90-20207 Reso
~f-.
RESOLUTION NO.
90-20207
A RESOLUTION OF THE CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, AUTHORIZING THE
MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT
BY AND BETWEEN THE CITY OF MIAMI BEACH AND
SPECTACOR MANAGEMENT GROUP FOR OPERATION AND
MANAGEMENT OF THE MIAMI BEACH CONVENTION
CENTER AND THE JACKIE GLEASON THEATER OF THE
PERFORMING ARTS
WHEREAS, the CITY currently owns, operates and manages the
Miami Beach Convention Center and the Jackie Gleason Theater of the
Performing Arts (hereinafter collectively referred to as the
"FACILITY"), and;
WHEREAS, the CITY has determined that the best interests of
the FACILITY and the ci tizens of Miami Beach require that the
management of the FACILITY be conducted by a private management
entity, which has the experience and capability of providing
quality management and operational services at the FACILITY, and;
WHEREAS, the CITY has set the following specific goals to be
pursued by a private management entity; the efficient operation of
the FACILITY, while minimizing the net cost to the CITY; the
safeguarding of the CITY'S capital investment through the exercise
of the highest standards of maintenance and preservation; the
active solicitation, promotion and co-promotion of exhibits and
trade shows in the Convention Center during the 24-month booking
window to maximize the revenues to the CITY; the active
solicitation, promotion and co-promotion of a Summer Season in the
Jackie Gleason Theater of the performing Arts, and;
WHEREAS, the CITY through RFP No. 14-90/94 solicited proposals
from private management entities to accomplish the above, and;
WHEREAS, through a selection process, Spectacor Management
Group was the successful proposer, and;
WHEREAS, the CITY desires to enter into a Management Agreement
with SMG to manage the FACILITY, including its booking, promotion,
marketing, box office operation, building maintenance and other
services customarily provided with respect to the operation of a
similar facility.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, that the City of Miami Beach City
commission approves the attached Agreement between the City of
Miami Beach and spectacor Management Group, and authorizes the
Mayor and City Clerk to execute the Agreement on behalf of the City
of Miami Beach.
PASSED and ADOPTED this 19th
day of
December , 1990.
ATTEST:
fORM APPROVED
~ DEPT.
./~~//.&-J
.. I '~r/9()
I
- <: I~M-~ ~...J E- ~---
U~ITY CL
RWP: CBT: jh
{3ttIf ~ 11ttamt ~ead
FLORIDA
33139
"VACATIONLAND U. S..4,"
OFFICE OF THE CITY MANAGER
ROB W. PARKINS
CITY MANAGER
CITY HALL
1700 CONVENTION CENTER DRIVE
TELEPHONE: 873-7010
TO:
FROM:
SUBJECT:
COMMISSION MEMORANDUM NO.
~sg-9o
DATE:ner-nhar 19, 1990
RBSOLtJ'1'ION PROVING DB AGRBBKBN'1' BBTWBBN DB CITY 01'
MIAMI BOCK AND SPBCTACOR HDlAGBHBlf'l' GROUP I'OR DB
OPERATION, HAIN'l'BNANCB AND HDlAGBKBN'1' 01' DB MIAMI BOCIl
CONVBN'l'ION CBN'l'BR AND DB JACKIB GLOSON DEATER 01' DB
PBRI'ORHING ARTS
In response to RFP No. 14-90/94, the city commission selected
spectacor Manaqement Group (SMG) as the successful proposer.
Durinq the past several months, the Administration has neqotiated
with SMG to provide the operation, maintenance and manaqement of
the Convention Center and the Jackie Gleason Theater of the
Performinq Arts (FACILITY). A summary of the major points in the
at aChed Agree:ment follows:
I . Scope of Work.
o SMG to act as a manaqinq aqent of the FACILITY.
o SMG shall establish and adjust rates at the FACILITY,
provided they are competitive and after consultation with
the Convention Center Advisory Board (CCAB) and the
Greater Miami Convention and visitors Bureau (GMCVB).
o SMG shall promote and produce a Gala re-openinq for the
FACILITY and a Summer Series in the Theater at a minimal
cost of $500,000.
o SMG shall provide a marketinq plan for the FACILITY.
o SMG shall follow the City's Bookinq policies, however,
subject to the CCAB approval, the Policies may chanqe at
SMG's recommendations.
o SMG shall act as the City's collection agent on the $1
sur charge at TOPA and on Sales Tax for the FACILITY.
II Employees.
o City employees will retain their status as city employees
for a period of one year.
o All current vacancies at the FACILITY convert to SMG
vacancies upon the approval of the Agreement.
II . Consideration.
o
Management Fee of $200,000 per year, increasinq by the
CPI on a yearly basis, no more than a five percent (5%),
increase in anyone year.
1
continued. . .
AGENDA
ITEM
DATE
o
COMMISSION MEMORANDUM
PAGE TWO
DECEMBER 19, 1990
o Additional percentage fees of ten percent (lOt) of
increases in revenues and ten percent (lot) of decreases
in expenditures.
o Percentage Fees not to exceed Management Fee in anyone
contract year.
IV. Ownership.
o City to maintain ownership of the building and all
equipment.
,0 city to provide funds for the operation, maintenance and
management of the FACILITY.
o Contract Administrator to be the City Manager or his
designee.
o Contract Administrator to review and monitor SMG's
activities.
o Contract Administrator's interpretation of Agreement
binding, SMG has right to appeal in thirty (30) days to
city Manager.
o SMG to name a General Manager of the FACILITY.
o General Manager removable for cause upon the request or
recommendation of the city.
V. Term.
o Initial Term is three (3) years.
o Two one-year extensions at the City'S option.
ADMINISTRATION RECOMMENDATION:
The City Administration recommends that the City commission approve
the attached Agreement between the City of Miami Beach and
Spectacor Management Group and authorize the Mayor and City Clerk
to execute the Agreement on behalf of the city of Miami Beach.
RWP: CBT: jh
Attachments
\
2