Loading...
Resolution 2023-32803RESOLUTION NO! 2023-32803 A RESOLUTION OF THE MAYOR AND .CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND ECONOMIC RESILIENCE( COMMITTEE, AT ITS SEPTEMBER 22, 2023 MEETING, AND OF THE CITY MANAGER (AS SET FORTH IN THE CITY COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION) AND WAIVING, BY. 517T" VOTE, THE FORMAL COMPETITIVE BIDDING REQUIREMENT IN SECTION 2-367(E) OF THE CITY CODE, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE CITY, AND AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE A NEW CONCESSION AGREEMENT WITH 'DECO BIKE; LLC FOR THE IMPLEMENTATION, MANAGEMENT, AND OPERATION OF A SELF-SERVICE BICYCLE SHARING PROGRAM, FOR A TERM OF FIVE (5) YEARS, COMMENCING ON JANUARY 1, ' 2025 AND EXPIRING 'ON DECEMBER 31, 2029, BASED UPON THE ESSENTIAL TERMS. SET FORTH I` THE TERM SHEET, ATTACHED AS EXHIBIT "1" TO THE CITY COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION;' AND` FURTHER' APPROVING THE TERMS OF THE SPONSORSHIP' A,GREEMENT'` `BETWEEN' ''DECO ?BIKE -AND CITIBANK, ATTACHED' AS EXHIBIT ,2" -TO THE', CITY"'COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION, AUTHORIZING -THE OPERATION OF THE PROGRAM UNDER THE°TITLE SPONSORED NAME OF "CITI BIKE". WHEREAS, .on July 16, 2009; the .City entered. into an agreement with Deco Bike, LLC ("Deco Bike") in response to RFP 44-07/08:fortthe:delivery and operation of.a self-service bicycle rental fleet for public use,. to .be stationed in the public right-of-way (the "Agreement"); and WHEREAS, the Agreement required Deco Bike to implement a program which enabled the public to self -rent bicycles from any number of locations and return them to another location, on a 24=hour, 365-day per year basis (the "Program" ),'and WHEREAS; it became'evid'ent early on €hat without intervention bythe City, either through a contract term 'ri odification`or edditional' revenue source, the Program would not achieve a return of capital or modest profit 'to "Deco .Bike',` .or allow the recovery of the City's forgone parking revenues; and WHEREAS, on July 18, 2012, the Mayor and City Commission adopted Resolution No. 2012-27975, approving Amendment No. T tp­the Ag`reement;`said Amendment (1)' extending the term of the Agreement through September 30, 2023, an `additional ten (10) years; (2)increasing the operational maximum number of bicycles to 1,100 bicycles; (3) approving certain advertising and sponsorships; (4) providing for a revenue sharing provision by increasing the exemption from City revenue share from $1,0000000 to $1'S: ,00,000 during the first year of the new term, declining at a rate of $250,000 per year to'$O in year seven (7) of the revised term; and (5) adding a Windfall Provision, which provided for the opportunity tos recover the waived revenue; and.' WHEREAS; on May 92, 2015, the, -City and Deco Bike', executed Amendment No. 2 to the Agreement; approving,the' sponsorship with` Citibank`to-operate under the Program name of "Citi Bike", 'providing for the sharing of the advertisingrevenue generated from the Citibank Sponsorship Agreement,. as. part of the Bicycle Basket Sponsorship Program, the Kiosk :Advertising Program and naming rights; and WHEREAS, on December 11, 2019, the Mayor and City Commission adopted Resolution No. 2019-31105, authorizing the City Manager to negotiate an amendment to the Agreement -:between the City and Deco Bike for the provision of.a docked electric -assisted bicycle sharing pilot program("Pilot Program',), subject to the. City Commission's approval of the -final amendment; and WHEREAS,due to the COVID=19 pandemic, bike service was interrupted, and; on June 23, 2021, the Mayor and City Commission. adopted Resolution No. 2021-31743, approving Amendment No. 3 to the Agreement;' said amendment approving the implementation, management and operation of a one-year Pilot Program for the operation of up. to 100 docked. electric assisted bicycles Citywide within the existing concession areas; and' WHEREAS, on May. 1.7, 2023, the Mayor and City Commission adopted Resolution No. . 2023-32605, approving Amendment No. 4 to the Agreement; said amendment extending the Agreement on a month -to -month basis, for a period not to exceed fourteen (14) months, or until such time as the City Commission awards a contract pursuant to a new "competitive solicitation for'the City's Self -Service Bicycle Sharing Program, whichever occurred first; and WHEREAS, 'at the September 13, 2023 City ' Commission meeting, Vice -Mayor Richardson.sponsored a referral item (04 P) to the Finance and Economic Resiliency Committee (FERC) to discuss the status of the current Deco Bike Agreement, including contract period, plans for renewal, plans for a solicitation, contract revenues and other related matters; and WHEREAS, at the September 22, 2023 Finance and Economic Resiliency Committee ("Committee"): meeting, Deco Bike requested a'five. (5)-year extension to their Agreement, based on various. factors, including the financial success of,the Program, benefits to the. City, and the value of the Citibank sponsorship; and WHEREAS, the. Comm ittee.unanimously recommended the five (5)-year extension, which would begin. on .January 1,' 2025; the -end of the current extension, and expire on December 31, 2029, and further. recommended that the new contract include a minimum.guarantee and a. public . . benefit, which would serve to incentivize residents to use the Program; and WHEREAS, based upon the recommendation of the Committee, the City Administration and Deco Bike have negotiated the essential terms of a new five-year agreement, summarized in the proposed Term Sheet, with the financial terms including. the.addition of a Minimum Guarantee payment and a new public benefit contribution; along'with a City contribution, as follows: + Concession Fees to the City equal to the.greater of (1) the Annual Minimum Guarantee payment (MG),..in the amount of $380,000.00;' or (2) the annual Percentage of gross sales receipts (PG) payments (paid: monthly) received from Deco Bike's :operations equal to 12% of the total gross sales receipts under $3. million and 1'5% of gross sales receipts equal to or greater than $3 million for a contract year; and • In.addition to the membership plans offered under the current Agreement, Deco Bike has agreed :to provide three .(3) 30-minute free rides per :month for Miami. Beach residents who are not. Citi Bike members, or.one (1). free month for every twelve months of membership for'established customers.of the Program ("Monthly Incentive Program") in. order to incentivize use of bicycles as a. transportation alternative. ,Deco Bike will cover the cost of the Monthly Incentive Program up to the total. amount of $35,000.00 and the City will cover.the cost,exceeding $35,000.00; and -,WHEREAS,. under the -proposed Term Sheet, - Deco -Bike will ' continue to .provide jhe membership plans offered under the current Agreement: -a membership. option for residents of $20.00 -per month,which providesfor unlimited 30-minute rentals, with a three-month minimum commitment, to: ensure the benefit flows to the. residents, instead of°tourists; a deluxe: monthly plan -that. provides unlimited one -hour rentals for an:.extra $5.00. per month;, and an, employee rental plan at $99.00 annually, with unlimited 30-minute trips; and WHEREAS, the Program "under the new agreements shall continue to. operate initially with 1,100 bicycles, of which-100 will.be electric -assisted bicycles ("e-bikes"); however, the City Manager will have the authority to increase the number of a -bikes to a number that is up -to 200, - . thereby increasing the total number of bicycles in the fleet to a, number that is up to 1,200; and WHEREAS, Deco Bike has demonstrated to be a good partner to the City.by providing . a reliable bicycle -service which has been used for leisure, exercise and the transportation needs of the community;.and WHEREAS, in FY 2012, the Agreement provided revenues to the City, of $279,457.00; in FY 2022, revenues rose. to $687,061.00, . including advertising revenues from the Citibank sponsorship payments;:and for•FY 2023, revenues to the City were approximately $700,000:00 through a combination. of, Concession and sponsorship .fees; and WHEREAS, the new agreement is anticipated to generate a similar revenue stream on.an annual basis; and WHEREAS, Deco Bike's. ability to secure the Citibank sponsorship has served. to make: the Program profitable,, without the need for .the .City to subsidize the Program, as is typical of these bicycle sharing programs in out-of-state municipalities; and WHEREAS, based upon the longstanding and satisfactory performance record of..Deco Bike, including their ability to generate revenues for the City, the City Manager, recommends accepting :the recommendation of the Committee, at its September. 22, 2023 :meeting, and waiving, by 5/7th vote, the formal competitive bidding.requirement.in Section 2-367(e) of the City Code, ..finding such waiver to be in the best interest of the City, and, authorizing the. City Manager to . negotiate and execute a new Concession .Agreement with Deco Bike, LLC,. for the .-implementation; management,., and operation -of : the Program, for . a , term . of five . (5) years, :commencing on January 1, 2025 and expiring on December 31; 2029, based upon the essential terms set forth in the Term. Sheet, attached as Exhibit " 1 " to the City Commission Memorandum accompanying this Resolution; and further approving the terms of the Sponsorship Agreement between Deco Bike .and Citibank, attached as Exhibit "2" to the City Commission Memorandum accompanying this Resolution, authorizing the operation of the Program under -the title sponsored name of "Citi Bike NOW, THEREFORE, BE IT • DULY RESOLVED BY THE. MAYOR . AND CITY COMMISSION OF THE CITY OF I MIAMI BEACH, FLORIDA, that -the Mayor and City 'Cornmission hereby accept the recommendation of the Finance and Economic Resiliency Committee, at its September 22, 2023 meeting, and of the City Manager (as set forth in the City Commission Memorandum accompanying this Resolution) and waive, by 5/7th vote, the formal competitive bidding requirement in Section 2-367(e) of the City Code, finding such waiver to be in the best interest of the City, and authorize the City Manager to negotiate and execute a new Concession Agreement with Deco Bike, LLC for the implementation, management, and operation of a Self -Service Bicycle Sharing Program, for a term of five (5) years, commencing on January 1, 2025 and expiring on December 31, 2029, based upon the essential terms set forth in the Term Sheet attached as Exhibit 1" to the City Commission Memorandum accompanying this Resolution; and further approve the terms of the Sponsorship Agreement between Deco Bike and Citibank, attached as Exhibit "2" to the City Commission Memorandum accompanying this Resolution, authorizing the operation of the Program under the title sponsored name of "Citi Bike". PASSED and ADOPTED this /� day of DU�� 2023. ATTEST: APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION ff� IU— 1u-Z3 City Attorney Date Resolutions - C7 K MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Alina T. Hudak, City Manager DATE: October 18, 2023 SUBJECT. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND ECONOMIC RESILIENCY COMMITTEE, AT ITS SEPTEMBER 22, 2023 MEETING, AND OF THE CITY MANAGER (AS SET FORTH IN THE CITY COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION) AND WAIVING, BY 517TH VOTE, THE FORMAL COMPETITIVE BIDDING REQUIREMENT IN SECTION 2-367(E) OF THE CITY CODE, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE CITY, AND AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE A NEW CONCESSION AGREEMENT WITH DECO BIKE, LLC FOR THE IMPLEMENTATION, MANAGEMENT, AND OPERATION OF A SELF-SERVICE BICYCLE SHARING PROGRAM, FOR A TERM OF FIVE (5) YEARS, COMMENCING ON JANUARY 1, 2025 AND EXPIRING ON DECEMBER 31, 2029, BASED UPON THE ESSENTIAL TERMS SET FORTH IN THE TERM SHEET, ATTACHED AS EXHIBIT "1" TO THE CITY COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION; AND FURTHER APPROVING THE TERMS OF THE SPONSORSHIP AGREEMENT BETWEEN DECO BIKE AND CITIBANK, ATTACHED AS EXHIBIT "2" TO THE CITY COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION, AUTHORIZING THE OPERATION OF THE PROGRAM UNDER THE TITLE SPONSORED NAME OF "CITI BIKE". RECOMMENDATION The Administration recommends approving the Resolution. BACKGROUND/HISTORY On July 16, 2009, the City entered into an agreement with Deco Bike, LLC ("Deco Bike" or "Concessionaire") in response to RFP 44-07/08 for the delivery and operation of a self-service bicycle rental fleet for public use to be stationed in the public right-of-way. The agreement required the Concessionaire to implement a program which enabled the public to self -rent bicycles from any number of locations and return them to another location, on a 24-hour, 365- day per year basis. Page 328 of 2240 Acquisition of bicycles and equipment, operation of a rental bike program and staffing expenses required an extended initial capital investment by Deco Bike. It became evident early on that without intervention by the City, either through a contract term modification or additional revenue source, the program would not achieve a return of capital or modest profit to the Concessionaire, or allow the recovery of the City's forgone parking revenues. Given the nature of program revenue, which is generated in small portions through bike rentals, a long-term contract was necessary to allow Deco Bike time to recuperate its investment and generate profit. On July 18, 2012, the Mayor and City Commission adopted Resolution No. 2012-27975, approving Amendment No. 1 to the Agreement, extending the term of the Agreement for an additional ten (10) years, through September 30, 2023, increasing the operational maximum to 1,100 bicycles, approving certain advertising and sponsorships, and providing for a revenue sharing provision by increasing the exemption from City revenue share from $1,000,000 to $1,500,000 during the first year of the new term, declining at a rate of $250,000 per year to $0 in year seven (7) of the revised term. The Amendment also included a Windfall Provision, which provided for the opportunity to recover the waived revenues. Thereafter, Deco Bike was able to secure a title name sponsorship agreement with Citibank, to operate the program under the "Citi Bike" name (the "Citi Bike Sponsorship Agreement'). On May 12, 2015, the City and Deco Bike, executed Amendment No. 2 to the Agreement, approving the sponsorship with Citibank to assist Deco Bike in generating revenues for its operations and providing for the sharing with the City of the advertising revenues generated from the Citibank Sponsorship Agreement, as part of the Bicycle Basket Sponsorship Program and the Kiosk Advertising Program, and including naming rights. These types of sponsorships are not common, and bicycle -sharing programs are typically subsidized by governmental agencies to provide additional transportation options for residents. On December 11, 2019, the Mayor and City Commission adopted Resolution No. 2019-31105, authorizing the City Manager to negotiate an amendment to the Agreement between the City and Deco Bike for the provision of a docked electric -assisted bicycle sharing pilot program ("Pilot Program"), subject to the City Commission's approval of the final amendment. Due to the COVID-19 pandemic, bike service was interrupted. Later, on June 23, 2021, the Mayor and City Commission adopted Resolution No. 2021-31743, approving Amendment No. 3 to the Agreement, with said amendment approving the implementation, management and operation of a one-year Pilot Program for the operation of up to 100 docked electric assisted bicycles Citywide within the existing Concession Areas. As the Deco Bike Agreement was set to expire on September 30, 2023, on May 17, 2023, the Mayor and City Commission approved Resolution No. 2023-32905, approving Amendment No. 4 to the Agreement; said amendment extending the Agreement on a month -to -month basis, for a period not to exceed fourteen (14) months, or until such time as the City Commission awards a contract pursuant to a new competitive solicitation for the City's bicycle sharing program, whichever is earlier. As directed by the Resolution, the Administration is finalizing an Invitation to Negotiate for the services. l_1.:.I1 %I&IM At the September 13, 2023 City Commission meeting, Vice -Mayor Richardson sponsored a referral item (C4 P) to the Finance and Economic Resiliency Committee ("FERC") to discuss Page 329 of 2240 the status of the current Deco Bike contract, including contract period, plans for renewal, plans for a Request for Proposal (RFP), contract revenue and other related matters. At the September 22, 2023 FERC meeting, Deco Bike requested a five (5yyear extension to their contract, based on various factors that include the financial success of the program, benefits to the City, and the value of the Citibank sponsorship. The Committee proposed a change to the financial terms to include a minimum guarantee and a public benefit to provide residents an incentive to use the program. Deco Bike agreed to these terms, which were to be finalized with the Administration. The Committee unanimously recommended the five (5yyear extension, which would begin on January 1, 2025, after the current month -to -month extension expires. Since the current agreement will expire without any available renewal terms, a new agreement would need to be approved, subject to the approval of a bid waiver by the City Commission via a 5/7ths vote. Based upon the recommendation of the Committee and the City Administration, City staff and Deco Bike have negotiated the essential terms of a new five-year agreement, as more particularly set forth in the Term Sheet attached hereto as Exhibit "1"; said terms including the addition of an annual Minimum Guarantee payment, in the amount of $380,000, while maintaining the existing monthly Concession Fee payment equal to 12% of the gross sales receipts under $3 million and 15% of the gross sales receipts equaling $3 million or more for a given contract year. Under the proposed Term Sheet, Deco Bike will continue to provide a membership option for residents of $20 per month for a standard monthly membership plan that provides for unlimited 30-minute rentals. A three-month minimum commitment is required to ensure tourists do not use this discounted plan, which equates to approximately $0.67 per day. Deco Bike will also continue to offer a deluxe monthly plan that provides unlimited 1-hour rentals for an extra $5 per month. Additionally, Deco Bike has an ongoing employee rental plan at $99 annually with unlimited 30-minute trips. In addition to the established membership plans, in connection with this new agreement, Deco Bike will provide three (3) 30-minute free rides per month for Miami Beach residents who are not Citi 'Bike members, or one (1) free month for every twelve months of membership for established customers of the Program ("Monthly Incentive Program") in order to incentivize use of bicycles as a transportation alternative. Deco Bike will cover the cost of the Monthly Incentive Program up to the total amount of $35,000 and the City will cover the cost exceeding $35,000 over the term of the new agreement. Under the new agreement, Deco Bike will continue to operate initially with 1,100 bicycles, of which 100 will be docked electric -assisted bikes ("e-bikes"); however, the City Manager will have the authority to increase the number of a -bikes to a number that is up to 200, thereby increasing the total number of bicycles in the fleet to up to 1,200. Deco Bike has demonstrated that it is a capable and responsive operator. Over the years, Deco Bike has proven to be a good partner to the City by providing a reliable bicycle service that may be used for leisure, exercise and transportation needs of the community. - SUPPORTING SURVEY DATA According to the 2022 City of Miami Beach Resident Survey, 51 % of residents responded that Page 330 of 2240 at least one person in their household regularly rides a bike and 37% of residents consider bicycling the most viable alternative to using cars for trips within Miami Beach. ; The Deco Bike contract provided revenues to the City of $279,457 in FY 2012. In FY 2022, revenues rose to $687,061, including advertising revenue from the Citibank sponsorship. FY 2023 revenue included approximately $700,000 from concession and sponsorship fees. The new agreement is anticipated to generate a similar revenue stream of approximately $700,000 in concession and sponsorship fees on an annual basis. Concession Fees: Concessionaire shall pay the City Concession Fees equal to the greater of (1) the Annual Minimum Guarantee payment (MG), in the amount of $380,000; or (2) the annual Percentage of gross sales receipts (PG) payments (paid monthly) of an amount equal to: 12% (PG) from the operation of the Concession Areas, based on Concessionaire's gross sales receipts less than $3 million during a given contract year, and 15% PG, based on Concessionaire's gross sales receipts equal to or greater than $3 million during a given contract year (not including the sponsorship payments pursuant to the Citi Bike Sponsorship Agreement). Minimum Guarantee (MGM In the event that the total PG payments to the City for a given contract year was less than the MG, Concessionaire shall pay to the City the difference between the monthly PG payments received for the contract year and the MG amount, due and payable at the end of the contract year. In the event that the total monthly PG payments received by the City for a given contract year were equal to or more than the MG amount, Concessionaire shall be deemed to have met it's MG obligations and no additional Concession Fee payments would be due to the City. Sponsorship Program with Citibank: In addition to Concession Fees, Deco Bike agrees to pay sponsorship fees to the City, pursuant to the sponsorship agreement between Concessionaire and Citibank ("Citi Bike Sponsorship Agreement"), which contemplates a bicycle share program with both the City of Miami and the City of Miami Beach. The City's portion of the sponsorship payments is based on the following categories and percentage of shared advertising revenues: 12.5% naming rights; 25% from the Bicycle Basket Sponsorship Program and 12% from the Kiosk Advertising. Based on a total sponsorship base amount of $1,173,999.84 for calendar year 2023, the City will receive a total of $197,173.28 in sponsorship payments in 2023; and based upon the sponsorship base amount of $1,198,500.00 for calendar year 2024, the City will receive a total of $201,288.08 in sponsorship payments in 2024. Currently, 1/12th of the sponsorship payments is due and payable by Concessionaire to the City fifteen (15) days following the end of each calendar month during each Contract Year throughout the term. The Citi Bike Sponsorship Agreement, a copy of which is attached hereto as Exhibit "2", will expire on December 31, 2024. Any extension of the current Citi Bike Sponsorship Agreement shall not require separate approval by the City; however, any changes to the material terms of the Citi Bike Sponsorship Agreement, such as the amount of the sponsorship payments, or any new sponsorship agreement shall require the prior written approval of the City Corrrnission. Public Benefit/City Contribution: In addition to the membership plans offered under the current Agreement, Deco Bike will provide three (3) 30-minute free rides per month for Miami Beach residents who are not Citi Bike members, or one (1) free month for every twelve months of membership for established customers of the Program ("Monthly Incentive Program") in order Page 331 of 2240 to incentivize use of bicycles as a transportation alternative. Over the term of the new agreement, Deco Bike will cover the cost of the Monthly Incentive Program up to the total amount of $35,000 and the City will cover the cost exceeding $35,000. Financial Summary: The Deco Bike contract provided revenues to the City of $279,457.00 in FY 2012. In FY 2022, revenues rose to $687,061.00, including advertising revenue from the Citibank sponsorship. FY 2023 revenue included approximately $700,000.00 from concession and sponsorship fees. The new agreement is anticipated to generate a similar revenue stream on an annual basis. Amounts)/Account(s): n/a CONCLUSION Based upon the longstanding and satisfactory performance record of Deco Bike, including their ability to operate the program profitably, without the financial assistance of the City but instead generating revenue for the City, the City Manager recommends accepting the recommendation of the FERC, at its September 22, 2023 meeting, and waiving, by 5/7ths vote, the formal competitive bidding requirement in Section 2-367(e) of the City Code, finding such waiver to be in the best interest of the City, and authorizing the City Manager to negotiate and execute a new concession agreement with Deco Bike, LLC, for the implementation, management, and operation of a self-service bicycle sharing program, for a term of five (5) years, commencing on January 1, 2025 and expiring on December 31, 2029, based upon the essential terms set forth in the term sheet attached hereto as Exhibit "1"; and further approving the terms of the sponsorship agreement between Deco Bike and Citibank, attached hereto as Exhibit "2", authorizing the operation of the program under the title sponsored name of "Citi Bike". Applicable Area Citywide Is this a "Residents Right to Know" item, pursuant to Cry Code Section 2-14? Yes Does this item utilize G.O. Bond Funds? No Strategic Connection Environment & Infrastructure- Reduce greenhouse gas emissions and heat. MIFitl*f ATTACHMENTS: Description D Exhibit 1 - Term Sheet D Exhibit 2 - Sponsorship Agreement D Resolution Page 332 of 2240 EXHIBIT "1" Term Sheet Concession Agreement with Deco Bike, LLC for the Implementation, Management, and Operation of a Self -Service Bicycle Sharing Program 1. Concessionaire Name: Deco Bike, LLC 2. Agreement Term/Timeline: Five (5) year term, commencing on January 1, 2025 and expiring on December 31, 2029. 3. Concession Areas: See attached exhibit 4. Concession Fees, Sponsorship Fees: A. Concession Fees: Concessionaire shall pay the City Concession Fees equal to the greater of (1) the Annual Minimum Guarantee payment (MG), in the amount of $380,000.00; or (2) the annual Percentage of gross sales receipts (PG) payment as more particularly described below: Percentage of Gross Sales (PG): An amount equal to 12% of the total gross sales receipts (PG) from the operation of the Concession Areas, based on Concessionaire's gross sales receipts less than $3,000,000.00 during a given contract year, shall become due and payable by Concessionaire to the City within fifteen (15) days following the end of each calendar month during each contract year throughout the Term. An amount equal to 15% PG, based on Concessionaire's gross sales receipts equal to or greater than $3,000,000.00 during a given contract year, shall become due and payable by Concessionaire to the City within fifteen (15) days following the end of each calendar month during each contract year throughout the Term. As referenced herein, percentage of gross sales receipts shall mean: "all income retained or accrued as a result of sales activity, derived by the Concessionaire under the privileges granted by this Agreement (not including the sponsorship payments pursuant to the Citi Bike Sponsorship Agreement),, including without limitation, Concessionaire's short-term bicycle rentals, bicycle subscription program, and membership sales, excluding amounts of any Federal, State, or City sales tax, or other tax, governmental imposition, assessment, charge or expense of any kind, collected by the Concessionaire from customers and required by law to be remitted to the taxing or other governmental authority." Any sales which result in credit card chargebacks where the customer's credit card company refuses or denies payment on transactions shall not be calculated as apart of any revenues subject to revenue sharing. 2. Minimum Guarantee (MG): Deco Bike, LLC, agrees to pay the City an annual Minimum Guarantee (MG), in the amount of three hundred eighty thousand ($380,000.00.) In the event that the total PG payments to the City for a given contract year was less than the MG, Concessionaire shall pay to the City the difference between the PG payments received for the contract year and the MG amount, due and payable at the end of the contract year. In the event that the total monthly PG payments received by the City for a given contract year were equal to or more than the MG amount, Concessionaire shall be deemed to have met it's MG obligations and no additional Concession Fee payments would be due to the City. Page 333 of 2240 B. Sponsorship Program with Citibank: In addition to Concession Fees described in Subsection A, the current agreement with Concessionaire provides for sponsorship payments to the City, pursuant to the sponsorship agreement between Concessionaire and Citibank ("Citi Bike Sponsorship Agreement"), which contemplates a bicycle share program with both the City of Miami and the City of Miami Beach. The City's portion of the sponsorship payments is based upon the following categories and percentage of shared advertising revenues: 12.5% naming rights; 25% from the Bicycle Basket Sponsorship Program and 12% from the Kiosk Advertising Program, as more particularly described in the attached Sponsorship Extension chart. Based upon a total sponsorship base amount of $1,173,999.84 for calendar year 2023, the City will receive a total of $197,173.28 in sponsorship payments; and based upon the sponsorship base amount of $1,198,500.00 for calendar year 2024, the City will receive a total of $201,288.08 in sponsorship payments. 1/121' of the sponsorship payments is currently due and payable by Concessionaire to the City fifteen (15) days following the end of each calendar month during each Contract Year throughout the Term. The Citi Bike Sponsorship Agreement, a copy of which is attached to the City Commission Memorandum accompanying this Term Sheet, as Exhibit "2", will expire on December 31, 2024. Any extension of the current Citi Bike Sponsorship Agreement shall not require separate approval by the City; however, any changes to the material terms of the Citi Bike Sponsorship Agreement, such as the amount of the sponsorship payments, or any new sponsorship agreement shall require the prior written approval of the City Commission. C. Financial Summary: The Deco Bike contract provided revenues to the City of $279,457.00 in FY 2012. In FY 2022, revenues rose to $687,061.00, including advertising revenue from the Citibank sponsorship. FY 2023 revenue included approximately $700,000.00 from concession and sponsorship fees. The new agreement is anticipated to generate a similar revenue stream on an annual basis. 5. Public Benefits/City Contribution: Deco Bike will continue to provide a membership option for residents of $20 per month for a standard monthly membership plan that provides for unlimited 30-minute rentals. A three-month minimum commitment is required to ensure tourists do not use this discounted plan, which equates to approximately $0.67 per day. Deco Bike will also continue to offer'a deluxe monthly plan that provides unlimited 1-hour rentals for an extra $5 per month. Additionally, Deco Bike has an ongoing employee rental plan at $99 annually with unlimited 30-minute trips. In addition to the established membership plans, in connection with this new agreement, Deco Bike will provide three (3) 30-minute free rides per month for Miami Beach residents who are not Citi Bike members, or one (1) free month for every twelve months of membership for established customers of the Program ("Monthly Incentive Program") in order to incentivize use of bicycles as a transportation alternative. Deco Bike will cover the cost of the Monthly Incentive Program up to the total amount of $35,000.00 and the City will cover the cost exceeding $35, 000.00. 6. Fleet: Concessionaire is to provide the following bicycle fleet: • 100 docked electric -assisted bicycles ("e-bikes") in operation, which number may be increased to up to 200 at the option of the City Manager, to be operated pursuant to the Docked Electric -Assisted Bicycle Guidelines, attached hereto; • Fleet of 1,100 bicycles in operation on a Citywide basis, including 100 docked EV bicycles, subject to increase by up to 100 more e-bikes, which may be approved by the City Manager, for a total fleet of up to 1,200. Page 334 of 2240 7. Equipment Specifications: See attached exhibits. 8. Improvements, Maintenance, Repair and Operation: Concessionaire shall be solely responsible for maintaining its bicycles in good working order and repair and useable condition; and maintaining the rental kiosks and bicycle racks in the Concession Areas in good, clean working order and repair, including without limitation, free from graffiti. 9. Operation: 24 hours per day, 365 says in the year 10. Price Schedules: See attached Exhibit. 11. Performance Bond: $100,000.00 performance bond shall be provided by Concessionaire in faithful observance of the Agreement. 12. Additional Terms: Agreement shall include additional standard terms, including, without limitation, Audit and Inspection of Records, Office of Inspector General provision, Default, Limitation of Liability, Indemnification, and other provisions typical of City concession agreements. Page 335 of 2240 CONGESSII—)N Al 717AS OOC 1O1 Miami Beach Inside Scuth Pointe Park OOC 102 Miami Beach Entrance tc South. Po;nle Para COCiJ3 M;am1 Beach Ocean Or & 1st Street 000135 (Miam: Beach 1st Street & Altor, Rd 000106 Miami Beach, Ocean Or & 2nd Street 000107 Miam: Beacn 2nd Street I Collins Ave GOO1 J9 Miami Beach Nfich gan Ave & 3rd Street 000111 Miami Beach 4th Street & Alton Rd 000112 Miami Beach Washing:on Ave & 3rd Street 000114 Miami Beach Ocean Or & 5th Street 000116 Miami Beach Ocean. Or & 71n Street 000117 Miami Beacn Ocean Or & 9tn Street 000118 Miami Beach Ocean Or and 10th Stree! i.Art Deco '"13Icome Center;. 000119 Miami Beacn Ocean Or and 12th Street G1 EMiam: Beacn Ocean Or at 14:h Street G2 Miami Beac^ Ocean Or & 15(h Street 000123 Miami Beacn 'Aashington Ave & 7th Street 000124 Miami Beacn 7th Street Parking Garage 000126 Miami Beac-i Meridian Ave & 6th St 000127 Miami Beacn Jefferson Ave & 6th Street 000128 Miami Beacn Mich:gar Ave & 5th Street 000129 Miami Beacn Lenox Ave & 6th Stree: 000133 Miami Beacn West Ave 6-7 ST Canopy Park; �000132 Miami Beacn 9th Street & Lenox Ave 000133 Miami Beacn 9th Street & Meridian Ave 000134 Miami Beach 81h Sheet & Jefferson Ave 000136 Miami Beacn 90, Sheet & Washingtcr Ave 000138 Miami Beach 11th Street &''Washington Ave 000139 Miami Beach 'lest Ave & tOth Street ('Pinole Foods) 000141 Miami Beach Jefferson Ave & 11th Street'Flarningo Park) 000142 Miami Beacn Alton Re at " 1:h Street ;Fiarn;ngo Park) 000143 Miami Beach 12th Street 8 :%est Ave 000144 Miami Beach Mencliar. Ave & 13th Street ,Flainingc, Park) 000145 Miami Beach 141h & Alton 000146 Miami Beach Pennsylvania Ave & 13th Street 000:47 Miami Beach Wash igton & 13th Street D00148 Miami Beach 13th Sleet & Criltirs Ave 000149 Miami Beach 14th Street & Collins Ave 000151 Miami Beach Michigan .Ave & 14th Stree: 000' 52 Miami Beach 14th Street & 7lest Ave 000153 Miarr.? Beach 141h Street & Bay Roac 000154 Miami Beach Bay Rd & 15th Street Page 336 of 2240 OOC' 56 Muni Beacl- 16th Street & Bay Rd 00C'57 Miami Beach 15th Stree: & Alton Rd OOf,ISA Miami Beach Fu,:lin & 1.Sth Street 000159 Miami Beach 15th Stree: & v%lash rvo , A:e 000161 Miami Beach 15th Street & Collins Ave OOC162 ' Miami Beach Pernsy'var.a Ave & 16th Street COC163 M;arni Beach Liacolr. Rc & James Ave (CVS Phar,,a.y; 00C164 Miami Beach `Nash:ngton Ave & 17th Street (The Fiilrnore) 000166 Miami Beach Drexel Ave & _incoln Rd (MB Community Church) 000167 Miami Beach Pernsyl:,ar;a Ave & t.;ncoln Rd (". & tat} 000168 Miami Beach Euclid Ave & Lincoln Lan! (Oribe Saion) 000169 Miami Beach Meridian Ave & Lincoln Lane (Macys) 000170 Miami Beach 1666 West Avenue 0001,71 Miami Beach Jefferson Ave & Lincoln Rd (DogBar) 000172 Miami Beach Michigan Ave & Lincoln Rd ;Tne Gap) 000173 Miami Beach Lenox Ave & Lincoln Rd (YarcHouse; 000174 Miami Beach Lincoln Roaa & West Ave 000115 Miami Beach Lincoln Rd & Bay Rd 000176 Miami Beach Venetian Causeway & island Ave (The Standaro "otel 000177 Miami Beach Purdy Ave & 18th Street (Marina) 000178 Miami Beach 17th Street & Convention Center Or (C-ty Hall) 000179 M-ar-.'! Beach 19 St & Ccrventior Center Dr 000181 M amp Beach 17th Street & Coilirs Ave 000182 ' Miami Beach 181h Street & Coilins Ave 000183 M:am Beach h. asi:,r.;!nr Ave & 22 St (:; asningtor Ct? 0001B4 Vam: Beach; 19th: Street & Dade Blvd iPubiix} 000187 Miam: Beach 'Nest Ave & 201h Street (Puolix on one Bay) 000138 tvi am Beach Sunset Dr & 20th S-ea! 000199 Miami Beach Wasp:ng:rx Ave & Jade Blvc 000201 KBIT!, Beach 21s! Street & Collins Ave 000202 Miami Beach Miami Beach Dr & 22 Street ' Ir oalur.g Lot; 000203 ,Miam: Beach 23rd Street & Cc;i,ns Ave (V':algreans! 000205 lViami Beach 24t^ and Collins Ave 000206 143m, Beach 25t^ Street & Ccliins Ave C0020' A^:arri: Beach 26tr. Street & Coltir•s Ave 000208 ,Miam Beach 26tr Street & Pine Tree Dr 000209 ikf.iam. Beach 29tr & Collins (Editicn Hotel) 000210 Miam, Beach 31s, Street & Collins Ave 000211 iMiam, Beach 35th Street & Collins Ave 000212 IMiarni Beach 40th Street & Collins Ave 000214 Miami Beach Royal Palm Ave Between 41 St & 42St 000215 Miami Beach Chase Ave Between 40st & 41 st 000218 ,t,9iam! Beach 39th Street & Alton Rd 000218 !Miam: Beach Prarie Between Chase & 4e Terr Page 337 of 2240 1000220 Miami Beach Collins Ave & 441h Street (Fountalnbieal, note: ) 1000221 M:ami Beach 46th Street & Collins Ave (Parking Lot) 000302 Miami Beach Collins Ave & 5300 Biock 000304 Miami Beach 64th Street & Collins Ave (parking lot) 000305 M,am; Beach 67th Street & Collins Ave 000306 Miami Beach 69th Street & Collins Ave (Publix) 000303 Miami Beach 71st Street & Byron Ave 00031 J Miami Beach Rue Notre Dame & 7' Street 000311 Miami Beach T(OL'vllle Esplanade & Normandy Dr 000312 Miami Beach 1102 Biarritz Dr (Normandy Shores Tennis Cou t) 000313 Miami Beach 73rd Street & Dickens Ave 000314 Miami Beach Collins Ave & 73rd Street 000316 Miami Beach 76th Street & Collins Ave 000316 Miami Beach 79th Street & Collins Ave Page 338 of 2240 SPONSORSHIP EXTENSION CHART Sponsorship Extensions - Deco Bike Miami Beach Extension period: :Gross iotaI Extension. for 2019 (14 Orly 1 $ 268.506 30 Exters�on for 2020 Ca:endar Year $ 1.099,190 72 Ewtens.on for 1021 Calerdar rear • S 1,127.900 03 Extension for 2022 Calendar rear 5 1.14A. 165.35 Extersron fca 2023 Ca:endar Year 5 1.173.999 84 Exters,on'or 2024 Calendar Year S :.:98.SOD:J0 NamingRi hts A g / pp/Web 'Sponsorship Valuation Amount basis Agency Commission �116% City Naming Rights Deco Net Rev Share 12.5% j Ex:ension for 2C19 .'14 Orly $ 131.568 09 49 00% 5 121;J50 89j $ •'•16.446 711! S 94,07=.22 Extension for 2020 ;a,erdar Year S 538 113 45 49 00% $ (86,098.:5) $ (67.264.18) i 5 384,7Si 12 Extensor. for 2021 Calendar Year $ 550 221 01 i 49.005A $ (88.03S.36) 5 (68,777 63)1 5 393,408.03 Extension for 2022 Calendar Year 5 562,601.Oi 1 4900% $ 190:O16.16j S !70,325 13j1 S 402,259 73 Evtens.or 'or 2023 •Calendar Year 5 515 259.92 1 49 00% $ (92.C41.591 5 (71.907 49)1 5 411.310.84 Extensor 'or 2024 Calendar Year 5 587.265 30 49.00%1 5 i93 962 401 5 ! 73.408 13)1 5 419,994 48 Klosks j !Amount Sponsorship Valuation -Agency Commission : City Kiosk Rev Shar@j Deco Net After Rev i basis L116% ;,Lb 12% Share & Commissions E'xtens.or for 2oi9 Q_ Only ($ 42 96' 01 16 00%' S (6,873 76i• S 15.155 ?7; S 30.931 93 Ex:ens or for 2020 Calendar' rear 15 175.)1052 16 C*%5 (2a,1136A1;S !2 i.78S,?67[S 12631i S7 Extensor for 2021 : a.e^. dar Year 5 ? 79,664:00 16.oaw! $ (28,746 741 i 5 i21 S59 68i; 5 129,358 08 ExCension for 2022 Ca:enaar Year $ 183.70646 16..^:O%: $ !29 393 031i $ (22,Ja4 77)I $ i32,26A 55 Extenson for 7023 Calendar Year j S 167,839.97 16.00X $ (30,J54 40)j 5 (?2.340 801 $ 1,35.244 78 Extension for 2024 Calendar Year , S 191.760.00 1fi.00X` 5 (30,681.60)1 S (23.011.201! S 138,067.23 Bike Baskets Amount !Sponsorship Valuation Agency Commission ! City Bike Basket Deco Net After Rev basis .� 16% iRey Share 25% ,Share & Commissions Extension for 20i9 Q4 Only . $ 93,977 21 . 3S 00% 5 (15,036 35)1 5 P3.494 30) 5 55.44655 Extension for 2020 Calendar Year $ 384.366 75 ; 3S 00%. S 161 A 9 8 68)1 5 (96.JS1 69j $ 226,776 38 Extension. for 20211 Calendar',ear '. S 393,015 01 ! 3S 0•J'1e $ (62,882 40); S (9g.:S3 75L 5 231,87R.A6 Extension for 2022 Caiendar'fear S 401,857 87 ; 35.110X S (64.197 26)i 5 JU0.4i4.47)l S 237,096 14 Extension. for 2023 Calendar Year ; $ 410,899 94 ! 35 X%! S (65.743 99)j 5 1102.724.99j S 242 430.97 j rExtens,o,: for 2024 Calendar rear 5 419,475.00 1 3S.00ti 5 (67.116:00) S !104,868 15)j S 247490.25 j Page 339 of 2240 Docked Electric -Assisted Bicycle Guidelines v Prog,s.-I, Docked Pectric-Assisted Bicyc::e shy ze as a bicycle, eq-,,ipped with ! o •.a idem ;wheels a a , c or that provides ass.star:ca or'y when [, he .aer :s pedaling. ar,:: that ceases -.o orov:de ass:stance M'.an the bicyCae .'etches 12 ;r,!:les per • Concessionaire steal: operate the Program Docket Dect-lc-.Assisted Bicycie -withir ;he current Concession Areas. and the coinbir;ed r4rnber of regular bicycles and Prcgrafn !Docked _leo;Jc-Assis:e,, B:cyciss snall ^.a':2' excear. .he Cpe atlonai Ceiiinc establisi red -n er the Agreemert a Similar to the regular grogram bicyo es. Ccncessior-aire shall in the discretion of placing and moving Program. Docxed E:ec:ric-Assisted B:cyc!es across docking stations, ides t:fled in Exhibit 2.2 (b) 'Concession Area Site List' of the Agreement, depending on the usage anr. ; ernard of the Program Docked Electric -Assisted Bicycles. • Concessionaire sha!l provide the City with rnonth y retorts regarding the ::sage of the Program Docked Electric -Assisted Bicycles, including the following metrics: number of Program Docked Electric -Assisted Bicycles, number of trips, average trip length, membership vs casuai trips, top 10 stations with the highest number of Program Dcc.ced Electric -Assisted Bicycle pick-ups and ret;;rr;s. Concessionaire shall develop and conduct a .,ser survey to co!iect data throughout the Pilot Program Period and to document the fcilow;ng metrics:- trip purpose, frequency of use. alternative mode choice, and other data points as applicable. The survey shall be distributed �;y the Concessionaire to users via a mooife appiicatior, and user emails. • The Program Docked Electric-Ass.stea Bioy;; es s~al! IooK similar to the regular Citi Bikes pictured in the Second Amended Exhi;=t 3.1, "Program Equipment; Bicycles and Specs" of the Agreement, except that they wiC incorporate an electric motor and battery, and as depicted °n Exhibit 3.1.2 • Concessionaire sha;1 orovide its . sers witi" i,�str;;ctions detailing where they are permitted to ride, including applying stic;ers on the i^side of each bicycle basket, on the exterior of each dcoKing station. and on its we�Osite, pursuant to the. restrictions set forth in Section 70-6.7 of the City Coce, arc as more particularly set forth in the attached reap of Prohibited Areas. • Concessionaire agrees to egL�ip the Program Docked Electric -Assisted Bicycies with GPS tracking devices, ovNch may �---e used by Concessionaire or the City to locate the Program; Docked Electric -Assisted Bicycles. Page 340 of 2240 CitiBike Electric -Assisted Bicycle and Prohibited Areas of Use I Prohibited Areas A:1 s.d­lks I. theC"Y A .*: mocked Ii red j C­-A — .— R' C­. BEACH Page 341 of 2240 EQUIPMENT SPECIFICATIONS Program Equipment: Bicycle Image & Specs Base Unit/Stock Image Shown. Subject to Modifications Will feature all equipment required by the RFP. DKO BIK= BAS<ET 1 Right Basket Fascia SPONSORSHIP 2. Fronf Basket Fascia FORMAT 3. Left Basket Fascia 1 2 3 Surfaces (outlined here) to accomo- date sponsor info/logos on Basket Total sponsor place- ment Area limited to 1 5 square feet per basket max t r KI 3 Page 342 of 2240 v I Deco Bike Custom Cruiser i Brake Model Frame 16061 PG Aliminurr. (T4rr6) HIT:50-44*34x132 Fork I CS-9101 Hi Tensiie Steel, !n*egratec Style Crown. i Curveo Legs wiln DoLb:e_Eyelets 28.6x1.4T Headset Alloy 25.4-44-30, Semi Integratec Bear.ngs -Handlebar Custom. Moy & Steel Stem Noy. 18Crr- Quill x 90m-Ti Ex-.ensic-i x 30 Degree Rise25.4,rrn Barbore Grips Black/Grey, 130rrim Lengt,) Seat Binder A;!oy Seat Clamp with Quick Reiease, .-.;.!L--cking Seat Post I Alloy w/Integrated Clamp. 31.8mm x 400.i,.rn, Accommodates Riders 5*-6'3" Saddle Cior.11i 7257 with Chrorr.cly Rails and Elastomer Suspension Cranks Alloy 3-Piece Crank with PVC Disc Cover -Grey, 170rnm, 42T Steel i Chainring i Steel, 42T x V2" x 1 /8" j BB Steel, BC1.37" x 24T. Dout);e Sealed Beprings Shimanc Tool Compatible) Chain' K.M.C. Z41 0 Rust Buster, 1!2" x 1!8" Chain Guard Steel or ailoy Pedals VP-LED1, Boron Axle, 9;16" F-Hub DH-3N20NT Dynamo Front Hub 121G x 36H. Nutted R-Hub Shimarz Internal Coaster Brake, 1213 x 36H x 318" x ! 50mrr. Axle Sprocket/ Freewheel 20T x 1.12" x 1.18' Rims 26' x 1.96'i2.125" x 36H x 12G, Al oy Spokes 12G Stainless Steel wits Brass Nipo;es Tires CST 26 x 1.95, Tubes ubes with Puncture Sealant. American Schrader Valves, Kickstand j Alloy it Lighting Active Front and Rear Fenders PC Fender Set. Rear Fender Vllu-st have 2 S:,Ll instead of 1 �ende, Must also have SW-803G Perider Proiecto, or 'similar Bell Alloy Bell with Plast;c Base Basket Stainless Stee: or Alloy Custom inegrated Basket Structure Reflectors i 4 pieces to Meet CPSC Stardards Bike Weight 36-38 Pounds, Based on Custom Specs Note Specs Subject to Change and Modification Page 343 of 2240 PROGRAM BICYCLES Electric -Assist Bikes ati bike. (0) 20-25 Mile Range on Single Charge premium lithium-lon Battery GPS tracking • Unique step -through frame for easy on and off access Docks at existing Cab Bike stations • Adjustable saddle height Premium Shimano Bikeshare Components • Rugged, no -rust aluminum frame for commercial use • Adjustable Electronic Speed regulator limits top speeds • Securitized Components • Front and Rear LED Lights Page 345 of 2240 PRICE SCHEDULE Short -Term Bicycle Rentals: ■ $5.39 for a 30-min rental pass ■ $7.49 for a 1-hour rental pass ■ $10.95 for a 2-hour pass ■ $18.00 for a 4-hour pass ■ $24.00 for a 1-day pass Short -Term Rental Benefits: All short-term bicycle rentals provide the user access to any bike available in the program at any location. A customer can rent and return a bicycle to and/or from any kiosk location with docking space or inventory available. Customer can possess bike for entire time of rental without having to re -dock bike. Customer may enjoy the entire amount of time contracted for. Should a rental customer not return their bicycle to a rack within that time, their credit card will continue to be charged the posted additional usage fee on citibikemiami.com/pricing (currently $4.60 per additional 30 minutes). Unlimited Rides Membership Subscriptions: ■ City of Miami Beach Employee Discounted Annual Membership - $99.00 (unlimited 30-min rides) ■ Standard Monthly Subscription - $20 to $25 per month (unlimited 30-min rides) • Deluxe Monthly Subscription: $25 to $35 per month (unlimited 1-hr rides) Membership Subscription Benefits: All membership subscriptions provide the user access to any bike available in the program at any location. A member can pickup and return a bicycle to and/or from any kiosk location with docking space or inventory available. All members will enjoy an unlimited number of daily trips. Should a member not return their bicycle to a rack within that time, their credit card will continue to be charged the posted additional usage fee on citibikemiami.com/pricing (currently $4.60 per additional 30 minutes). Miscellaneous: Patrons are required to operate the bicycles at their own risk while checked out. In the event of bicycle theft while a patron has a bicycle checked out, such should be reported to the police and patrons shall be required to obtain a police report. Concessionaire may, at its sole option, choose to refund all or part of any patron's security deposit or rental fees it deems necessary on a case -by -case basis. Pricing is subject to change. Pricing changes beyond a 20% increase of the range stated herein shall be subject to the approval of City Manager or its designee. Sales tax added at time of transaction. Page 347 of 2240 7/7/2014 EXHIBIT "2" MI.4MI AREA BICYCLE SHARE SPONSORSHIP AGREEMENT This MIAMI AREA BICYCLE SHARE SPONSORSHIP AGREEMENT ("Agreement"), effective June 7, 2014 is entered into by and between Citibank, N.A. ("Cid"), a national banking association and DecoBike, LLC, a Florida limited liability company ("Deco"). Each of Citi and Deco is referred to herein individually as a "Party" and collectively, the "Parties." RECITALS WHEREAS, Deco has entered into agreements with the cities of Miami and Miami Beach (the "Cities") to operate a 24-hour bicycle share program for Miami and Miami Beach (the "Program"); and WHEREAS, Deco and Citi desire to enter into an agreement whereby Citi will become the title sponsor of the Program; and NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein, and other good'and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows: I. Grant of Rights. Subject to the terms and conditions of this Agreement. Deco hereby grants the following rights and benefits to Citi during the Term (as defined below): A. The exclusive right to be the sole commercial sponsor of the Program and to designate the name of the Program during the Term; B. The right to be the sole and exclusive title sponsor of the Program and the only entity whose natne, logo and/or marks shall appear on the Program bicycles or other equipment. The Parties acknowledge and agree that the title level of sponsorship shall be the highest level of the sponsorship for the Program, meaning that no other Program sponsor or any) shall have the same, similar or boner benefits than those granted to Citi herein; C. The sponsorship benetts set forth herein and in Exhibit A, attached hereto and made a part hereof; and D. The right to use the Deco Marks (damned below) in its advertising and promotional materials. If. Other Sponsors or Promotional Partners. During' the Term of this Agreement, Citi acknowledges and agrees that Deco shall have the right to secure additional non-commercial sponsors or promotional partners. Deco shall, prior to entering into any agreement with or providing any sponsorship or promotional benefits to additional sponsors or partners, presont all additional sponsors or partners to Cid Ibr its written approval, which shall not unreasonably be withheld or delayed. Ill. 1k&o' &sponsibi ities. Subject to the terms and conditions of this Agreement. Deco agrees, at its own cost and expense, to: Page 348 of 2240 7!7/2oa,4 A Operate, esablish, administer and conduct the Program, including but not limited to by securing and maintaining the bicycles to be used in the Program, building and managing the stations tur such btc%cles, maintaining and staffing a 24-hour customer service call center for the Program, sitting of stations, conducting a variety of bicycle safety education initiatives and collecting Program membership fees, all in accordance with the Service Level Agreements ("SLAs") set forth in Exhibit B attached hereto and made a part of this Agreement as applicable, the Program metrics set forth in Exhibit C attached hereto and made a part of this Agreement, and with all applicable federal. state, and local laws, regulations, ordinances and codes As part of'such operations, Deco, in consultation with the cities of Miami and Miarnt Beach shall be responsible for the setting of prices for Program memberships, provided, however. that in the event that Deco seeks to increase prices by more than twenty percent (20%) than the prices set forth in Exhibit F. Deco shall secure Citi's prior approval; B Provide the henefits; set out in Exhibit A, including the title sponsor naming rights. Deco will obtain all of the necessary rights, consents, licenses and permission to both perform its obligations hereunder and to allow Citi to exercise all of the rights and benefits provided by Dec, herein; C. Incorporate the Citi Marks (as defined below) including the Program Marks (as defined below) on the bicycles to be used in the Program, the stations for the Program, the maintenance trucks for the Program, receipts given to customers participating in the Program, and in all advertising and promotional materiels for the Program, including but not limited to any wcb-based and printed materiels, all subject to the terms set forth in Section VI(C) of this Agreement; D. Conduct ongoing system research and analysis, including but not limited to a survey of Program members, on at least an annual basis. Such research and analysis shall be designed to understand public attitudes, impressions and use of the Program and may be executed through online, telephone andlor in-persun surveys, E. Develop and operate the Program website and Program mobile application(s) in accordance with Section VII below (including, subject to the mutual agreement of the Parties, acquiring the Program website URL(s) and Program mobile appltcation(s), ptnvtded, however, that if any Program domain name or Program application name contains a Citi Mark, such name(s) will be owned by Utigroup Inc.); F In addition to maintaining the condition of the bicycles as set forth in Exhibit B, after any bicycle has been in service for three (3) years, Deco examine the condition of such bicycle and where the bicycle frame shows wear, tear, or fading of color of an excessive nature. Deco will replace or recondition such bicycle; U. Provide Citi with copies of the ridership and usage reports it submits to the cities of ,Miami and Miami Beach regarding the Program; K Promote and advertise the Program; and I. Produce marketing and promotional materials tur the Program - Page 349 of 2240 7/7/2014 N Citi's Responsibilities. In consideration of the rights and benefits granted to Cki hereunder, Citi agrees to: A- Make timely payments to Deco of the consideration set forth in Section V below; B. Coordinate and consult with Deco on the marketing plan and all of the promotional efforts to be made in support of the Program, regardless of the Party making such efforts; C. Grant Deco the non-exclusive right to use the Citi Marks only in connection with the Program and the advertising. marketing and promotion of the Program in the United States (the "Territory") in accordance with the terms and conditions of this Agreement; and D. Provide fender stickers with the Program Logo (defined below) and Program Name (defined below) for installation, on the bicycles by Deco- V. Sponsorshio & Eauioment Fees. A Sponsonihia Fee. In consideration for the rights and benefits granted to Citi hereunder, Citi agrees to pay Deco the following fees for the title sponsorship (the "Sponsorship Fee") during the term as follows: For the 2014-2015 contract year which shall begin on the Re -Launch Date (defined below), Citi shall pay Deco a total not to exceed $1,645,000.00 in four installments each of which shall be due on the ffiecnth day of the first month of the calendar quarter (in the following amounts. (i) S399,500.00, (ii) S423.000, , (iii) $411,250.00 and (iv) $411,250.00); provided, however, that Deco re -launches, operates and maintains the Program with 1750 bicycles and 170 station kiosks (it is agreed and understood that bicycles may be out of circulation temporarily for maintenance and servicing). In the event that Deco fails to re -launch and continually operate the Program with 1750 bicycles and 170 station kiosks, Citi's Sponsorship Fee for such year will decrease based on the pro rata number of bicycles and kiosks that are operational. The first installment of $399,500.00 shall be due on the Re -Launch Date. Each subsequent installment shall be due sixty (60) days after Citi's receipt of an acceptable invoice from Deco which include the amount of installment of the Sponsorship Fee based on a calculation completed as of the first day of the calendar quarter which shall he for amount of the applicable installment due or the pro rats amount of such fee based on the number of bicycles that are operational (using 1750 as the denominator), if not all 1750 are operational In the event that Deco fails to have 700 bicycles and 95 kiosks ready for the rt-launch of the Program by November 15, 2014, Citi shall have the right to tenninate this Agreement. For the 2015-2016 contract year. Citi shall pay Deco a total nut to exceed $1,901,275.00 in four installments each of which shall be due on the fifteenth day of the first month of the calendar quarter, the first two of $444,150.00 and the last two of $456,487.50 based on invoices received from Deco at the start of each calendar quarter; provided that 1800 bicycles and between 170 and 175 kiosks continue to be operational rot the Program. In the event that 1750 bicycler. and 170 kiosks are not operational then the invoices submitted by Deco shall be for a pro rata amount of 3 Page 350-af-2240- 7/7/2014 the applicable installment bascJ on the number of bic) cles that are operational (using 1800 as the denominator). For :hc 2016-2017 contract year, Citi shall pay Deco a total not tn exc:cd S 1,969,065.00 in equal quarterly installments. each of which shall be due on the fifteenth day of the first month of the ca:endar quarter, of S492,266.25 based on invoices received from Deco at the start of each calendar quarter. prt,vided that 1900 bicycles and be kiosks continue to be operational for the Program In the event that 1900 bicycles and between 175 - :80 kiosks are not operational then the invoices submitted by Deco shall be for a pro rats amount of S492,266.25 based on the number of bicycles that are operational (using 1900 as the denominator). In addition, the first installment of !Ile Sponsorship Fee for this year of the Term shall only be due if seventy -rive percent (75% ) new rack, with the Program Loge and colors have been installed in Miani Beach. In the event that seventy-five (75°io) of the new racks have not been installed Citi shall be able to withhold payment until the racks arc installed For the' 017-2018 contract year, Cili shall pay Deco a total not to exceed S2,176,140.00 in equal quarterly installrr,ents, each of which shall be due on the fifteenth day of the first month of the calendar quarter, of S544,085.00 based on srvoices received from Deco at the start of each calendar quarter: providcJ that 2000 bicycles and bc;ween 190 - 185 kiosks continue to oc operational for the Program In the event tbat 1900 bicycles and between 180 - 195 kiosks are no; operational then the invoices submitted by Deco shall be for a pro rata amount of S544,08S 00 based on the number of bicycles that are operational (using 1900 as the denominator) For the 21.118.2019 contract year. Citi shall pay Deco a total not to exceed $2,295.160 in equal quarterly installments, each of which shall be due on the fifteenth day of the first month of the calendar quarter, of S571.290.00 based on invoices received from Deco at the start of each calendar quarter, pruviJed that 2000 bicycles and between 180 - 185 kiosks continue to be operational for the Program In the event that NOO bicycles and betx•een 180 - 185 kiosks are not operational then the invoices submitted by Deco shall be for a pro rata amount of $571,290 00 based on the number of bicycles that are operations! (using 2000 as the deno:ninstorl. B Equipment Fees Citi shall also pay De:e the follow mg equipment fees which shall be used by Deco to purchase new ktask payment terminal, and duck pods ("Equipment Fees"). For the 2014-2015 contras: year. Citi shall pay Deco Equipment Fees totaling S749,440.00 to Purchase new kiosk payment tcnninals in two installments as follows: (i) S449,440.00 which shall he due in the first calendar quarter of 2015 any hi) S300,000.00 which shall be due in the third calendar quaner of 2015. For the 2015-2016 contract year, Citi shall pay Dace Equipment Fees totaling S550,000.00 to purchase new dock pods in four installments as tullows: (0 $200,000.00 in the liourth calendar quarter of 2015, (ii) S125,000 in the first calendar quarter of 2016. (iti) St 25,000 in the second calendar quarter of 2016, and (iv) $100,000 in the third calendar quarter of 2016 . Page 351 of 2240 7/7/2014 For the 2016.2017 contract year, Citi shall pay Deco Equipment Fees totaling $400,000.00 payable in four equal quarterly installments to purchase new dock pods, Forthe 2017-2018 contract year, Citi shall pay Deco equipment fees totaling S400,000.00 payable in four equal quarterly installments to purchase new dock pods. For the 2019-2019 contract year, Citi shall pay Deco equipment fees totaling $330,000.00 to purchase new dock pods in four installments as follows (i) S 100,000 in fourth calendar quarter of 2018, (ii) S 100,000 in the First calendar quarter of 2019, (iii) S75,000 in the second calendar quarter of 2019, and (iv) $75,000 in the third calendar quarter of 2019. Deco shall maintain books and records vwhich include invoices for the equipment purchases set forth above and shall supply such invoices and books and records to Citi at Citi's request. In the event that Deco is able to purchase the equipment specified above for less money than provided by Citi. Deco shall refund Citi the monies unspent con such equipment. C. Advances. During the first contract year, Citi shall advance Deco a total of $800,000, payable as follows: (i) S29U,500 on the first day of the fourth calendar quarter of 2014; (6) S400,000 on the first day of the first calendar quarter of 2015; (iii) $54,750 on the first day of the second calendar quarter of 2015; and (iv) $54,750 on the first day of the third calendar quarter of 2015. Deco shall then provide Citi wit]t quarterly S50,000 credits which shall be used to reduce Citi'a Sponsorship Fee payments heginning in the fourth quarter of 2015 until the end of the "term. D. IPjyment Term;. DUI payments made hereunder shall be payable and delivered by wire transfer and shall be made upon invoice sent by Deco no less than sixty (60) days prior to each of the due dates set forth herein. Except as otherwise specificalty set forth herein, as between Citi and Deco, each Parry shall be responsible for any costs and expenses incurred by them associated with the performance of their obligations under this Agreement. Fcr accounting purposes, Deco may designate and direct Citi to make Dull or partial payments to an affiliate or subsidiary of Deco, approved by Citi, that is legitimately performing duties covered by this agreement as Deco has, or may have, different shareholders and financial obligations under different corporate entities in the performance of its duties on behalf ofseveral independent municipalities. V1. i 1a nima, Marks & Hvoerlink A. Program Name. Deco and Citi agree that the instal Program name shall be "Citi Bike." In the event that Citi (i) changes its corporate name or (ii) changes it breading sCategy, Citi shall be entitled to change the Program Name by substituting its nevv, corporate name or nationa' brand in place of its current name, subject to the prior written approval of Deco, such approval not be unreasonably withheld, and, so long as such change is permissible under Deco's municipal agreements and applicable local ordinances relating to branding the public right of way. Deco agrees that it will consent to the change of Program Name pursuant to this Section VI(A) if such name reflect the then current corporate name of Citi or Citi's then current brand, B, Program Lo&Q. Citt has developed a program logo that incorporates the Program Name ("Program Logo') and is attached hereto in Exhibit D. The Program Name and Program Logo shall both Page 352 of 2240 7/7/2oia be considered Citi Marks. In the event of a change in the Program Name, Citi and Deco agree to work in good faith to jointly develop a new Program Logo. Given the centrality of the Cio Marks to Citi's brand identity, Ciii shall Kaye the sole and exclusive ownership of any and all right, tide, and interest in and to the Program Name and Program Logo C. 'The Parties' Marks & Hv er i I . Citi M . Citi, on behalf of its affiliate Citigroup inc , hereby grants to Deco a non- exclusive, non -transferable, non-sublicensable, royalty -free license in the United States and on the Internet during the term of this Agreement to use the Program Name, Program Logo, and trademarks, service marks, and other indicia of ownership of Citi set forth on Exhibit D (the "Citi Marks") in operating, advertising and promoting the Program in any media whether existing now or later invented , including but not limited to for incorporation on the bicycles and stations, provided, however, that Citi approves all such uses ofthe Citi Marks (including, but not limited to approval of messages containing any of the Citi Marks delivered through social media plarfornts such as Facebook and Twitter) in writing in advance of distribution or printing. Notwithstanding the forgoing it is understood that Deco can only use the Citi Marks to operate the Program in the cities of Miami, Miami Beach, Surfside, Bay Harbor Islands (or any other municipalities that Deco may expand to locally that may become subject to this agreement) and any uses outside the state of Florida shall solely be related to the promotion and advertising of the Program ash is available in Miami and Miami Beach. Citi's approvals shall not be unreasonably withheld or delayed. All uses by Deco of the Citi Marks shall (I ) be appropriate and dignified and benefit On's public image and (2) inure solely to the benefit of Citi. Deco shall have the limited right to sublicense the Program Name acid Logo during the Term in the Territory in connection with operating, advert:sing and promoting the Program in any media whether existing now or later invented to third parties who promote the Program or advertise offers in connection with the Program as part of their porticipation in the Program, provided, that such third parties are approved by Citi and the sublicense is a form approved by Citi and includes Citi as a third part), beneficiary of the license for the purposes of enforcing Citi's rights to the Program Name and Program Logo. Notwithstanding the forgoing, Deco shall not be permitted to sublicense the Citi Marks to any mobile application providers. Rather, Citi shall enter into such agreements with such providers directly, as Citi determines necessary. Citi hereby grants to Deco permission to establish and maintain a hyperlink from the Program website where the Citi Marks appear to citi.com (or such other UR.Ls as Citi may designate) ((he "Citi Hyperlinks'. The Citi Hyperlinks will be used for the purposes of promoting and advertising Citi's sponsorship of the Program, and Deco may link to Citi's websites solely for these purposes. Citi reserves the right, in its sole discretion, to eliminate, disable or discontinue the Citi Hyperlinks at any time, or to require Deco to eliminate, disable or discontinue the Citi Hyperlinks at any time. 2 Deco Marks. Deco hereby grants to Citi a non-exclusive, nontransferable, nun- sublicensable, royalry-free license in the United States and on the Internet during the term of this Agreement to use the trademarks, services marks and other indicia of ownership of Deco attached hereto as Exhibit E (collectively, the "Deco Marks") in advertising and promoting the Program in any media whether existing now or later invented. Deco shall have the right to approve all such uses in writing in advance of distribution or printing. Such approvals shall not be unreasonably withheld or delayed. Deco Page 35a-o�— -- 7/7i2014 hereby grants io Citi permission to establish and maintain a hyperlink from the Ct.com (or any other Citi website) to the Program website (the "Deco Hyperlinks"). The Deco Hyperlinks wall he used for the purposes of promoting and advertising the Program, and Citi may link to the Program websitc solely for those purposes. Deco reserves the right, in its sole discretion, to eliminate, disable or discontinue flit Deco Hyperlir,ks at any time, or to require Citi to eliminate, disable or discontinue the Deco liyper!mks at any time, VII Program W'ebsttr& Application 4 Own i . As set forth in Section III(E) fhco shall he responsible for creating updating, hosting, and operating a Program website and Program mobile application, including but not limited to creating and adhering to terms and conditions and privacy policies for the such website and application Deco shall ensure that the Program websitc is available to users as of the Program Re- launch Date (s.lefined below) and that the Program mobile application is available to users on a date that is mutually agreed upon b) the parties but no later than one month before the Program Rc-Launch Date. The version of the Program mobile application that shall launch on such mutually agreed upon date shall allow users to locate Program stations, availablc bicycles, end Citibank branches and shall be created for Apple and Gougle platform. Decor shall be responsible for expanding the Program mobile application to rLn on other platforms as mutually agreed to by the Panics and shall, at regular intenals as reasonably necessary for the operation of the application, update the mobile application and issue new versions of the application which sha!I include functionality that will be mutually agreed upon by the Parties. Except as set forth in 5eclion V I(CX 1). Dew shall own the Program mobile application and website, both of which shall relale sole!)to the Program. B. Lakedown ► Latices. Deco authorizes Citi and its affiliates and their designee(s) to act as agent for and on behalf of Deco fur purposes of seeking the takedovv;:, removal, or deletion of any unauthorized reproductions or colorable imitations of the Program mobile application or website, and undertaking activities in connection therewith (and Deco shall provide related consents and authorizations or join as a party if reasonably requested by Cite). fhe Parties acknuAledge and agree that Citt shall have no obligation to seek such takedown, rrmoval, or deletion and may cease pursuing the takedown, removal, or deletion of any %uch reproduction or imitation at any nrnr and in Cit.'s sole discretion Citi ;hall have no liability to Deco or 011hates or any other person or entire i:r connection with its or its designee(s) actions ar urnissrons in connection with any such takedown. removal, or deletion, and any such actions or omissions shall be considered those of Deco for the pur;.x)scs of Section V III R) ofthis Agreement. C. 5rS.y_r1tt Incident Reporting. In order to ensure it consistent process for identifying, reporting, investigating and closing information security incidents, Deco %hall develop, implement, document and maintain an infonndOun security incident reporting process (hereinafter a " SIRP"). Such SIRP shall (a) provide an accurate and up -so -date lise of Deco and t rti personnel to be contacted in the event of an actual or suspected information security incident related to the Program website aodior Program mobile application which may or could result in the disclosure of personally identifying information front Program members, including but not limited to ctetitit or debit card numbers, (h) detail incident severity definitions, and (e) set specific escalation procedures and timeframes for same based upon the breach Page 354 of 2240 7/7/2014 severity level of the actual or suspected information security incident. At a minimum, the S►RP must (1) mandate that all of Deco personnel notify their management in the event that any of Deco personnel become aware of any action which indicates that there has been or may be an information security incident, and (2) mandate that an officer of Civ must be uontacted immediately in the event of any actual or likely disclosure of personally identifying information from members, in accordance with the aforementioned escalation procedure D. Vulnerability As5essment. At Cit"s request, no less ;han semi-annually, Deco will allow Citi or a third party engaged by Citi, to perform a vulnerability assessment of the Program website and/or Program mobile application, including but not limited to Deco's technology infrastructure ("Vulnerability Assessment"). Citi shall be responsible for all expenses associated with the performance of the Vulnerability Assessment. Deco will provide information requested by Citi to enable Citi or a third party engaged by Citi to perform the Vulnerability Assessment within seven (7) days of Citi's request for such information. Citi shall keep complete and accurate records rt;garding the results of the Vulnerability Assessment. Citt will notify Deco of security risks identified by Citi or by a third party engaged by Citi (singular "Deficiency", or plural, "Deficiencies"). Deco shall have thirty (30) days to cure all Deficiencies identified as "high" according to industry standards. Ali other Deficiencies identified will be cured by Deco within ninety (90) days of Citi's notification to Deco of such Deficiencies. Deco shall be responsible forall expenses associated with curing Deficiencies identified as a result of the Vulnerability Assessment. Ciu shall have the right to re -perform the Vulnerability Assessment upon receipt of I)cco's notification that Deficiencies were eliminated. If, in Citi's sole and exclusive discretion, the results of such Vulnerability Assessment demonstrate that Deco has failed to cure any Deficiency, Citi shall have the right to terminate this Agreement immediately upon %Tiaen notice, without liability. further, if Citi terminates this Agreement in accordance with this Section, Citi shall be entitled to a prorated refund of the fees paid to Deco. Industry standard definition of HIGH, MEDIUM, and LOW Deficiencies High Risk. These issues identify conditions that could directly resu't in the compromise or unauthorized access ofa network, system, application or information Fxamples of High Risks include known buffer overflows; weak/no passwords, no encryption, which could result in denial of service on critical systems or services; unauthorized access, and disclosure of information. In addition, all non -compliant Citigroup policy issues will he categorized as High Risk. Medium Risk These issues identify conditions that do not immediately or directly result in the compromise or unauthorized access ofa network, system, application or information, but do provide a capability or information that could, in combination with other capabilities or infonna6un, result in the compromise or unauthorized access of a network, system, application or information. Examples of Medium Risks include unprotected systems, files, and services that could result in denial of service on non - Page 355 of 2240 7/7/2014 critical sa vices or systems; and exposure of configuration information and knowledge of services or systems to further exploit. Low Risk: These issues identify conditions that do not immediately or directly resuit in the compromise of a network, system, application, or information, but do provide information that could be used in combination with other information to gain insight into how to compromise or gain unauthorized access to a network, system, application or information. Low risk issues may also demonstrate an incomplete approach to or application of security measures within the environment. Examples of Low Risks include cookies nor marked secure; IP hopping; revealing system banners; and general best practices recommendations V lit. Term & Termin tioni. A. Term. The initial term of this Agreement shall begin on the effective date and shall continue for a period of five (5) years from the date that the Program is re -launched to include the downtown Miami area and all Program bicycles include the Program Logo (the `Program Re- Launch Date") (the "Initial Term"), unless terminated earlier in accordance with Section VIII(B). Such Program Re -Launch Date shall occur no later than November 15, 2014. Thereafter, the Parties may automatically renew this Agreement for (a) an additional five (5) year term in D:co's City of,Nliami program and (b) to the natural expiration of Deco's municipal contract term in the City of Miami Beach (Expiratior. Date: September 30, 2023), upon the mutual agreement of the Parties no less than one -hundred and twenty (120) days prior to the end of the then -current term (each, a "Renewal Term" ). The Parties witl mutually agree on the Sponsorship Fee for any Renewal Term, while all of the other terms and conditions set forth herein shall remain the same, except as otherwise agreed to by the Parties in writing. Notwithstanding the forgoing, in the event that Deco elects not to renew the Agreement and enter into an agreement with a third party for the title sponsorship, Deco must, prior to entering into such an agreement, provide Citi with the option to renew its sponsorship under the same terms and conditions as those offered to such third party. The Initial Term together with each Renewal Term shall collectively be referred to herein as the "Term." 8. Termination. Citi shall have the right to terminate this Agreement upon ten (10) days prior written notice to Deco in the event that the City of Miami, the City of Miam i Beach, or any other govemmentai or administrative body or agency havingjunsdiction related to the Program, terminates its agreement with Deco govcming the Program or passes any rule, regulation, or law that would significantly limit Deco's ability to operate the Program as contemplated herein. In the event of such termination, Deco shall refund Citi a pro -rota portion of the Sponsorship Fee and any applicable advances paid for the contract year during which such termination occurs. Nothing herein shalt be interpreted to preclude Citi from enuring into an agreement with another operator of the Program in the event that the contract between Deco and the City of Miami or the City of Miami Beach is terminated. 2. Citi shall have the right to terminate this Agreement immediately in the event that a change in law, regulation, or other regulatory requirement applicable Citi (herein referred to as "New 7/7/2oia Legislation-), would prohibit Citi from sponsoring the Program or would render Citi's oblixations hereunder impermissible or impracticable without a violation of the New Legislation. Notwithstandine the forgoing, in the case oftermination by Citi pursuant to this paragraph, Citi shall provide Deco with the amount of prior notice allowed haled on the effective date and the content of such New Legislation. Any Equipment Fees already paid by Citi to Deco shall not be refundable if Citi terminates for this reason and Citi shall continue to make such payments pursuant to a separate written agreement which will be entered by the parties, provided, that Deco has made purchases for which such Equipment Fees were to be used (and can provide supporting documentation of such purchases), the equipment is necessary and capable of functioning as intended. and Deco is not able, after using all commercially reasonable efforts to immediately cancel the order(s), return or reduce the amount of such purchases. Citi shall also have the right to terminate this Agreement if Deco breaches this Agreement and the breach remains uncured for more than twenty (20) days after Deco receives written notice of such breach from Citi, except for breaches by Deco of Section Itl(C), (D), (E), (F), (G), in which case Deco shall have sixty (60) days to cure such breach and breaches which result from Deco's failure to meet the non -safety related SLAB for which Deco shall have ninety (90) days to cure such breach, in the event of such termination, Deco shall refund Citi a pro -rate portion of the Sponsorship Fee paid for the contract year and any applicable advances during which such termination occurs. Notwithstanding the forgoing, in the event of that Citi terminates this Agreement as a result of a breach for with a sixty (60) or ninety (90) cure period applies, then any advances made by Citi of the Sponsorship Fees and the Equipment Fees paid by Citt shall not be refundable; provided that Deco has made purchases for which such advances and Equipment Fees were to be used (and can provide supporting documentation of such purchases), the equipment is necessary and capable of functioning as inzended, and Deco is not able, after using all commercially reasonable efforts to immediately cancel the order(s), return or reduce the antowrt of such purchases and provided, further, such termination is not the result of Deco's misuse of such Equipment Fees or the advances. Citi shall also have the right to terminate this Agreement upon one hundred eighty ( 180) days written notice in the event tha: the Program fails to meet the agreed upon utilization metrics set forth in Exhibit C by the end of the fourth quarter of the first year of the Term. Such ter'mirtatiun would become effective Lin the last day of the first quarter of the second year of the Term. Any Equipment Fees and advances of Sponsorship Fees used to pay for equipment for the Program provided by Citi shall no! be refundable and Citi shall continue to pay the Equipment Fees pursuant to a separate written agreement which will be entered by the parties; provided that Deco has made such purchases (and can provide supporting documentation of wch purchases), the equipment is necessary, and capable of functioning as intended and Deco is not able, after using all commercially reasonable efforts to cancel, return or reduce the amount of such purchases and provided, further, such tertination is not the result of Deco's misuse of such Equipment Fees or the advances. 10 7/7/2014 Deco shall have the right to terminate this Agreement upon prior written notice to Ciii if Citi fails to make a payment to Deco of any sums due hereunder, provided that Citi is notified in writing of such nonpayment by Deco Ind such payment is not made within Twenty (20) days following Citi's receipt of such notification. In the event of such termination, Citi will still be obligated to pay the sums due hereunder up to the date of termination, but shall be relieved of any future payment obligations hereunder, except for Equipment Fee for purchases which Deco can demonstrate through documentan evidence are non -cancellable or refundable. 6. Either Party shall have the right to terminate this Agreement upon prior written notice to the other Patty in the event of: (i) the other Party's insolvency; (ii) the filing of any petition by or against the other Parry under bankruptcy, reorganization, or receivership law which petition is not withdrawn or dismissed within thirty (30) days thereafter; (iii) the other Parry's execution of an assignment for the benefit of creditors; or (iv) the appointment of any trustee or receiver of the other Party's business or assets or any part thereof, unless such petition, assignment, or appointment is withdrawn or nu�lified within fifteen (15) days of such even:. In the event of termination by Citi hereunder, Deco shall refund Citi a pro -rats portion of the Sponsorship Fee paid for the contract year during which such tennination occurs. Any Equipment Fees paid by Ciii shall not be refundable; provided that Deco has made such purchases (and can provide supporting documentation of such purchases), the equipment is necessary and capable of being functioning as intended and Deco is not nble, after using all commercially reasonable efforts to cancel, return or reduce the amount of such purchases. 7. Upon termination or expiration of this Agreement, each Party shall immediately cease using the Marks of the other Pam. Vlll. Representgtt ions, Warranties & Covenants A By Deco Deco represents, warrants and covenants that: 1. It is authorized by the cities of Miami and Miami Beach and has the full right and legal authority to enter into and fully perform this Agreement in accordance with its terms without violating the rights of any third party; 2. It has or will obtain all government licenses, waivers, releases, registrations, approvals, permits or other authorizations necessary to perform its obligations as contemplated under this Agreement and that such licenses, agreements, permits, waivers, releases, registrations, approvals, and/or authorizations will be valid and sufficient for the performance of its obligations hereunder, 3. It will comply with all applicable laws, regulations, ordinances and codes pertaining to the fulfillment of its obligations under this Agreement, and Page 358 of 2240 7/7/2014 4. The Deco Marks and all content, promotions, and advertising created or furnished by Deco (except to the extent they use the Citi Marks) for use in connection with the Agreement will not violate or infringe upon the rights of any third party when used by Citi in accordance with the teens of this Agreement. 5. Deco has and will maintain information security standards and procedures for the Program website and Program mobile application in accordance with industry standards and maintains appropriate procedures to remediate any information security breach that may occur. If Deco learns that an information security breach has occurred on the Program website or Program mobile application, Deco will promptly notify Citi of such infonnation security breach to the extent legally permissible. B. By Citi. Citi represents, warrants and covenants that: I . It has the full right and legal authority to enter into and fully perform this Agreement in accordance with its terms without violating the rights of any third party; 2. The use of the Citi Marks as permitted and approved hereunder shall not infringe upon The intellectual property rights of any third party; and 3. It will comply with all applicable laws, regulations, ordinances and codes pertaining to the fulfillment of its obligations under this Agreement. 1X. Indemnification A. Deco shall defend, indemnify, and hold harmless Citi, its parents, affiliates and subsidiaries and its and their respective directors, officers, employees and agents from and zgainst any liabilities, losses, investigations, inquiries, claims, suits, damages, costs and expenses (including without limitation, reasonable attorneys' tees and expenses) (each, a "Claim") arising out of or otherwise relaying to (i) Deco' breach of its obligations under this Agreement, including but not limited to its representations and warranties; (ii) the failure of Deco or those acting under its control to comply with all applicable laws, regulations, codes, ordinances or other requirements of any govemmentai authority; (iii) the authorized use of the Deco Marks and materials provided by or on behalf of Deco; (iv) the acts or omissions of Deco or anyone acting under its direction or control, (v) the unauthorized ust by Deco of the Citi Marks or other Citi-owned materials provided pursuant to this Agreement; (vi) or any loss, damage, personal injury or death, suffered by any third party arising in connection with the Program. B. Citi shall defend, indcmnify, and hold harmless Deco and its directors, officers and employees from and against any Claims arising out of or otherwise reiating to (i) Citi's breach of its obligations under this Agreement, including but not limited to its representations and warranties; (ii) the authorized use of the On Marks and any materials provided by Citi in connection with the Program; and (iii) the unauthorized use by-Citi of the Deco Marks or other Deco -materials provided pursuantto this Agreement. C. Notwithstanding the foregoing, neither Parry shall be obligated to indemnify the other Party for any Claims that may arise out of the gross negligence or willful misconduct of the party otherwise 12 Page 359 of 2240 7n/2014 indemnified. Each Party shaI I provide wTinen notice to the other of any Claims, whether actual or threatened, promptly upon receipt of notice thereof The other parry shall make no settlement of an indemnified claim specifically naming or directing the Indemnified Party without the Indemnified Parry's prior written approval. X. Insurainu A. During the Term, Deco shall obtain and maintain all insurance coverage needed to provide and the properly run the Program and as required by federal or state law, including without limitation, Workers Compensation with statutory limit and one million dollars (S1,000,000) Limit Employer's Liability. one million dollars (S 1,000,000) Limit for Automobile Liability, Commercial General Liability including broad form contractual liability tend personal injury endorsements, providing coverage against liability for bodily injury and property damage in the minimum amount of S I MM per occurrence and no less than two million dollars (S2,000,000) annual aggregate in addition to an Umbrella/Excess Liability providing excess liability coverage in the minimum amount of ten million dollars (S10,000,000.00) annual aggregate. Upon request of Citi, Deco shall provide a copy of a Certificate of Insurance that conforms to the foregoing requirements. The certification provided to Citi must include the amount and type of the coverage(s), names of the insurance providers, the policy numbers and the expiration date of such coverage(;), or that such coverage information has not materially changed since the effective date of this Agreement or the prior year's certification, as the case may be- B. Citi, its parent Citigroup Inc. and subsidiaries as "Additional Insured" should be listed on any General Liability, Auto Liability, and Umbrella Liability coverage. In addition, Citi should be named as "Certificate Holder" on the Certificate of Insurance. Insurance Carrier shall notify Citi thirty (30) days prior to any non -renewal or cancellation of the Insurance required C. Citi's acceptance of delivery of a Cerrifica;c of Insurance that dots not conform to the requirements herein shall not relieve Deco of its obligations to provide applicable insurance conforming to the requirements herein. Failure to comply with the insurance requirement above shall constitute a material breach of this Agreement. XI. id tjgjity. A. Each Party shall treat as confidential and shall not copy or duplicate or disclose to any person or organization any information obtained from the other Party, either directly or indirectly, that is marked as confidential or which should be reasonably understood to be confidential ("Confidential Information") and will only use or reproduce such Confidential Information (i) to perform its obligations under this Agreement, (ii) as required by the order of any court or any government agency with proper jurisdiction (and provided it gives norioe to disclosing Party and an opportunity to object to the disclosure of such Confidential Information) or (m) to receiving Party's attorneys, accountants or other representatives as necessary in the performance of their duties and in the case of Deco, to the cities of Miami and Miami Beach solely to the extent required under the agreements between Deco and such cities. Confidential Information shall not include (1) information that was in the public domain through no fault of the receiving Party at or subsequent to the time it was communicated to the receiving Party, (2) information 13 Page 360 of 2240 7/7/2014 I hat was rightfully in the receiving Parry's possession free of any obligation of confidentiality at or subsequent to the time it was communicated to the receiving Parry by the disclosing Pam and (3) information developed by receiving Party independently or and without reference to information provided by the disclosing Party hereunder. Without the disclosing Part>'s prior written consent and other than as set forth above, receiving Party may not disclose Confidential Information to any third parry. The receiving Parry shall trea: Confidential Information with at least the same degree of cane that it treats its own contidential information and shall exercise reasonable precautions to prevent disc osure of Information to unauthorized parties. If the receiving Party becomes aware of any threatened or actual violation of the disclosing Party's obligations with respect to Confidential Information, the receiving Parry shall immediately notify the disclosing Parry thereof artd the receiving Party will, and will assist the disclosing Parry with its effort to, cure or remedy such violation. B. 'rhis Agreement and the Parries' dealings under this Agreement, including any payments made by Citi, art: confidential and shall not be disclosed by either Parry without the prinr written consent of the other Party (which may be by e-mail), unless such Party is under a legal obligation to disclose such information or such disclosure is to such Part)'s advisors nr for purposes of enforcement. In such event, the Party with the obligation to so disclose shall make reasonable efforts to provide the other Parry with adequate notice of the required disclosure. X11. Mis"llaneous. A. Governine Law do Jurisdiction. All matters affecting the interpretation w performance of this Agreement and the rights of the Parties hereto shall be governed by and construed in acco.dancc with the laws of the State of New York, exclusive of conflict of laws provisions. Any action or proceeding commenced pursuant to this Agreement shall be commenced in a federal or state court in the State of New York, County of New York Both Parties hereby irrevocably waive trial by jury. B. No Subcontractors. Deco may not engage any third party to perform any of its obligations hereunder without Cin's prior written approval. Notwithstanding such approval, Deco shall remain responsible for the performance of all obligations hereunder and for the acts or omissions of any its agents or subcontractors. C. Assigrtinent. Neither party shall assign this Agreement, in whole or in part (by assigning any right or delegating any dury under this Agreement), voluntarily or involuntarily, by operation of law, or in any other manner, without the other parry's pr.or written consent (which may be by e-mail or facsimile) which may 'oe withheld in such party's sole discretion, provided, however, that Cid may assign this Agreement to an affiliate or subsidiary capable performing hereunder upon notice, but without consent, to Deco. Except for such assignment by Citi, any purported assignment or delegation by a party without the other parry's prior written consent is void. Subject to the foregoing, all of the terms and provisions of this Agreement shall be binding upon and inure to the benefit of and be enforceable by the successors and permitted assigns of the parties. D. Force Maieure. In the event that Deco is unable to perform its obligations under this Agreement as a result of an Act of God or of the public enemy, act of the government either in its sovereign or 14 Page 361 of 2240 -- - - --- - 7/7/2o>,a contractual capacity, suspension or cancellation of the Program, civil commotion, fire, or Flood, each of which must have a prolonged impact on the use of bicycles in the cities of Miami and/or Miami Beach (each an "Event") for one hundred twenty days (120). then Citi may, at its option either extend the Term for a period equal to the period that Deco was unable to perform its obligations or, if the impact exceeds one hundred eighty days (180), terminate this Agreement. In addition, if as the result of such Event, Deco is unable to meet the Program metrics in Exhibit C, then Citi shall also have the right to extend the Term for a period equal to the period of the Event. Notwithstanding the above, this Section X11 (D) shell not relieve the Parties of any obligations relating to confidentiality, information security or non -infringement under this Agreement- E Relationship of the Panics. Deco shall perform services as an independent contractor, and nothing contained herein shall be deemed to create any association, partnership, joint venture or relationship of principal and agent between the Parties hereto or any affiliates or subsidiaries thereof, or to provide either Parry with the right, power or authority, whether express or implied, to create any such duty or obligation on behalf of the other Party. Deco also agrees that it will not hold itself out as an affiliate of, or partner, joint venturer, co -principal or co -employer with Citi or any of its parent corporations, affiliates or subsidiaries by reason of this Agreement and that Deco will not permit any of its employees, agents or subcontractors to hold themselves out as, or claim to be, officers or employees of Citi or any of its parent corporations, subsidiancs or affiliates by reason of this Agreement F Role of the Cities of Miami & Miami Beach. Pursuant to its agreements with the cities of Miami and Miami Beach, copies of which has been provided to Citi, Citi acknowledges and agrees that the such municipalities may have approval rights regarding the Program I -ogu, Program Name, colors of the bicycles and stations, and station formats. Deco shall be responsible for securing any necessary approvals which shall not be unreasonably withheld. G. Waiver. This Agreement constitutes the entire agreement of the Parties and supersedes all prior representations, proposals, discussions, and communications, whether oral or in writing, relating to the subject matter hereof. This Agreement may be modified only by a written instrument signed by both Parties. None of [tie provisions of this Agreement may be waived or modified, except expressly in writing signed by both Parties. however, failure of eider Party to require the performance of any term of this Agreement or the waiver by either Party of any breach shall not prevent subsequent enforcement of such term nor be deemed a waiver of any subsequent breach. H Severability. Each and every paragraph, sentence, term and provision of this Agreement shall be considered independent, reasonable, and severable. If a court of competent jurisdiction or arbitrator(s) makes a final determination that any paragraph, sentence, term or provision of this Agreement is unreasonable, invalid or unenforceable, the remaining paragraphs, sentences, terms and provisions of this Agreement shall be unimpaired and the unreasonable, invalid or unenforceable paragraph, sentence, term or provision of this Agrcemenr shall be deemed replaced by a paragraph, sentence, term or provision that is valid, reasonable and enforceable and that most closely approximates the intention of the Parties with respect to the unreasonable, invalid or unenforceable term or provision, as evidenced by the remaining valid enforceable terms and conditions of this Agreement. 15 Page 362 of 2240_ 7/7/2014 1. udit. At least once during each year of the Term Citi, its internal or external auditors shall be entitled to audit Deco's books and records as related to the Program and Deco's expenditure of the Equipment Fees and advances. In the event that Citi finds that Deco has overstated such expenditures or misused such Equipment Fees cr advances, Cm shall be entitled to terminate this Agreement and reeeivc a refund of such Equipment Fees and/or advances. J. Publics. Neither Party shall issue any press release or public announcement concerning this Agreement, or identifying, mentioning or using the name of the other Parry, without obtaining the prior approval of the other Parry hereto, which approval shall not be unreasonably withheld, conditioned or delayed, provided, however, that Citi shall be entitled to include the Program in any list of its sponsorships. K. Notire. Unless otherwise specified herein, all notices, requests, demands, payments, consents and other communications hereunder shall be transmitted in writing and shall be deemed to have been duly given (i) when hand -delivered, (ii) upon delivery when sent by express mail, courier, overnight mail or other overnight or next -day delivery service, (iii) when received when sent by facsimile or via email, provided that such facsimile or email is e;cctronically confirmed to have been received, or (iv) three (3) days after the date mailed when sent by registered or certified United States mail, postage prepaid, return receipt requested, or when deposited with a public telegraph company for immediate transmittal, charges prepaid, addressed as follows. Citi' Citibank, N.A. Atrtt' Elyssa Gray One Court Square Long Island City, NY 1 1 120 With a copy to: Citi Legal Department Attn: Jane G. Pullack or Anne Rubinson One Court Square, 41 st Floor Long Island City, N1' 11120 Deco: 41 NC 17 TER, MIAMI, FL 33132 Citi or Deco may change its address by giving written notice of such change of address to the others. L. Survival. The following prm isions shall survive expiration or termination of this Agreement: Sections VIII(6X2), VIII(BX4), VIII(BX 7), IX — Xll. M. L n ire Agreement. This Agreement, including all exhibits, schedules, and other attachments to this Agreement as well as documents Specifically referenced in this Agreement, constitute the entire expression of the Parties' agreement with regard to the subject matter of this Agreement_ All prior and 16 Page 363 of 2240 7/7/2oi4 contemporaneous negotiations and agreements between the parties with regard to the subject matter of this Agreement are expressly superseded by this Agreement. N. Countemarts. This Agreement may be executed in one or more counterparts, each of which be deemed an original, but all of which ;&ken together constitute one and the same instrument. Deli, of an executed counterpart of a signature page to this Agreement by facsimile or other electronic transmission shall be effective as delivory of a manually executed original counterpart of this f\greel rN WITNESS WHEREOF, the Partiei hereto have executed this Agreement as of the date above. / CITIBANK, N. By: Print Name: DL•COBIICE, LLC By. Print Name: c�� rizwn_,�) ?bs='��rr7 Tit) : Title: ►�t;� (}i�J I — Page36 of 2240 7/7/2014 Sponsorship Benefits In addition to the benefits outlined in Scctiuns I and III of the Nprettient. Deco shall provide tV Cat the follow;ng sponsorship henefits during each year of ;he Term Status, Rigbts & Ettclusiviry • C10 N ill he the exclusive brie sponsor of the Program • Cni colors as selected by Ciii shall be incorporated into the branding of the Program, subject to approval by the cities of Miami and Miami Beach • During each year of the Term. Deco will provide Citi with a most favored discounted rate on all passes and memberships in the program and will give Citi S7500 of free Program memberships in the form of passes, member access cards or key fobs to be distributed by Cal in its sole discretion, but in compliance with the terms and conditions of the Program. • At least once during each year of the Term, Deco shall allow Cite to create an email that may, in Citi's sole discretion. include messaging about Citi products and services, that Deco will deploy to the Program member base (excluding ntembets who have opted out from receiving marketing messages) Citi Branding Visibility an Bicycles • Program Name and Program Logo on the tenders. fiarnes, and baskerc of all of the Program bicycles. the exact placement of which shall be mutually agreed upon by the parties. Such Program Namr and Program Logo %hall appear on all Program bicycles (minimum 1700). as of the Program Re -Launch Date. Deco will add the Program Name and Program Logo to all Program bic�ties that it adds Ic the Program. In addition, in the event that Deco orders new bicycles, such bicycles shall not include the name of the manufacturer of such bicycles on the seats. • C.rb sha!1 choose color of hikes and other graphic design elements. subject to approval by cities of Miami and Miami Beach. Any changes to the design elements of the Program bikes. including but not limited to any proposed addition of any logos or other elements shall be sub)ect to Cite's approval As of the Program lee -Launch Date, the 700 downtown Miami area Program bicycles shall all include design elements chosen by Citi. By January 30, 2015 the 1000 Miami Reach Program bicycles shall ull include design elements chosen by Citi and there should no longer be any Program brcy;lcs5 that do not include design elements chosen by Citi. • Citi responsible for paying for the sticker,, on the hrcycles which need to be rebranded. Such oust, shall not exceed $60,000 00. 3. Citi Branding Visibility on Station Kiosks. Station Docks & Other • Program Logo on all station kiosks %%ith the placement to he mutually agreed upon by Ciu and Deco. The parties acknowledge ttnd agree that Deco will use best effon to obtain permissions to include Citi branding on any station kiosks or docks which are placed on private property, provided, however, that the Deco shall tie hem effort% not to place stations on private property and shall work with Citi to determine an acceptable location for a station dock or kiosk if such kiosk or dock needs to be placed on private property The parties acknowledge and agree that currently th-re is only one station on private property ig __ __ Page 365 of 2240 7/7/20;4 in the Miami Beach area, Citi shall have the main 22" x 48" ad panel at -;C station kiosks on which Citi commercial advertising can appear. The Program Name and Program Logo will appear on all of the stations kiosks (minimum of 100) in the Miami Beach area. In the event that Citi advetising cannot appear on an ad panel, no information on anv commercial enrih, (other Than Deco) shall be included on such ad panel; rather, the ad panel shalt consist of Program, city or tourist related information. In addition, the Program Logo will appear on the rail locking docks and the stations kiosks and docks will be Citi blue (or feature Citi blue decals). As Deco adds station kiosks, Citi will receive the same benefits on such kiosks. In the downtown Miami area, Citi shall have all of the ad panels at every station kiosk (minimum 70) The main panel shall be 23' M.' x 58"H and the side panels shall be 16"W x 58"H . One side panel shall be used for die bikeshare station network map on all kiosks. As Deco adds station kiosks, Citi will receive the saute benefits on such kiosks. Program Logo on all member access cards. Program maintenance tnrcks, rebalancing trailers, Program uni-orms, ciry makes, and marketing collateral. d. Marketing and promotions • Deco will consult and cooperate with Citi :n devising and executing the marketing plan and all promotional efforts in support of the Program • Deco will consult and cooperate with Citi on any and all third -party collateral, sponsorships and promotional nctivities in support of Tile Program or using the Program Name or Logo. Specifrcally, Cie shall have the right To review and approve all such collateral, sponsorships and promotional activities. Such approval shail not be unreasonably withheld. • Deco will prominently display the Program Logo on all proni,otional campaign material for the Program, including in all social media posts, press releases and marketing collateral • Deco will also prominently display the Program Logo on any materials associated with community and bicycle safety programs • In the event Deco sells advertising space on the Program website andlor Program mobile application, Deco shall provide Cat with ad inventory on such properties free of charge ttnd viill not sell ad space to a third pary that is not approved by Citi. • Deco will undertake at a minimum, the following marketing efforts in support of the Program, o Safety, education and comntunuy outreach campaign. including dozens of events in many areas of the city o Email blast to 4,300 city staff members regarding the Program and the Program Re - Launch o Program launch event with national and global media attention o Social media activation starting 1 month before Program Re -Launch and ongoing o Events, tabling, contests. ambassadors and programs to drive increase in membership, ridership and community ongoing. o Outreach to tourists, both prior to visit to Vtiamr and :Miami Beach and during their stays o Facilitate cross promotional opportunities with hotels, at community events (i.e., Aids Walk, Relay for Life. Bike Miami Days, and the Winter Party) S. Public relations • Citi shall have the right to have Citi designated spokesperson participate in all media events that Citi considers to be key media. 19 7/7/2014 • Ciri will receive a credit as the exclusive title sponsor in all press releases or other controlled media in a form to be mutually approved by the Parties. • Citi and the Program Namo and Program Logo will be teatured in all official Program press announcements and at all Program Events • Deco will use test effurs to arrange for a press conference to announce the sponsorship with the participation of the mayors of the cities of Miami Beach and Miami • Deco will conduct ongoing press outreach concerning the Program safety • Deco, together with the cities of Miami and Miami Beach, will execute a variety of programs designed to bring attention to bicycle safety and helmet usage Deco will consult with Citi regarding the execution of such Programs and provide Citi with the opportunity to participate in such Programs, including but not limited to through helmet giveaways at Citibank branch locations. • Deco will place safety messaging prominently on the wcbsite, emails and newsletters to members, and en the station kiosks • Deco will continue to conduct bicycle safety workshops, bike safety summer camp programs, and its work with die South Florida Bike Coalition and will provide Citi with the opportunity to participate in these programs • Deco will continue to pmvido free helmets to ail annual subscribing Program members at Deco office location(s) and. in Citi's discretion„ Citi may also allow Deco to provide such helmets at Ciri branches in the immediate area 20 Page 367 of 2-�Y 7/7/2014 )E hi it SLAB All Service Level Agreements are assessed monthly unless otherwise specified. Ref. Name Service Level Measurement Performance Units Liquidated Damages Agreemeet Tools) I Level Per Unit Every Station, as well as all Station & Bicycles 1 Bicycle resent, is � cleaned or � Deco databases <989'e PP�S�> ° S50 cleaaine wiped down at least once every i 14 days. Every Bicycle receives a full 2 Bicycle mechanical Deco databases Per Bicycle Maintenance : check at least once every calendar month. <100% per Day $10 J- Station Stations must be cleaned within 48 hours of discovery or notification. Per instance, cleaning Cleaning per 24 hour 3 after includes, but is Dew databases. <900y0 period $50 discovery or not limited to beyond notification wash or wipe - deadline down, graffiti, scratchid and sticker removal. Operator must clean Bicycles or remove them rrom the system Bicycle within 96 hours Per instance, cleaning of discovery or per 24 hour 4 after notification. Deco databases <90&e period s10 discovery or Cleaning beyond aosit7casifua includes, but is deadline not limited to wash or wipe - down, graffiti, scrawhiti and 21 Page 368 of 2240 7/7/2014 i Serslce level Measurement Performance LiQuidated Ref. : Name Agreement Tool(s) Level Units Damages Per Ifait sticker removal i i ' I i Stations thAt arc net marked for repairs, undergo:ntt repairs or temporarily S Station removed from Deco Uptime circulation must database(s) he fully functiunal including all communications and transaction W'ebslte availability i systems �Webvite must be fully functional. This includes but is not limited to the ability to: process transactions: prnvtdc real- time data and I map; and provide subscriber account information, such as rental histories. I Central The Central Deco datahasc(s) I <95% Per huur per $50 i station I -9?4 c Per hour Computer 7 System :System Cemputcr Deco <07;0 o I Per hour must he databast(sj i fuily functional The operator ..tll ensure that 8 Bicycle fleet Deco all bicycles that =95 So Per Bicycle databnse(c ) are not removed from circulation 22 S50 S50 $15 Page 369 of 2240 7/7/2t114 Ref. Name Service Level Agreement for repair, replacement or cleanmi; are in circulation a. agreed upor. by --~ Deployed Docks not (narked for repair or replacament Operational must be fully 9 Docks functional This includes but is not fintited to the ability to rent and receive Bicy.les Bicycles shall he redistributed 10 Bicycle throughout the rebalancing system as necessary to meet demand. Measurement Performance Tool(s) Level Deco datahasr(s) i i Deco database(s) I i I Liquidated L'nits Damages Per Unit Deco shall be exempt from the SLA requirements in this exhibit under the following circumstances: (a) Damaged or Stolen Stati,)ns and Components In the event a station is damaged by acts of god or multiple stations are damaged at the same time as a result of an event beyond the direct control of Deco, Deco shall he excused from complying with SLA terms for such stations, bikes and components; provided, however, that Deco takes all necessary steps to ensure that riders cannot access such stations, bikes or components until they are fixed and provided further that such time Deco is excused is less than thirty (30) days unless further delay Is the result of a Force Majeure Event under the Agreement or the result of a delay by the municipality or other governing body. Deco shall use best reasonable efforts to replace or repair such equipment quickly. It is agreed by the parties that in the event equipment must he ordered or removed for repairs, there will be a corresponding dov,rtime for such equipment of which Deco will not be penalized. (b) Temporary Removal or Relocation of Stations: During the Tcrnt. stations may be moved or removed temporarily for repairs, upgrades (including for the rollout of the new equipment as set forth to the Agreement) and,or to make way for construction projects (such as repaving or road infrastructure work) Deco shall be exempt from complying with SLA terms for such stations and shall not be penalized, provided, however, that Deco shall use all commercially 21 Page 370 of 2240 7/7/2oi4 reasonable effort to have any station that is effected by such construction project relocated to a different area during the project and shall aiso notify Citi of such removal. (c) 3`d Party Communicarion Providers: In the rare event a cellular data service provider (such as AT&T or T-Mobile for example) experiences an issue that impacts that data communication and performance of Deco's stations, Deco shall be exempt from the SLA during such period and shall not be penalized. Deco shall notify the communication prodder immediately upon identifying and attempting to troubleshoot the issue. Deco will notify members (viu email or social media) and Citi of any impact on the operation of the system if it is likely to persist for more than two hours. 24 Page 371 of 2240 7/7/2014 Exhibit Program Metrics The utilization metrics for the Program shall be as follows: • Contract Years I & 2 - An average of 2 Rides (defined below) per day per bicycle (based on the Program fleet levels set forth in the Agreement) • Contract Years 3, 4 & 5 - Any average of 2.5 Rides per day per bicycle (based on the Program fleet levels set forth in the Agreement) No later first quarter of the second contract year of the Term, Deco would perform a formal ridership analysis to determine the degree of utilization of the Program over the first year of the Initial Term. In the event that the re,,iew demonstrates that the degree of utilization of the Program during the first contract year of the Tetra is less than an average of at least two Rides (as defined below) per day per bicycle has not been mct, then Deco and Citi will come to mutually agreeable revised marketing and public relations commitments for Deco. which may include increasing the financial resources and manpower commirted by Deco and related to those commitments, including but not limited to providing Citi with additional media placements, increasing public relations activities, and holding additional ?Deal promotions with Miami and Miami Beach agencies. After the initial audit, Deco will conduct quarterly ridership analyses and continue the revised marketing and public retations actions until the agreed -upon metrics have been met for at least two consecutive quarters, The parties acknowledge and agree for the purposes of making such calculations the limited time periods during which new docks were installed throughout Miami Beach and locks were changed out throughout Miami Beach will not be counted. Once such metrics have been satisfied for two consecutive quarters such reviews will be conducted at least once annually based on the metrics set forth above for the remainder of the Initial Term, unless an} review shows that such metrics have not be satisfied in which case a review shall be conducted fur the following quarter. In the event that the metrics are not met for two consecutive quarters, Citi shall have the option to terminate die Agreement as set forth in Section Vll(BX3). )5 Page 372 of 2240 7/7/2014 Citi Hike name Citi Bike Design logo Blue Wave Design Citi Citi with Arc Design Citibank Exhibit D Citi Marks 26 Page 373 of 2240 7/7/2014 DecoBike Name and Lugo OccoBike Bicycle Design Exhibit E Deco Marks 27 Page 374 of 2240 7n/z014 Exhibit F Progrmrn Membership Pricing Ranges o Standard Monch!y Bike Pass Subscription (unlimited 30 Min rides): $15-Sig o Deluxe Monthly 31ke Pass Subscription (unlimited 60 Min rides): $25-$30 o Annual Pre -Paid Bike Pass (unlimited 30 Min r des): S150.5160 0 30 Min: $4-S6 0 1 Hour: $6•$9 0 2 Hour. 510-$13 0 4 Hour $18-522 0 1 Day: 524 $30 • Deco may modify its prices in accordance with the ranges noted above upon providing ten (10) days prior notice to dtL Deco shall be permitted to offer other various short-term passes not listed here at its discfetton, but all subject to any reaulrements set forth in the Agreement. For the avoidance of doubt, Deco shall be able to offer discounts off of the prices below in its discretion, provided that it gives notice to Gill and that such discounts are not related to method of payment for such passes. 28 Page 375 of 2240 SECOND AMENDMENT TO THE MIAMI AREA BICYCLE SHARE SPONSORSHIP AGREEMENT This AMENDMENT NO. 2, dated as of June _, 2019 (this "Amendment"), to that Miami Area Bicycle Share Sponsorship Agreement (the "Agreement') by and between Citibank, N.A. ("Citi") and DecoBike, LLC, ("Deco') effective July 7, 2017 is entered into between Citi and Deco. All other definitions and capitalized terms have the same meaning as defined in the Agreement. WHEREAS, the Parties have agreed to extend the term of the Agreement to December 31, 2022 ("Term"); and WHEREAS, the Parties have agreed to Sponsorship Fees to be paid for the new Term of the Agreement. THEREFORE, in consideration of the premises set forth below, the Parties agree to the following: Section V. A will be amended to add the following bullets at the end of V.A: • For the Fourth Quarter of 2019, Citi will pay Deco a total not to exceed $571,290.00; such payment will be made on or before October 15, 2019. • For the 2020 contract year, Citi will pay Deco a total not to exceed Two Million Three Hundred Thirty -Six Thousand Five Hundred and Seventy -Six Dollars (S2,336, 576.00) in equal quarterly installments each of which shall be due on the fifteenth day of the first month of the calendar quarter, of Five Hundred Eighty -Four Thousand One Hundred Forty -Four Dollars ($584,144), based on invoices received from Deco at the start of each calendar quarter. • For the 2021 contract year, Citi will pay Deco a total not to exceed Two Million Three Hundred Eighty -Nine Thousand One Hundred and Forty -Nine Dollars (S2, 389, 149.00) in equal quarterly installments each of which shall be due on the fifteenth day of the first month of the calendar quarter, of Five Hundred Ninety -Seven Thousand Two Hundred Eight -Seven Dollars and twenty-five cents ($597,287.25), based on invoices received from Deco at the start of each calendar quarter. • For the 2022 contract year, Citi will pay Deco a total not to exceed Two Million Four Hundred Forty -Two Thousand Nine Hundred and Five Dollars ($2,442,905.00) in equal quarterly installments each of which shall be due on the fifteenth day of the first month of the calendar quarter, of Six Hundred and Ten Thousand Severn Hundred and Twenty -Six Dollars and twenty-five cents ($610,726.25), based on invoices received from Deco at the start of each calendar quarter. • In the event that 2200 bicycles are operational and additional 8 kiosks are added during this Term, Citi will pay Deco an additional One Hundred Thousand Dollars ($100,000) in the quarter after Deco attests to the fact that the bicycle expansion is complete. Deco must provide Citi with at least six (6) months advance notice of the date in which Deco anticipates it will meet this milestone. The Parties must agree as to the completion date at that time. Other than the Fees set forth above, no additional Fees shall be payable by Citi. Page 376 of 2240 2. Section VIII.A. shall be amended by deleting the section in its entirety and replacing it with the following: A. Term. This Agreement was to expire on November 15, 2019. The Parties agree to extend this Agreement and it shall now expire on December 31, 2022. The Parties agree to meet in the second quarter of 2021 to discuss extending the Term of this Agreement until the natural expiration of Deco's City of Miami's contract, which is September 30, 2023). However, Citi shall not have any obligation to agree to such extension. Notwithstanding the foregoing, in the event that Deco elects not to renew the Agreement and entire into an agreement with a third party for the title sponsorship, Deco must, prior to entering into such agreement, provide Citi with the option renew its title sponsorship under the same terms and conditions offered to such third Pay There shall be no other changes to the Agreement except as specifically set forth in this First Amendment and all other terms and conditions of the Agreement shall remain the same and in full force and effect. IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first written above. CITIBANK, N.A. By: sk-1 Print Name: Edward Skyler Title: Executive Vice President DECOBIKE, L By: Print Name: Ricardo Pi erdant President Title: Page 377 of 2240 THIRD AMENDMENT TO THE MIAMI AREA BICYCLE SHARE SPONSORSHIP AGREEMENT This AMENDMENT NO. 3, dated as of August��i022 (this "Amendment"), to that Miami Area Bicycle Share Sponsorship Agreement (the "Agreement") by and between Citibank, N.A. ("Citi") and DecoBike, LLC, ("Deco") effective July 7, 2017 is entered into between Citi and Deco. All other definitions and capitalized terms have the same meaning as defined in the Agreement. WHEREAS, the Parties have agreed to extend the term of the Agreement to December 31, 2024 ("Term"); and WHEREAS, the Parties have agreed to Sponsorship Fees to be paid for the new Term of the Agreement. THEREFORE, in consideration of the premises set forth below, the Parties agree to the following: Section V. A will be amended to add the following bullets at the end of VA: For the 2023 contract year, Citi will pay Deco a total not to exceed Two Million Four Hundred Ninety -Seven Thousand Eight Hundred -Seventy Two Dollars ($2,497,872) in equal quarterly installments each of which shall be due on the fifteenth day of the first month of the calendar quarter, of Six Hundred Twenty -Four Thousand Four Hundred Sixty -Eight Dollars ($624,468), based on invoices received from Deco at the start of each calendar quarter. For the 2024 contract year, Citi will pay Deco a total not to exceed Two Million Five Hundred Fifty Thousand Dollars ($2,550,000) in equal quarterly installments each of which shall be due on the fifteenth day of the fust month of the calendar quarter, of Six Hundred Thirty -Seven Thousand Five Hundred Dollars ($637,500). based on invoices received from Deco at the start of each calendar quarter. Other than the Fees set forth above, no additional Fees shall be payable by Citi. 2. Section VILLA. shall be amended by deleting the section in its entirety and replacing it with the following: A. Term. This Agreement was to expire on December 31, 2022. The Parties agree to extend this Agreement and it shall now expire on December 31, 2024. The Parties agree to meet in the second quarter of 2023 to discuss extending the Term of this Agreement). However, Citi shall not have any obligation to agree to such extension. If Deco's City of Miami contract is not renewed, Citi shall have all of the right to terminate this Agreement in accordance with the terms. Notwithstanding the foregoing, in the event that Deco elects not to renew the Agreement and entire into an agreement with a third party for the title sponsorship, Deco must, prior to entering into such agreement, provide Citi with the option renew its title sponsorship under the same terms and conditions offered to such third party. 3. The Sponsorship Benefits, Exhibit A, shall be amended by adding the following bullet to Section 3 "Chi Branding Visibility on Station Kiosks, Station Docks and Other": Page 378 of 2240 In the event that Deco elects to place digital displays which feature advertisements on station kiosks, Citi shall have the right to place advertisements in the ad rotation on each digital display that Deco deploys. The number of ads in a rotation is estimated to be 6-10 ads, with 10 being the maximum number of ads permissible in a rotation including any ads placed by Citi. Citi has the right to place two (2) ads per rotation. Citi and Citi Bike shall also be permitted to place ads in unsold ad spaces in the rotations if such spaces are not used for PSA's or messaging from the City of Miami. All other Citi/Citi Bike branding historically on the kiosks, docks, and bikes would remain as -is, and the digital displays are expressly in addition to the usual Citi/Citi Bike branding and shall not displace any Citi/Citi Bike branding that has already been deployed. Citi shall be the sole financial services company featured in the ad rotation. A financial service company means a company in the business of consumer and business checking (including debit cards), savings, mortgages, and other personal and commercial loans (including credit cards), investment and wealth management services. There shall be no other changes to the Agreement except as specifically set forth in this First Amendment and all other terms and conditions of the Agreement shall remain the same and in full force and effect IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first written above. CITIBANK, N.A. By: Print Name: Ex cmep ice President Gobal Public Affairs 3W Greenwich Street Title: New York, NY 10013 DECOBIKE, LLC By: Print Name: Ricardo pierdant Title: President Page 379 of 2240