2003-25239 ResoRESOLUTION NO. 2003-25239
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING
THE THIRD AND FINAL ONE (1) YEAR RENEWAL OPTION
TO THE AGREEMENT WITH APCOA/STANDARD - VIP
PARKING SYSTEM TO SUPPLY PARKING
CASHIERS/ATTENDANTS AND SUPERVISORS FOR THE
CITY'S PARKING SYSTEM; SAID THIRD AND FINAL ONE
('1) YEAR OPTION COMMENCING ON AUGUST 4, 2003,
AND EXPIRING ON AUGUST 3, 2004; FURTHER
APPROVING AN AMENDMENT TO SECTION THREE OF
THE AGREEMENT, ENTITLED "COMPENSATION",
INCREASING THE HOURLY FIXED FEE BY FIVE PERCENT
(5%) FOR PARKING CASHIERS/ATTENDANTS AND
SUPERVlSORS.
WHEREAS, the City issued a Request for Proposals No. 67-98/99 on May 13, 1999
to solicit proposals for a two-year contract for parking companies/operators to supply
parking cashiers/attendants and supervisors for the City of Miami Beach Parking System;
and
WHEREAS, on July 21,1999, the Mayor and City Commission approved the award
to APCOA/Standard-VIP Parking Systems for a two (2) year term, with three (3) additional
one year renewal terms, commencing on August 4, 1999, and expiring on August 3, 2001;
and
WHEREAS, On May 16, 2001, the Mayor and Commission approved the first of
three one (1) year renewals with Apcoa/Standard-VIP Parking Systems, commencing on
August 4, 2001 and expiring on August 3, 2002; and
WHEREAS, On June 19, 2002, the Mayor and Commission approved the second of
three one (1) year renewals with APCOA/Standard-VIP Parking Systems, commencing on
August 4, 2002 and expiring on August 3, 2003; and
WHEREAS, APCOA/Standard-VIP Parking Systems has provided said services
satisfactorily by providing qualified, trained, and courteous staff; and
WHEREAS, APCOA/Standard-VlP Parking Systems has been responsive in
providing additional staffing for periods of peak parking demand during events, including
Art Basel; New Year's Eve 2002; 2003 NMMA Boat Show; and Memorial Day Weekend
2003; and
WHEREAS, the Administration is satisfied with APCOA/Standard-VIP Parking
Systems and its overall level of service, including responsiveness, customer service, and
facility utilization; and
WHEREAS the Transportation and Parking Committee reviewed and endorsed the
Administration's recommendation to exercise the third and final one (1) year option under
the Agreement; said option commencing on August 4, 2003 and ending on August 3, 2004;
and
WHEREAS, in order to insure that APCOA/Standard-VIP Parking Systems continue
to maintain this high level of service to the City, the Administration further recommends an
amendment to Section Three of the Agreement, entitled, "Compensation", increasing the
current fixed hourly rate for cashiers/attendants, and supervisors by five percent (5%),
effective upon the commencement of the renewal option term, from $9.95 per hour, for
cashiers/attendants, and $11.45 per hour, for supervisors, to $10.45 per hour and $12.02
per hour, respectively.
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, upon recommendation of the Administration, herein approve the third and
final one (1) year renewal options to the Agreement with APCOA/Standard - VIP Parking
System to supply parking cashiers/attendants and supervisors for the City's Parking
System; said third and final one-year option commencing on August 4, 2003, and expiring
on August 3, 2004; further approving an Amendment to Section Three of the Agreement,
entitled "Compensation", increasing the hourly fixed rate by five percent (5%) for parking
cashiers/attendants and supervisors.
PASSED AND ADOPTED this llth day of .Tune
,2003
ATTEST:
CITY CLERK
JMG/CMC/SF
T:~AGEN DA~2003~JUN 1103~REGU LAR~APCOAaltd.RES03.doc
APPROVED A8 ~
FORM & LANGUAGE
& FOR EXECUTION
CI'IY OF MIAMI BEACH
COlt,WIISSlON ITEM SUMMARY
Condensed Title:
IApprove the third and final one (1) year option for renewal with Apcoa/Standard -VIP's Parking Systems,
commencing on August 4, 2003 and expiring on August 3, 2004; and approve an amendment to Section
Three of the Agreement, increasing the hourly fixed fee for parking cashiers/attendants and supervisors, by
five percent (5%), effective on the renewal date.
Issue:
IShould the third and final one (1) year option for renewal with Apcoa/Standard - VIP's Parking Systems
and an amendment increasing the fixed hourly rate by five (5%) percent to Section Three of the Agreement
be approved?
Item Summary/Recommendation:
APCONStandard-VIP's Parking Systems' performance has been measured using: (1) responsiveness to
directives/requests; (2) customer service and related requests; and (3) facility utilization and associated
revenues. They have performed satisfactorily during their first three terms of their contract with the City.
A five percent (5%) increase to the fixed hourly rate for cashiers/attendants and supervisors is appropriate
in order to retain and attract qualified employees as well as continue towards fully implementing provisions
of the Living Wage Ordinance over a period of years.
The Administration recommends the adoption of the Resolution.
Advisory Board Recommendation:
Endorsed by the Transportation and Parking Committee on June 3, 2003.
Financial Infomiation:
Amount to be expended:
Source of Amount ACCOunt Approved
Funds: I $1,267,560 Funds are available from Parking
Enterprise Fund Account No.
480.0463.000312
2 $247,365 Funds are available from 7th Street
Garage Fund Account
No. 142.6976.000312
3 $211,302 Funds are available from the City Centre
Redevelopment Agency Account No.
463.1990.000312.
Finance Dept. TOtal $1,726,227
Sign-Offs:
Department Director Assistant Ci~ Manager City Manager
SF CMC PW. JMG I ~
T:~.GENDA~003~JUN 1103\REGU LAR~APCOAA'CI'D,SU M 03
DATE
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.ci.miarni-beach.fl.us
COMMISSION MEMORANDUM
To:
From:
Subject:
Mayor David Dermer and Date: June 11, 2003
Members of the City Commission
Jorge M. Gonzalez ~ ~
City Manager
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING THE THIRD AND FINAL ONE (1)
YEAR OPTION FOR RENEWAL WITH APCOA/STANDARD- VIP's PARKING
SYSTEM, COMMENCING ON AUGUST 4, 2003 AND EXPIRING ON AUGUST
3, 2004; FURTHER APPROVING AN AMENDMENT TO SECTION THREE OF
THE AGREEMENT, ENTITLED "COMPENSATION", INCREASING THE
HOURLY FIXED FEE BY FIVE PERCENT (5%) FOR PARKING
CASHIERS/ATTENDANTS AND SUPERVISORS.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
FUNDING
$1,267,560
$ 247,365
$ 211,302
$1,726,227
Funds available in Parking Enterprise Fund # 480-0463-000312
Funds available in 7th Street Garage Fund #142-6976-000312
Funds available in City Centre Redevelopment Agency Account
#463-1990-000312.
ANALYSIS
APCOA/Standard - VIP's Parking Systems "Standard" has provided contract labor in the
form of cashiers, attendants, and supervisors for the City's Parking System since August 4,
1999. The initial two-year term expired on August 3, 2001 and the second of three annual
renewal options expires on August 3, 2003. The terms of the Agreement allow for a third
and final one (1) year term, at the sole discretion of the City. This recommendation would
constitute the third and final renewal term. Remuneration for services is in the form of an
houdy rate of $9.95 per hour for cashiers/attendants and $11.45 per hour for supervisors.
All parking facilities are staffed with personnel supplied by Standard.
The Parking Department's Off-Street Parking Division (consisting of the Assistant Parking
Director of Off-Street Operations, a Parking Operations Manager, and five (5) Parking
Facility Supervisors) performs contract management.
June 11, 2003
Commission Memorandum
Renewal Option for APCOA/Standard- VIP's Parking System
Page 2 of 4
The 180-Day Informational Report outlining pending contract renewals within six (6)
months was issued to the Mayor and Commission on Febraury 5, 2003, seeking input,
comment, and/or suggestions from the Mayor and Commission regarding the pending
contract renewal. No comments were received.
APCOA/Standard's performance has been measured using the following criteria: (1)
responsiveness to the City's directives/requests, including scheduling and deployment; (2)
customer service and related complaints; and (3) facility utilization and associated
revenues.
1. Responsiveness to the City's directives/requests, including scheduling and
deployment.
Standard has been responsive in ensuring all of their employees are qualified, trained,
and customer-friendly. The ability to consistently provide a qualified labor pool for
cashiedattendants, an entry-level position, and (first line) supervisors is, at times,
challenging. Standard has been responsive and consistent in providing these services.
Moreover, Standard has been responsive during peak parking demands in the City,
including Art Basel, New Year's Eve 2002, 2003 NMMA Boat Show, and Memorial Day
Weekend 2003.
During these challenging events, Standard has, at their expense, provided additional
temporary labor from their pool of employees that service other contracts in neighboring
cities in Florida and, in some cases, go out of State, to ensure that staffing levels
requested by the City were in compliance.
2. Customer service and related complaints.
This particular discipline of the parking industry is also quite challenging and key to
providing a pleasant encounter for all citizens, including tourists and visitors. Cashiers
and attendants are often the first and/or last person a visitor or tourist encounters when
visiting our great City. It is essential that this experience always be a positive one. If
not, the visitor may have a negative perception, no matter how much they enjoyed their
stay. The old motto, "you don't get a second chance to make a first impression"
certainly is very true in this case. Standard is proactive in ensuring their employees are
always well groomed, uniformed, and courteous. As in any operation, there are always
customer requests, Standard instructs their cashiers/attendants to refer any situation
that they are unable to resolve to their immediate supervisor. Typically, Standard
supervisors address the issue and resolve it. The balance of requests, which to date
have been few, are deferred to City staff for clarification and/or direction. This is a very
positive approach to resolving customer service issues as it immediately diffuses a
situation.
June 11, 2003
Commission Memorandum
Renewa/ Option for APCOlVStandard- VIP's Parking System
Page 3 of 4
3. Facility utilization and associated revenues.
Standard's performance is further reflected in the Parking System's financial position.
The Parking Department's year-to-date gross revenues for attended facilities have
increased by 6.9% from the previous year.
In addition, in order to ensure Standard's ability to maintain this high level of service
standard, it is necessary for them to be competitive in the South Florida market.
Standard will provide a salary increase of five percent (5%) to their employees pursuant
to their contract with the City. Historically, Standard had provided their employees with
an increase of four percent (4%) and the additional one percent (1%) would go to offset
increased payroll/benefits costs, for a total of five percent (5%); however, for the
recommended third and final one-year term, Standard has agreed to pass along the full
five percent (5%) increase to their employees. This would bring the fixed hourly rate
from $9.95 for cashiers/attendants and $11.45 for supervisors to $10.45 and $12.02,
respectively, if approved. This will allow for Standard to continue to be competitive and
attract qualified personnel. In addition, this recommendation will allow us to continue
towards fully implementing provisions of the Living Wage Ordinance over a period of
years. As a reminder, the Living Wage Ordinance is not applicable to this contract (or
its renewals) due to the "Standard" Agreement pre-existing the passage of the Living
Wage Ordinance. However, in the spirit of the Living Wage Ordinance, a five percent
(5%) increase was approved for the first and second one-year renewal terms and it is
again being recommended for the third and final one-year renewal term. A byproduct
of this recommendation to increase the hourly fixed rate by five percent (5%) is that it
allows for a gradual increase in the hourly fixed rate as opposed to a one-time hit in the
future when compliance with the Living Wage Ordinance will be mandatory.
In addition to the three aforementioned factors and notwithstanding either Standard's
satisfactory performance or the option of a third and final renewal term, there remains an
option to competitively bid these services. It is important to note that the competitive
bidding of these services would trigger the application of the Living Wage Ordinance. As
reported, the application of the Living Wage Ordinance to other services has increased
operational expenses, by in some cases, up to 52%. The following analysis is provided in
order to identify the financial impacts of the options available to the Parking Enterprise
Fund, General Fund, and RDA (Redevelopment Agency).
Financial Impact of Hourly Rate Increase:
The following matrix outlines the estimated annual financial impact to the Parking
Enterprise Fund, 7th Street Garage Special Fund, and RDA "Anchor Garage" by increasing
the hourly rates by either five percent (Administration recommendation) or application of
the LWO (Living Wage Ordinance). APCOA/Standard and VIP's Parking Systems, Inc.
have provided an alternate hourly rate that would be Living Wage rate compliant. The
alternate Living Wage compliant hourly billing rates for cashiers/attendants and supervisors
June 11, 2003
Comm~s~nMemorandum
Renewal Opt~nforAPCOA/Standard-VIP~ Park~g Sys~rn
Page 4 of 4
are $12.05 and $13.55 per hour, respectively.
Current Rate Five (5%) Percent LWO Rate
Parking System $1,207, 200 $1,267,560 $1,449,431
7th Street Garage $ 235,586 $ 247,365 $ 282,542
Anchor Garage (RDA) N/A* $ 211,302 $ 238,680
Total: $1,726,227 $1,970,653
*Note: The Anchor Garage was managed by a private operator during this period.
Furthermore, the Transportation and Parking Committee Meeting reviewed and
unanimously endorsed this recommendation at their June 3, 2003 Committee Meeting.
CONCLUSION
The Administration recommends that the Mayor and Commission approve the third and
final one (1) year option for renewal with APCOA/Standard - VIP's Parking Systems,
commencing on August 4, 2003 and expiring on August 3, 2004; and further approve an
amendment to Section Three of the Agreement, entitled, "Compensation", increasing the
fixed hourly billing rate by five percent (5%) for parking cashiers/attendants and
supervisors, effective on the contract renewal date.
T:'~,GENDA~2003LIUN1103~REGULAR~APCOAA'I-rD.CME03.doc
~ ! ' · :~i:!?~:~ !;~ .~':~' · !~ !;: CHI-000944576-06
PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS
MARSH USA INC. NO RIGHTS UPON THE CERTIFICATE HOLDER OTHER THAN THOSE PROVIDED IN THE
500 WEST MONROE STREET POLICY. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE
CHICAGO, IL 60661 AFFORDED BYTNE POUCHES DESCRIBED HEREIN.
Attn: HAZEL WEAVER 312-627-6914 COMPANIES AFFORDING COVERAGE
COMPANY
!54290--04/05 23035 A ACE AMERICAN INSURANCE COMPANY
INSURED COMPANY
STANDARD PARKING CORPORATION B
ATTN: JOANNE PEPPER
900 NORTH MICHIGAN AVENUE - SUITE 1600 COMPANY
CHICAGO, IL. 60611 C
Phone: 312-274-2198
Fax: 312-640-6173 COMPANY
D
THIS IS TO CERTIFY THAT POLICIES OF INSURANCE DESCRIBED HEREIN HAVE BEEN ISSUED TO THE INSURED NAMED HEREIN FOR THE POLICY PERIOD INDICATED.
NOTWITHSTANDING ANY REQUIREMENT. TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THE CERTIFICATE MAY BE ISSUED OR MAY
PERTAIN. THE INSURANCE AFFORDED BY I~{E POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, CONDITIONS AND EXCLUSIONS OF SUCH POLICIES. AGGREGATE
LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
POECY EFFECTIVE POECY EXPIRATION
CO TYPE OF INSURANCE POUCY NUMBER EMITS
LTR DATE (MM/DD/YY) DATE (MMIDO/YY)
A GENERAL EABIUTY GARH07944834 11/01/04 01101105 GENERAL AGGREGATE $ 2,000,000 .
X COMMERCIAL GENERAL LIABILITY PRODUCTS. COMP/Op AGG $
® ICLAIMSMADE I~ OCCUR PERSONAL&ADVINJURY $ 2,000,000
OWNER'S & CONTRACTOR'S PROT EACH OCCURRENCE $ 2,000,000
X ~L~[~,LM~ FIRE DAMAGE (Any one fire) $ 1,000,000
X PER LOCATION AGGREGAT - MEDEXp(Anyoneperson} $
A AUTOMOalLE UABIUTY ISAH07944792 01/01/04 01/01/05 COMBINED SINGLE LIMIT $ 2,000,000
X ANY AUTO
X i ALL OWNED AUTOS BODILY INJURY $
(Per person)
I SCHEDULED AUTOS
X HIRED AUTOS BODILY INJURY $
(Per accident)
X NON-OWNED AUTOS
PROPERTY DAMAGE $
A GARAGE UABIMTY GARH07944834 01/01/04 01/01/05 AUTO ONLY - EA ACCIDENT $ 2.000.000
A X ;ARAGEKEEPERS LEGAL GARH07944755 01/01/04 01/01/05 EACHACClDENT $ 2,000,000
.),000,000 LIMIT AGGREGATE $ 2,000,000
A EXCESS UABlUTY XOO G2180874A 01/01/04 01/01/05 EACH OCCURRENCE $ 25,000,000
X /UMBRELLA FORM AGGREGATE $ 25,000,000
$
A WORKERS COMPENSATION AND /VRLC 43961548(AOS) 01/01/04 01/01/05 X
A SCFC 43961585(WI ONLY) 01/01/04 01/01/05 EL EACH ACCIDENT $ 1,000,000
THE PROPRIETOR/ ~ INCL EL DISEASE-POLICY LIMIT $ 1,000,000
OFFICERS ARE: I I EXCL EL DISEASE-EACH EMPLOYEE $ 1,000,000
RE: Location # 23035 (R) City of Miami Beach.
The City of Miami Beach is named as an additional insured with regards; to the coverages listed,
The policies listed above provide first dollar insurance coverage· Insurance changes will include all applicable premiums and costs, as well as retained
exposure charges established by the named insured.
CITY CLERK
1700 CONVE NTIO N C ENTER DRIVE LIABILITY OF ANY KIND UPON THE INSURER AFFORDING COVERAGE, ITS AGENTS CR REPRESENTATIVES, OR THE
MIAMI BEACH, FL 33139 ISSUEROF31'tlSCERTIFICATE.
BY: Christy N. Phoebus