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PSA with The Prism Music Group, Inc 219 - 3a8C PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF MIAMI BEACH, FLORIDA AND THE PRISM MUSIC GROUP, INC FOR THE ACTIVATION AND CULTURAL PROGRAM PLANNING OF LUMMUS PARK AND RUE VENDOME PLAZA Zc.)�q _ PROFESSIONAL SERVICE AGREEMENT BETWEEN • THE CITY OF MIAMI BEACH, FL AND THE PRISM MUSIC GROUP, INC. FOR THE ACTIVATION AND CULTURAL PROGRAMMING OF LUMMUS PARK AND RUE VENDOME PLAZA THIS PROFESSIONAL SERVICES AGREEMENT (the "Agreement") made on Ha ac.'k 2 9 , 2019 ("Effective Date"), between the CITY OF MIAMI BEACH, FLORIDA, a municipal corporation of the State of Florida, having its principal address at 1700 Convention Center Drive, Miami Beach, Florida, 33139 (hereinafter called the "City"), and THE PRISM MUSIC GROUP, INC, a Florida for profit corporation, with its principal address 8325 NE 2nd Avenue, #211, Miami, FL 33138 (hereinafter"Prism"). WITNESSETH WHEREAS, on January 13, 2016, the Mayor's Ocean Drive Task Force Report recommended activation of Lummus Park with public art and culture as a means to elevate the Ocean Drive/Lummus Park experience, maintain and improve its commercial vitality, and enhance the City's reputation as a destination for culture, and recommended identifying an organization to implement regular cultural programming in Lummus Park; and WHEREAS, on December 9, 2017, staff from the Tourism, Culture and Economic Development Department presented a report to the Neighborhood/Community Affairs Committee Members that outlined possible activations for Lummus Park, including temporary public art installations, cultural programming, and an artisanal market; and WHEREAS, on August 15, 2018, a Request for Letters of Interest (RFLI) was issued to identify an organization that would be able to program activations to improve Ocean Drive and the immediately surrounding community and create a family-friendly, safe environment without diminishing its commercial energy, further enhancing its reputation as one of the world's most iconic destinations and thoughtfully highlighting its internationally acclaimed architecture, park, and beach; and WHEREAS, on August 31, 2018, Prism responded to the RFLI and was recommended to program activations for Lummus Park; and WHEREAS, Prism is a consultant specializing in strengthening small business growth and elevating the unique narrative of a particular neighborhood, with a proven track record of building ground-up movement in Miami's Arts and Entertainment District with monthly events drawing thousands of attendees, and helping establish the Wynwood Yard as one of Miami's most supportive venues for nightly live music, to creating a home for local and emerging artists with The Listening Den at Ace Props Shop and Studio in Little River; and 2 WHEREAS, Prism believes in re-branding communities through compelling storytelling, experimental community events, and building long-term community through culture to elevate quality of life and collective consciousness; and WHEREAS, Proposal Documents shall mean City of Miami Beach Request for Letters of Interest dated August 15, 2018 to identify an organization to provide cultural programming for Lummus Park, issued by the City in contemplation of this Agreement, and Prism's proposal in response thereto (the "Proposal"), all of which are hereby adopted by reference and incorporated herein as if fully set forth in this Agreement. Accordingly, Prism agrees to abide by and be bound by any and all of the Proposal Documents; provided, however, that in the event of an express conflict between the Proposal Documents and this Agreement, the following order of precedent shall prevail: (i) this Agreement; (ii) the RFLI; and (iii) the Proposal; and further provided that in any case, the precedence will be given to that term/provision which allows the City to enforce this Agreement in the strictest possible terms, and/or in accordance with the term(s) most favorable for the City; and WHEREAS, on November 30, 2018, the Finance and Citywide Projects Committee recommended a bid waiver for Prism Creative Group to provide similar programming services for Rue Vendome Plaza; and WHEREAS, on January 16, 2019 the Mayor and City Commission adopted Resolution No. 2019-30686, accepting the recommendation of the Finance and Citywide Projects Committee and the City Manager and waiving, by 5/7th vote, the competitive bidding requirement, finding such waiver to be in the interest of the City, and further authorizing the City Manager to execute an Amendment to the City's Agreement with Prism (for cultural program planning on Lummus Park), in order to include similar programming services for Rue Vendome Plaza in an amount not to exceed $25,000; and WHEREAS, accordingly, the City and Prism have negotiated the following Agreement for the cultural program planning of Lummus Park and Rue Vendome Plaza. NOW THEREFORE, in consideration of the premises and the mutual covenants and conditions herein contained and other good and valuable consideration, the receipt and adequacy of which are hereby conclusively acknowledged, it is agreed by the parties hereto as follows: The above recitals are true and correct and are incorporated herein by reference as part of this Agreement. SECTION 1. TERM. 1.1 The initial term of this Agreement shall be for a period of one (1) year, commencing on the Effective Date (which shall be defined as the date of execution of this Agreement), and ending at 11:59 p.m. on the first (1st) anniversary of such Commencement Date. At the City Manager's sole and absolute discretion, and provided further that Prism is not in default under this Agreement, the City may extend 3 the term of this Agreement, for three (3) additional one (1) year renewals. For purposes of this Agreement, "Term" shall mean the initial term and any renewal term, if approved by the City Manager, at the City Manager's sole and absolute discretion. 1.2 For purposes of this Agreement, the first "Contract Year" shall be defined as commencing on the Effective Date and thereafter continuing for twelve (12) full calendar months, ending on the last day of the 12th full calendar month. Thereafter, each subsequent Contract Year shall be defined as that certain 365-day period commencing on the first day of the calendar month following the end of the prior Contract Year. SECTION 2. PROGRAM AREA AND PROGRAM SERVICE ZONE. 2.1 The City hereby grants to Prism the non-exclusive right, during the Term of this Agreement, to perform cultural programming, as described herein, generally, in the following Program Service Zone and, specifically, upon the following Program Areas (hereinafter such areas shall be referred to individually as a Program Area, or collectively as the Program Areas): 2.2 Program Service Zone. The Program Service Zone shall be defined as Lummus Park, located between 5th and 15th Street and the Rue Vendome Plaza, located between 71st Street and Normandy Drive, west of Bay Drive and east of Rue Vendome (individually referred to as a "City Property" or collectively as "City Properties"), as depicted in Exhibit A, incorporated herein by reference and attached hereto. Any modification to the Program Service Zone shall be subject to the prior written approval of the City Manager, in its sole and absolute discretion. 2.3 Program Area. The Program Area shall be defined as designated by the City Manager or Contract Manager (as defined herein), in his or her sole discretion, within the Program Service Zone, to be used exclusively for cultural programming. Within thirty (30) days from the Effective Date of the Agreement, the City Manager or Contract Manager shall approve, in writing, a site plan of the Program Area, which will be incorporated herein and attached hereto as Exhibit B. Any change in the location of the Program Area shall be subject to the prior written approval of the City Manager, in the City Manager's sole and absolute discretion. 2.4 Any amendments to any and all Exhibits to the Agreement must be approved in writing by the City Manager or his designee and, prior to implementation of same, an updated exhibit shall be incorporated herein. As referenced in this Agreement, the City Manager's designee shall be the Director of the City's Tourism, Culture and Economic Development Department ("Contract Manager"). SECTION 3. USES, 3.1 Program Services. Prism shall curate, operate and manage cultural programming for the Program Areas. 4 • Programming shall be described as high quality curated events that touch on the creative pillars of music, cinema, visual arts, wellness, cuisine and the small artisanal business community, as particularly described in Exhibit "F" (The "Program"). The Program shall activate and enhance the Program Service Zone and the immediately surrounding community and create a family-friendly, safe environment without diminishing its commercial energy, further enhancing its reputation as one of the world's most iconic destinations and thoughtfully highlighting its internationally acclaimed architecture, park, and beach. The Program should establish a curatorial vision that incorporates music, culture, arts and entertainment. Notwithstanding the City's approval of the Program Areas and future approval of the location of any Facilities (as defined in subsection 3.2). such approval is given by the City solely in its proprietary capacity, and not in its regulatory capacity. Notwithstanding such proprietary City approval, Prism acknowledges and agrees that proposed locations of a Program Area or the location of a Facility within an agreed upon Program Area may also trigger and require review and approval by one (or more) of the City's regulatory bodies. Accordingly, in such circumstances, Prism shall be required, at its sole cost and expense, to obtain any and all required final, non-appealable development approvals and/or orders, prior to implementation of said Facility in the approved Program Areas. 3.2 Facilities. 3.2.1 Operation of the Program shall generally include stages, seating, lighting, booths, tents, tables, signs, or spaces(s) (collectively, "Facilities"). The Facilities shall take place in conformance with the site plan approved in Exhibit B. Prism further agrees that it will not alter or modify its site plan without the prior written consent of the City Manager or his/her designee. 3.2.2 Prism shall provide, at its sole cost and expense, any and all design services including, but not limited to, architectural and engineering services, as reasonably required in connection with the permitting, approval, and installation of the Facilities. 3.2.3 The design, type, material, and color of any and all Facilities shall be approved in writing by the City's Planning Department prior to the Commencement Date. A photo of City-approved Facilities is incorporated herein as Exhibit C. Thereafter, Prism shall not change, alter, or modify the design, type, material, and color of any such City-approved Facilities without the prior written consent of the Contract Manager (and, if so approved, an updated Exhibit C will be made a part of and incorporated into this Agreement). 3.2.4 The condition and quality of Prism's Facilities shall at all times be maintained in a manner that is consistent with the condition and quality of similar facilities in first- class cultural activations. It is the City's intent, and Prism hereby agrees and acknowledges, to develop and promote a world-class cultural activations similar to those found in other first-class resort and beach communities comparable to the 5 City of Miami Beach. Accordingly, Prism shall, at a minimum, ensure that all Facilities placed within the Program Area are well-maintained and in usable condition, but shall also adhere to the high, ongoing maintenance standards for same, consistent with the aforementioned conditions and standards of quality. 3.3 Additional Facilities. Notwithstanding any provisions to the contrary herein, and subject further to approval by the City, which approval shall be at the City Managers sole and absolute discretion, the City shall be solely responsible for determining the need (if at all) for installation of additional Facilities on the City Property, based on usage and operational load. In the event that the City determines, and Prism agrees, that there is a need for installation of additional Facilities on the City Property, the City, in its sole discretion, shall determine the additional Program Area (or Areas) for such Facilities, and Exhibit B hereto shall be amended accordingly to identify any such additional Program Area(s). 3.4 Removal of Facilities at City's Request. Notwithstanding the approval of the installation of any Facilities, within a designated Program Area, the City Manager, at the City Manager's sole and absolute discretion, may request the removal of any Facilities, when the City Manager, in the City Manager's sole and absolute discretion, deems that the service of a particular Facility is no longer required. Except in the case where exigent circumstances exist, which in the City Manager's reasonable discretion require a shorter response time, the City shall provide Prism with thirty (30) days written notice of such request ("Request for Removal"). Upon receipt of a Request for Removal, Prism shall remove said Facility in conformance of the terms set forth in Subsection 14.7. 3.5 Price Schedules. Prism agrees that no fees shall be charged to attendees for outdoor cultural programming. Any changes to these fees must be approved, in writing, by the City Manager. The City shall have the final right of approval for any change in the fees, but said approval shall not be arbitrarily or unreasonably exercised. 3.6 Program Activations. 3.6.1 The quality of cultural programming offered by Prism will be first-rate and comparable to activations available in parks in other first-class resort and beach communities similar to Miami Beach (or, at a minimum, to the quality of cultural programming being offered within the City), and more particularly delineated in the attached Exhibit F. 3.6.2 City Approval of Items. In the event that the City determines, at its sole option and discretion, that any of the cultural programs are no longer permitted, then the City may revoke Prism's right to provide such programming, upon thirty(30) days written notice to Prism. 6 3.7 Electricity Usage. 3.7.1 Lummus Park. At contract execution, it is anticipated that Prism will utilize or require electricity for Lummus Park. Prism, at.its sole cost and expense, shall provide quiet (whisper) generators for use of activations requiring electricity. Prism shall not create a fire hazard or connect to any electric outlets or power sources. Prism must provide its own power sources, if any is required, and the proposed number and quality of generators used must be approved in writing by the Contract Manager. 3.7.2 Rue Vendome Plaza. For Rue Vendome Plaza, Prism shall remit to the City, an amount equal to five dollars ($5.00) Dollars per day, plus applicable sales and use tax, for each vendor location that proposes to use electricity. SECTION 4. COMPENSATION 4.1 Compensation. 4.1.1 Compensation and Schedule of Payments. City agrees to pay Prism, in the manner specified in Section 4.1.3 and Exhibit E (Compensation and Schedule of Payments) hereto, the amount not to exceed Seventy Thousand Dollars and No Cents ($70,000.00), which amount shall be the total compensation to Prism for the Program. 4.1.2 Invoices Prism may submit invoices for compensation no more often than on a monthly basis, but only after the portion of the Work for which the invoice is submitted has been satisfactorily completed and accepted by the Contract Administrator. An original invoice shall be submitted to the Contract Administrator within fifteen (15) days of the end of the month, except the final invoice, which must be received no later than thirty (30) days after completion of all Work. Invoices shall designate the nature and portion of the Work performed (percentage of completion). All invoices must be signed off and approved by the Contract Administrator as a condition of approval for payment by City. A written program description report shall accompany each invoice, describing the Work completed during that period. Photographic documentation demonstrating the Work shall also be included with each invoice. 4.1.3 Payments City shall pay Prism (but only for Work satisfactorily performed and accepted by the Contract Administrator), within thirty(30) calendar days of receipt by the City of Prism's proper invoice. Invoices shall be submitted by Prism to the City as follows: 7 Brandi Reddick, Cultural Affairs Program Manager City of Miami Beach Tourism, Culture and Economic Development 1755 Meridian Avenue, 5th Floor Miami Beach, FL 33139 brandireddick@miamibeachfl.gov 4.1.4 Notwithstanding any provision of this Agreement to the contrary, City may, at the sole and responsible discretion of the Contract Administrator, withhold a portion of any or all payments due under the Agreement, to the extent necessary to protect itself from loss on account of inadequate or defective Work which has not been accepted by Contract Administrator, or which has not been remedied or resolved in a manner satisfactory to.Contract Administrator. 4.1.5 Payment shall be made to Prism at: Isabella Acker Founder and Curator of Culture Prism Creative Group 8325NE2"d Ave., #211 Miami, FL 33138 Email: isabella@prismcreativegroup.com 4.1.6 Business Tax Receipt. Prism shall obtain, at its sole cost and expense, any business licensing required by the City for its proposed operations. For purposes of this Agreement, Prism shall obtain a business tax receipt for the "Agents, Broker, Dealers..." category. SECTION 5. CHANGES IN SCOPE OF SERVICES 5.1 Any significant changes in the scope of services for the Program, or location of the Program Area; or to Prism's compensation; or any other material changes in the terms and conditions of the Agreement, must be approved in writing as an amendment to this Agreement; must be executed by the parties; and is further subject to approval by the City Manager or City Commission, as applicable, prior to implementation of same. City acknowledges that, due to the nature of his practice, Prism may make changes to the cultural programming while working on site, but will communicate with the Contract Administrator about such changes. Any such changes would only require an amendment to this Agreement if the resulting Program is materially different from the design maquette approved by City. SECTION 6. MAINTENANCE AND EXAMINATION OF RECORDS. 6.1 City's Contract Manager. Except for those responsibilities expressly set forth in this Agreement for, respectively, 8 • the City Commission and/or the City Manager, the City Contract Manager for purposes of this Agreement shall be the Director of Tourism and Culture. 6.2 Prism shall maintain current, accurate, and complete financial records (on an accrual basis) related to its operations herein. Systems and procedures used to maintain these records shall include a system of internal controls and all accounting records shall be maintained in accordance with generally accepted accounting principles and shall be open to inspection and audit by the City Manager or the City's Contract Manager, upon reasonable prior notice, whether verbal or written, and during normal business hours. Such records and accounts shall include, at a minimum, a breakdown of gross receipts, expenses, and profit and loss statements; and such other records shall be maintained as would be required by an independent CPA in order to audit a statement of annual gross receipts and profit and loss statement pursuant to generally accepted accounting principles. SECTION 7. INSPECTION AND AUDIT. 7.1 Prism shall maintain its financial records pertaining to its operations herein for a period of three (3) years after the expiration or other termination of this Agreement, and such records shall be open and available to the City Manager or Contract Manager, as deemed necessary by them. Prism shall maintain all such records at its principal office, currently located at 8325 NE 2nd Avenue, #211, Miami, FL 33138, or, if moved to another location, all such records shall be relocated, at Prism's expense, to a location in Miami, within ten (10) days' notice (written or verbal)from the City. 7.2 The City Manager or Contract Manager shall be entitled to audit Prism's records pertaining to its operations, as often as he deems reasonably necessary throughout the Term of this Agreement, and three (3) times within the three (3) year period following termination of the Agreement (regardless of whether such termination results from the natural expiration of the Term or for any other reason). The City shall be responsible for paying all costs associated with such audits, unless the audit(s) reveals a deficiency of five (5%) percent or more in Prism's statement of gross receipts for any year or years audited, in which case Prism shall pay to the City, within thirty (30) days of the audit being deemed final by the City, the cost of the audit and a sum equal to the amount of the deficiency revealed by the audit, plus interest. 7.3 It is Prism's intent to stay informed of comments and suggestions by the City regarding performance under the Agreement. Within thirty (30) days after the end of each Contract Year, upon written notice from the City Manager, Prism shall meet with the City Manager or Contract Manager to review performance under the Agreement for the previous Contract Year. At the meeting, Prism and City may discuss quality, operational, programmatic, and any other issues regarding performance under the Agreement. 9 SECTION 8. TAXES. ASSESSMENTS. 8.1 Prism agrees and shall pay before delinquency all taxes and assessments of any kind levied or assessed upon a Program Area or the Program Areas, and/or on Prism by reason of this Agreement, or by reason of Prism's business and/or operations within a Program Area or Areas. Prism will have the right, at its own expense, to contest the amount or validity, in whole or in part, of any tax by appropriate proceedings diligently conducted in good faith. Prism may refrain from paying a tax to the extent it is contesting the imposition of same in a manner that is in accordance with law. However, if, as a result of such contest, additional delinquency charges become due, Prism shall be responsible for such delinquency charges, in addition to payment of the contested tax, if so ordered. Prism shall also be solely responsible (at its sole cost and expense) for obtaining and maintaining current any applicable licenses or permits, as required for the operations contemplated in this Agreement including, without limitation, any occupational licenses required by law for the proposed uses contemplated in Section 3 and for each Program Area (if required). 8.2 Procedure If Ad Valorem Taxes Assessed. If ad valorem taxes are assessed against a Program Area or the Program Areas (or any portion thereof) by reason of Prism's business and/or operations thereon, Prism shall be solely responsible for prompt and timely payment of same. SECTION 9. EMPLOYEES AND INDEPENDENT CONTRACTORS. 9.1 Prism's Employees. 9.1.1 Prism shall select, train and employ such number of employees or contractors as is necessary or appropriate for Prism to satisfy its responsibilities hereunder. Prism shall be the sole authority to hire, terminate, and discipline any and all personnel employed by Prism. Prism shall use its best efforts to hire employees and/or contractors for the Program from City of Miami Beach cultural institutions. 9.1.2 Prism's Contract Manager. Prism shall designate a competent full-time employee to oversee the day-to- day operations, and who shall act as the contract administrator for the Program and serve as Prism's primary point-person with the City. This individual shall have the requisite amount of experience in operating, managing, and maintaining the Program and operations contemplated herein. The employee shall be accessible to the City Manager or Contract Manager at all reasonable times during normal business hours (8:00 A.M. to 5:00 P.M.) to discuss the management, operation, and maintenance of the Program, and during the hours of 8:00 A.M. and 2:00 A.M. in the event of an emergency. Consistent failure by the employee to be accessible shall be reported to Prism's principal(s), 10 and if not rectified, shall be grounds for replacement of the employee. 9.1.3 Identification Badges. Prism's employees and/or contractors shall wear identification badges approved by the City Manager or Contract Manager, during all hours of operation when such employee or contractor is acting within the scope of such employment or such contractor relationship. All employees and/or contractors shall observe all the graces of personal grooming. Prism shall hire people to work in its operation who are neat, clean, well groomed, and who shall comport themselves in a professional and courteous manner. Prism and any persons hired or otherwise retained by Prism, shall never have been convicted of a felony. 9.2 Vendor Selection / Priority for Miami Beach Merchants and Cultural Organizations 9.2.1 Prism shall be solely responsible for the selection, oversight, and supervision of any vendor operating within the Program Area as part of the Program. Prism will endeavor to match vendors and programming with appropriate locations. 9.2.2 Prism shall offer City-licensed merchants and Cultural Organizations the opportunity to participate as vendors or cultural producers Prism will use best efforts to ensure that City-licensed merchants and Cultural Organizations are contacted and that marketing of programming availability is disseminated throughout the City, including, but not limited to, advertising in print newspapers, journals, websites, etc. 9.2.3 Prism will keep and make available to the City for inspection, upon notice by the City, detailed vendor records, including vendor name, address, telephone numbers, qualifications, experience, and the proposed goods and services to be offered for sale by its vendors. SECTION 10. SCHEDULE OF OPERATION. 10.1 Project Schedule. Within thirty (30) days from the Effective Date, Prism and City shall mutually agree upon a detailed written schedule for the Program. Said schedule, when completed, shall be attached and incorporated as Exhibit F hereto (as approved, the "Program Schedule"). The Program Schedule, or specific dates therein, may be extended by the City Manager or Contract Manager, in writing, in his or her sole discretion, upon written request from Prism, which notice shall state the reason for the request and the anticipated period of time requested. 10.2 Prism shall operate the Program in accordance with the schedule outlined below, weather or events of force majeure permitting. 10.2.1 Day of Operation: To be determined based on Programmatic needs 10.2.2 Hours of Operation: 11 Set-Up: No earlier than 8 AM Move-Out: No later than 11 PM 10.2.3 During the move-out period, Prism will remove all Facilities and any other items used in connection with its programmatic operations 10.3 Changes to Operational Days and/or Hours. 10.3.1 If the City Manager or Contract Manager deems that changes in demand require modification of Program operation's, the City shall provide Prism with a minimum of two (2) weeks prior written notice before implementing a specified change in operation. 10.3.2 If Prism desires a change in the Program's days or hours of operation, Prism shall provide the City with a minimum of two (2) weeks prior written notice requesting said modification of operational days or hours. Such request by Prism shall be subject to the City Manager's written approval, which shall not be unreasonably withheld. SECTION 11. MAINTENANCE. REPAIR and OPERATION. Prism accepts the use of any and all Program Areas provided in this Agreement "AS IS," "WHERE IS," and "WITH ALL FAULTS," existing as of the Effective Date. 11.1 Prism accepts the use of any and all Program Areas provided in this Agreement "AS IS," "WHERE IS," and "WITH ALL FAULTS," existing as of the Effective Date. In addition to the specific procedures set forth in Subsection 3.2 for the design, fabrication, construction, and installation of the Facilities, Prism shall also be solely responsible (including cost) and shall pay for the design, fabrication, construction, and installation of any and all Program Area improvements to a Program Area or Areas, including all site preparation costs, with the exception of the electrical system installation, as defined in Subsection 3.2.3. 11.2 Public Right-of-Way. The City and Prism agree and acknowledge that the public's use of the public right-of- way is a prime consideration and must be balanced accordingly with Prism's proposed operations. The right-of-way is for the use and enjoyment of the public and the public's right to such use shall not be infringed upon by any activity of Prism. Upon execution of this Agreement, Prism acknowledges that all of the rights-of-way within the Program Area are public, and as such, Program operations for Lummus Park must not restrict, or appear to restrict, access to the general public, or in any way limit the public nature or ambiance of the adjacent area. Prism will conduct its operations so as to maintain a reasonably quiet and tranquil environment for the adjacent area, and make no public disturbances. No vehicular traffic or parking will be permitted on the public right-of-way or the Program 12 Area unless specifically authorized. Vehicles and trailers belonging to Prism, including its employees, contractors, agents, vendors, and/or other third parties, shall be permitted on the street adjacent to the Program Area and public right-of-way on Ocean Drive (for Lummus Park) only for set up and removal of the Program operations, and any and all such vehicles must be removed from the public right-of-way immediately thereafter. Anyone operating a vehicle for these purposes shall have a current and valid driver's license. The bagging of parking meters for the Program is not permitted. If use of parking spaces within the Program Area is needed in connection with the operation of the Program, and approved by prior written consent of the City Manager or his/her designee, Prism will be required to pay for appropriate costs associated for the bagging of parking meters. • 11.3 Orderly Operation. Prism shall maintain a neat and orderly operation at all times and shall be solely responsible for the necessary housekeeping services to properly maintain the Program Areas and any Facility thereon. 11.4 Maintenance/Repair. During the Term, Prism, its employees, agents, contractors and vendors may enter upon the Program Service Zone only during the operational times listed in Subsection 9.2, for purposes of installing, inspecting, servicing, and maintaining the Program Area. Prism, at its sole cost and expense, shall install, inspect, service and maintain the Program Area (as required to operate the Program) including, without limitation, the Facilities. Prism shall be solely responsible for the day to day operation, maintenance, and repair of the entire Program Area and Facilities. Prism shall maintain the Program Areas and any Facilities thereon in good condition and proper working order. Prism shall keep all Program Areas and Facilities free of graffiti. 11.5 Garbage Receptacles. With respect to litter, garbage, and debris removal, Prism shall also provide, at its sole cost and expense, receptacles within the confines of the Program Area, and shall provide a sufficient number of these receptacles for use by Prism, its vendors, and the public that patronizes the Program. Determination of the number of receptacles shall be within the Contract Manager's sole discretion and Prism agrees to be bound by same. Disposal of the contents of said receptacles and removal of litter, garbage, and debris within the Program Area shall be accomplished by the end of the day on all days of operation. Any costs for removal of the contents of said trash receptacles by the City, as a result of the Prism's failure to do so, shall be passed onto Prism. The dumping or disposal of any refuse, trash, or garbage, generated by or as a result of the program operations, into any City trash receptacle by Prism, including its employees, contractors, or vendors, is strictly prohibited. 13 11.6 Pressure Cleaning. Prism agrees to reimburse the City for the cost and expense of pressure cleaning the Program Area, including all abutting sidewalks and public rights-of-way adjacent thereto, in the annual amount of One Hundred ($100.00) Dollars, if necessary. 11.7 Emergency Evacuation Plan. Prism agrees that the Facilities and any other items used in its programmatic operations will be immediately removed from the Program Area upon the issuance of a hurricane warning by the Miami-Dade County Office of Emergency Management, and stored by Prism at a private, off-site location. 11.8 No Dangerous Materials. Prism agrees not to use or permit the storage and/or use of gasoline, fuel oils, diesel, illuminating oils, oil lamps, combustible powered electricity producing generators, turpentine, benzene, naphtha, propane, natural gas, or other similar substances, combustible materials, .or explosives of any kind, or any substance or thing prohibited in the standard policies of fire insurance companies in the State of Florida, on or within any of the Program Areas, or on any City property and/or right of way. Prism shall indemnify and hold City harmless from any loss, damage, cost, or expense of the City, including, without limitation, reasonable attorney's fees, incurred as a result of, arising from, or connected with the placement by Prism of any "hazardous substance" or "petroleum products" on, under, in or upon the Program Areas as those terms are defined by applicable Federal and State Statute, or any environmental rules and environmental regulations promulgated thereunder; provided, however, Prism shall have no liability in the event of the willful misconduct or gross negligence of the City, its agents, servants or employees. The provisions of this Subsection 10.8 shall survive the termination or earlier expiration of this Agreement. 11.9 Inspection. Prism agrees that any Program Area (including, without limitation, any Facility thereon) may be inspected at any time by the City Manager or Contract Manager, or by any other municipal, County, State officer, or officers of any other agency(ies) having responsibility and/or jurisdiction for inspections of such operations. Prism hereby waives all claims against the City for compensation for loss or damage sustained by reason of any interference with the program operation as a result of inspection by any public agency(ies) or officials, (including, without limitation, by reason of any such public agency or official in enforcing any laws, ordinances, or regulations as a result thereof). Any such interference shall not relieve Prism from any obligation hereunder. 11.10 Management and Security. 11.10.1 Prism shall be solely responsible providing any security, as it may deem required in its judgment and discretion, to protect the Program Area and any of 14 the facilities and vendor goods, merchandise and/or other property. Under no circumstances shall the City be responsible for any stolen or damaged goods, merchandise, Facilities, and/or any other property, nor shall City be responsible for any stolen or damaged personal property of Prism's employees, contractors, vendors, patrons, guests, and/or other third parties. 11.10.2 Supervisory Manager. Prism shall provide an onsite supervisory manager in the Program Area at all times during which programming is occurring. Prism's supervisory manager must also be present during the set-up and move-out periods. 11.10.3 Policing Services. Prism agrees to provide off-duty police services ("Policing Services"), as required pursuant to City policy or applicable law, at such time or as may be required in special circumstances as they may arise. Upon contract execution, Prism is required to provide one off-duty police officer during all program operational hours. Should the City, in its sole discretion, hereinafter deem that a modification to the Policing Services is warranted, the City shall provide notice to Prism, who shall immediately thereafter implement said modification to the Policing Services. 11.11 Nonexclusive Use. Prism understands and agrees that there exist other businesses, establishments, operations, and events which are ongoing, or may occur from time to time, within or in close proximity to the Program Area. As such, Prism agrees that it will use its best efforts to cooperate and coordinate with said businesses, establishments, operations and events so as to minimize the impact to the respective parties. 11.12 Conflict Resolution. 11.12.1 Prism recognizes and understands that conflicts may arise with or among one or more of the following parties during the Term of this Agreement: Ocean Drive merchants, businesses, or residents; vendors; the general public; and/or Prism. 11.12.2 In the event that the City receives notice of any conflict, whether verbally or in writing, the City will communicate said information to the Prism as quickly as practicable. In the event of a conflict between Prism and any of the aforementioned entities regarding any of Prism's operations, upon Prism's receipt of notice of same, whether written or verbal, resolution of said conflict shall be addressed in the following manner: 1. Prism shall meet with the conflicted party and endeavor, using its best efforts and good faith, to resolve the conflict to the satisfaction of all parties concerned within fourteen (14) calendar days from receipt of notice. 2. In the event the conflict cannot be resolved as stated in Number 1 above, then Prism shall provide written notice to the conflicted party, (with copy to the City Manager's designee) with a date on which to meet with the 15 designee shall endeavor to set a meeting date within fourteen (14) calendar days of receipt of a copy of the written notice to the conflicted party. 3. In the event the resolution recommended by the City Manager's designee is not acceptable to the Prism or the conflicted party, the City Manager's designee shall inform the City Manager, and provide him with the pertinent details of the conflict. The City Manager may make a determination as to whether he concurs with the designee's recommendation; offer an alternate resolution;. or choose to meet with Prism and the conflicted party to get additional information prior to making a final determination. Notwithstanding the foregoing, the City Manager's final determination, will be binding upon Prism, and Prism shall agree to be bound by same. 11.12.3 Prism understands and agrees that the foregoing conflict resolution process is not applicable to any conflict that may arise between the City and the Prism under this Agreement, or to conflicts outside of the City's purview, control, or jurisdiction. SECTION 12. INSURANCE. 12.1 Prism shall not commence any work and/or services under this Agreement until all insurance required under this Section has been obtained and such insurance has been approved by the City's Risk Manager. Additionally, Prism shall comply with any additional (including more onerous) insurance requirements prescribed by the Special Event Permit for each event. Prism shall carry and maintain the following insurance coverages during the Term of this Agreement: INSURANCE REQUIREMENT A. Worker's Compensation Insurance as required by Florida, with Statutory limits and Employer's Liability Insurance, per accident for bodily injury or disease. B. Commercial General Liability Insurance on an occurrence basis, contractual liability, property damage, bodily injury and personal & advertising injury with limits no less than $1,000,000 per occurrence. C. Automobile Liability Insurance covering all owned, non-owned and hired vehicles used in connection with the work, in an amount not less than $1,000,000 combined single limit per occurrence, for bodily injury and property damage. D. Professional Liability (Errors & Omissions) Insurance appropriate to the Consultant's profession, with limit no less than $1,000,000. 12. 2 Additional Insured Status The City of Miami Beach must be covered as an additional insured with respect to liability arising 16 out of work or operations performed by or on behalf of the Consultant. 12.3 Waiver of Subrogation Contractor hereby grants to City of Miami Beach a waiver of any right to subrogation which any insurer of the Consultant may acquire against the City of Miami Beach by virtue of the payment of any loss under such insurance. Consultant agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City of Miami Beach has received a waiver of subrogation endorsement from the insurer. 12.4 Acceptability of Insurers Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII, unless otherwise acceptable to the City of Miami Beach Risk Management Office. 12.5 Verification of Coverage Consultant shall provide the required insurance certificates, endorsements or applicable policy language effecting coverage required by this Section. All certificates of insurance and endorsements are to be received prior to any work commencing. However, failure to obtain the required coverage prior to the work beginning shall not waive the Consultant's obligation to provide them. The City of Miami Beach reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time. 12.6 Special Risks or Circumstances The City of Miami Beach reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances. Certificate Holder CITY OF MIAMI BEACH do RISK MANAGEMENT 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FL 33139 Compliance with the foregoing requirements shall not relieve the Consultant of his liability and obligation under this section or under any other section of this agreement. 17 SECTION 13. INDEMNITY. 13.1 Prism shall indemnify, hold harmless and defend the City, its officials, directors, members, employees, contractors, agents, and servants from and against any and all actions (whether at law or inequity), claims, liabilities, losses, and expenses, including, but not limited to, attorneys' fees and costs, for personal, economic or bodily injury, wrongful death, loss of or damage to property, which may arise or be alleged to have arisen from: (1) wholly or in part from the negligent acts, errors, omissions or other misconduct of Prism, its officers, director, members, employees, agents, contractors, subcontractors, or any other person or entity acting under Prism's control or supervision; (2) Prism's breach of the terms of this Agreement or its representations and warranties herein; (3) the operation of the Program; or (4) the use of the Program Area Facilities by the City, its employees, guests, (licensees or invitees) or the general public. To that extent, Prism shall pay all such claims and losses and shall pay all such costs and judgments which may issue from any lawsuit arising from such claims and losses, and shall pay all costs and attorneys' fees expended by the City in the defense of such claims and losses, including appeals. 13.2 Prism shall indemnify, hold harmless and defend the City, its officials, directors, employees, contractors, agents, and servants from and against any claim, demand or cause of action of whatever kind or nature arising out of any misconduct of Prism, its officials, directors, employees, contractors, agents, and servants not included in the paragraph in the subsection above and for which the City, its officials, directors, employees, contractors, agents, and servants are alleged to be liable. 13.3 Subsections 13.1 and 13.2 shall survive the termination or expiration of this Agreement. SECTION 14. FORCE MAJEURE. 14.1 Neither party shall be obligated to perform hereunder and neither party shall be deemed to be in default if performance is prevented by: a. Any act or chain of related acts resulting in destruction, vandalism or theft of Facilities which render at least fifty (50%) percent of the Program Areas unusable at any one point in time and which is not caused by negligence of Prism; b. Earthquake; hurricane; flood; act of God; direct act of terrorism; or civil commotion occurring which renders at least fifty (50%) percent of the Program Areas unusable; and c. Any law, ordinance, rule, regulation or order of any public or military authority stemming from the existence of economic or energy controls, hostilities, or war which renders at least fifty(50%) percent of the Program Areas unusable. 14.2 Labor Dispute. 18 In the event of a labor dispute which results in a strike, picket, or boycott affecting at least fifty (50%) percent of the Program Areas, Prism shall not thereby be deemed to be in default or to have breached any part of this Agreement, unless such dispute shall have been caused by illegal labor practices or violations by Prism of applicable collective bargaining Agreements (and there has been a final determination of such fact which is not cured by Prism within thirty(30) days). 14.3 Waiver of Loss from Hazards. Prism hereby expressly waives all claims against the City for loss or damage sustained by the Prism resulting from any Force Majeure and Labor Dispute contemplated in Section 14 above, and Prism hereby expressly waives all rights, claims, and demands against the City and forever releases and discharges the City of Miami Beach, Florida, from all demands, claims, actions and causes of action arising from any of the aforesaid causes. SECTION 15. DEFAULT AND TERMINATION. Subsections 15.1 through 15.4 shall constitute events of default under this Agreement. An event of default by Prism shall entitle the City to exercise any and all remedies described as City's remedies under this Agreement, including but not limited to those set forth in Subsection 15.5. 15.1 Bankruptcy. If either the City or Prism shall be adjudged bankrupt or insolvent, or if any receiver or trustee of all or any part of the business property of either party shall be appointed, or if any receiver of all or any part of the business property shall be appointed and shall not be discharged within sixty (60) days after appointment, or if either party shall make an assignment of its property for the benefit of creditors, or shall file a voluntary petition in bankruptcy, or insolvency, or shall apply for reorganization or arrangement with its creditors under the bankruptcy or insolvency laws now in force or hereinafter enacted, Federal, State, or otherwise, or if such petitions shall be filed against either party and shall not be dismissed within sixty (60) days after such filing, then the other party may immediately, or at any time thereafter, and without further demand or notice, terminate this Agreement without being prejudiced as to any remedies which may be available to it for breach of contract. 15.2 Default in Payment. If any payment and accumulated penalties are not received within ten (10) days after the payment due date, and such failure continues five (5) days after written notice thereof, then the City may, without further demand or notice, terminate this Agreement without being prejudiced as to any remedies which may be available to it for breach of contract. 15.3 Non-Monetary Default. In the event that Prism or the City fails to reasonably perform or observe the non- monetary covenants, terms or provisions under this Agreement, and such failure continues thirty (30) days after written notice thereof from the other party hereto, such 19 non-defaulting party may immediately or at any time thereafter, and without further demand or notice, terminate this Agreement without being prejudiced as to any remedies which may be available to it for breach of contract. In the event that a default is not reasonably susceptible to being cured within such period, the defaulting party shall not be considered in default if it shall, within such period, commence with due diligence and dispatch to cure such default and thereafter completes with dispatch and due diligence the curing of such default, but in no event shall such extended cure period exceed ninety (90) days from the date of written notice thereof. In the event Prism cures any default pursuant to this subsection, it shall promptly provide the City Manager with written notice of same. 15.4 The failure of the Program to be operational for scheduled dates shall constitute a default under this Agreement. 15.5 City's Remedies for Default. If any of the events of default, as set forth in this Section, shall occur, the City may, after expiration of the cure periods, as provided above, at its sole option and discretion, institute such proceedings as in its opinion are necessary to cure such defaults and to compensate City for damages resulting from such defaults, including but not limited to the right to give to Prism a notice of termination of this Agreement. If such notice is given, the term of this Agreement shall terminate upon the date specified in such notice from City to Prism. On the date so specified, Prism shall then quit and surrender the Program Area(s) to City pursuant to the provisions of Subsection 15.7. Upon the termination of this Agreement, all rights and interest of Prism in and to the Program Area(s) and to this Agreement, and every part thereof, shall cease and terminate. In addition to the rights set forth above, the City shall have the rights to pursue any and all of the following: 15.5.1 the right to injunction or other similar relief available to it under Florida law - against Prism; and/or 15.5.2 the right to maintain any and all actions at law or suits in equity or other proper proceedings to obtain damages resulting from Prism's default. 15.6 If an event of default by the City shall occur, Prism may, after expiration of the cure periods, as provided above, terminate this Agreement upon written notice to the City. Said termination shall become effective upon receipt of a written notice of termination by the City, but in no event shall Prism specify a termination date that is less than sixty (60) days from the date of the written termination notice. On the date specified in the notice, Prism shall quit and surrender the Program Area(s) to City pursuant to the provisions of Subsection 15.7. 15.7 Surrender of Program Areas / Removal of Facilities. Upon expiration, or earlier termination of this Agreement including partial termination, Prism shall surrender the Program Areas in the same condition as the Program Areas were prior to the Effective Date. The City shall grant Prism the right, upon the termination 20 or earlier expiration of this Agreement, to enter upon the City Property locations, pursuant to an agreed upon schedule, executed by the parties, for the removal of the Facilities contained therein ("Removal Schedule"). Prism shall, at its sole expense and at no charge to the City, remove all Facilities from the Program Areas, (as well as any other permanent or fixed improvements installed by Prism): (1) no later than thirty (30) days after the conclusion of the Term, (or from the date of other termination of this Agreement), or (2) the scheduled removal date as set forth in the Removal Schedule for each City Property location, whichever is later, unless a longer time period is agreed to, in writing, by the City Manager. Prism shall coordinate the removal of the Facilities with the City and shall also, in conjunction with such removal, at its sole cost and expense, restore the City Property to its original (or better) condition prior to the Effective Date of this Agreement, including repairing any damage caused from such removal (the removal of the Facilities and restoration of the Program Areas shall be collectively referred to herein as the "removal process"). Prism shall perform the Removal Process in such a way as to minimize interference with the operation of the City Property. Prism's obligation to observe or perform this covenant shall survive the expiration or other termination of this Agreement. Continued occupancy of any Program Areas after termination of the Agreement (unless otherwise agreed to pursuant to the signed Removal Schedule), shall constitute trespass by the Prism, and may be prosecuted as such. In addition, Prism shall pay to the City One Thousand ($1,000.00) Dollars per day per Program Area as liquidated damages for such trespass and holding over. 15.8 Substitute Performance. In the event that Prism fails to properly perform the removal of any Facility and restoration of the Program Areas to their original condition in accordance with the terms of the Agreement, then the City shall have the right to undertake and/or purchase, as the City Manager deems appropriate, any such supplies, materials, services, etc., covered herein and to charge Prism for all actual costs thereby incurred by the City. Prism shall be responsible for paying all of said costs. 15.9 Thirty (30) Day Termination for Convenience. Notwithstanding anything herein to the contrary, the City may cancel this Agreement, without cause and without liability to the City, at any time during the Term, upon thirty(30) days written notice to Prism. Upon receipt of the City's notice, Prism shall promptly commence removal of any and all Facility in accordance with Subsection 15.7 hereof. SECTION 16. ASSIGNMENT. 16.1 Prism shall not assign all or any portion of its costs or obligations under this Agreement without the prior written consent of the City Commission, in its sole discretion. Prism shall notify the City Manager of any proposed assignment, in writing, at least sixty (60) days prior to the proposed effective date of such assignment. In the event that any such assignment is approved by the City Commission, the assignee shall agree to be bound by all the covenants of this Agreement required of Prism. 16.2 Prism shall notify the City Manager or his designee of any proposed transfer, prior to consummation of same and the City or the City Manager or his designee, as applicable, 21 shall respond within thirty (30) days. In the event that any such transfer is approved, the transferee shall agree to be bound by all the covenants of this Agreement required of the transferor hereunder. Any transfer made without complying with this section shall be null, void, and of no effect and shall constitute an act of default under this Agreement. Notwithstanding any such consent, or any permitted transfer under any provision of this section, unless expressly released by the City, Prism shall remain jointly and severally liable (along with each approved transferee, who shall automatically become liable for all obligations of the transferor hereunder with respect to that portion of the Agreement so transferred), and the City shall be permitted to enforce the provisions of this Agreement directly against Prism or any transferee of the Prism without proceeding in any way against any other person. For purposes of this Section 16, Prism's selection of vendors, artists or cultural performers shall not be deemed a transfer. SECTION 17. SPECIAL EVENTS. 17.1 Prism's proposed uses contemplate the production, promotion, or sponsorship by Prism of special events in the Program Area. As such, Prism shall abide by the City's Special Events Permit Requirements and Guidelines, as same may be amended from time to time. For any use, other than those permitted for in this Agreement, a Special Events Permit may be required and shall be obtained through the City's Department of Tourism, Culture and Economic Development Department. The City Manager's prior written authorization must be obtained for any such special event. In the event that a special event and/or film permit is requested by an entity, other than Prism, and the proposed special event and/or film production is scheduled to occur within all or a portion of the Program Area during Prism's hours of operation, Prism agrees to cooperate with the City and the special event permit applicant to allow use of the Area during the period of the special event, including set-up and break-down time. 17.2 City Special Events. Notwithstanding Section 16 hereof, and in the event that the City Manager, in his/her sole discretion, deems that it would be in the best interest of the City, the City reserves the right to displace Prism for City produced special events and/or other City produced productions. In such cases, the City may request that Prism cease and desist operations during the time of, and in the area of, the special event and/or production, and Prism shall not operate during said time. If Prism is not required to close, Prism shall only be allowed to have in operation its normal daily complement of Facilities and vendors. "Normal" shall be defined as Facilities and vendors that Prism has available for the public. Such Facilities, Program and vendors shall not be increased during special events and/or productions without the prior written permission of the City Manager or his/her designee. Notwithstanding anything to the contrary, if a special event occurs in all or any portion of any Program Area, Prism shall not be liable for any charge, fee or other expense, governmental or otherwise, in connection with such special event. 22 17.3 Street Vendors/Street Performers. Any locations within the Program Area identified by the City for non-Prism sponsored street vendors and/or street performers, in accordance with City Ordinance No. 2002- 3366, as may be amended from time to time, or otherwise in accordance with the City's respective rules, regulations, and guidelines associated therewith, as same may also be amended from time to time, are excluded from this Agreement, and Prism shall not interfere or otherwise prohibit said street vendors and/or street performers' activities upon such designated portions of the public right-of-way. Similarly, Prism shall not prohibit or otherwise interfere with the activities of any street vendors and/or street performers who may not be part of a City of Miami Beach permitted process, but who may have certain constitutionally protected rights to perform and/or offer for sale their wares on public rights-of-way. SECTION 18. SPONSORSHIPS. 18.1 The City reserves unto itself all present and future rights to negotiate all forms of endorsement and/or sponsorship agreements based on the marketing value of any City trademark, property, brand, logo and/or reputation. Any and all benefits derived from an endorsement and/or sponsorship agreement based on the marketing value of a City of Miami Beach trademark property, brand, logo and/or reputation, shall belong exclusively to the City. Prism shall be specifically prohibited from entering into, or otherwise creating any, sponsorships and/or endorsements with third parties which are based solely or in any part on the marketing value of a City trademark, property, brand, logo and/or reputation. 18.2 It is further acknowledged that the name, likeness, equipment, concepts, logos, designs and other intellectual property rights of Prism shall remain in the exclusive possession and control of Prism at all times; provided, however, that Prism hereby grants City an irrevocable license to use any Prism trademark, brand, and/or logo, for purposes of the City's promotion of the Program and including, without limitation, the right to use such trademarks, brand, and/or logo in all media (for such public marketing purposes) whether now existing or as may exist in the future. SECTION 19. NO ADVERTISING / PROMOTIONAL ASSISTANCE. 19.1 No Advertising. Prism understands that City of Miami Beach regulations strictly prohibit advertising on any part of the Program Area Facilities or the Program Area, and expressly agrees not to conduct any advertising hereunder unless expressly approved in writing by the City, in the City's sole and absolute discretion. 19.2 Promotional Assistance. At the sole option and discretion of the City Manager, the City may place a link to any website maintained by Prism, including for users to reach Prism and/or learn more information about the Program. Prism agrees to place a link for the City of Miami Beach on its website to inform users of the City Property locations for the Program. At the City's request, Prism shall remove the link or any reference to the Program or City Property locations. Both the City and Prism agree to make good faith efforts to 23 promote the use of the Program within the City of Miami Beach under the terms of this Agreement. Any placement of advertisement or other form of promotion of the Program, including City Property locations which are the subject of the Program, shall be subject to the prior written approval of the City Manager. SECTION 20. NO IMPROPER USE. Prism will not use, nor suffer or permit any person to use in any manner whatsoever, any Program Areas or Facilities thereon, for any illegal, improper, immoral or offensive purpose, or for any other purpose in violation of any Federal, State, County, or municipal ordinance, rule, order or regulation, or of any governmental rule or regulation now in effect or hereafter enacted or adopted. Prism will protect, indemnify, and forever save and keep harmless the City, its officials, employees, contractors, and agents from and against damage, penalty, fine, judgment, expense or charge suffered, imposed, assessed or incurred for any violation, or breach of any law, ordinance, rule, order or regulation occasioned by any act, neglect or omission of the Prism, or any official, director, agent, contractor, or servant regarding the Program. In the event of any violation by Prism, or if the City or its authorized representative shall deem any conduct on the part of Prism to be objectionable or improper, the City shall have the right to suspend program operation should Prism fail to correct any such violation, conduct, or practice to the satisfaction of the City Manager or Contract Manager within twenty-four (24) hours following written notice of the nature and extent of such violation, conduct, or practice. Such suspension to continue until the violation is cured to the satisfaction from the City Manager or Contract Manager. SECTION 21. NOTICES. Any notice required to be given or otherwise given pursuant to this Agreement shall be in writing and shall be hand delivered, mailed by certified mail, return receipt requested or sent recognized overnight courier service as follows: If to PRISM: Prism Creative Group, LLC Attention: Isabella Acker 8325 NE 2nd Avenue, #211 Miami, Florida 33138 E-mail: Isabella@prismcreativegroup.com If to the CITY: City of Miami Beach Attention: Matt Kenny, Director Tourism and Culture 1755 Meridian Avenue, 5th Floor Miami Beach, Florida 33139 With copy to: City of Miami Beach Attention: City Manager 1700 Convention Center Drive Miami Beach, Florida 33139 24 Notwithstanding the foregoing, the City expressly authorizes Prism to notice its designated Contract Manager, the City of Miami Beach Tourism, Culture and Economic Development Director, with a mailing address of 1755 Meridian Avenue, 5th Floor, Miami Beach, Florida 33139 (referred to herein as the Contract Manager) with regard to all matters pertinent to this Agreement, except with respect to any alleged defaults, which will require notice to the parties set forth in Section 20. SECTION 22. LAWS. 22.1 Compliance. Prism shall comply with all applicable City, County, State, and Federal ordinances, statutes, rules and regulations, including but not limited to all applicable environmental City, County, State, and Federal ordinances, statutes, rules and regulations. 22.2 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Florida. Any civil action arising in any way from this Agreement or the activities of the parties under this Agreement shall be brought only in a court of competent jurisdiction located in Miami-Dade County, Florida. 22.3 Equal Employment Opportunity. Neither Prism nor any affiliate of Prism performing services hereunder, or pursuant hereto, will discriminate against any employee or applicant for employment because of race, creed, sex, color, national origin, sexual orientation, and disability (as defined in Title I of ADA). Prism will take affirmative steps to utilize minorities and females in the work force and in correlative business enterprises. 22.4 No Discrimination. Prism agrees that there shall be no discrimination as to as to race, color, national origin, religion, sex, intersexuality, sexual orientation, gender identity, marital and familial status, or age, or handicap, in the operations referred to in this Agreement; and, further, there shall be no discrimination regarding any use, service, maintenance, or operation within the Program Areas. All operations and services offered in the Program Areas shall be made available to the public, subject to the right of Prism and the City to establish and enforce reasonable rules and regulations to provide for the safety, orderly operation, and security of the Program Areas and improvements and equipment thereon. Additionally, Prism shall comply fully with the City of Miami Beach Human Rights Ordinance, codified in Chapter 62 of the City Code, as may be amended from time to time, prohibiting discrimination in employment, housing, public accommodations, and public services on account of actual or perceived race, color, national origin, religion, sex, intersexuality, gender identity, sexual orientation, marital and familial status, age, disability, ancestry, height, weight, domestic partner status, labor organization membership, familial situation, or political affiliation. 25 SECTION 23. MISCELLANEOUS. 23.1 No Partnership. Nothing contained in this Agreement shall constitute or be construed to be or create a partnership or joint venture between the City and Prism. 23.2 Modifications. This Agreement cannot be changed or modified except by Agreement in writing executed by all parties hereto. Prism acknowledges that no modification to this Agreement may be agreed to by the City unless approved by the Mayor and City Commission except where such authority has been expressly provided herein to the City Manager or Contract Manager. 23.3 Complete Agreement. This Agreement, together with all exhibits incorporated hereto, constitutes all the understandings and Agreements of whatsoever nature or kind existing between the parties with respect to Prism's operations, as contemplated herein. 23.4 Headings. The section, subsection, and paragraph headings contained herein are for convenience of reference only and are not intended to define, limit, or describe the scope or intent of any provision of this Agreement. 23.5 Binding Effect. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns. 23.6 Clauses. The illegality or invalidity of any term or any clause of this Agreement shall not affect the validity of the remainder of the Agreement, and the Agreement shall remain in full force and effect as if such illegal or invalid term or clause were not contained herein unless the elimination of such provision detrimentally reduces the consideration that either party is to receive under this Agreement or materially affects the continuing operation of this Agreement. 23.7 Severability. If any provision of this Agreement or any portion of such provision or the application thereof to any person or circumstance shall be held to be invalid or unenforceable, or shall become a violation of any local, State, or Federal laws, then the same as so applied shall no longer be a part of this Agreement but the remainder of the Agreement, such provisions and the application thereof to other persons or circumstances, shall not be affected thereby and this Agreement as so modified shall. 26 23.8 Right of Entry. The City, at the direction of the City Manager, shall at all times during hours of operation, have the right to enter into and upon any and all parts of the Program Area(s) for the purposes of examining the same for any reason relating to the obligations of parties to this Agreement. 23.9 Nota Lease. It is expressly understood and agreed that no part, parcel, building, facility, equipment or space is leased to Prism, that it is offering professional services and not a lessee; that Prism's right to operate the program area shall continue only so long as this Agreement remains in effect. 23.10 Procedure for Approvals and/or Consents. In each instance in which the approval or consent of the City Manager or Contract Manager is allowed or required in this Agreement, it is acknowledged that such authority has been expressly provided herein to the City Manager or Contract Manager by the Mayor and City Commission of the City. In each instance in which the approval or consent of the City Manager or Contract Manager is allowed or required in this Agreement, Prism shall send to the City Manager a written request for approval or consent (the"Approval Request"). The City Manager or Contract Manager shall use reasonable efforts to provide written notice to Prism approving of consent to, or disapproving of the request, within thirty (30) days from the date of Approval Request (or within such other time period as may be expressly set forth for a particular approval or consent under this Agreement). However, the City Manager or Contract Manager's failure to consider such request within this time provided shall not be deemed a waiver, nor shall Prism assume that the request is automatically approved and consented to. The City Manager or Contract Manager shall not unreasonably withhold such approval or consent. This subsection shall not apply to approvals required herein by the Mayor and City Commission. 23.11 No Waiver. It is mutually covenanted and agreed by and between the parties hereto that the failure of the City to insist upon the strict performance of any of the conditions, covenants, terms or provisions of this Agreement, or to exercise any option herein conferred, will not be considered or construed as a waiver or relinquishment for the future of any such conditions, covenants, terms, provisions or options but the same shall continue and remain in full force and effect. A waiver of any term expressed herein shall not be implied by any neglect of the City to declare a forfeiture on account of the violation of such term if such violation by continued or repeated subsequently and any express waiver shall not affect any term other than the one specified in such waiver and that one only for the time and in the manner specifically stated. 27 The receipt of any sum paid by Prism to the City after breach of any condition, covenant, term or provision herein contained shall not be deemed a waiver of such breach, but shall be taken, considered and construed as payment for use and occupation, and not as rent, unless such breach be expressly waived in writing by the City. 23.12 No Third Party Beneficiary. Nothing in this Agreement shall confer upon any person or entity, including, but not limited to sub-contractors, other than the parties hereto and their respective successors and permitted assigns, any rights or remedies by reason of this Agreement. 23.13 No Lien. In the event any notice or claim of lien shall be asserted against the interest of the City on account of or arising from any work done by or for Prism, or any person claiming by, through or under Prism, or for improvements or work, the cost of which is the responsibility of Prism. Prism agrees to have such notice or claim of lien cancelled and discharged within fifteen (15) days after notice to Prism by City. In the event Prism fails to do so, City may terminate this Agreement for cause without liability to City. SECTION 24. LIMITATION OF LIABILITY. The City desires to enter into this Agreement placing the operation and management of the Program Area(s) in the hands of a private management entity only if so doing the City can place a limit on its liability for any cause of action for breach of this Agreement, ,so that its liability for any such breach never exceeds the sum of Ten Thousand ($10,000.00) Dollars. Prism hereby expresses its willingness to enter into this Agreement's Ten Thousand ($10,000.00) Dollars limitation on recovery for any action for breach of contract. Accordingly, and in consideration of the separate consideration of Ten Thousand ($10,000.00) Dollars, the receipt of which is hereby acknowledged, the City shall not be liable to f Prism or damages to Prism in an amount in excess of Ten Thousand ($10,000.00) Dollars, for any action for breach of contract arising out of the performance or on-performance of any obligations imposed upon the City by this Agreement. Nothing contained in this paragraph or elsewhere in this Agreement is in any way intended to be a waiver of limitation placed upon the City's liability as set forth in Florida Statutes, Section 768.28. SECTION 25. VENUE. This Agreement shall be deemed to have been made and shall be construed and interpreted in accordance with the laws of the State of Florida. This Agreement shall be enforceable in Miami- Dade County, Florida, and if legal action is necessary by either party with respect to the enforcement of any and all the terms or conditions herein, exclusive venue for the enforcement of same shall lie in Miami-Dade County, Florida. 28 CITY AND PRINS HEREBY KNOWINGLY AND INTENTIONALLY WAIVE THE RIGHT TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING THAT CITY AND PRISM MAY HEREIN AFTER INSTITUTE AGAINST EACH OTHER WITH RESPECT TO ANY MATTER ARISING OUT OF OR RELATED TO THIS AGREEMENT OR THE PROGRAM AREA(S). SECTION 26. CONFLICT OF INTEREST. Prism agrees to adhere to and be governed by the Miami-Dade County Ethics and Conflict of Interest laws, as same may be amended from time to time, and by the City of Miami Beach Charter and Code, as same may be amended from time to time, in connection with the performance of the Services. Prism covenants that it presently has no interest and shall not acquire any interest, direct or indirectly, which would conflict in any manner or degree with the performance of the work and services contemplated in this Agreement. Prism further covenants that in the performance of this Agreement, no person having any such interest shall knowingly be employed by Prism. SECTION 27. FLORIDA PUBLIC RECORDS LAW. 27.1 Pursuant to Section 119.0701 of the Florida Statutes, if PRISM meets the definition of "Contractor" as defined in Section 119.0701(1)(a), PRISM shall: (a) Keep and maintain public records required by the public agency to perform the service; (b) Upon request from the public agency's custodian of public records, provide the public agency with a copy of the requested records or allow the records to be inspected or copied within a reasonable time at a cost that does not exceed the cost provided in this chapter or as otherwise provided by law; (c) Ensure that public records that are exempt or confidential and exempt from public records disclosure requirements are not disclosed except as authorized by law for the duration of the contract term and following completion of the contract if the contractor does not transfer the records to the public agency; (d) Upon completion of the contract, transfer, at no cost, to the public agency all public records in possession of the contractor or keep and maintain public records required by the public agency to perform the service. If the contractor transfers all public records to the public agency upon completion of the contract, the contractor shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. If the contractor keeps and maintains public records upon completion of the contract, the contractor shall meet all applicable requirements for retaining public records. All records stored electronically must be provided to the public agency, upon request from the public agency's custodian of public records, in a format that is compatible with the information technology systems of the public agency. 27.2 REQUEST FOR RECORDS; NONCOMPLIANCE. (a) A request to inspect or copy public records relating to a public agency's contract for services must be made directly to the public agency. If the public agency does not possess the requested records, the public agency shall immediately notify the 29 contractor of the request, and the contractor must provide the records to the public agency or allow the records to be inspected or copied within a reasonable time. (b) If a contractor does not comply with the public agency's request for records, the public agency shall enforce the contract provisions in accordance with the contract. (c) A contractor who fails to provide the public records to the public agency within a reasonable time may be subject to penalties under s. 119.10. 27.3 CIVIL ACTION. (a) If a civil action is filed against a contractor to compel production of public records relating to a public agency's contract for services, the court shall assess and award against the contractor the reasonable costs of enforcement, including reasonable attorney fees, if: a. The court determines that the contractor unlawfully refused to comply with the public records request within a reasonable time; and b. At least 8 business days before filing the action, the plaintiff provided written notice of the public records request, including a statement that the contractor has not complied with the request, to the public agency and to the contractor. (b) A notice complies with subparagraph (a)2. if it is sent to the public agency's custodian of public records and to the contractor at the contractor's address listed on its contract with the public agency or to the contractor's registered agent. Such notices must be sent by common carrier delivery service or by registered, Global Express Guaranteed, or certified mail, with postage or shipping paid by the sender and with evidence of delivery, which may be in an electronic format. (c) A contractor who complies with a public records request within 8 business days after the notice is sent is not liable for the reasonable costs of enforcement. 27.4 IF PRISM HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO PRISM'S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS CONTRACT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS AT: CITY OF MIAMI BEACH ATTENTION: CITY CLERK 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 E-MAIL: RAFAELGRANADO@MIAMIBEACHFL.GOV PHONE: 305-673-7411 SECTION 28. PROHIBITIONS REGARDING EXPANDED POLYSTYRENE FOOD SERVICE ARTICLES OR PLASTIC STRAWS. Pursuant to Section 82-7 of the City Code, as may be amended from time to time, effective August 2, 2014, the City has prohibited the use of expanded polystyrene food service articles by City Contractors, in connection with any City contract, lease, professional services agreement or 30 Special event permit. Additionally, pursuant to Section 82-385 of the City Code, as may be amended from time to time, no polystyrene food service articles will be allowed in the right-of-way, and no polystyrene food service articles can be provided to sidewalk café patrons. Expanded polystyrene is a petroleum byproduct commonly known as Styrofoam. Expanded polystyrene is more particularly defined as blown polystyrene and expanded and extruded foams that are thermoplastic petrochemical materials utilizing a styrene monomer and processed by any number of techniques including, but not limited to, fusion of polymer spheres (expandable bead foam), injection molding, foam molding, and extrusion-blown molding (extruded foam polystyrene). Expanded polystyrene food service articles means plates, bowls, cups, containers, lids, trays, coolers, ice chests, and all similar articles that consist of expanded polystyrene. Prism agrees not to sell, use, provide food in, or offer the use of expanded polystyrene food service articles at the Program Area or in connection with this Agreement. Prism shall ensure that all vendors operating in the Program Area abide by the restrictions contained in this Section 27. A violation of this section shall be deemed a default under the terms of this Agreement. This subsection shall not apply to expanded polystyrene food service articles used for prepackaged food that have been filled and sealed prior to receipt by Prism or its vendors. Additionally, Prism agrees to comply (and ensure compliance by its vendors) with Section 46-92 (c) of the City Code, which states that it is unlawful for any person to carry any expanded polystyrene product onto any beach or into any park within the City or for any business to provide plastic straws with the service or delivery of any beverage to patrons on the beach. SECTION 29. AGREEMENT WITH COCA-COLA BEVERAGES FLORIDA, LLC. This Agreement is subject to that certain agreement between the City and Coca-Cola Bottling, commencing on September 1, 2011 and expiring on September 1, 2021, attached hereto as Exhibit G to be the exclusive provider of non-alcoholic beverages in connection with certain Facilities (as defined therein), which includes the City Properties which are the subject of this Agreement. As such, Prism may only purchase, from the City's vendor, the Coca-Cola brand beverages, as more particularly set forth in the Product List, attached hereto as Exhibit G. REMAINDER OF PAGE INTENTIONALLY LEFT BLANK 31 IN WITNESS WHEREOF, the parties hereto have caused their names to be signed and their seals to be affixed, all as of the day and year first above written, indicating their Agreement. FOR CITY: Attest: CITY OF MIAMI BEACH, FLORIDA vC ` Rafael . Gra .a 9, City Clerk .u m i L. Moral-11'i y Manager %%%%%%%%%%%%%%%%Ili; ��� 01 B ` 11,1+i Date: L� _.r`e. * . ..i4��0�,`4 y INCORP ORATED: FOR PRISM: #4 .'.. 1:401 ,VV .0) Attest: h'''7, .. .26� N ." RISM MUSCI GROUP, INC, a Florida for profit corporation i; 1 crAttlZ. cater 6,, Zici- , `S Ate,/r fidevr Print Name and Title Print Name and Title Date: 2�ngq • APPROVED AS TO FORM & LANGUAGE & FOR E ECUTION r G� 32 I� gi- a„-�1J` 1 City Att° ey 4L' Date List of Exhibits Exhibit A—Program Service Zone Exhibit B—Site Plan for Program Areas Exhibit C— Facilities Exhibit D- Cultural Programming Proposal Exhibit E— Payment Schedule Exhibit F—Program Schedule Exhibit G- Coca Cola Agreement 33 Exhibit A Program Service Zone Lummus Park Programming to take place between 13th and 14th Street 7 L1 • •,„,p t n . �Ny4 `, r.tatI' y' r'w : .• L,,(7 t-:.c .,:i`j c-41'�,,, ,•Sj WSJ': i p3:, ,- 4.;+, • n �e "x%� a ?, < i .y • ' r le '' fir. 4 f `! 1I' 1 AA"; ,1., r t i .#' t / eS a ,r;•fir; . Z• /.-, `4.0y.' r IVe t , <1..- ,C r' rFtfr. P. �p* ,, ,i A..� r. Fyy 3C i ✓ �-.c'*:•:'C . Q 0':4. "q,' �.4 r i ` tl." iZi.-^ 4 ; sl •:..4-„ , ,-., ••,—, v4.- .,, ,„.....„„. ......„,.. — •,. ,1/4- •-„, _,,,. .,,,•••,....„,,,,. LK- :,,,,-, , -, ...„.• • : A,,,C.. . -::i..... + v4rF� hI 3, 11,+p ^ L(a".rT�R ..,4"4.,4,,,, Cv' f a.,.. r, -Y ` vYA ,4 '--;,,ir/ " fig,\ t7, 1.,.. •4 Rue Vendome Plaza Programming Location ._ ...,,,•,--,...,,,•,--,_S• it: ;,..„1",9.417' .-^ it- ltiP �. i7 n q 0t s SY 1lJ , t i, \ ► 7 v.� t �' ":"". 934 NOfmandyt,Dr �r i.-To, . t '�° -"*.-11 .-11S Nor on'ay use"onument,.. `'' ' 1 v /\ ¢" �? , + � 3.:3 :.yto jdJ i5.. a lb e. ,11111 r -ter P \ 4 �_36- Exhibit B • Site Plan for Program Areas Rue Vendome Plaza • • 7.7 A f, ' ta • WIta: . i'73.31!_• -Z4* \ - _ern "'kfi • .7454 - j" I 0 r rff3P`3si - .-74144 \Ir • . • ' • .1 • • ront-total., • 1.) • . 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(• � �r-;- �':4 t r,,-,r', u' ".'".^ - s� � •- " �` ,, ..si: = ...1. ‘.,. °' � .' !I - ` .. . fit° `=11, :a il 21 Ati,,4:14,;!4'4'C.-1:1A '0,,,,,,.C,41 .,'tx."..,,,,f.:,' ,,Pt,1;;.., _r. ,. 7_, ,... ... . ._._ ...., :.•,... .>,....„..-..,,,.,.. , 1,._,.....,-) ..,,c---,-a,,i,g- - -.-..,--it:,---'.-s.:1,,,,--7-.- . -, ',7'"'' 4--, ......„. ,_ , ...,,....,_.... ., . ....„ .. • : ... ,.... , .., ..-,,,.. , , Q.44;,. .,--,e ,.p,, ..,......,A,,,,. I ' .,---.7.. ,',c-..,,,...,,,..-.1., mzw. -. .. , • j? t r • , t x •, . _ .__ •k�r F. .� • },4 }..Flip 't �:, , `'�. r •L7, r''&•',...''', ,.roc_ ,..!......,--•,.,_=......,-1,6;.",54411L „,„=....._.,-_,,,:.--4---•ah ^'�- • 39 Exhibit D Cultural Programming Proposal LUMMUS PARK (13th-14th Street) ($45,000) Lummus—as an overall initiative sustainability, we will be encouraging vendors not to use plastic and incorporate recycling around the venue. Additionally, we would encourage attendees to use alternative forms of transportation by having a bike valet and letting them know that if they show their uber, lift, or public transportation receipt or bike valet tag, they will get a drink ticket to be redeemed for a free drink. Fall 2019- Puppy Brunch-A magical Sunday outdoors and under the park shade for four-legged and two-legged friends. Featuring a dozen of Miami and Miami Beach's favorite Brunch eateries and classic dishes, a live music lineup of talented local acts, kid's activities, and a collection of pup-friendly activations from accessories and photo booths, to adoptions and more. Plus, hand-crafted sips and other great treats. Fall 2019- Sunset Bonfire -With local pop ups fueling crowds, the community version of the favorite beachside bonfire. 6 multiple fires simultaneously burning with an open-forum vibe, where locals can sign up to jam with some of the best musicians in town under the moonlight. Fall 2019- Motown & Blues - Partnered with local music collectives - not your average live music festival, where genres not usually implemented on the beach have a chance to shine featuring funky,jazzy, and soulful acts paired with intimate vibes, Parkside moments, and local musical favorites. RUE VENDOME PLAZA- ($40,000) Propose to take place on Thursdays (i.e., "Third Thursdays" or"Fourth Thursday" of each month. Prism is confirming dates with musicians. Soul&Folk at the Fountain "Motown Brunch"-April 28, 2019 - A close-knit musical experience emanating the colorful culture of faraway European plazas with live trios and acoustic tunes as well as activating the grassy knoll with vendors and a picnic type atmosphere. Milonga at the Founatian- May 23, 2019 - Let's fill the Rue with beloved Miami go-to spots featuring classic dishes, family-friendly activities, live music, and an evening filled with community. Sweet& Sweat-Rhythm and Flow with Nobe Yoga-June 8, 2019 - A delicious sunset yoga flow on The Rue paired with local DJs or musicians for a next-level wellness and musical experience as well as a selection of flavorful dessert vendors. Timeless Soul- September 5, 2019 • - A night of live performances, acoustic music, plus a brilliant al fresco selection of local treats and eats. 40 Exhibit E Payment Schedule Compensation and Schedule of Payments Lummus Park (Total Compensation $45,000) City shall pay Prism the total sum of Forty-Five Thousand Dollars and No Cents ($45,0000) for Program services at Lummus Park, contemplated in the Agreement as follows: Payment#1-Twenty-Two Thousand Five Hundred Dollars and No Cents ($22,500)to be paid upon the signing of the Agreement. Payment#2- -Twenty-Two Thousand Five Hundred Dollars and No Cents ($22,500)To be paid upon completion of programming activities in Lummus Park, as outlined in the Agreement. Rue Vendome Plaza (Total Compensation $40,000) City shall pay Prism the total sum of Forty Thousand Dollars and No Cents ($40,0000) for the Program services at Rue Vendome Plaza, contemplated in the Agreement as follows: Payment#1 —Twenty Thousand Dollars and No Cents ($20,000)to be paid upon the signing of the Agreement. Payment#2- -Twenty Thousand Dollars and No Cents ($20,000) To be paid upon completion programming activities in Rue Vendome Plaza, as outlined in the Agreement. Prism will be paid in accordance with the foregoing specified installments, upon submission of satisfactory invoices and documentation substantiating satisfactory completion of the portion of the Work for which payment is requested, upon City's acceptance of said portion of Work. Additionally, the invoice shall include a written progress report, with a narrative discussion of all activities in progress during the report period and projected programmatic activities, including photo and video documentation where appropriate. 41 Exhibit F Cultural Activations Schedule LUMMUS PARK (13th-14th Street)—Three Activations in Fall 2019 Lummus—as an overall initiative sustainability, we will be encouraging vendors not to use plastic and incorporate recycling around the venue. Additionally, we would encourage attendees to use alternative forms of transportation by having a bike valet and letting them know that if they show their uber, lift, or public transportation receipt or bike valet tag, they will get a drink ticket to be redeemed for a free drink. Fall 2019- Puppy Brunch Fall 2019- Sunset Bonfire Fall 2019- Motown & Blues RUE VENDOME PLAZA Propose to take place on Thursdays (i.e., "Third Thursdays" or"Fourth Thursday" of each month. Activations to begin on April 25, 2019 Soul & Folk at the Fountain - A close-knit musical experience emanating the colorful culture of faraway European plazas with live trios and acoustic tunes as well as activating the grassy knoll with vendors and a picnic type atmosphere. Brunch Sunny Side Up - Let's fill the Rue with beloved Miami go-to brunch spots featuring classic dishes, family-friendly activities, live music, and a Sunday filled with community. Sweet & Sweat - A delicious sunset yoga flow on The Rue paired with local DJs or musicians for a next-level wellness and musical experience as well as a selection of flavorful dessert vendors. Tango &Asado - Taking it to Buenos Aires for a night of live Tango performances, acoustic music, and dance classes for the community plus a brilliant al fresco asado featuring local Argentinian treats and eats. 42 Exhibit G- Coca Cola Agreement 43 ao►�- aq��q 6-3."-KZtl/LL' Execution Version / 0an9 COCA-COLA PLAZA ATLANTA,GEORGIA Manch 16,2017 City of Miami Beach Attention:Ms.Gisela Torres 1700 Convention Center Drive,Fourth Floor Miami Beach,Florida 33139 Re: Sale of the Assets of Coca-Cola Refreshments USA, Inc. to Coca-Cola Beverages Florida,LLC Dear Ms.Torres: Reference is hereby made to that certain agreement(the"Agreement"),dated March 14, 2012, by and among the City of Miami Beach,Florida(the"City"),Coca-Cola Refreshments LISA,Inc d/b/a Florida Coca-Cola Bottling Company("CCR")and The Coca-Cola Company, acting by and through Coca-Cola North America,attached hereto as Exhibit A. As you know from our prior communications,CCR has transferred certain of its assets to Coca-Cola Beverages Florida,LLC('CC1E"). In connection with such transfer,CCR formally requests the City's consent to: (i) assign all of CCR's right, title and interest in and to the Agreement to CCBF,including those rights noted in the Agreement as non-assignable by CCR, as of February 25,2017(the"Assignment Effective Date')and(ii)CCBF's assumption of all of CCR's obligations and liabilities under the Agreement from and after the Assignment Effective Date (collectively, the "Assignment"). CCBF hereby accepts the Assignment and further assumes and agrees to perform all of the duties and obligations of the Bottler under the Agreement,subject to the Agreement's terms,from and after the Assignment Effective Date. By consenting to the Assignment,the City acknowledges and agrees that the Agreement shall remain in MI force and effect after completion of the Assignment and that there is no default or breach by any party under the Agreement in connection with,or as a result of,the Assignment, and the City agrees to release CCR from all liabilities and obligations under the Agreement arising after the completion of the Assignment. From and after the Assignment Effective Date, all references to the Bottler or"CCR" under the Agreement shall be construed to refer to CCBF. The address for notices to Sponsor, as set forth in Section 10 of Attachment A to the Agreement shall be as follows: Coca-Cola Beverages Florida,LLC 10117 Princess Palm Avenue,Suite 400 Tampa,Florida 33610 Attention:Thomas Raiford,Executive Vice President tbenford@cocacolaflorida.com Classified-Confidmfal �n With a copy to: Deborah Pond,Vice President and General Counsel dpond@cocacolaflorida.com at the address above We would greatly appreciate that you indicate your consent by countersigning in the spacc below. (Signature pagefollows] Cteaatfled-Confidcnoni Execution Version Sincerely, THE COCA-COLA COMPANY,ACTING BY AND THROUGH COCA-COLA NORTH AMERICA By: $' "' Nam J.A.M.Douglas,Jr. Tide: President,Coca-Cola North America Date: March 16,2017 COCA-COLA REFRESHMENTS USA,INC.D/B/A FLORIDA COCA-COLALN BOTTLG COMPANY By. 4.T -.�.__., N8710 J.A.M.Douglas,Jr. Title: • President,Coca-Cola North America Date: March 16,2017 COCA,COLA BEVERAGES FLORIDA,LLC By: Name: Dlt:t Title: i,if.E Date: 3 ,1.1 ' . ACCEPTED, CKNOW 'DGED AND AGREED CITY OF h MI BEAC•FLORIDA �- - Name: Title: Date: 31 2$I t—] APPROVED AS TO FORM&LANGUAGE ATTEST: &FOR EXECUTION 3 3 ` ` Raf el E.Granado,City lerk r L + city Attorney ar,,, Date L_: . r Signature pagelo.Cay ofMi Miami Beach Consent Letter • 7/13//i 0?06—.27 7o y March 14,2012 • • • Mayor Matti Herrera Bower • . Mayor of City of Miami Beach • 1700 Convention Center Drive Miami Beach,FL 33138 Dear Mayor: This letter confirms the agreement made by and among the City of Miami Beach. Florida ("City"), Coca-Cola Refreshments LISA, Inc.d/b/a Florida Coca-Cola'Bottling Company("Bottler")and Coca-Cola North America. a division of The Coca-Cola Company ("Company", and collectively with Bottler, "Sponsor"), which sets forth certain exclusive rights granted to Bottler by City,as set forth in the Term Sheet and Exhibits attached thereto,all of which arc attached hereto as Attachment A. 1, Term Sheet'and Definitive Agreement The Term Sheet and Exhibits attached thereto are hereby incorporated herein in their entirety. This letter and the Term Sheet, together with any other attachments referenced in either, will constitute a iegally binding agreement (the"A reentent')when this letter is signed by all parties in the spaces provided below. All capitalized terms not defined in this letter shall have the tneanines assigned to them in the Term Sheet. This letter shall prevail in the event of any conflict between the provisions of this letter and the Term Sheet. �. A dl,erttiAne Ri<ah:s (a) City agrees that Bottler'. advertising shall be positioned at all times in such a manner that the advertising message is in no way obscured(electronically or otherwise)and is clearly visible to the general public. The Products shall be prominently listed on any menu boards located at the facilities and all Equipment (as such term is defined herein)dispensing Products shall be prominently identified with the appropriate trademarksilogos. • (b) City further agrees that all'Products will be dispensed in Sponsor's Equipment and that no other trademarked,equipment,coolers or containers will be permitted. 3. Product Rights (a) City shall purchase or shall cause its Concessionaires to purchase,all Products, (and cups, lids and carbon dioxide, if•applicable)directly from Bottler. (b) City hereby grants to Bottler the exclusive Beverage rights at the Facilities, except as may be otherwise provided for in this Agreement and Exhibits, (c) If City contracts a concessionaire. City will cause concessionaire to purchase front Bottler all requirements for Beverages (and cups, lids and carbon dioxide, if applicable). Such purchases will be made at prices and on terms set forth in Bottler's'existing agreement with concessionaire, if any. if'no agreement exists between concessionaire and Bottler, such purchases will be made at prices and on terms set forth in this Aereetnent. City acknowledges that there will be no duplication of allowances, funding or benefits (including pricing)to City or concessionaire if concessionaire has an existing agreement with Bottler. • • • • 4. Equipment and Service (a) • Bottler Equipment and Service: During the Term,Bottler will loan to City,pursuant tO the terms of Bottler's equipment placement agreements,at no cost,that Beverage vendirig equipment reasonably required and as mutually agreed upon to dispense Products at the Facilities("Bottler Equipment"). In addition, Bottler will provide at no charge regular mechanical repair reasonably needed for Bottler Equipment,as further outlined in Exhibit 7 to the Term Sheet. Prior to Bottler's installation of Bottler's Equipment at a particular Facility,the City shall provide Bottler with written confirmation that it has conducted an inspection of the electrical service at such Facility and that, based on such inspection, the City finds that the electrical service at the Facility is proper and adequate for •installation of Bottler's Equipment.Notwithstanding the preceding, if at any time following Bottler's installation of Bottler's Equipment at a Facility,Bottler's Equipment is damaged as the direct result of defective electrical service at the Facility, then the City_will reimburse Bottler for the cost of repair or replacement, as the case may be. of • Bottler's Equipment, pursuant to the filing of a claim with the City's self-insurance fund. Notwithstanding the preceding. the City shall not be responsible nor liable to Bottler under this subsection for any damages to Bottler's Equipment which is not caused as a direct result of defective electrical service at a Facility (including, without limitation, any damage to Bottler's Equipment which is caused due to the negligence or misconduct of Bottler's employees,contractors,and/or agents,or from any other cause or act other than faulty electrical service). (b) Fountain Equipment and Service: During the Term, Company will loan to City, pursuant to the terms of Company's equipment placement agreement, at no cost. that Fountain Beverage dispensing equipment • reasonably required and as mutually agreed upon to dispense a quality fountain. Beverages at the Facilities ("Fountain Equipmcnf")(collectively, Bottler Equipment and Fountain Equipment are called "Equipment"). No ice makers or water filters Will be provided. All Fountain Equipment provided by Company will at all times •remain the property of Company and is subject Company's equipment agreement, but no lease payment will he charged. To the extent that Fountain Equipment loaned from Company under this Agreement is located at Facilities that are owned, controlled or managed by a concessionaire of City or other persons not party to this Agreement, City will include provisions in its agreements withconcessionaires that such cone. }.a. recognize that the Fountain Equipment is owned by Company and that obligates the concessionaires to honor the terms and conditions such equipme.m agreement. • • Company (or Bottler) will provide at no charge regular mechanical repair reasonably needed for Fountain • Equipment. An removal, remodel, relocation or reinstallation of dispensing equipment, flavor changes, sunlmerize/winterize, line changes, or service necessitated by damage or adjustments to the equipment resulting from misuse,abuse, failure to follow operating instructions,service by unauthorized personnel, unnecessary calls "(equipment was not plunged in, CO. or fountain syrup container was empty), or calls that are not the result of • mechanical failure (collectively "Special Service Calls"), are not considered regular service and will not be provided tree of charge. Charges for Special Service Calls will be charged at Company's (or Bottler's) then • current rate and will be invoiced on a semi-annual basis. Charges will include labor, travel time, part,, and • • administrative costs. 5. Competitive Products Prohibited. • • (a) City agrees that it will not knowingly permit any Competitive Products to be sold, distributed, served, sampled, marketed, advertised, or promoted in any manner at the Facilities,or in association with City,the Facilities or the City trademarks,during the Term, except as outlined in this Agreement. (b) City agrees that City will not grant any rights, or enter into any contractual'or other relationship, •whereby City, the Facilities, and/or the City trademarks will he, or have the potential to he, associated in any manner,with any Competitive Products,except as outlined in this Agreement and the Term Sheet. 2 • (c) If City learns of any Competitive Products being marketed,advertised, or promoted in any manner which implies an association with City. Facilities or City trademarks (hereinaf=ter referred to as "AmbushMarketing"), City will promptly notify Bottler in Writing Of the Ambush Marketing; and also will promptly use its efforts,and cooperate in good faith with Bottler,to prevent or stop such Ambush Marketing in order to protect the exclusive associational rights granted to Bottler under this Agreement. (d) Stiecial Promotional Events Exception. See Exhibit S. • •• (e) The City will provide Bottler with no'less than thirty(30)calendar days prior written notice of each event which it intends to designate as a Special,Pronotionat Event. (I) The private, personal consumption of Competitive Products by athletes,coaching staff, musicians, actors, comedians, or other entertainment personalities appearing and performing at the Facility is allowed and will not be considered a Special Promotional Event. City shall use efforts to ensure such consumption is limited to private areas and may not be permitted in any area of the Facility to which the public or any member of the print or electronic media has legal access. • (g) Product availa'aility at Facilities for private events. A private event at a Facilihr shall mean the use • of a Facility, either through the rental of the Facility or through the issuance of a City-approved Special Event Permit, by a person(s) or business entity(ies) (i.e. such as a corporation) which is not open or accessible to the • general public either free or via a purchased ticket. For example purposes only,private events may include, but not be limited, to the following: weddings, bar mitzvah/pat mitzvah and corporate events. Product availability and exclusivity at private events'Shall he handled as follows: Only Products_will be sold. distributed, sampled or' otherwise served at Facilities at any time. Notwithstanding.the fore•_oing, Competitive Products may be distributed ributed at no cost by the user of the Facility to private events,provided that Products will continue to be the only Products sold,distributed,sampled,or otherwise served by Facilities concession operations. (h) Product availability at Facilities as it relates to charitable events (including, events produced by not-for-profit entities with valid tax exemption from the IRS)at Facilities or at City-Permitted Special Events Relay fbr Life, Aids Walk, American Cancer Society), shall he handled as follows: Only Products will be sold, distributed. sampled or otherwise ser-ed.at Facilities at any time. Notwithstanding the foregoing. Competitive . Products may he distributed at no cost by the charitable organization rising the Facility provided that Products will continue to be the only Products sold, distributed, sampled, or otherwise served by Facilities concession operations and that Bottler had opportunity to supply Products for the charitable event and declined. 6. Consideration. (a) Pricing. Pricing(including price increases)will he implemented as outlined 1 �plementedin the Term Sheet. (b) Credit Card Readers and Funding. Bottler and City will mutually aerce to install credit card readers in select Beverage dispensers, which are identified as high traffic locations. Bottler will pay for the credit card readers in an aggregate amount of not to exceed Ten 'Thousand Dollars (SI0,000). This funding will be •earned over the Terra of the Agreement. City shall have no responsibility to fund,any overage for payment of the credit card readers should they exceed Ten Thousand Dollars (510,000). Bottler shall he responsible for all maintenance and repair of the credit card readers. Upon termination or expiration of the Agreement, City shall return all credit card readers to Bottler. 7. Iratlemarks;_Apoovals. • (a) • City acknowledges that The Coca-Cola Company is the owner of all right and tide in the trademar ;"Coca- Cola° "Diet Coke". "Sprite",•Da SANI","!Minute!Maid","PO VERADE". "Fan'ta""vitaminwater''"Full Throttle-'. "NOS"and other trademarks of The Coca-Cola Company,and it acquires no rights whatsoever in these hude!narks 3 • • • • • • by virtue of this Agreement. City agrees to submit all proposed uses of The Coca-Cola Company marks to Sponsor for approval prior to use,but such approval shall not be unreasonably withheld, (b) Bottler acknowledges that City is the owner of all right and title in the service mark"MiamiBeach"and that Bottler acquires no rights whatsoever in the service mark by virtue of this Agreement. Bottler shall have the right to . use the City's service mark during the Term in connection with its marketing activities at the Facilities. Bottler agrees to submit all proposed uses of City's service marks to City for approval prior to use, but such approval shall nor be unreasonably withheld. • S. Termination (a) Notwithstanding the other provisions of this Agreement, if any'federal,-state or local law, rule, regulation or order prohibits, restricts or in any manner interferes with the sale or advertising of Beverages at any 'time during the Term of this Agreement, and the City fails to cure such.breach within thirty (30) days following written notice of same from Bottler then, at its option, Bottler may terminate this Agreethent and City shall (1) • return any Equipment,and(ii) pay to Bottler the unearned portion of pre-paid Sponsorship Fees for the Agreement Year in which the termination occurs(pro-rated through the date of termination),if any,as well as any other upfront funding deemed earned over the Term,if any,prorated through the date of termination. (h) City represents and warrants that it has full right and authority to enter into this Agreement and to grant and convey to Bottler the rights set forth herein. In the event prexpiration or revocation of such authority,and if the City fails,to cure such breach within thirty(30)days following revocation of lull right and authority,then at its option, Bottler may terminate this Agreement, and City shall (i) return any Equipment; and(ii) pay to Bottler the unearned portion of pre-paid Sponsorship Fees for the Agreement Year in ‘',hich the termination occurs(pro-rated through the date of termination), if any,as well as any other upfront funding deemed earned over the Term, if any, pro-rated through the dare of termination;.. fc) If Bottler breaches any of its material obligations under this Agreement, and fails to cure such breach within thirty (30) clays following written notice of same from the City. then City may terminate this Agreement and Bottler shall remove all Equipment from the Facilities,and the City shall be entitled to retain the earned portion of any pre-paid Sponsorship Fees for the Agreement Year in which the termination occurs(pro-rated through the date of term ination),i f any;other upfront funding deemed earned over the Term,if any,prorated through the date of termination;and any fees or payments due for the Agreement year in which the ten?lination occurs,such as commission fees, if any. (d) Notwithstanding the above,nothing in this section shall operate to restrict any other remedies that either party may have against the other in the event of a material breach by a defaulting party. 9. Insurance • The Bottler acknowledges that the City is self-insured,as provided in'Attachment B to this Agreement. Bottler shall, at its sole cost and expense, obtain, provide and maintain, during the Term,the following types and amounts of insurance, which shall be maintained with insurers licensed to sell insurance in the State of Florida and have a B+VI or higher rating in the latest edition of AM Best's Insurance Guide: I) Commercial General Liability. A policy including, but nor limited to, commercial general liability. including bodily iniury, personal injury, property damage, in the amount of SI.000,000 per occurrence. Coverage shall be provided on an occurrence basis.. • 4 • • • • • 2) Workers 'Compensation per the. statutory limits of the State of Florida and Employer's Liability Insurance. • 3) Automobile Liability-51,000,000 combined single limit for all owned/non-ownedrhired automobiles. Said policies of insurance shall be primary for Sponsor/Bottler's negligence only to and contributing with any other insurance maintained by Bottler or City. and all shall name City of Miami Beach, Florida as any additional insured on the commercial general liability and automobile liability policies. Sponsor shall provide thirty (30) days written no:ice to City prior to policy cancellation. • Bottler shall file and maintain certificates of the above insurance policies with the City's Risk Management Department showing said policies to be in full force and effect at all times during the Term.• 10. Notices Any notice or other communication under this Agreement must be in writing and must be sent by re�t2istered mail or by an overnight courier service (such as Federal Express)that provides a confirming receipt. A copy of the notice must be sent by fax when the notice is sent by mail or courier. Notice is considered duly given when it is properly addressed and deposited (postale prepaid) in the mail or delivered to the courier. Unless otherwise designated by the parties, notice must be sent to the following addresses: (A) Notice to Sponsor. Coca-Cola Refreshments USA. Inc.dib-a Florida Coca-Cola Bottling Company 3350 Pembroke Road Hollywood. Florida 33021 Attention: V.P. Market Unit,South Florida Fax: 954-986-3 173 Ticket Addressee: V.P. Market Unit. South Florida Fax: 95-1-986-3173 With a copy to: Coca-Cola Refreshments USA, Inc. 2500 Windy Ridge Pkwy Atlanta,Georgia 30339 Attention: General Counsel • (13) Notice to City. City of Miami Beach 1700 Convention Center Drive • Miami Beach; Florida.33135 Attention: 1-lilda Fernando Fax: 305-673-?752 - 1 t- Governing Law Ibis Agreement and any dispute arising out of or relating to this Agreement shall be governed by and construed in accordance with the laws of tare State of Florida,without reference to its conflict of law rules. 12. Compliance with Law 5 • • Each of the parties hereto agrees that it will, in its performance of its obligations hereunder,,fully comply with all applicable laws; regulations and ordinances of all relevant authorities and shall obtain all licenses, registrations or other approvals required in order to fully perform its obligations hereunder. 13. Retention of'Rights No party shall obtain, by this Agreement,any right,title or interest in the trademarks of the other,nor shall this Agreement give any party the right to Ace, refer to, or incorporate in marketing or other materials the name, logos, trademarks, service marks or copyrights of the other, except as may be expressly provided and authorized • herein.. 14. Jung Waiver EACH PARTY, TO THE EXTENT PERMITTED BY LAW, KNOWIiNGLY, VOLUNTARILY ASU INTENTIONALLY WAIVES ITS.RIGHT TO A TRIAL BY JURY IN ANY ACTION OR OTHER LEGAL PROCEEDING ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT AND THE TRANSACTIONS IT CONTEMPLATES. THIS WAIVER APPLIES TO ANY ACTION OR LEGAL PROCEEDING,WHETHER ARISING IN CONTRACT,TORT OR OTHERWISE. 15. Entire Agreement • • This Agreement and its exhibits contains the entire as eement between the parties with respect to the subject matter hereof. This Agreement may not be assigned without the prior written consent of all parties; provided. however, that Bottler may assign this Agreement in connection with its reOrganization or the sale of all or substantially all of its assets. All amendments to or waivers of this Agreement must he in writing signed by 811 the parties. The Coca-Cola Company,acting by and through Cit) of Miami Beach its Coca-Cola North America Division �iy , �* 3 y: adral(-11i_ Otic/04i Print vas te: ! / aLZ., ; a)vv.,r • Print Name: t-5.i�SCty 11 (9diir�"( }(} • Title: Mayor Title: S _VP,5 it.P s`i- C�ton 1163 - --------- Coca-Cola Refreshments USA, Inc.d!b/a Florida Coca-Cohn Bottling Company / , I By: rcy1)-0,u7 + r Print Name: I ()pay rft4 . • Tide: 1-f,6 0,641aI`t, p. 51224/2, APPROVED AS TO �`, r_� FORM&LANGUAGE 41�j\l Ek &FOR ..ECUTION cl ti.,;,3�r!l?�%.TES. r: ..4 torn J • p t-£-tet. 1 1 k �� t,N1, Date_ �� . Attachment A • TERM SHEET EXCLUSIVE NON-ALCOHOLIC BEVERAGE AGREEMENT CITY OF MIAMI BEACH AND COCA-COLA REFRESHMENTS USA, INC. and COCA-COLA NORTH AMERICA, A DIVISION OF THE COCA-COLA COMPANY • 1. DEFINITIONS: • Bottler: Coca-Cola Refreshments USA, Inc. d/b/a Florida Coca-Cola Bottling Company Company: Coca-Cola North America, a division of The Coca-Cola Company • Sponsor: Collectively. ''Bottler" and "Company" • City: City of Miami Beach Aareement: Exclusive Non-Alcoholic Beverage Agreement Facilities: Includes the following Miami Beach property, including any land, building. structures and/or other facilities • i thereon: Miami Beach Golf Club; the Normandy Shores Golf Club; The Fillmore Miami Beach at the Jackie Gleason Theater (upon the expiration of the current management i I agreement); the Miami Beach Convention Center; all currently • existing City of Miami Beach owned parks and recreational facilities; all currently existing City of Miami Beach owned public parking garages which are either directly operated by • the City, through its Parking System, or by a third party who, • pursuant to a management or concession agreement with the City, is contractually authorized to operate and manage such garage on behalf of the City; all currently existing public beachfront concessions which are either directly operated by • the City or by a third party who, pursuant to a concession or • management agreement with the City, is contractually authorized to operate and manage such concession on behalf j.of the City; and any additional future Facilities or expansion of existing or future Facilities, including but not limited to, the concession facilities at 21St and 46th street and at South Pointe Park and the Miami. Beach Convention Center facility • expansion, except as may be othenv:ise be excluded in the Agreement. Beverage_ all non-alcoholic beverages of any kind including but not limited to coffee products; tea products; concentrated energy drinks, including those in small serainas; protein- I enhanced dairy beverages; frozen drinks (e.g. ICEE) and smoothies made from concentrate; and the pre-mix and/or post-mix syrups used to prepare fountain Beverages. "Beverage" or "Beverages" shall not include dairy products except as noted above (e.g. milk, yogurt, ice cream), water drawn from the public water supply, or unbranded juice • squeezed fresh at the Facilities. • Products: Beverage products purchased directly from Bottler, • or, with written Bother approval from, or Bottler's authorized distributor, or sold through vending machines owned and stocked exclusively by Bottler. Com•etitive Products: Bevera•es which are not Products. 2. AGREEMENT TERM: The Term shall begin January 1, 2012 and will continue until December 31, 2021 (the "Term"). When used in this Term Sheet, the term "Agreement Year" means each consecutive twelve-month period during the Term, beginning with the first day of the Term. " 3. EFFECTIVE DATE: January 1, 2012 , 4. EXPIRATION DATE: I _ ! December 31, 2021 ` all Facilities aS �0 .1! -_. •I.l.lca 5. SPONSORSHIP FEE: i ! 53,725,000 for the Terrn of the Agreement. •• ( • First installment of 5800,000 (includes sponsorship fee for Agreement Year One and signing bonus) will be paid within sixty (60) days of execution of the Agreement by all parties. The portion pertaining to the signing bonus ($475,000) will be deemed earned over the Term and the portion pertaining to the sponsorship fee for the Agreement Year • One ($325,000) shall be deemed earned evenly on a monthly basis during the first Agreement Year. • $325,000 due each Agreement Year thereafter during the Term of the Agreement, due upon the anniversary date of the Agreement and will be deemed earned over the Agreement Year. (Subject to purchase of a minimum of 22,500 cases of bottles/cans per year.) 6. COMMISSIONS: • Commissions to be paid quarterly in arrears by Bottler to City based upon cash collected less taxes and as per the Commission Rate Structure according to Bottler's sales records. (Exhibit 1) 7. COMMUNITY: SUPPORT! Bottler will provide City with a total of 517,500 in cash for the 2 • • • COMPLIMENTARY purchase of equipment or other products (mutually agreed PRODUCT: upon) • Bottler shall provide City, upon City's request, with up to 450 • standard physical cases of complimentary Product (12 ounce CSD cans and/or DASANI 12 ounce bottles) per Agreement year for a Product bank to be used by the City. If City does not request complimentary Product by the end of each year, any remaining complimentary Product shall be retained by Bottler with no further obligation to Account. Bottler will provide complimentary Product donation report upon Account's request. 8. ADVERTISING & SPONSORSHIP: Bottler has the exclusive right to advertise Products (i) at the Facilities and (ii) in connection with the Facilities, No permanent or temporary advertising, signage or trademark visibility for Competitive Products are permitted anywhere at the.i Facilities, except as permitted pursuant to the Agreement. Advertising rights are further delineated in Exhibit 2. Bottler has the exclusive right to advertise the Products as the "Official" or "Exclusive" soft drink, sports drink, dairy-based protein drink, water, tea, energy drink, and/or juice or juice drink, etc. of the • Facilities, of the City of Miami Beach and of South teach. Bottler will be the exclusive advertiser of Products associated with the Facilities. • 9. PRODUCT.RIGHTS: Bottler has the.Exclusive right to sell or distribute Products at the Facilities. No Competitive Products may be sold, dispensed, sampled or served anywhere at the Facilities, or on the City's ; public rights-of-ways, except as may otherwise be provided for 1. in this Agreement. 10.EXCEPTIONS: Except for those Facilities specifically enumerated in Section 1., 'Facilities" shall NOT include any City of Miami Beach • property (including any City-owned land, buildings, structures, and/or other facilities thereon) which—as of the Effective Date—is used, occupied, controlled, and/or managed and• operated by a third party (or parties) pursuant to any of the • following agreements between the .City and such third party(ies): (i) lease agreement; (ii) concession agreement; (iii) operation and management agreement; (iv) development agreement; (v) easement agreement; (vi) license and/or use agreement; (vii) revocable permit; and/or(viii) any other written instrument between the City and such-third party(ies) which establishes a contractual right on behalf of such third party(ies) for the use and/or occupancy of City property. This shall include, but not be limited to, any City property occupied by a tenant through a lease or rental agreement (including, without limitation, leases or rental agreements for office, 1 retail, and/or commercial uses(s) in City-owned`buildings); any City property managed and operated, and/of otherwise used, by a third party(ies) pursuant to a management agreement or concession agreement; private upland owner • beachfront concessions which are issued a permit by the City • (and which are neither operated directly by the City, nor by a third party on behalf of and pursuant to a contract with the City); sidewalk cafes which are issued a permit to operated pursuant to the City's Sidewalk Cafe Ordinance, as may be • amended from time to time; "public-private" projects developed and constructed pursuant to a Development Agreement (pursuant to the requirements of the Florida Local Government Development Agreement Act under Chapter 163, Florida Statutes); any hotel or retail development related to the expansion of the Miami Beach Convention Center that is not managed as part of the Convention Center.operations (e.g. adjacent commercial retail, hotel, etc.); public bus shelter advertising managed by a third party under contract with the • City; and advertising permitted pursuant to the City's current agreement for the public bike-share concession. _Notwithstanding the preceding, the City will: i) make reasonable good faith efforts to meet with the bike-share • concessionaire and negotiate an amendment to the existing j bike-share concession agreement, which must also be subject to agreement by the bike-share concessionaire, to prohibit the i bike-share concessionaire. from advertising Competitive Products; ii) if City renews the bike-share concession agreement with the bike-share concessionaire, then, as a condition to such renewal, the City Manager will recommend • that such renewal be conditioned that such renewal include a term prohibiting the bike-share cOncessionaire from advertising Competitive Products; and iii) no advertising of • Competitive Products shall be permitted on bike-share station kiosks during the Term should the City, after the Effective Date, approve advertising for placement on bike-share kiosks. i I Should the City enter into any new bike-share agreements during the Term, no advertising of Competitive Products shall be permitted on the bicycles used for that bike-share agreement(s). Further, for the following locations which are under a pre- existing concession and/or use agreement (i.e. in effect prior to the Effective Date of the Agreement) with a Competitive Products supplier, those Facilities will come under this Agreement after such Competitive Products agreement is terminated or expires, or until such time as the concession or use agreement with the City for those Facilities is terminated, I expires or is subject to any renewal provisions. The current 4 list of such facilities, and their expiration dates, are as follo 1- s: 1) 21St Street/46th Street Beachfront Concession/Tim • Wilcox, Inc.—1113012012 2) South Pointe Park Concession/Blissberry—11/30/2012 3) Normandy Isle Pool Concession Stand/E. Gomez— 11/09/2011 City agrees that it will not knowingly permit any Competitive Products to be sold, distributed, served, sampled, marketed, I advertised or promoted at the Facilities, or in association with • City, except, and as further explained, in Exhibit 8: ! ; • Third party exhibitor set ups at Facilities or during City- . Permitted Special Events in accordance with the City's Special Event Permit Guidelines, as same may be amended from time to time. • . • Charitable events at Facilities or at City-Permitted Special Events where Competitive Product are donated to the charitable event; • Availability at City-Permitted Special Events only 'within Special Event Permit Area (as such term is defined in the City's Special Event Pemiit Guidelines, as same may be amended from time to time). O Up to four (4) sponsorship events at the Miami Beach Golf Club, and up to four (4) sponsorship events at the Normandy Shores Golf Club each Agreement year; 9 up to three (3) sponsorship events at the Miami Beach Convention Center each Agreement Year (the number • limitation for the sponsorship events at the Miami Beach Convention Center is subject to a review after three (3) Agreement Years); • a mutually agreed upon number of sponsorship events at the Fillmore Miami Beach at the Jackie Gleason Theater • i (upon expiration of the existing management agreement): • and o up to four (4) City-issued Special Event Permits for a "City Approved Major Sponsorship Public Event", each Agreement Year, which includes an event sponsored by a manufacturer, distributor, or marketer of Competitive Products under a master sponsorship agreement with the owner or operator of the sponsorship event; an event conducted on a national or regional multi-market basis; . and/or an event where a competitor is the presenting, title or other primary sponsor of the event. The number limitation for City-Issued Special Events is subject to a review after three (3) Agreement Years. _ J • • • • • Whenever possible, City will make reasonable good faith efforts to encourage third party users of the Golf Courses and • Convention Center, and Special Event organizers, to use Bottler's Products for their non-alcoholic beverage needs. Since third party organizers who apply for Special Event • Permits will be permitted to sell only Bottler's Products, City will amend City's Special Events Permit Application and City will provide Sponsor contact information through the City's Special Events Permit Application process. 11.MARKETING PROGAM: Bottler agrees' to provide Account with annual in-kind marketing support fund with an approximate retail value of Two Hundred Thousand Five Hundred Dollars (S200,500) as further delineated in Exhibit 3. 12.RECYCLING PARTNER: Bottler shall be designated the official "Recycling Partner" of Account. In consideration of this designation, Bottler shall provide, at their cost, the services/products delineated in Exhibit 4, with a minimum total value of 515,000, and up to $25,000 over the entire Term 13.VENDING • PROGRAM/OTHER City agrees that Bottler shall place a minimum of sixty-five (65) EQUIPMENT Product vending machines in mutually agreed upon locations at the Facilities, and Bottler will loan to City at no cost, , i Beverage dispensing equipment as reasonably required and as mutually agreed upon to dispense Products at the Facilities, and in accordance with Exhibit 5. 14.CITY SUPPORT: ---........... ..- In consideration of the partnership, City grants to Bottler: f ! Twenty-six.(26) rounds of golf each Agreement Year (max of eight during peak season; nomore than twelve at Miami Beach Golf Course; benefit does not roll over); a minimum of i four (4) free tickets to at least six (6) ticketed events at Facilities each Agreement Year, subject to availability (e.g. Art !.Basel Miami Beach, Auto Show, South Beach Comedy Festival at the Fillmore, etc.). Additional tickets will be provided as available. Benefit does not roll over. 15.PRICING: -- •Bottle/Can Pricing: City is entitled to purchase bottle/can Products from Bottler in accordance with the price schedule set forth in Exhibit 6; prices shall remain in effect until July 31, 2012. Thereafter, such prices will be subject to an annual increase of no more than four percent (4%) over the previous Agreement Year's price. • Fountain Products or Georgia Coffee Pricing: Bottler will sell fountain Products to City at the National Account prices, as 6 announced by the Bottler in January of each year. Georgia ' Coffee pricing shall be provided quarterly based on commodity markets. Purchasing: All Product shall be purchased directly from Bottler, except for those Products that Bottler identifies can be _ purchased from an authorized Coca-Cola distributor. 16.TERMINATION: If City breaches any of its material obligations set forth in this Agreement, and fails to cure such breach within thirty(30) days following written notice of same from Bottler, then, Bottler may terminate this Agreement, and City shall (1) return any Equipment, and (ii) pay to Bottler the unearned portion of any •pre-paid Sponsorship Fees for the Agreement Year in which the termination occurs (pro-rated through the date of termination). If Bottler breaches any of its material obligations set forth in this Agreement, and fails to cure such breach within thirty (30) days following written notice of same from City, then, City may terminate this Agreement, and Bottler shall (i) remove any Equipment, and (ii) pay to City the earned portion of any pre- paid Sponsorship Fees or other fees or payments due for the Agreement year in which the termination occurs (pro-rated through the date of termination). City shall not be in default in the event of any claim fiiea in relation to City's restriction on Competitive Product sampling; provided, however, the Bottler shall have the following remedies: 1) ability to renegotiate financial terms, as appropriate, within a specified time (e.g. 90,days); or, 2) failing to negotiate terms acceptable to both parties within specified time, Bottler may terminate the Agreement, and City shall (i) return any Equipment, and (ii) pay to Bottler the unearned portion of any pre-paid Sponsorship Fees for the Agreement Year in which the termination occurs (pro-rated through the date of termination). Nothing in this section shall operate to restrict either party's other remedies in the event of a material breach by the other. 17.MAINTENANCE & SERVICE: Bottler agrees to provide reasonable service and maintenance i I for the equipment during the Term. City shall allow Bottler to ii enter its premises for the purpose of inspection or i I performance of such maintenance and repair, or necessary replacement or return of the equipment. Bottler and City will establish a mutually agreed upon refund bank and customer _ service program, as delineated in Exhibit 7. 18_REPORTS/AUDITING: 1 Bottler will provide an annual business review report within 90 • I I days following each Agreement Year during the Term; Commission reports will be provided monthly. The format of such reports shall be mutually agreed upon. City has the right • to audit/inspect account statements with reasonable prior notice to Bottler and during normal business hours. If City requests an audit, City agrees to pay for such audit.- Account records must be retained for a minimum of two (2) Agreement Years after the payment of the annual Sponsorship Fee is • paid, in addition to the current Agreement Year of the Term, • •• • i and for two (2) Agreement Years following expiration or termination of the Agreement. • • • • 8 • • Exhibit'1 to Term Sheet • • COMMISSIONS • Workplace Facilities (City Hall, Police Station, and other City Facilities): Product Vend Price Commission Rate 20 oz. PET.carbonated/NESTEA® 51.25 30% 20 oz. PET Minute Maids $1.25 30% 20 oz. PET DASANI® $1.25 30% 300 ml PET DASANI® $0.75 30% 20 oz. PET POWERADE® $1.50 30% 20 oz. PET vitaminwater® $1.75 15% 16 oz. cans Energy Beverages $2.00 30% 16.5 oz. PET FUZE ® $2.00 15% 15.2 oz. PET Minute Maid®Juices to Go S1.50 15% All other public locations (such as South Beach): Product Vend Price Commission Rate 20 oz. PET carbonatediNES T EA® $1.50 30% , 20 oz. PET Minute Maid® $1.50 30% 20 oz. PET DASANIO 51.50 30% 300 ml PET DASANI® 51.00 30% 20 oz. PET POWERADE® $1.75 33% 20 oz. PET vitaminwater® 52 00 15% • 16 oz. cans Energy Beverages $2.25 30% 16.5 oz. PET FUZE® 52.25 15% 15.2 oz. PET Minute Maid®Juices to Go $1.75 15% • • In Agreement Years Four and Seven, the Vend Prices will increase by twenty-five cents for each Product listed above. For example, in Agreement Year Four, 300m1. DASANI will increase to$1.00 Vend Price and then in Agreement Year Seven, 300m1. DASANI will increase an additional twenty- five cents to $1.25. The Commission Rates will not change during the Term of this Agreement. • There are two vend rates (one for workplace and one for public locations)that will be outlined in the • final formal agreement between the parties, but note that commission rates will remain the same. Commissions are paid based upon cash collected after deducting taxes, deposits, recycling fees, other handling fees, communication charges and credit and debit card fees, if any. Commissions shall not be payable on any sales from vending machines not filled or serviced exclusively by • Bottler. Bottler may adjust the vend prices and/or commission rates as necessary to reflect changes in its costs, including cost of goods, upon prior written notice and approval by City. Commissions will be paid each month following the month in which they are earned, with an accounting of all sales and monies in a form reasonably satisfactory to the City, and shall become immediate property of City. • • 9 • Exhibit 2 to Term Sheet • ADVERTISING RIGHTS .(Except as otherwise noted, the following rights may not be transferred or assigned by Bottler) • ' 1. Recognition of Bottler as the"Official Non-Alcoholic Beverage Sponsor"of City. Official status will include Official Status Recognition for City across all non-alcoholic beverage categories i.e. "Coca-Cola Official Soft Drink of Miami Beach" and Official Status Recognition for South • Beach across all non alcoholic beverage categories (i.e. `PONERADE Official Sports Drink for South Beach'') • 2. Official Sponsor Status (for Products) of all City-produced citywide Special Events, whether now existing or as may exist in the future (i.e. including, without limitation, and for example • purposes only Sleepless Nights); Bottler to have highest sponsorship level and benefits available other than presenting or title sponsorship. In addition, Bottler will be recognized as the "Title Sponsor" of City's "Fire on the 4th Annual Independence Day Celebration" each ' Agreement Year during the Term. 3. Recognition of Bottler as the "Official Recycling Partner"for the City of Miami Beach & South • Beach ' 4. Joint Bottler/City Logo placement on City and City-related websites (e.g. Miami Beach Convention Center, Miami Beach Golf Club, Normandy Shores Golf Club, Miami Beach Culture web site (MBCulture.corn); and any other City websites, whether now existing or as may exist in the future, to such extent as permitted by any federal or state regulations on .gov domains. City will use reasonable commercial efforts to include joint Boiler/City Logo on all .printed convention and tourism materials, as appropriate and available. 5. Waiver of any Special Event Permit and/or Permit Application Fees for Bottler's use of certain Account Facilities for up to two (2) mutually agreed upon events per Agreement Year, based on availe.bility. For purposes of the Special Event Permit and/or Permit Application Fee waiver. these Facilities shall include public beachfront areas and Parks and Recreation facilities where Special Events are permitted. Ali other fees and costs of production, including but not limited to, taxes, security, sanitation, etc., shall be the responsibility of. Bottler. Right may not be transferred or assigned. 6. Waiver of any rental or use fees for Bottler's use of certain City Facilities-for up to (two) 2 mutually agreed upon events per Agreement Year, based on availability. For purposes of the rental or use fee waiver, these Facilities shall include the use of meeting room space or ballroom space at the Miami Beach Convention Center.All other fees and costs of production, including but not limited to taxes, security, audio/visual, decoration, etc., shall be the responsibility of the Bottler. Right may not be transferred or assigned. 7. Unlimited, royalty-free Product sampling at City produced and/or sponsored events; Royalty-free Product sampling permits per Agreement Year, as follows: 48 permits each Agreement Year, but permits will be limited to not more than six (6) permits in any one • month period. Right may not be transferred or assigned. If Sponsor does not use all 48 permits by the end cf each Agreement Year, any remaining permits will not roll-over to the following Agreement Year, but will be forfeited. 8. Mutual agreement on the development and use of a joint logo between Bottler and Account. • 9. Right to use mutually agreed Upon joint logo on any point-df-sale, marketing materials, and/or signage that may be mutually agreed upon. • 10. Royalty-free advertisement in City's.magazine (i.e. MB Magazine); minimum of a quarter page each issue; larger ad size as may be available. Right may he transferred or assigned. 11. Royalty-free prominent advertisement in any Special Promotional Event programs or • collaterals produced for City-produced citywide Special Promotional Events (i.e. including. without limitation, July 4r` and Sleepless Nights). City shall use best efforts to provide a full page ad. • ID • • 12.The right to brand City's public beach concession area(s) with approved Bottler and City joint • branding graphics (e.g. concession stands, storage shed, umbrellas, etc.), subject to proposed branding meeting all necessary administrative and regulatory approvals. Implementation of any approved branding shall be at the Bottler's expense. Ali trademark • usage must be pre-approved prior to usage. The erection of any other signage other than • vending machine display shall be subject to approval by the City. .. 13. One Royalty-free joint City/Bottler message PSA advertising panel at the 5t" and Alton bus • shelter; production/installation costs paid by Bottler. Minimum of full use of one PSA ad panel for the entire term of the Agreement. • • 14. Minimum of one (1) Royalty-free advertising panel at the 5'h.and Alton bus shelter, on a space availability(remnant) basis; production/installation costs paid by Bottler. Right may be • transferred or assigned. • . 15. Minifnum of one (1) one-month Royalty-free electronic joint City/Bottler message PSA run on Atlantic Broadband and Welcome Channel: Additional months based on ongoing availability; 16. Minimum of one(1) unlimited run on 1V1BTV of City/Bottler message PSA; • 17. Royalty-free POF ticket ad based on space availability; production costs paid by Battler. Right may be transferred or.assigned. The parties agree to perform such additional marketing activities, as the parties may mutually agree upon to drive traffic to the Facilities and to increase Product sales. • • • • • I1 • • Exhibit 3 to Term Sheet • MARKETING PROGRAM Bottler shall provide City for approval with the proposed annual marketing plan for promotion of the partnership no later than ninety (90) days prior to the beginning of each Agreement Year, except for the first Agreement Year when the marketing plan shall be provided to the City within ninety(90) days after execution of Agreement. The annual value of the marketing plan shall be no less than $200,500, as determined in good faith by Bottler and based on generally accepted marketing values. Some examples of activation may include the following; however, actual marketing programs will depend on availability of these programs. • • Inclusion of the City in the My Coke Rewards program, or other customer reward program offered by Bottler, through an annual promotional program (e.g. sweepstakes); estimated value $100,000. or equivalent value.Activation based on availability • Truck-back promotions program -value: 524,000/year based on availability • Box Topper program.or other similar high-visibility promotional program;value: 525,000/year • Neck Ringer program: a Neck Ringer program shall be available with a minimum distribution of neck ringers • Touring Program: Bottler will bring the Open Happiness Tour, or such other promotional touring program offered by Bottler, to the City based on availability. • Bottler to develop and implement at least five (5) strategic marketing partnerships with the Account and the Bottler's other sponsorship partners during the Term of the Agreement. Such strategic marketing partnerships may include, but are not limited to, cross promotion, product. tickets, etc . with other brands or products currently under a sponsorship or other promotional/marketing agreement with the Bottler. • • Lebron James Event/celebrity event; value: $45,000 based or. availability, or equivalent value City acknowledges the intent of the Bottler to develop a joint .marketing loco incorporatina the Bottler's mark and the City's mark. Bottler shall obtain approval from the City, in writing, of the joint • logo for use in promotion of the Agreement, including, but not limited to, its use in all commercial, . marketing, media advertisements, web sites and promotional products. A party's use of the other party's marks in promotions, on products and signage, shall be first approved by the other party in writing, and all uses of a party's marks shall be acknowledged as that party's intellectual property and include appropriate trademark notices. • • The parties agree to perform those additional marketing activities, as the parties may mutually agree upon to drive traffic to the Facilities and to increase Product sales.City agrees to provide Bottler with reasonable marketing assets inventory(e.g., to be used with a My Coke Rewards national consumer sweepstakes, or other such similar sweepstakes) for mutually agreed upon promotions each year during the Term to promote Bottler Products and City. • • • I? Exhibit 4 to Term Sheet RECYCLING PARTNERSHIP Bottler shall be designated the official'Recycling Partner"of City. Bottler shall provide, at its cost, the following services/products(value of$15,000-$25,000): • Assess, consult and offer a Recycling Program Plan for bottle/can recycling initiatives = Propose messaging strategy for the City's bottle/can recycling initiatives (within 90 days after execution of Agreement) Provide Temporary recycling bins for special events(minimum of 30)to City at Bottler's cost; • Provide Recycling bins for placement in Facilities or agreed upon public areas (minimum of 15) to City at Bottler's cost;design subject to review and approval of City; • Place reverse vending machines (crushers) in vending banks in the Facilities; minimum of five (5)crushers placed during the first five Agreement Years of the Term, at Bottler's cost. • Use of Recycling Educational Vehicle (REV,) or other Education Recycling material, at City events; scheduled at least one time every18 months during the Term. • • 13 • • Exhibit 5 to Term Sheet • VENDING PROGRAM . Bottler shall place, at their cost, all vending machines in agreed upon locations pursuant to the following: 1) Bottler shall provide to City within 90 days after execution of Agreement the proposed • equipment plan for the Agreement Term; to include the machine allocation plan by type (e.g. interactive vending machines, glass front etc.) and location; equipment replacement schedule; and vend front replacement and schedule for existing vending machines that need the vend front replaced. All equipment shall be UL energy star rated. 2) Bottler shall install vending machines within 180 days after the proposed equipment plan has been approved by all parties. Both parties agree that the installation of vending machines shall be completed within 180 days after the proposed equipment plan has been approved by all parties. Agreement execution. The already approved beach thematic vend fronts will be used unless other mutually agreed upon vend fronts have been selected and approved, and if beach thematic vend fronts are available. The vend fronts shall include advertising panels for use by the City, as approved by Bottler, provided that the vending machines are equipped with advertising panel(s). Bottler shall pay all costs for the production and installation of the City vend front advertising panels. A minimum of two(2) and a'maximum of four(4) City vend panel ads shall be produced;mstalle.d each Agreement Year. 3) Bottler shall provide within 90 days after execution of Agreement the proposed credit card reader installation plan and schedule. All credit card reader installation shall be completed within Agreement Year One, 4) City shall provide all electrical power necessary to operate the vend;ng machines, and City shall pay up to 8200 for the cost of any electrical modifications or connections necessary to accommodate any new vending machine placement, upon mutual agreement of the proposed location for the placement of the vending machine. 5) All vending machines remain the property of the Bottler. 6) Bottler shall provide a product list to the City to be included in the vending proaram. Any • changes to the Product list shall be provided to the Account prior to Product placement in a •. vending machine. Bottler shall work with the City's Parks and Recreation Department to identify the appropriate vending products for inclusion in vending machines located in any City park. i The City's Park and Recreation Department shall provide approval; in writing, of the Products to • be sold in the vending machines placed in City parks. 7) Bottler shall maintain vending machines reasonably well-stocked with Products. • 14 • Exhibit 6 to Term Sheet • • INITIAL PRICE SCHEDULE' Package Price per case 20 oz, CSD $17.85 12 oz. CSD $9.46 • 15.2 oz. MMJTG $23.36 12 oz. DASANI® $8.88 1 liter CSD $16.29 20 oz. DASANI® S10.82 •20 oz.vitaminwater® $27.00 8 oz. CSD $16.00 • 20 oz. NESTEA®/ Minute Maid®Refreshment $17.85 • 20.oz. POWERADE® $19.00 16 oz. Monster® $34.00 • • 2-liter CSD • $12.35 16.9 Honest Tea® $12.60 500 ml Gold Peak® $13.99 8 oz. aluminum bottle $16.48 Post-Mix Price per gallon 5 gallon BIB CSD and NCB $12.24 2.5 gallon °lB CSD and NCB $12.78 5 gallon BIB Unsweet NESTER® $11.82 2.5 gallon BIB Unsweet NESTEA® $12.40 . • 5 gallon BIB Premium NCB $12.75 2,5 gallon BIB Premium NCB $13.30 5 gallon BIB Frozen Dispensed $13.88 2.5 gallon BIB Frozen Dispensed $14.26 • Curls • 24 ounce $52.89 per 1,200 Lids • 24 ounce $34.55 per 2,000 CO2 • 20 lb, cylinder $25.00 per cylinder(plus$75:00 deposit) 'All prices are per standard physical case and exclusive of taxes,depositshandling fees.and recycling fees. • Georgia 84 Oz Brew; Price per Case and package size: (Prices effective for the period:111(2012- 3/31/2012)(All coffee is priced FOB to Distributor,prices do not include any distributor markup.) Product Package Small Filters Large Filters (Frac) • Dark Roast 100, 2.75 oz $110.38 $110.38 Light Roast 128, 2.25 oz $117.87 $117.87 Decaf 75, 2,00 oz $67.95 $67.95 Organic 75, 2.75 oz $110.10 $110.10 Is • • • • Exhibit 7 to Term Sheet• • MAINTENANCE&SERVICE During the Term, Bottler will loan to Account, pursuant to the terms of Bottler's equipment placement agreements, at no cost, that Beverage equipment reasonably required and as mutually agreed upon to dispense Beverages at the Facilities. Bottler agrees that all equipment shall be new or in "like new" condition and that it shall operate and manage the equipment, services and facilities offered in a first-class manner. Bottler shall provide City with the Maintenance Plan and Schedule for all Bottler equipment within 90 days of execution of Agreement,to include the Bottler's plan and schedule for servicing the City. Bottler shall provide throughout the Term of this Agreement, at Bottler's expense, all repairs, • replacements and technical services necessary to maintain and preserve the Bottler's equipment in a decent, safe, healthy and sanitary condition satisfactory to City and in compliance with applicable laws. Bottler warrants that it shall correct all mechanical problems with vending machines no later than • four(4) business days after notice and no later than twenty-four(24) hours after notice for all other dispensing equipment. Acts of vandalism to Bottler's equipment will be reported to Bottler immediately and addressed within four (4) business days. If the vending machine is repairable, the vending machine will be repaired within four (4) business days. If the vending machine is not repairable, vending machine will be condemned and swapped within seven (7) business days. Bottler is the only party allowed to make repairs on Bottler-owned equipment. All vending machines shall display a `service hotline" sticker to expedite calls. A toil free ("1-800") number shall be provided and a 24-four hour per day, seven days a week continuously operating telephone answering service shall be provided. A reimbursement fund in the amount adequate to handle all necessary refunds between service calls shall be made available to City at designated location(s) mutually agreed upon by City and Bottler. Each person -requesting a refund shall complete a form which shall be maintained by the City and provided to the Bottler as required. The reimbursement fund shall be checked by the Bottler•no less than once a 'month and replenished as needed. Information on refunds shall be • provided on each machine, • I6 • I ; . Exhibit 8 The term "Special Promotional Events" ("Event") shall mean and is limited to the following: concerts; theatrical or comedic performances; conventions; trade shows; religious events; athletic events; or other special events occurring at a Facility that meet the following requirements: (i) they • are sponsored by a manufacturer, distributor, or marketer of Competitive Products under a master sponsorship agreement with the owner or operator of the subject Event (including, without limitation, a concert or theatrical production company, or a trade show or convention production company, but NOT including in any instance the City or its affiliates or agents); (ii) they are . conducted on a national or regional multi-market basis; (iii)they are NCAA collegiate championship athletic events; and, (iv) the event sponsorship agreement referred to in subsection (i) above requires on-site temporary signage for Competitive Products. The term "Special Promotional Events Exceptions" shall refer to those exceptions granted under the Agreement, for each Agreement year, to permit the following fifteen (15) Special Promotional Events at the following Facilities: (i) four (4) events at the Miami Beach Golf Club;.(ii) four(4) events at the Normandy Shores Golf Club (The Miami Beach Golf Club and Normandy Shores Golf Club may also be referred to collectively herein as `Golf Courses°);(iii) three (3) events at the Miami Beach • Convention Center (Convention Center"); and (iv) four(4) City Approved major Sponsorship Public Special Events (as defined below); provided, however, that the number limitation for City Approved Major Sponsorship Public Special Events shall be revisited and reviewed by the parties, in good faith at the conclusion of the third Agreement Year a. Golf Courses arid Convention Center/Special Promotional Events Exception. in any Agreement Year. temporary signage (such as, but not limited to, banners) for Competitive Products may be displayed at each of the Golf Courses during up to four (4) Special Promotional Events, and during up to three (3) Special Promotional Events at the Convention Center ; PROVIDED, HOWEVER, that: (i) Sponsor's Beverage availability, marketing, advertising, promotional, and other rights under this Agreement will not otherwise be affected during any such Event; (ii) Competitive Products may be distributed at no cost, but no Competitive Products will be sold or 'otherwise made available during the Event(except as permitted in this exception); (iii) no blockage of any signage or other trademark/service mark display Sponsor may have at the Facility will occur during the Event, except for incidental blockage due to the construction andlor placement of a person, stage or other structure necessary to and actually used during the Event; or. in the case of • NCAA championship events , religious events or political conventions where no advertising is allowed and all advertisers are treated equal with all signage covered in the seated area of the Facility; (iv) all temporary signage for Competitive Products will be promptly removed from the Facility upon the conclusion of the Event; and (v) at no time will the Competitive Products make any statements, or use any temporary signage, that uses the • trademarks/service marks of the City of Miami Beach, South Beach, Golf Courses or the Convention Center, nor in any way associate these Competitive Products with the City of Miami Beach, "South Beach," the Golf Courses, or the Convention Center. The Special Promotional Events at the Golf Clubs and the Convention Center must occur over a period of no more than twenty-four (24) hours. The t ienty-four hours does not include set up or tear down time required, or NOM Championship events or political conventions which may exceed the aforestated time limitation. The Convention Center may use the three one day 17 • (one day = twenty-four hours) in the aggregate in each Agreement Year during the Term. Aggregate, as used in this paragraph, shall mean the total of twenty-four hours multiplied by . the total number of Special Promotional Events permitted, as provided for :herein. For example purposes only, the Miami Beach Convention Center are provided three Special Promotional Event Exceptions per Agreement Year. As such, the three Special Promotional Events may occur in the Miami Beach Convention Center for a total of 72 hours in an • • Agreement year(24 hours x 3 events= 72 hours/year). • • b. City Approved Major Sponsorship Public Special Events/Special Promotional Events Exception, In any Agreement Year, temporary signage (such as, but not limited to, banners) for Competitive Products may be displayed during up to four (4) Special Promotional Events for City Approved Major Sponsorship Public Special Everts. The term "City Approved Major Sponsorship Public Special Event shall refer to a City-approved public event (i.e. where public access is allowed either via no cost or via pre-purchased ticket) held on City property, and permitted pursuant to the City's approved Special Event Permit process, as same may be amended from time to time during the Term of this Agreement (for example purposes only, this may include, but not be limited to events such as Super Bowl Pepsi Jam and Red Bull lllume); and may also include an event sponsored by a manufacturer, distributor or marketer of Competitive Products pursuant to a sponsorship agreement with the owner, operator or promoter of the event; an event conducted on a national or regional multi-market basis; and/or an event where a Competitive Product is the naming, presenting, title, brought to you by, or other primary • sponsor of the Event. Temporary signage for Competitive Products at City Approved Major Sponsorship Public Events may be displayed as an Event "naming sponsor", Event `presented by"sponsor, Event"brought to you by" sponsor, or as a sponsor represented as a "Gold" or "Platinum" (or such other equivalent) sponsor of the Event; PROVIDED, HOWEVER, that: (i) Sponsor's Beverage availability, marketing. advertising. promotional and other rights under this Agreement will not otherwise be affected during any such Event; • (ii) no blockage of any signage or other trademark/service mark display Sponsor may have at the Facility will occur during the Event, except for incidental blockage due to the construction and/or placement of a person, stage or other structure necessary to and actually used during the Event; or, in the case of NCAA championship events, religious events or political conventions where no advertising is allowed and all advertisers are treated equal with all signage covered in the seated area of the Facility; and (iii) all temporary signage for Competitive Products will be promptly removed from the Facility upon the conclusion of the Event. At no time will the Competitive Products make any statements or use any temporary signage that uses the trademarks/service marks of the City of Miami Beach, `South Beach," or the Facilities, or in any way associate these Competitive Products with the City of Miami Beach Facilities. Notwithstanding the above. Competitive Products may be distributed, sampled or made available during a City Approved Major Sponsorship • Public Special Event for which there is a Special Promotional Events Exception. Such distribution, sampling or availability shall occur ONLY within the approved site plan for the event. However, should concession service (sales) for any non-alcoholic beverage other than Products be required or necessary for the event, and there are no existing concessions at the location of the City Approved Major Sponsorship Public Special Event for which there is a Special Promotional Events Exception, the City Manager shall submit a letter to Sponsor requesting that Sponsor grant a waiver to permit such sale at the Event; outlining the details of the exception and the business reasons for the request and such.request shall require Sponsor's prior written approval. Sponsor reserves the right to. not-approve the limited waiver for this purpose. Sponsor will notify the City Manager of whether the request for waiver will be approved within twenty (20) business days of Sponsor receiving the City Manager's letter. - • 1$ • • The Special Promotional Event Exception for a City Approved Major Sponsorship Public Special Event must occur over a period of no more than seventy-two (72) hours. The seventy-two hours does not include set up or tear down time required, or NCAA Championship events or political conventions which may exceed the aforestated time limitation. The seventy-two hours may be used in the aggregate in each Agreement Year during the Term. Aggregate, as used in this paragraph, shall mean the total of seventy-two • hours multiplied by the total number of Special Promotional Events Exceptions, as provided for herein. As such, the four Special Promotional Events may occur on public property for a total of 288 hours in an Agreement year(72 hours x 4 events =288 hours/year). c. Other permitted Exceptions. Exhibitors at Conventions or trade shows, or third party exhibitor set ups at Facilities shall have the right to serve Competitive Products within their booth provided that same is limited to the duration of the corresponding event and, provided further, that the Competitive Products are not marketed, advertised or promoted in association with the City of Miami Beach and/or the Facilities, and their respective trademarks. For example purposes only, a Cadillac booth at the Auto Show in the Convention Center would be allowed to give away bottled water with the Cadillac Logo, Notwithstanding, Sponsor's Products would continue to be the only Products allowed to be sold, distributed or sampled at the Facility's concession operations. • d. Competitive Beverages may also be permitted to be distributed, at no cost, at third party events that are not affiliated with the Cit../ but where the City has permitted the event through the issuance of a City of Miami Beach Special Events Permit, subject to the City's notification to Sponsor prior to the event; and, provided further, that the third party event operator is not a manufacturer, distributor or seller of a Competitive Product; that the • Competitive Products are not marketed, advertised or promoted in association with the City of Miami Beach or the Facilities, and their respective trademarks; that no Competitive Products will be sold during such event; and that the distribution of the Competitive Product is limited to Special Event Permit Area.(as such term is defined in the City's Special Event • Permit Guidelines, as same may be amended form time to time through the Term of this Agreement). For example purposes only, a third party event contemplated under this paragraph might include, but not be limited to, a walkathon or marathon where one of the event sponsors might request to be permitted to distribute free bottled water to the event participants. Notwithstanding the above, Sponsor shall have first right of refusal to provide donated Beverages through a sponsorship agreement to the non-profit events,,permitted by the City through the issuance of a City of Miami Beach Special Events Permit, known as the White Party, Winter Party. and Miami Beach Pride (based on the level of non-alcoholic Beverages provided for the White Party, Winter Party and Miami Beach Pride events in • 2012.) for the sale of these Beverages by these three (3) 'events as part of their annual charity fundraisers. If Sponsor elects to participate, Sponsor will notify the organizer six (6) months prior to start date of White Party, Winter Party and Miami Beach Pride events. If at any time during the Term the Sponsor cannot or does not provide donated non-alcoholic Beverages through a sponsorship agreement to these three (3) non-profit events for this purpose, these three (3) events'shall be permitted to secure Competitive Products for use • and sale consistent with the use and sate of non-alcoholic Beverages in the 2012 White Party, Winter Party and Miami Beach Pride events. Per Section 9 of Term Sheet, No Competitive Products may be sold, dispensed, sampled or served • anywhere at the Facilities, or on the City's public rights-of-ways, unless otherwise expressly spelled • out in the Agreement. • 19 Pricing - Bottle/Cans August 1, 2018-July 31, 2019 Proposed Product Type • Pack/Size = ' Carbonated Soft Drinks Bottles 24/20oz $23.49 Dasani Water 24/20oz $14.24 ---ViLiga4141111 -29.-: Fuze Tea/MM Refreshments 24/20oz $23.49 Carbonated Soft Drinks Cans 24/12oz $12.45 00.13,T PEAKik r FDIC. 1,--- G aceau Vitamin Water 24/20oz $35.53 --,— Glaceau Vitamin Water Zero 24/20oz $35.53 ?two:fa% , ,,..... ., ...: PowerAde 24/20oz $25.00 Minute Maid Juices 24/12oz $30.74 Energy Drinks(Monster,NOS,Full Throttle 24/16oz $44.74 T1T 11%1—V "tar Ii.'7\r Dasani Water 24/12oz $11.69 • i'‘'-.2---.21 Carbonated Soft Drinks 1 Liter Bottles 12/1L $21.44 Coca-Cola Glass Bottles 24/8oz $21.05 --,i_ 1 ,;..,. Coca-Cola Aluminum Bottles 24/8.5oz $21.69 smarfNlter. -=------ Carbonated Soft Drinks 2 Liter 8/2L $16.25 Pz' Gold Peak Tea 12/18oz $18.41 Minute k:2,1 Honest Tea 12/16oz $16.58 ma,!.d• Etis-1'din CO2 Tank 20Ib tank $29.59 Please note that annual price increase goes into effect August 1, 2018 MIAMIBEACH , -Confidenhal- x , t;-:,1,,,,t i':,.-,;.'' e,,,,.'• }gip'. , . = ) - , f. ; %.',.".-.,% • '- s • " ^. u .V. V4 ft j., ♦ �4ii.rs 4 F., - r. „ { i " v= . �,-J r_ . :2,''' ��' F`�....-.+it'l c . i• `J • ifk sem. ORDERS/SERVICE 47 �1 --- �, 888-204-2653(COKE) ,A a. jo t lr` CARBONATED SOFT DRINKS P"` a •�^°%� '`.'r"`, {•e b v SsillEI., Y • -:'{ 24/8oz.PROPRIETARY BOTTLES rCO C CORE r RE BRE 5 + ( COCA-COLA,DIET COKE,SPRITE `P° `Pa POWS ' i F q*+''*i $. l '_ �"� 1, t It s i r y ,s ''6. toxo,,. # CORE POWER 11.5oz CHOCOLATE,VANILLA,LIGHT STRAWBERRY BANANA,LIGHT CHOCOLATE,BANANA 6: n a 24/7.50Z MINI-CAN y J i . SEAGRAMS BOTTLESAMS GINGER ALE,TONIC,CLUB SODA. COKE,COKE ZERO,DIET COKE,SPRITE,FANTA ORG,ALE '��: ' SEAGR 24/20oz.PROPRIETARY BOTTLES WI COCA-COLA, COCA-COLA ZERO,DIET COKE, CAFFEINE FREE DIET COKE,CHERRY COKE,SPRITE,SPRITE fiaP ZERO,BARQ'S ROOT BEER,PIBB XTRA,FANTA ORANGE,FANTA PINEAPPLE,FANTA GRAPE,FANTA i 44 STRAWBERRY, CHERRY COKE ZERO,VANILLA COKE, MELLO YELLO,SEAGRAMS ALE PI L� 12/1 LITER BOTTLES(PROPRIETARY BOTTLES, f Y ' + COCA-COLA,DIET COKE,SPRITE,SEAGRAMS GINGER ALE, - t d_ TONIC,CLUB SODA. `CU 8/2 LITER BOTTLES COCA-COLA,COCA-COLA ZERO,CAFFEINE FREE CLASSIC,DIET COKE, CAFFEINE FREE DIET COKE,CHERRY ingI Rt il COKE,SPRITE,DIET SPRITE ZERO,FUZE W/LEM, BARQ'S ROOT BEER,SEAGRAMS GINGER ALE,FANTA r` ,':'' ORANGE,FANTA GRAPE, FRESCA, f ' r a 3%JUICE: MINUTE MAID LEMONADE. rt,,:'. , •? ( .'\ 24/12oz.CANS ;•;..:_ i,,,:::...j E,=?.--a COCA-COLA,COCA-COLA ZERO,CAFFEINE FREE CLASSIC,DIET COKE,DIET COKE WITH LIME,CAFFEINE FREE E.7.----'21 1 '3 ' -';. DIET COKE,CHERRY COKE ZERO,SPRITE,SPRITE ZERO,FRESCA,FRESCA BLACKCHERRY CITRUS,FRESCAt I l ,,-1-.,) PEACH CITRUS,TAB,DIET BARQ'S ROOT BEER, FUZE LEMON,DIET FUZE W/LEM, PIBB XTRA,SEAGRAMS CLUB SODA,TONIC WATER,GINGER ALE,FANTA GRAPE,FANTA ORANGE,FANTA ORANGE ZERO,VANILLA COKE, Pe PM VANILLA COKE ZERO,MELLO YELLO. ji, Eil 3%JUICE: MINUTE MAID LEMONADE,MINUTE MAID PINK LEMONADE&MINUTE MAID FRUIT PUNCH, r m ORANGEADE McCafe—13.7oz R { ® CARAMEL,MOCHA,VANILLA ``==' MINUTE MAID �� € . ,:.> F_.-1:,.._-.N 24/12.0= BOTTLES a a -.'I ORANGE,APPLE,CRAN GRAPE,CRAN APP RAS,RUBY RED,STRWPASS, in TROPICAL BLEND,PEACH MANGO MINUTE MAID (FRUIT DRINKS) rto,iooU FUZE FUZE' FUZE 24/200: BOLL"LES art �.�-.... ' 4 �'=�9 FRUIT PUNCH,LEMONADE,PINK LEMONADE, Si7YFe%t n� �m�„ �' � �a x ` ate-i = W `- si�� de:0 TUM-E.YUMMIES 12/10.1oz BOTTLES$j+ BIG BRY BLST,EDGY ORG BAST,EPIC APL FLIP,FRT PNCH PARTY,RED RBY ZING ; � 71 :� I FUZE TEAS Jt': I J r>i:-°. �; :`iT�l} I_l° d s SWT W/LEM,REDSTRWBRY,SWT NO LEM _"` ' 1 , ,- , PEACE TEA-12123ozCANS �l` � RAllLEBERRY,CADDYSHACK SNO BERRY., + E'° 4�L a �4t,41 I P`-."` t4'i a' ; +s' i.I GREEN TEA,SWT LEMON,TX STYLE,PEACH �` A" •� ORIGINS :-,; 16 oz.12 pack HUBERTS Georgia Peach i MANGO LEMONADE,BLACKBERRY LEMONADE,WATERMELON LEM.STRAWBERRY LEM. g K 1:;:._;41::;:i ORIGINAL LEMONADE. California Raspberry Dunkin Donuts 13.7oz 12/cs I 1 ,ti-� z,,, Mocha — r'�a�S``' 24/355ML BOTTLE • It A fit 1� is t i l}�71r �'' French Vanilla COKE,SPRITE,FANTA ORG ;141--„7,--i 1 (•EMADE; I t41.°23 --:t 1,-} Original 1,.".il ,1iii, '1i �i� ) ,. ., r i Espresso ra'� s� r`' 3� "�a a .t-,--.:V-'.1,:"._i Cookies&Cream Zr. . ( ..' -e'_! 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II s iz-.,,� 3-'-i uoonnescc Hnncsr.ulna HONEST TEA-HONEST ADE �i€ �t -�'`•- ��� "W'4 4r,� '' HONEY GREEN,POMEGRANATE BLUE,HALF AND HALF,ORANGE MANGO,PEACH WHITE,f`'Y .,`,-.?.6,,,!.. -i;i ''+^ GLASS:LEMON GROVE MAPLE BLACK TEA,MOROCCAN MINT GREEN TEA,JUST GREEN TEA • '� MINUTE MAID SPARKLING 16.9oz 0754 li§ ' MIXED BERRY,TROPICAL CITRUS,FRUIT PUNCH,FIZZY LEMONADE GOLD PEAK TEA *- 1-v 12/18.5 PLASTIC BOTTLES LEM SWT,DIET,GREEN,UNSWT/NO LEMON,SWT,LEMONADE ICED TEA 1 ` r i j ' POWERADE ION (SPORTS DRINKS) • , ..1 - t krt V "" 24/20oz BOTTLES •,_ - ` , °' ''" FRUIT PUNCH,MTN BLAST,STRWBRY LEM,ORANGE,GRAPE,LEMON LIME, o r I ", . POWERADE ZERO WITH ION4-20oz 8pk V ' MIXED BERRY,STRAWBERRY,GRAPE,FRUIT PUNCH .; '1 ' . --"`, DASANI C�'= 1, ZEi` f='J3 '11'-'1'. 10.;,:,-;-,--7,-:•,)JJ 24/20oz BOTTLES,24/24oz FLACAP BOTTLES,12/1 LITER BOTTLES,12/1.5 LITER BOTTLES e� •1 I ,lir -- 24/12 oz BOTTLES DASANI DROPS 1.90Z-STRWKIW,PKLEM,MIXBRY,PAPPCOCO t+ `:.7 f ii I P I:D,�,,1 t l f racy y'+.- 1 '1 1 l ' GLACEAU (VITAMIN WATER) stiz I �.rwr°ei� I .'-:'•-i �{ ) Is() 1,-I VITAMIN WATER 12oz,20oz,320Z ;n t ;.� ENERGY-TROP CITRUS,ESSENTIAL-ORANGE, FOCUS-KIWI STRAW,POWER C-DRAGONFRUIT,REVIVE-FRT PCH, XXX-ACAI POM BLUEBRY tAcANl DA,SAN1 VITAMIN WATER ZERO -XXX-ACAI POM BLUEBRY,SQUEEZED LEMONADE,RISE ORANGE, ii?a?Kuri; p.4°14 IN. GLOW,RISE,GO-GO MIXED BRY /+ tH 1 full, j DASANI SPARKLING ; ' �I SMART WATER-200Z,700ML,1•LIT,1.5 LIT �-..� LI SMART WATER SPARKLING 1 LITER E 1 FULL THROTTLE,BLUE AGAVE, (ENERGY DRINK-REGULAR&SUGAR FREE) = FULL THROTTLE UNLEADED (Zero Garbs) . : •;,..-.. 24/16oz.CANS, `' .1 '' NOS :} # 1:1.4 ' + •z�= 24/16ozCANS,REG, . JAJA t' I k a1 r .: u4 k4-:;.. 220Z REG. --Ng-rary ` I I ' r': 1, I I. JAJk DAJk` #1A h .71...MhN9'rd� iI*1 .' I`, MONSTER-MONSTER COFFEE - t4 •V 16oz CANS,240Z CANS,(ORIG W/NITROUS OXIDE,8.30Z CANS,18.60Z IMPORT,240Z .,ti; k. ORIGINAL,LO GARB,ABSOLUTE ZERO,ULTRA ZERO,ASSAULT,KHAOS,REHAB,REH ROJO,REH ORG,REH GRN TEA i�'NS REHAB PROTEIN,BALLR BLND,DUBB,150Z JAVA MONSTER-LOCA MOCHA,MEAN BEAN ZICO(PURE COCONUT WATER) �a -' .2 1 rl ,r ., 12/16.9oz PLASTIC BOTTLES ' �i+ "ural" ' j ,.r NATURAL,CHOCOLATE,JALAPENO MANGO„WATERMELON RASB. 1+ , Eta NM p u• , pr yus �; :. NATURAL +lcici t;re ,,,, Fla-.: (n 4, 12/1 LITER IMP! i crNATURAL,CHOCOLATE ., nr ^'4�1V1 d j DIET COKE 12oz SLEEK CANS ' ' FEISTY CHERRY,TWISTED MANGO,GINGER LIME,BLOOD ORANGE -- '- -f-- �.-1L „fie;, � . s 4.:_ -'y � + ':r • it 10.0 , ..I ' • . till 1.t k i I .-i 1,, Fq 1 f Y -.43*.`r9N7T,0 v',: . IwNYtai POST-MIX FLAVORS L dt4.ro. f-S F(OkiOA 5.0 GALLON BAG IN THE BOX Coca-Cola, Diet Coke, Sprite ® h� I �, , 1,24 / IV; ) j4 = ); 1 23 GALLON BAG IN THE BOX Cherry Coke, Caffeine Free Diet Coke, Coca-Cola Zero Sugar, Minute Maid Lemonade, HI-C Poppin'Pink Lemonade, Minute Maid Lemonade Light, Fanta Orange Soda, HI-C Flashin'Fruit Punch, Barq's Root Beer, Diet Sprite Zero, Seagrams Ginger Ale, Seagrams Tonic, Powerade Lemon-Lime, Powerade Mountain Blast, Powerade Fruit Punch, Southern Sun Sour Mix, Southern Sun Orange 35%, MM Orchards Best Orange Blend, MM Orchards Best Pineapple, MM Orchards Best Cranberry, MM Orchards Best Apple. FUZES 2.5 GALLON BAG IN THE BOX TEA Gold Peak Southern Style Sweet Tea, Gold Peak Unsweet Tea, V-; Gold Peak Green Tea, Gold Peak Raspberry Tea. FUZE Raspberry Tea, FUZE Lemon Tea, FUZE Sweet Tea, � FUZE Unsweetened Tea. '` TRADEMA K CUPS L �SJSIZE Cups — 16oz=1000, 24oz=1000, 32oz=480, 44oz=480 P 01 Lids — 16/24oz =2000, 32oz=960, 44oz=960 CO2 — 201bs t‘i C4/1 , " ski r � Flavors may vary by market and are subject to change.