Resolution 2020-31373 RESOLUTION NO. 2020-31373
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, AUTHORIZING THE ADMINISTRATION TO
NEGOTIATE AMENDMENT NO. 9 TO THE AGREEMENT, DATED MAY 8,
2014, BETWEEN THE CITY AND LIMOUSINES OF SOUTH FLORIDA, INC
(LSF), FOR TURN-KEY OPERATIONS AND MAINTENANCE SERVICES OF
A MUNICIPAL TROLLEY SYSTEM FOR THE CITY OF MIAMI BEACH,
BASED UPON THE ESSENTIAL TERMS SET FORTH IN THE CITY
COMMISSION MEMORANDUM ACCOMPANYING THIS RESOLUTION;
SAID AMENDMENT: (1)APPROVING THE TEMPORARY USE OF THE CITY
TROLLEY FLEET BY MIAMI-DADE COUNTY, FLORIDA DURING ANY
PERIODS OF SUSPENSION OF TROLLEY SERVICES; AND (2)
APPROVING NEW RATES FOR OPERATION DURING REDUCED LEVELS
OF SERVICE; AND FURTHER AUTHORIZING THE CITY MANAGER AND
CITY CLERK TO EXECUTE THE FINAL AMENDMENT...
WHEREAS, on April 30;2014, the.City Commission approved the award of Invitation to
Bid (ITB) No. 2014-154-SR for Turn-Key Trolley. Operations and Maintenance Services to
Limousines of South Florida, Inc. (LSF); and •
WHEREAS, on May. 8; 201.4, the City and. LSF .executed the Agreement, which
Agreement was subsequently modified pursuant to Amendments 1,through 8; and
WHEREAS, the City's trolley fleet consists of 33 trolley vehicles; and
WHEREAS, in the interest of public health, and to help prevent the spread of'COVID-19,
the City suspended all trolley service on Thursday; March 26,'2020 at 7:00 PM (commencement
of the"suspension period"); and
WHEREAS, although trolley serviceis,currently suspended, LSF continues to accrue
fixed costs, for which LSF has requested financial assistance from the City; and
WHEREAS, LSF has profferedthat.by the end of July 2020, LSF's accrued fixed costs
will exceed $700,000; and
WHEREAS, due to the impact of the COVID-19 pandemic, the City intends to re-start
operations at a reduced level of service; and'. ,
WHEREAS, due to social distancing requirementson-board.transit vehicles, Miami-Dade
County Department of.Transportation and Public. Works.(the°:"County") has limited vehicle
capacity to 16 passengers per regular 40-foot bus, and 36 passengers per larger 60-foot
articulated bus, which has resulted in missed trips and longer passenger wait times; and
WHEREAS, the County has approached LSF and the City to use LSF's services, and to
operate the trolley vehicles,which are designated for use by the City under the Agreement(City's
fleet), along County routes serving Miami.Beach(113, 119 and,120), and potentially other County
routes; and
WHEREAS, pursuant to the Agreement, LSF cannot enter into an agreement with any
other party for use of equipment and/or personnel dedicated to the City's fleet, without approval
from the City; and
WHEREAS,the City would be granting LSF permission to grant the County a temporarily
and revocable license to use the City's fleet, subject to the same terms of the Agreement
(indemnification, insurance, and maintenance requirements), and, upon thirty (30) days written
notification from the City, LSF would make available, for the City's use, any number of the trolley
vehicles from the City's fleet; and
WHEREAS, under the Agreement, any increase or decrease of service levels by more
than 20%, as compared to the previously negotiated service levels (i.e. revenue hours), requires
the parties to re-negotiate the hourly operating rate; and
WHEREAS, when calculating whether or not a rate adjustment is needed,the County's
scheduled service hours for the City's trolley vehicles in a given month, in combination with the
City's scheduled service hours for the same month (combined fleet)would be considered; and
WHEREAS, during the time that either the City, County, or both are operating the City's
fleet, the suspension period terminates, and the hourly operating rate may be subject to
adjustment, based upon the scheduled service hours for the combined fleet; and
WHEREAS, a reconciliation would be made within ninety (90) days of the earliest
expiration date of the contract term (November 21, 2021); and
WHEREAS, if there are any fixed costs owed to LSF at the time of the reconciliation, in
lieu of providing LSF with a lump sum payment to cover any shortfall, the Administration could
consider a contract extension up to four months for each month of service hours that LSF lost
during the period of suspension; and
WHEREAS, any contract extension would be brought back for consideration and approval
by the City Commission; and
WHEREAS, the temporary assignment of the City's fleet to supplement the County's
transit routes,to be operated by LSF,would be at no cost to the City;would provide a higher level
of service of County bus routes serving Miami Beach; and would eliminate fixed cost associated
with protection of City's trolley vehicles, possibly assist in offsetting fixed costs associated with
service suspension, as well as possibly reducing the hourly rate of the City's trolley service once
trolley service levels for the combined fleet exceed the pre-COVID-19 pandemic level of service;
and :
WHEREAS, the City Manager seeks authority to negotiate and execute Amendment No.
9 to the Agreement, based upon the essential terms set forth in the City Commission
Memorandum accompanying this Resolution.
NOW,THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA,that the Mayor and City Commission hereby authorize
the Administration to negotiate Amendment No. 9 to the Agreement, dated May 8, 2014,
between the City and Limousines of South Florida, Inc (LSF), for Turn-Key Operations and
Maintenance Services of a Municipal Trolley System for the City of Miami Beach, based
upon the essential terms set forth in the City Commission Memorandum accompanying this
Resolution; said amendment: (1) approving the temporary use of the City trolley fleet by
Miami-Dade County, Florida during any periods of suspension of trolley services; and (2)
approving new rates for operation during reduced levels of service; and further authorize
the City Manager and City Clerk to execute the final amendment.
PASSED AND ADOPTED this 29th day of July 2020.
Dan Gelber, Mayor
ATTEST:
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Rafael E. Granado, City Clerk
, „, APP'eyED AS TO
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IF!(ORP ORATED ” j FOR EXECUTION
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Ci. Attorney ATS' Date
https://miamibeach-my.sharepoint.com/personal/milosmajstorovic_miamibeachtl gov/Documents/LSF Contract/Amendment No.
9/Amendment No. 9 to Trolley Agreement Reso July 2020.docx