2012-27921 Reso RESOLUTION NO, 2012-27921
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, APPROVING THE RENEWAL OPTION
PROVIDED FOR IN THE MANAGEMENT AGREEMENT BETWEEN THE
CITY OF MIAMI BEACH AND THE MIAMI BEACH GARDEN
CONSERVANCY FOR THE MANAGEMENT AND OPERATION OF THE
MIAMI BEACH BOTANICAL GARDEN, EXTENDING THE TERM FOR AN
ADDITIONAL FIVE (5) YEARS, COMMENCING ON JULY 1, 2012 AND
ENDING ON JUNE 30, 2017
WHEREAS, on January 17, 2007, the Mayor and City Commission approved a
Management Agreement with the Miami Beach Garden Conservancy (the Conservancy)
for the operation of the Botanical Garden (the Agreement), with an initial term of five (5)
years, commencing on July 1, 2007 and ending on June 30, 2012, with an option, at
the City's sole discretion, to renew and extend the Agreement for an additional five (5)
year term; and
WHEREAS, since taking over the operations of the Botanical Garden in July, 1999,
the Conservancy has initiated extensive public outreach initiatives, educational
programming, and has played an important role in working with the City to plan and
implement the recently completed and much acclaimed renovation of the Botanical
Garden, which included extensive new landscaping, a new water feature, refurbishment
of the existing fountain and a new entryway; and
WHEREAS, on June 1, 2011, the City Commission approved an amendment to the
Agreement, to allow the Conservancy to award naming rights to interior portions of the
Botanical Garden, in exchange for monetary contributions from private donors to fund
improvements associated with future phases of the Master Plan that was approved by
the City Commission on January 13, 2010; and
WHEREAS, in order to see the Master Plan through to completion and to continue its
mission of providing quality horticultural, educational and volunteer-based programming
initiatives, the Conservancy has asked to exercise its sole renewal option provided for in
the Agreement.
NOW THEREFORE, BE IT DULY RESOLVED THAT THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH that the Mayor and City Commission
hereby approve the renewal option provided for in the Management Agreement between
the City of Miami Beach and the Miami Beach Garden Conservancy for the management
and operation of the Miami Beach Botanical Garden, extending the term for an additional
five (5) years, commencing on July 1, 2012 and ending on June 30, 2017.
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PASSED and ADOPTED this day of 2012
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COMMISSION ITEM SUMMARY
Condensed Title:
A Resolution approving the renewal option provided for in the Management Agreement between the City of Miami
Beach and the Miami Beach Garden Conservancy for the management and operation of the Miami Beach Botanical
Garden; said renewal option extending the term of the Agreement for an additional five(5)years,commencing on
July 1, 2012 and ending on June 30,2017.
Key Intended Outcome Supported:
Ensure Well Maintained Facilities
Supporting Data (Surveys, Environmental Scan, etc.):
Based on 2009 CSS Survey, 85% of residents ranked the maintenance and appearance of the City's parks as
excellent and good. Renewal of the Miami Beach Garden Conservancy's Management Agreement,will insure the
Botanical Garden will be maintained to the City's high standard of excellence.
Issue:
Shall the Mayor and City Commission approve the sole renewal option in in the Management Agreement between the
Citv and the Miami Beach Garden Conservancy for an additional five 5 year term.
Item Summa /Recommendation:
On January 17,2007,the Mayor and City Commission approved a Management Agreement with the Miami Beach
Garden Conservancy (the Conservancy) for the operation of the Botanical Garden, with an initial term of five (5)
years, commencing on July 1, 2007 and ending on June 30, 2012, with an option,at the City's sole discretion,to
renew and extend the Agreement for an additional five(5)year term.
The Conservancy's request to exercise its sole renewal option was initially discussed by the Finance and Citywide
Projects Committee at its meeting on April 19, 2012. However, since the Conservancy's request also included a
proposal to increase the rental rates at the Botanical Garden, as well as an additional request to amend the
Agreement to provide for a second renewal option for an additional five(5)years,commencing on July 1,2017,the
Committee deferred the discussion to its Budget meeting(s) planned for June/July. Since the Committee wasn't
aware that the Management Agreement was set to expire on June 30, 2012, the item was brought back for
discussion at its meeting on May 17, 2012. The Committee subsequently recommended in favor of allowing the
Conservancy to exercise its sole renewal option,but withheld discussion on the proposed rate increase,until it had
an opportunity to evaluate the potential impact of the increased rates on the City's annual contribution to the
Conservancy's operations. The Committee also withheld discussion regarding amending the Conservancy's
Agreement to provide for a second renewal option.
In consideration of the Conservancy's efforts in establishing the Botanical Garden as a popular year-round cultural,
educational and recreational resource,as well as its track record of fiscal and operational stability,the Finance and
Citywide Projects Committee recommends approving the Conservancy's sole renewal option for an additional five(5)
year term, commencing on July 1,2012 and ending on June 30, 2017.
Advisory Board Recommendation:
Finance & Citywide Projects Committee —April 19 & May 17, 2012 — Recommendation to approve the
Conservancy's sole renewal option.
Financial Information:
Source of Amount Account
Funds: 1
OBPI Total
Financial Impact Summary: N/A
Cl Clerk's Office Legislative Tracking:
ent O. Bonde, Redevelopment Coordinator Ext#6363
Sign-Offs:
Department Director As 'stant City Manager City Manager
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mMIAMIBEACH AGENDA ITEM C 7 Q
DATE 6'6-12-
® MIAMI BEACH
City of Miami Beath, 1700 Convention Center Drive,Miami Beach, Florida 33139,www.miamibeachf.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: June 6, 2012
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING THE RENEWAL OPTION PROVIDED
FOR IN THE MANAGEMENT AGREEMENT BETWEEN THE CITY OF MIAMI
BEACH AND THE MIAMI BEACH GARDEN CONSERVANCY FOR THE
MANAGEMENT AND OPERATION OF THE MIAMI BEACH BOTANICAL
GARDEN, EXTENDING THE TERM FOR AN ADDITIONAL FIVE (5) YEARS,
COMMENCING ON JULY 1, 2012 AND ENDING ON JUNE 30, 2017.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
BACKGROUND
On January 17,2007,the Mayor and City Commission approved a Management Agreement
with the Miami Beach Garden Conservancy (the Conservancy) for the operation of the
Botanical Garden, with an initial term of five (5) years, commencing on July 1, 2007 and
ending on June 30, 2012, with an option, at the City's sole discretion,to renew and extend
the Agreement for an additional five (5) year term.
Since taking over the operations of the Botanical Garden in July, 1999,the Conservancy has
initiated extensive public outreach initiatives, educational programming, and has played an
important role in working with the City to plan and implement the recently completed and
much acclaimed renovation of the Botanical Garden, which included extensive new
landscaping, a new water feature, refurbishment of the existing fountain and a new
entryway. In addition and in order to offset costs associated with future phases of the Master
Plan that was approved by the City Commission on January 13, 2010,the City Commission
approved an amendment to the Management Agreement on June 1, 2011, to allow the
Conservancy to award naming rights to interior portions of the Botanical Garden, in
exchange for monetary contributions from private donors to fund the improvements.
The Conservancy's primary mission is to promote the Garden as a public amenity. This
strategy has proven effective. Today the Garden has achieved greater visibility, has
developed a strong base of members and supporters and is valued as a community partner
with dozens of organizations. The Conservancy's goal of increasing awareness and
providing free public access to the Botanical Garden has been a key ingredient in its
approach to welcoming community service organizations including, but, not limited to, the
Kiwanis, Rotary, Toastmasters, Surfrider Foundation, ECOMB,Ability Explosion, the City's
Beautification Committee, the Miami Beach Women's Conference, MBCDC, the Jewish
Film Festival, Save Dade, Miami Beach Chamber of Commerce,the Women's Film Festival,
the annual AIDS Walk and dozens of others. The Conservancy also conducts free daily
Miami Beach Commission Memorandum
Garden Conservancy Management Agreement Renewal Option
June 6, 2012
Page 2 of 3
tours, hosts dozens of school group visits, accommodates arts organizations for music,
dance, art exhibits and theater and also hosts a children's art camp,which is keeping with
the City's objective of making the Botanical Garden available to as many people and
programs as possible.
Historically,the City's annual contribution to the Conservancy comprises approximately 33%
of the Conservancy's income, with the balance derived from grants, donations,
memberships, event functions, and gift shop sales. It should be noted that since taking over
the Botanical Garden's operation,the Conservancy has also used its best efforts to increase
its private funding contributions towards the operation and maintenance of the facility,
resulting in the City being able to reduce its annual contribution by approximately 32%(from
$200,500 in FY 01/02 to$137,228 as of FY 10/11), as reflected in the following schedule:
FY 08109 FY 09/10 FY 10/11 FY 11/12 Budget
Conservancy Income $212,450 $204,247 $250,727 $279,649
City Contribution $152,475 $152,475 $137,228 $137,228
Total income $364,925 $356,722 $387,955 $416,877
Expenses $386,109 $355,805 $332,602 $416,877
Net Income $ 21,184 $ 917 $ 55,353 -$0-
It should further be noted that after several years of being subject to a series of destructive
weather events and the fact that insurance doesn't cover storm-related damage to
landscaping, the Conservancy has established a hurricane reserve account, which is
particularly timely and beneficial in light of the City's$1.2 Million investment in renovating the
Garden and will certainly offset any costs associated with having to replace downed trees
and any other damage to the property.
ANALYSIS
In order to see its Master Plan through to completion and to continue its mission of providing
quality horticultural, educational and volunteer-based programming initiatives, the
Conservancy asked to exercise its sole renewal option for an additional five (5) year term,
commencing on July 1, 2012 and ending on June 30, 2017. The Conservancy also
submitted proposed rental rate increases and a request for an additional five(5)yearterm at
the conclusion of the renewal period. At the March 21s` City Commission Meeting, staff
placed a referral on the City Commission agenda for discussion and direction on these
requests.
The Conservancy's request to exercise its sole renewal option was initially discussed by the
Finance and Citywide Projects Committee at its meeting on April 19, 2012. However, since
the Conservancy's request also included a proposal to increase the rental rates at the
Botanical Garden as well as an additional request to amend the Management Agreement to
provide for a second renewal option for an additional five (5)years, commencing on July 1,
2017,the Committee deferred the discussion to its Budget meeting(s)planned for June/July.
However, since the Committee wasn't aware that the Management Agreement was set to
expire on June 30, 2012, the item was brought back for discussion at its meeting on May
17, 2012. The Committee subsequently recommended in favor of allowing the Conservancy
to exercise its sole renewal option, but withheld discussion on the proposed rate increase,
until it had an opportunity to evaluate the impact of the rental rate increase on the City's
annual contribution to the Conservancy's operations. To this end, and in order to facilitate
Miami Beach Commission Memorandum
Garden Conservancy Management Agreement Renewal Option
June 6, 2012
Page 2 of 3
the discussion, the Conservancy was asked to prepare income projections based on the
proposed rental rate increases. The Committee also withheld discussion regarding
amending the Conservancy's Agreement to provide for a second renewal option.
CONCLUSION
In consideration of the Conservancy's efforts in establishing the Botanical Garden as a
popular year-round cultural,educational and recreational resource, as well as its track record
of fiscal and operational stability, the Finance and Citywide Projects Committee
recommends approving the Conservancy's sole renewal option for an additional five(5)year
term. The issue of the proposed increased rental rates, and an additional five-year renewal
period, will be discussed by Committee during the budget meetings.
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