2016-29609 Reso RESOLUTION NO. 2016-29609
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE MAYOR
AND CITY CLERK TO EXECUTE AMENDMENT NO. 1 TO CONCESSION
AGREEMENT BETWEEN THE CITY AND BETTOLI TRADING CORP, DATED
MAY 3, 2012, FOR OPERATION OF SNACK MACHINES ON CITY
PROPERTIES; SAID AMENDMENT REQUIRING THAT ONE HUNDRED
PERCENT (100%) OF SNACK SELECTIONS IN THE MACHINES LOCATED
IN PARKS AND YOUTH CENTERS MEET THE MIAMI-DADE COUNTY
PUBLIC SCHOOLS (MDCPS) HEALTHY SNACKS STANDARDS, AND THAT
FIFTY PERCENT (50%) OF THE SNACK SELECTIONS IN THE MACHINES
LOCATED IN OTHER CITY STRUCTURES, SUCH AS GARAGES OR OFFICE
BUILDINGS, COMPLY WITH THE MDCPS HEALTHY SNACKS STANDARDS;
AND REDUCING THE ANNUAL MINIMUM GUARANTEE PAYMENT TO THE
CITY FROM $12,731 TO $11,000.
WHEREAS, the City and Concessionaire are parties to a concession agreement, dated
May 3, 2012 (the Concession Agreement), for the operation of snack machine concessions at
various locations on City of Miami Beach properties; and
WHEREAS, the Concession Agreement has an initial term of five (5) years, commencing
on May 1, 2012 and ending on April 30, 2017, which may be extended, at the City's sole
discretion, for five (5) additional periods of one (1) year each; and
WHEREAS, on June 8, 2016, the Neighborhoods/Community Affairs Committee (NCAC)
recommended in favor of implementing the Miami-Dade County Public Schools (MDCPS)
standards in all snack vending machines; and
WHEREAS, if the City implements the MDCPS healthy snacks standards in all Citywide
vending machines, the parties anticipate that revenue will decrease; and
WHEREAS, at the October 19, 2016 City Commission meeting, the Mayor and City
Commission directed the Administration to implement the MDCPS standards for one hundred
percent (100%) of the snack selections in the vending machines located in parks and youth
centers, and to implement the MDCPS standards for fifty percent (50%) of the snack selections
in the vending machines located in other City structures, such as garages and office buildings;
and
WHEREAS, the Administration recommends that the Mayor and City Commission approve
Amendment No. 1 to Concession Agreement, modifying the scope of the Concession
Agreement to require the implementation of the MDCPS healthy snacks standards as approved
by the Mayor and City Commission, and reducing the annual Minimum Guaranty payment which
Concessionaire pays under the Concession Agreement from $12,731 to $11,000 annually.
NOW, THEREFORE, BE IT DULY RESOLVED THAT THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby approve and authorize the Mayor and City Clerk to execute Amendment
No. 1 to the Concession Agreement between the City and Bettoli Trading Corp, dated May 3,
2012, for the operation of snack machines on City properties; said Amendment requiring that
one hundred percent (100%) of snack selections in the machines located in parks and youth
centers comply with the Miami-Dade County Public Schools (MDCPS) healthy snacks
standards, and that fifty percent (50%) of the snack selections in the machines located in other
City structures, such as garages or office buildings, comply with the MDCPS healthy snacks
standards; and reducing the annual minimum guarantee payment to the City from $12,731 to
$11,000.
PASSED and ADOPTED this / 9 day of a:46' 2016.
ATTEST:
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APPROVED AS TO
FORM &
LANGUAGE
& FOR EXECUTION
City Att.• y I Date
Resolutions - R7 G
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: October 19, 2016
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE
NEIGHBORHOOD/COMMUNITY AFFAIRS COMMITTEE (NCAC) TO IMPLEMENT
THE MIAMI-DADE COUNTY PUBLIC SCHOOLS (MDCPS) HEALTHY SNACKS
STANDARDS IN ALL CITYWIDE VENDING MACHINES; AND APPROVING AND
AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AMENDMENT NO. 1
TO CONCESSION AGREEMENT BETWEEN THE CITY AND BETTOLI TRADING
CORP., DATED MAY 3, 2012, FOR OPERATION OF SNACK MACHINES ON CITY
PROPERTIES; SAID AMENDMENT REQUIRING THE IMPLEMENTATION OF THE
MDCPS HEALTHY SNACKS STANDARDS AND REDUCING THE ANNUAL MINIMUM
GUARANTEE (MG)TO THE CITY FROM$12,731 TO $7,500.
RECOMMENDATION
Adopt the Resolution.
ANALYSIS
The City of Miami Beach (City) and Bettoli Trading Corp. (Concessionaire) are parties to a
concession agreement, dated May 3, 2012, for operation of snack machine concessions at various
locations on City of Miami Beach properties (Agreement). The initial term is for five (5) years
commencing May 1, 2012 and ending April 30, 2017. The City may extend the term for five (5)
additional one (1)year periods.
Under the terms of the Agreement, the snack options offered by Concessionaire shall generally
include healthy snacks such as whole grain chips, multigrain chips, vegetable chips, crackers, nuts,
reduced fat popcorn, baked or popped chips, sugar free chewing gum, fruit trail mix, nutrition bars,
granola bars, trail bars, fresh fruits and yogurt. The snack options are subject to approval by the
City's Parks and Recreation Department for any snack machines located in the City's parks and
youth centers.
Subsequent to the commencement of the Agreement, the Administration worked with
Concessionaire to develop a specific standard to determine healthy snacks. The Administration
considered three (3) existing standards which include 1) Fit Pick, 2) United State Department of
Agriculture (USDA) and 3) Miami-Dade County Public Schools (MDCPS). A summary of various
snack items, and the corresponding healthy standard, is attached hereto as Exhibit A (Healthy
Standards). The Fit Pick standard was selected and all snack machines located in the City's parks
Page 1136 of 1614
and youth centers were required to provide at least fifty percent (50%) Fit Pick items. Snack
machines located in "public" locations (i.e. parking garages, office buildings, etc.) provided certain
Fit Pick items in an amount less than fifty percent (50%). All Fit Pick items were clearly identified in
the machines with stickers to alert the customer.
NEIGHBORHOODS/COM M UNITY AFFAIRS COM M ITTEE
Due to concerns from residents, the Administration was directed to re-evaluate the healthy
standard matter. The Administration presented this matter at the June 8, 2016
Neighborhoods/Community Affairs Committee (NCAC) meeting. The NCAC recommended in
favor of implementing the MDCPS standard in all snack vending machines.
Minimum Guarantee:
Under the terms of the Agreement, Concessionaire pays a Percentage of Gross sales (PG) in the
amount of twenty percent (20%). Regardless of the actual gross sales, Concessionaire pays a
Minimum Guarantee (MG) at the beginning of each contract year. For the contract year ending April
30, 2016, Concessionaire's gross sales were $82,481. Accordingly, Concessionaire paid a PG in
the amount of $16,496, which includes the prepaid MG of $12,731.
I n the event the City Commission accepts the recommendation of the NCAC, requiring one
hundred percent (100%) of MDCPS items in all snack machines, Concessionaire anticipates the
PG will decrease by approximately $9,000 annually. Accordingly, Concessionaire has asked that
the MG be reduced to $7,500 annually ($16,496 minus $9,000 = $7,496).
Due to the projected sharp decrease in sales, in the alternative, Concessionaire has requested to
implement one hundred percent (100%) of MDCPS items in only the parks and youth centers and
to implement fifty percent (50%) of MDCPS items in "public" locations (i.e. parking garages, office
buildings, etc.). In this case, Concessionaire anticipates the decrease in the PG to be less
significant, in the amount of approximately $5,500 annually. In this case, Concessionaire has
asked that the MG be reduced to $11,000 annually($16,496 minus $5,500 = $10,996).
A comparison of the projected sales described above is attached hereto as Exhibit B (Projected
Revenue Comparison).
CONCLUSION
The Administration recommends that the Mayor and City Commission accept the recommendation
of the NCAC and adopt the Resolution in favor of implementing the MDCPS healthy snacks
standard in all snack vending machines and approving a reduction in the MG to $7,500 annually.
KEY INTENDED OUTCOMES SUPPORTED
Improve Alliance With Key Business Sectors, Namely Hospitality, Arts, & International Business With A
Focus On Enhanced Culture, Entertainment, &Tourism
Legislative Tracking
Tourism, Culture and Economic Development
Sponsor
Commissioner Micky Steinberg
Page 1137 of 1614
ATTACHMENTS:
Description
❑ Resolution
❑ Exhibit A- Healthy Standards
❑ Exhibit B - Projected Revenue Comparison
Page 1138 of 1614
Brands ;Flavor Pri'ce USDA MDCPS Fitpick
Popchips sea salt $1.75 * * *
barbeque $1.75 * * *
Sea Salt &Vinegar $1.75 * * *
sour Cream and Onion $1.75 * * *
Cheddar&Sour Cream $1.75 * * *
Cliff bars Crunchy Peanut Butter $2.50
Chocolate Chip $2.50 * *
• White Chocolate Macadamia Nut $2.50
Kind Bars Caramel Aldmond &Sea Salt $2.50 *
Dark Chocolate Cinnamon Pecan $2.50 *
Popcorner White Cheddar $1.25 * * *
'Non GMO coming soon$1.50 Kettle $1.25 * * *
Sweet Spicy Chili $1.25 * * *
Jalapeno $1.25 * * *
Sea Salt $1.25 * * *
Indiana Popcorn Kettlecorn $1.25 * * *
Pirate Booty Popcorn Age White Cheddar $1.25 * *
Stacy's Simply Naked $1.75 *
Parmesan Garlic and Herb $1.75
Annie's Bunny Graham $1.00 * *
Lara Bar Apple Pie *
Banana Bread *
Terra Chips Original
Quaker Popped Cheddar $1.50 * *
BBQ $1.50 * *
Ranch $1.50 * *
Kettle Chips Sea Salt
Cheddar
Nabisco 100 calories Oreo $1.25 *
Chip Ahoy $1.25 *
Veggies Crisp Sea Salt $1.50
Ranch $1.50
Welch's Fruit Snacks Mixed Fruit $1.50 *
Island Fruit $1.50 *
Tangy $1.50 *
Strawberry $1.50 *
Snyder's Pretzel Mini $1.00 *
old Tyme $1.00 * * *
Fruture Banana Slices $1.75 * *
Pineapple Wedges $1.75 * *
Sunchips Original $1.00 *
Garden Salsa $1.00 *
Hardvest Cheddar $1.00 *
French Onion $1.00 *
Kar's Nuts Original Trail mix $1.25 *
Sweet&Salty $1.25 *
Mango Pineapple mix $1.25 * * *
All Energy $1.25 *
Mrs.Vickies Sea Salt $1.50
Page 1141 of 1614
,
Brands Flavor Price USDA MDCPS Fitpick
Sea Salt&Vinegar $1.50
BBQ $1.50
Jalapenos $1.50
Sea Salt&Cracked Pepper $1.50
Snackwells vanilla Sandwich cookies $1.50
Milanos Dark Chocolate Sandwich cookies $1.75
Chex mix Original $1.50
Bold $1.50
Wheat Thins Original $1.50 *
Goodness knows Cranberry Aldmond, dark Chocolate $2.50 NEW
Apple,Aldmond & Peanut, Dark Chocolate $2.50 NEW
Peach &Cherry,Aldmond, Dark Chocolate $2.50 NEW
Kellogg's Popchips Sea Salt $1.50
Cheddar $1.50
Sour Cream & Onion $1.50
Rice Krispies Whole Grain Treat $1.50 * * *
Cheez it Whole Grain Cheddar $1.00 * * *
Gold Fish Whole Grain Cheddar $1.00 * * *
General mills Trix Bar $1.25 * *
Cocoa Puff Bar $1.25 * * *
Nature's Valley Oat& Honey $1.25 * * *
Trail mix chewy $1.25 * * *
Peanut Butter Chewy $1.25
Aldmond Butter Chewy $1.25
Protein granola $1.25
Breakfast blueberry biscuit $1.25 * *
Fiber one chocolate $1.25
Aldmond butter sandwich $1.25
Plantain Salted $1.00
Sweet $1.00
Lemon $1.00
Good Nature Herr's Tuscan Garden Medley $1.00
Cheddar Cheesee $1.00
Cape Cod Original $1.25
Late July Peanut Butter Sandwich Crackers
Frito Lay's Reduced Fat Doritos Nacho , $1.00 * * *
Reduced Fat Doritos Cool Ranch $1.00
* * *
Reduced Fat Doritos Sweet Spicy Chili $1.00 * * *
Reduced Fat Cheetos Puff $1.00 * * *
Reduced Fat Cheetos Hot Puff $1.00 * * *
Baked Cheetos $1.00 * * *
Baked Cheetos Hot $1.00 * * *
Baked lays Sour Cream &Onion > $1.00 * * *
Baked Lays BBQ $1.00 * * *
Baked Ruffles Cheddar Sour Cream ' $1.00 * * *
Fantastix Chili $1.00 * * *
Fantastix Hot $1.00 * * *
Gilda Baby Crackers $1.25 *
Page 1142 of 1614
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