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2010-27536 Reso 2010 -27536 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING, FOLLOWING A DULY NOTICED PUBLIC HEARING, A LEASE AGREEMENT BETWEEN THE CITY AND UNITED POLICE FEDERAL CREDIT UNION, FOR USE OF APPROXIMATELY 196 SQUARE FEET OF CITY -OWNED PROPERTY, LOCATED AT 1100 WASHINGTON AVENUE, ROOMS 110 AND 111, MIAMI BEACH, FLORIDA; SAID LEASE HAVING AN INITIAL TERM OF THREE (3) YEARS, WITH ONE ADDITIONAL THREE (3) YEAR RENEWAL TERM, AT THE CITY'S SOLE DISCRETION; FURTHER WAIVING, BY 5 /7THS VOTE, THE COMPETITIVE BIDDING REQUIREMENT, AS REQUIRED BY SECTION 82 -39 OF THE MIAMI BEACH CITY CODE; AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTED THE LEASE AGREEMENT WHEREAS, on December 8, 2004, the Mayor and City Commission adopted Resolution No. 2004 - 25762, approving a Lease Agreement between the City of Miami Beach (City) and the Miami Police Federal Credit Union (Credit Union) for use of approximately 196 square feet of City -owned property, located at 1100 Washington Avenue, Rooms 110 and 111, Miami Beach, Florida; and WHEREAS, the approved Lease Agreement was for an initial term of thirty five (35) months, commencing on November 1, 2004, with one additional three year renewal term at the City's sole discretion; and WHEREAS, in February 2006, the Miami Police Federal Credit Union changed its name to the United Police Federal Credit Union; and WHEREAS, said renewal term expired on September 30, 2010, and the Credit Union has expressed its desire to remain at the same location; and WHEREAS, Section 82 -37 of the Miami Beach City Code, governing the sale /lease of public property for a term of ten (10) years or Tess requires review by the Finance and Citywide Projects Committee (F &CPC), and City Commission approval accompanied by a public hearing; and WHEREAS, Section 82 -39 of the City Code further provides for the waiver of the competitive bidding requirement, by 5 /7 vote of the City Commission, and WHEREAS, at its October 14, 2010 meeting, the F &CPC recommended approval of the attached lease agreement, said lease having an initial term of three (3) years, retroactively commencing October 1, 2010, and ending on September 30, 2013, with one additional three (3) year renewal term, at the City's sole discretion; and WHEREAS, said public hearing was held on October 27, 2010. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby approve, following a duly noticed public hearing, a Lease Agreement between the City and United Police Federal Credit Union, for use of approximately 196 square feet of City -owned property, located at 1100 Washington Avenue, Rooms 110 and 111, Miami Beach, Florida; said lease having an initial term of three (3) years, with one additional three (3) year renewal term, at the City's sole discretion; further waiving, by 5/7ths vote, the competitive bidding requirement, as required by Section 82 -39 of the Miami Beach City Code; authorizing the Mayor and City Clerk to executed the Lease Agreement. PASSED AND ADOPTED THIS 27 day of October, 2010. Attest: V fat flik 4 " , , 4 07 . _ - Robert Parcher, CITY CLERK atti Herr- ra Bower, MAYOR JMG \HMF\AP \rr F: \RHCD \$ALL \ECON \$ALL\ASSET\UNITED POLICE FEDERAL CREDIT UNION \CREDIT UNION LEASE.RES.DOC APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION C I ( 0 — I it � ' ''j , COMMISSION ITEM SUMMARY Condensed Title: Resolution approving and authorizing the Mayor and City Clerk to execute a Lease Agreement, after a duly noticed public hearing, between the City and United Police Federal Credit Union, for use of 196 SF of City -owned property located at 1100 Washington Avenue, Rooms 110 and 111, for an initial term of 3 years, with one additional 3 year renewal term; waiving by 5 /7ths vote the competitive bid requirement. Key Intended Outcome Supported: Increase resident satisfaction with the level of services and facilities. Supporting Data (Surveys, Environmental Scan, etc.): Approximately 40% of retail businesses surveyed, rank Miami Beach as one of the best places to do business and 61% of the same group would recommend Miami Beach as a place to do business. Issue: Shall the City Commission approve the Lease Agreement? Item Summary /Recommendation: PUBLIC HEARING On December 8, 2004, the Mayor and City Commission adopted Resolution No. 2004 - 25762, approving a Lease Agreement between the City of Miami Beach (City) and the Miami Police Federal Credit Union ( MPFCU) for use of approximately 196 square feet of City -owned property. The approved Lease Agreement was for an initial term of thirty five (35) months, commencing on November 1, 2004, with one additional three year renewal term at the City's sole discretion. In February 2006, the MPFCU changed its name to the United Police Federal Credit Union (Credit Union). Said lease renewal term expired on September 30, 2010, and the Credit Union has expressed its desire to remain in its current location. The City and the Credit Union have negotiated a proposed lease agreement with the following terms: • Square Footage: 196 SF; • Term: Three (3) years; • Base Rent: $1.20 annually, payable monthly @ $0.10; • Additional Rent: $3,116.40 annually, payable monthly @ $259.70 to offset City's operating expenses and insurance costs; • Security Deposit: Prior to execution of the Lease, the Tenant will furnish the City a Security Deposit in the sum of $519.60 (equal to two months of Rent and Additional Rent costs). • ATM surcharge: Per the ATM Use Agreement (attached to the Lease as Exhibit 7.3), non United Police Federal Credit Union members will be surcharged a minimum of $3.00 per ATM transaction. City shall receive $1.50 from each transaction from a non United Police Federal Credit Union member. Section 82 -37 of the Miami Beach City Code, governing the sale /lease of public property for a term of ten (10) years or less requires review by the Finance and Citywide Projects Committee (F &CPC), and City Commission approval accompanied by a public hearing. Furthermore, Section 82 -39 provides for the waiver of the competitive bidding, by 5 /7ths vote of the Mayor and City Commission. At its October 14, 2010 meeting, the F &CPC discussed and recommended approval of the proposed lease agreement, said lease having an initial term of three (3) years, retroactively commencing on October 1, 2010, and ending on September 30, 2013, with one additional three (3) year renewal term, at the City's sole discretion. Advisory Board Recommendation: Finance & Citywide Projects Committee: October 14, 2010 Financial Information: Source of Funds: n/a Amo A 1 n/a Financial Impact Summary: City Clerk's Office Legislative Tracking: Anna Parekh, extension 7193 Sign -Offs: Depa A.; . t Director Assist s G i am Cif " : ger • AP HM 7 mir - - 1 JMG , �i�l �� , } I7 T :WGENDA\2010 \October 27 \Regular \CREDIT UNION Lease.SUM.doc tri MIAMI BEACH AGENDA ITEM R2 ' DATE 10— 27 - 10 MIAM IB EACH City of Miami Beach, 1700 Convention Center-Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov • COMMISSION MEMORANDUM TO: May Matti Herrera Bower and Members of the City Commission .20)0 FROM: Jorg M. Gonzalez, City Manag DATE: October 27, 2010 PUBLIC HEARING SUBJECT: A RESOLIMON OF THE MAYOR AND CITY coMMissiok0F,THE CITY OF MIAMI BEACH, FLORIDA .A DULY NOT PIED PUBLIC HEARING, A LEASE AGREEMENT ` `. ES1 THE , C I"Y A VD IiNTEO POLICE FEDERAL CRt" UN10N, FOR U E 'OF `AP�XIMAT ,.V' 1 SQUARE . FEET OF CITY- OWNED PROPERTY, L A'' E AT: 1100 WASHINGTON AVENUE; ROOMS 110 AND 111, MIAMI BEACH, FLORIDA, SAID LEASE HAVING AN INITIAL TERM OF THREE (3) YEARS, 'WITFL ONE ADDITIONAL Tai E (3)YE ' R� R EIlIl�ll f�,.•"I' ERM , AT THE CITY'S SOLE DISCRETION; ; " 'I WAIVING, . BY stints vate, THE COMPETITIVE BIDDING IMMUREMENT, ASREQUIRED BYSECTION 82 -39 OF THE MIAMI BEACH CITY CODE; AUTHORIZING THE MAYOR ANO 'CITY CLERK TO EXECUTED THE LEASEAGREEMENT ADMINISTRATION RECOMMENDATION Adopt the Resolution. KEY INTENDED OUTCOME SUPPORTED Increase resident satisfaction with the level of services and facilities. - • BACKGROUND = On December 8, 2004, the Mayor and City Commission adopted 2204 - 25762, approving a lease agreementbetween the City ofMiaMi Beach (City) and the Miami Police Federal Credit Union (MPPCII)foruae of approximately 19 Square feet of ground floor office space within the Miami Beach Police Department Building (C } ed` remises), located at 1100 Washington Avenue, Rooms 110 and 1 This lease provided both the tenant and the tenant's customers (employee members of the MPFCU) with a location that offers convenient access to their services. The initial term of the lease .was for a period of thirty five (35) months, from November 1, 2004 through September 30*; 200/. The lease agreement also provided for one additional three (3) year renewal term; this renewal term was exercised and the renewal period cotnrnenced on October 1, 2007. The lease, which expired on September 30, 2010, provided for a twit ofone dollar ($1.00) per year and additional rent of two hundred forty five tears ($24540) per'-month. In February 2006, the Mien* Police Federal Credit Union was changed its narne to the United Police Federal Credit Union (Credit Union). ANALYSIS The Credit Union has expressed its desire to remain at its current location .and enter into a new lease agreement. The proposed lease agreement contains all the terms andconditions contained in other commercial leases for use of City -owned property, :' summary of **proposed lease terms 5 5 V • Commission Memorandum United Police Federal Credit Union October 27, 2010 Page 2 of 4 follows: are as w : ons TENANT: United Police Federal Credit Union, a federally chartered credit union. DEMISED PREMISES: 196 SF on the ground floor of the Miami Beach Police Department Headquarter building, located at 1100 Washington Avenue, Rooms 110 and 111. TERM: Initial term of three (3) years, with one (1) additional three (3) year renewal option, at the City's sole discretion. LEASE COMMENCEMENT DATE: retroactive to October 1, 2010. RENT COMMENCEMENT DATE: retroactive to October 1, 2010. BASE RENT: $1.20 annually, payable in monthly installments of $0.10. ADDITIONAL RENT: $3,116.40 annually, payable in monthly installments of $259.70. This additional rent covers operating expenses and insurance costs. Any increase in these costs will result in an increase to Tenant's proportionate share. Per the Automated Teller Machine (ATM) Use Agreement (attached to the Lease as Exhibit 7.3), non United Police Federal Credit Union Members will be surcharged a minimum of three dollars ($3.00) per ATM transaction. City shall receive one dollar and fifty cents ($1.50) from each transaction from a non United Police Federal Credit Union member. PARKING: Tenant may request, from the City's Parking Department, the use of parking spaces, if available, on a first come, first served basis. Rates for the spaces are subject to change, and are currently $70 per month plus applicable sales tax. SECURITY DEPOSIT: Upon execution of the Lease, the Tenant will furnish the City with a Security Deposit in the sum of $519.60 (equal to two months Rent and Additional Rent costs). USES: The Demised Premises shall be used by the Tenant as office space for a federally chartered credit union providing financial services to members comprised primarily of City of Miami Beach Police Department employees. The Demised Premises will be open for operation in accordance with Federal Law. Tenant shall also be permitted to operate and maintain an automated teller machine, subject to the terms and conditions of the Automated Teller Machine (ATM) Use Agreement, attached as Exhibit 7.3 to the lease agreement. IMPROVEMENTS: None anticipated. INSURANCE: Tenant must comply with the following insurance requirements throughout Commission Memorandum United Police Federal Credit Union October 27, 2010 Page 3 of 4 the Term: Comprehensive General Liability in the minimum amount of $1,000,000 per occurrence for bodily injury and property damage. The City of Miami Beach must be named as additional insured parties on this policy, subject to adjustment for inflation. Workers Compensation and Employers Liability coverage in accordance with Florida statutory requirements. All -Risks property and casualty insurance, written at a minimum of 80% of replacement cost value and with replacement cost endorsement, covering all of Tenant's personal property in the Demised Premises (including, without limitation, inventory, trade fixtures, floor coverings, furniture and other property removable by Tenant under the provisions of this Agreement) and all leasehold improvements installed in the Demised Premises by or on behalf of Tenant, subject to adjustment for inflation. PROPERTY TAXES: Property taxes for Property Tax Year 2010 are estimated at Zero Dollars ($0.00). Notwithstanding, the City makes no warranty or representation, that the Building, the Land, and /or the proposed leased premises will not be subject to ad valorem (or other) taxes in subsequent years. In the event Miami -Dade County assesses the property, Tenant shall pay its proportionate share of the property tax bill. Any property tax payment shall be payable by Tenant immediately upon receipt of notice from the City. UTILITIES: Tenant retains sole responsibility for all utilities (not included as part of Operating Expenses) including internet and telephone services. MAINTENANCE AND REPAIR: Tenant will be responsible for day -to -day maintenance and repairs of the Demised Premises, including, without limitation, all fixtures, appurtenances, equipment and furnishings, and janitorial services for the demised premises. CONCLUSION Section 82 -37 of the Miami Beach City Code, governing the sale /lease of public property, as amended by the City Commission on September 15, 2010, provides that the lease of any City - owned property for a term of ten (10) years or less (including renewal option periods) requires the following: 1) the proposed lease shall be transmitted by the City Manager (without need for referral by the City Commission) to the Finance and Citywide Projects Committee (F &CPC), for review; and 2) City Commission approval accompanied by a public hearing, which may be set by he City Manager and shall be advertised not less than seven (7) days prior to said hearing in order to obtain citizen input into the proposed lease. Sections 82 -39 further provides for the waiver of the competitive bidding requirement, by 5 /7 vote of the City Commission, upon a finding by the City Commission that the public interest would be served by waiving such condition. Commission Memorandum United Police Federal Credit Union October 27, 2010 Page 4 of 4 At its October 14, 2010 meeting, the F &CPC discussed the proposed agreement and recommended that the City Commission approve the proposed lease agreement. The Administration deems that the proposed lease agreement with the Credit Union is in both the City's and its employee's best interest. Based on the aforementioned; the Administration recommends that the Mayor and City Commission approve, following a duly noticed public hearing, the lease agreement between the City and United Police Federal Credit Union, with the proposed terms, as delineated herein. 'p JMG /HMF /rr T:WGENDA\2010 \October 27 \Regular \CREDIT UNION Lease.MEM.doc • MIAMIBEACH CITY OF•MIAMI BEACH NOTICE OF PUBLIC HEARING NOTICE IS HEREBY given that a public hearing will be held by the Mayor and City Commission of the City of Miami Beach, Florida, in the Commission �c Chambers, 3rd floor, City Hall,. 1700 Convention Center Drive, Miami Beach, Florida, on Wednesday, October 27, 2010, to consider the following: 10:45 a.m. • A Resolution Approving, Following A Duly Noticed Public Hearing, A Lease Agreement Between The City And United Police Federal Credit Union, For Use Of Approximately 196 Square Feet Of City-Owned Property, Located At 1100 Washington Avenue, Rooms 110 And 111, Miami Beach, Florida; Said Lease Having An Initial Term Of Three (3) Years, With One Additional Three (3) Year Renewal Term, At The City's Sole Discretion; Further Waiving, By 5 /7thsVote, The Competitive Bidding Requirement, As Required By Section 82 -39 Of The Miami Beach City Code; Authorizing The Mayor And City Clerk To Executed The Lease Agreement. INTERESTED PARTIES are invited to appear at this meeting, or be represented by an agent, or to express their views in writing addressed to the City Commission, c/o the City Clerk, 1700 Convention Center Drive, 1st Floor, City Hall, Miami Beach, Florida 33139. Copies of these ordinances are available for public inspection during normal business hours in the-City Clerk's Office, 1700 Convention Center Drive, 1st Floor, City Hall, and Miami Beach, Florida 33139. This meeting may be continued and under such circumstances additional legal notice would not be provided. Robert E. Parcher, City Clerk City of Miami Beach Pursuant to Section 286.0105, Fla. the City hereby - advises the public that: if a person decides to appeal any decision made by the City Commission with respect to any matter consideredat its meeting or its hearing, such person must ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. This notice does not constitute consent by the City for the introduction or admission of otherwise inadmissible or irrelevant evidence, nor does it authorize challenges or appeals not otherwise allowed by law. To request this material in accessible format, sign language interpreters, information on access for persons with disabaiities, and /or any accommodation to review any document or participate in an_ycity- sponsored proceeding, please contact (305) 604 -2489 (voice), (305) 673- 7218(TTY),five days in advance to initiate your request. TTY users may also call 711 (Florida Relay niicsi). A 1 MONDAY, OCTOBER 18, 2010 ,►