the Professional Services
Agreement with Camillus House, Inc. and authorizing the City Manager and City Clerk to execute
said Amendment and any subsequent Amendments based on need and budget appropriation.
Applicable Area
Citywide
Is this a "Residents Right to Know" item, Is this item related to a G.O. Bond
pursuant to City Code Section 2-17? Project?
No No
Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481,
includes a principal engaged in lobbying? No
If so, specify the name of lobbyist(s) and principal(s):
Department
Housing and Community Services
Sponsor(s)
Co-sponsor(s)
Condensed Title
Page 393 of 1993
11441111k,
Camillus
1-louse A Ministry of the Hospitaller Brothers of St. John of God
September 10, 2024
Mayor and City Commission
City of Miami Beach
1700 Convention Center Drive
Miami Beach, FL 33139
RE: Camillus House Emergency Shelter Services
Dear Mayor and City Commissioners,
I hope this letter finds you well. I wanted to follow up on our recent tour of the facility (with Mayor
Meiner) and discuss an important matter regarding our emergency shelter services in Miami Beach.
As you know,we currently operate 18 shelter beds under contract with the City. However,the
funding rate we receive is insufficient to cover the operational costs,resulting in significant financial
strain on Camillus House.We have worked diligently to manage these expenses,but it has become
clear that continuing to operate these beds at the current rate is no longer sustainable.
After engaging with your staff,it appears there is no viable option to secure an increase in funding to
support these services.Consequently, I regret to inform you that,effective September 30, 2024,
Camillus House will need to discontinue our shelter bed services in Miami Beach.
We appreciate the collaboration we have had with the City of Miami Beach thus far and remain open
to exploring future opportunities to address the shelter needs in our community.
Thank you for your understanding. Please do not hesitate to reach out if you would like to discuss
this matter further.
Sincerely,
Eduardo J. Gloria
Acting CEO
cc: David Martinez, Interim Assistant City Manager
Alba Tarre,Director of Housing and Community Services
HOPE IS WHERE THE HEART IS
1603 NW 7th Avenue, Miami, FL 33136 I Tel 305.374.1065 I camillus.org
Page 395 of 1993
AMENDMENT NO. 4 TO THE PROFESSIONAL SERVICE AGREEMENT
BETWEEN
THE CITY OF MIAMI BEACH, FLORIDA
AND
CAMILLUS HOUSE, INC.
FOR
EMERGENCY SHELTER SERVICES
This Amendment No. 4 (this "Amendment") to the Agreement, dated March 9, 2018, is
entered into this , day of , 20_ ("Effective Date"), by and between
the City of Miami Beach, Florida, a municipal corporation organized and existing under the
laws of the State of Florida, having its principal place of business at 1700 Convention
Center Drive, Miami Beach, Florida 33139 (the "City"), and Camillus House Inc., a non-
profit Corporation, having its principal place of business at 1603 NW 7 Avenue, Miami, FL,
33136 (the"Contractor"), and hereby amends the Contract as follows:
RECITALS
WHEREAS,on September 25,2017,the Mayor and Commission of the City of Miami
Beach adopted Resolution No. 2017-30000, approving the award of Request for Proposal
("RFP") No. 2017-293-KB for Emergency Shelter Beds to Serve Homeless Population;
and
WHEREAS, on March 9, 2018,the City and Contractor executed the Agreement for
Emergency Shelter Beds pursuant to the RFP(the"Agreement"); and
WHEREAS, the Agreement included an initial term of five(5) years, with the option
to renew for two-year renewal terms at the City Managers sole option and discretion; and
WHEREAS, Section 3.1 of the Agreement established the following
Year 1-$26.35 per bed, for a minimum of 12 beds not to exceed$198,126.65
Year 2- $27.14 per bed, for a minimum of 12 beds not to exceed$204,069.42
Year 3-$27.95 per bed, for a minimum of 12 beds not to exceed$210,191.35
Year 4-$28.79 per bed, for a minimum of 12 beds not to exceed$216,497.25
Year 5-$29.66 per bed, for a minimum of 12 beds not to exceed $ 222,992.16; and
WHEREAS, although the RFP stipulated two (2) two-year renewal terms, Section
4.2 of the Agreement inadvertently states two(2) one-year renewal terms; and
WHEREAS, on November 10, 2020, following the determination that the City may
require a greater amount of beds per year than originally anticipated to effectively manage
the rise in demand for said beds, the City executed Amendment No. 1 to the Agreement,
removing the not to exceed amount inadvertently incorporated in the Contract and
correcting the renewal terms of the Agreement from a two (2) one-year renewal terms to
two (2)two-year renewal terms with the approval of the City Manager; and
WHEREAS, on December 14, 2022,the Mayor and City Commission approved item
C2J, which authorized the increase in the rates by 3% for each additional daytime bed,
pursuant to Section 4.6 of the Agreement, and further authorized the City Manager to
execute the Amendment; and
Page 396 of 1993
WHEREAS,on April 5,2023,the City executed Amendment No.2 to the Agreement,
adjusting the fixed fee price per bed, per day for the term of the renewal agreement, to
reflect a 3%increase, for a fixed fee price of$30.55 per bed, per day, and to stipulate that
all expenditures are contingent upon annual budget appropriations; and
WHEREAS, on December 19, 2023, Camillus House presented the Office of
Housing and Community Services with a proposal to increase the City's emergency
shelter bed roster by six (6) beds, for a total of eighteen (18) emergency shelter beds at
the current rate of$30.54 per bed, per day; and
WHEREAS, on January 31, 2024, the Mayor and City Commission approved item
C2K, authorizing the purchase of six (6) additional emergency shelter beds at the current
rate of$30.54 per bed, per day; and
WHEREAS, on March 4, 2024, the City executed Amendment No. 3 to the
Agreement, increasing the City's emergency shelter bed roster by six(6) beds, for a total
of eighteen (18) emergency shelter beds at the rate of$30.54 per bed, per day; and
WHEREAS,on or around June 20, 2024, the Contractor notified the City of significant
increases in operational costs that pose challenges in maintaining shelter beds and related
services at the current rate of$30.54, and proposed an increase to the daily bed rate to
$67.44 effective October 1, 2024; and
WHEREAS, the City indicated to the Contractor that it could not agree to pay a rate
other than the rate required by the Agreement; and
WHEREAS, on September 10, 2024, the Contractor sent a letter to the City indicated
it would discontinue services effective September 30, 2024; and
WHEREAS, on September 16, the City notified the Contractor that its September 10,
2024 letter constituted an anticipatory breach of the Agreement and demanding that the
Contractor immediately rescind its termination notice and confirm that it would fully
perform its obligations under the Agreement; and
WHEREAS, on October 18, 2024, the City agreed to amend certain terms of the
Agreement, solely as an accommodaton to Contractor; and
WHEREAS, the parties desire to amend the terms of the Agreement as set forth in
this Amendment.
NOW THEREFORE, in consideration of the mutual promises and conditions contained
herein, and other good and valuable consideration, the sufficiency of which is hereby
acknowledged,the City and Contractor hereby agree to amend the Agreement as follows:
1. ABOVE RECITALS.
The above recitals are true and correct and are incorporated as part of this
Amendment. •
2. MODIFICATIONS.
Page 397 of 1993
The Agreement is hereby modified (deleted items struck thro ughand inserted
items are underlined) as follows:
a) Section 3.1 of the Agreement is hereby amended by inserting the following
sentence at the end of such Section: "Notwithstanding anything to the
contrary in this Agreement, if the City elects to exercise its option to extend
the Agreement for the second two-year renewal term, the City and
Contractor acknowledge and agree that they shall negotiate in good faith
the rate to apply to beds to be included in the roster of beds. The
Contractor shall provide the City with documentation substantiating the cost
of providing the shelter services, it being understood and agreed that the
fee per bed to be charged will not exceed the actual, direct costs of
providing the emergency housing services. For the avoidance of doubt, any
rate increase agreed to by the parties shall only apply from and after April
1, 2025.
b) Section 3.2 is hereby amended as follows:
Contractor may submit a monthly invoice in advance of providing services
via postal or Electronic(E-mail) mail forty-five(45) days prior to the month
of service, which includes a description of the Services to be provided in
the month of service, including the number of beds, associated costs,and
clients served. If the City and Contractor are unable, despite good faith
efforts,to agree on a new rate to apply to beds during the second renewal
term, such rate to be based on the actual cost of providing the shelter
services. then this Agreement shall terminate on March 31, 2025.
c) "Exhibit A", "Scope of Services°
Service Units of Service Documentation of Service
Emergency 18 beds per day, Attendance Roster
Housing 365 days per year
*The Contractor has requested that the City reduce its bed roster by
securing beds with alternative providers for the remainder of the term
ending March 31. 2025. If the City secures shelter beds with alternative
providers that are secured specifically to reduce the current bed roster for
the duration of the Agreement. Camillus House, Inc. will absorb the
difference in daily bed costs. For the avoidance of doubt,the City reserves
the right to secure shelter beds without reducing the current bed roster in
the City's sole and absolute discretion.
3. RATIFICATION.
Except as amended herein, all other terms and conditions of the Contract shall
remain unchanged and in full force and effect. In the event there is a conflict
between the provisions of this Amendment and the Contract,the provisions of this
Amendment shall govern.
Page 398 of 1993
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed
by their appropriate officials, as of the date first entered above.
FOR CITY: CITY OF MIAMI BEACH, FLORIDA
ATTEST:
By;
Rafael E. Granado, City Clerk Eric T. Carpenter, City Manager
Date
FOR CONSULTANT/CONTRACTOR: CAMILLUS HOUSE, INC.
ATTEST:
By: aLVAA-`'►e_Ur� 1.
Sesfetacy- C Chief Executive Officer
Aloe i• l Nolh.,4 goe,47..0.-,--„, J . CaGo.2i-
Print Name Print Name
l0[23/Z‘k
Date
APPROVED AS TO
FORM &LANGUAGE
&FOR EXECUTION
City Attorney Date
Page 399 of 1993