95-21666 Reso c
RESOLUTION NO. 95-21666
A RESOLUTION OF THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, APPROVING AND AUTHORIZING A
SETTLEMENT UNDER THE AGREEMENT
BETWEEN THE CITY AND PACE THEATRICAL
GROUP (PTG), DATED MAY 22, 1992, IN FULL AND
FINAL SETTLEMENT WITH REGARD TO PTG'S
OCCUPANCY AND USE OF THE JACKIE GLEASON
THEATER OF THE PERFORMING ARTS FOR THE
1995 THEATRICAL SEASON.
WHEREAS, the City entered into an agreement with Pace Theatrical Group(PTG)on May
22, 1992, granting PTG various rights of occupancy and use of the Jackie Gleason Theater of the
Performing Arts (TOPA) in return for the production of a defined number of first-class Broadway
shows(the Agreement); and
WHEREAS,the Agreement defines the TOPA theatrical season as running from November
1st to May 30th of each contract year and, within that period, PTG is obligated to produce a
minimum of forty-eight(48) show days; and
WHEREAS, in the 1995 theatrical season, only thirty(30) show days were produced within
the defined theatrical season, leaving PTG with a shortfall of eighteen (18) show days short of the
contract requirement of forty-eight(48); and
WHEREAS, the Agreement provides for penalties of twenty-five hundred dollars
($2,500.00)per day, for each day that PTG is short of its forty-eight(48) show day theatrical season
requirement, as well as penalties of five hundred dollars ($500.00) for late cancellations; and
WHEREAS,pursuant to settlement negotiations which included the Administration,the City
Attorney's Office,representatives of Spectacor Management Group(SMG), the Convention Center
Advisory Board, and PTG,the parties have reached an equitable settlement, subject to approval by
the Mayor and City Commission,wherein PTG would be given credit for eight(8) show days, for
shows performed outside of the designated theatrical season under the Agreement but neverthless
generating revenues to the City, leaving PTG with a penalty for ten (10) performance days, at the
rate of twenty-five hundred ($2500.00)per day; and
WHEREAS, additionally, PTG also agrees to pay for two (2) days of late cancellation
penalties for an event booked in December, 1994 and subsequently cancelled, as well as agreeing
to pay for utilized revenues for the shortfall of performance days; and
WHEREAS, the Administration and City Attorney's Office, as well as SMG and the
Convention Center Advisory Board,would recommend to the Mayor and City Commission full and
final settlement of this matter, in the total amount of$30,500.00, as a fair and equitable settlement
which would essentially leave the City financially whole for any losses that it may have sustained
as a result of the 1995 theatrical season, as produced by PTG.
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NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission approve and authorize a settlement under the Agreement between the City and Pace
Theatrical Group (PTG), dated May 22, 1992, in the amount of $30,500.00, in full and final
settlement with regard to PTG's occupancy and use of the Jackie Gleason Theater for the Performing
Arts for the 1995 theatrical season.
PASSED and ADOPTED this 26th day of July , 1995.
ATTEST:
'OR
CITY CLERK
FORM APPROV,_
LEGAL DEPT.
By
C:\WPWIN60\WPDOCS\RESOLUTN\PTGGROUP.SET Date _ .
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CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
COMMISSION MEMORANDUM NO. 9- 1 S
TO: Mayor Seymour Gelber and
Members of the City Commission DATE: July 12 , 19 9 5
FROM: Jose Garcia-Pedrosa
City Manager
SUBJECT: PTG 1995 SEASO / SETTLEMENT
ADMINISTRATION RECOMMENDATION: The City Administration and SMG recommend the City
Commission to approve the settlement and payment of $30,500, from Pace Theatrical Group -
PTG to the City relative to the 1995 theatrical season.
The City entered into a contract with Pace Theatrical Group - PTG on May 22, 1992. The
contract period is for three (3) years with two (2) one (1) year renewal options at the
City's sole discretion. The purpose of the contract was to grant PTG various rights of
occupancy and use of the Jackie Gleason Theater in return for the production of a defined
number of first class Broadway Shows. The pertinent specifics are as follows:
The contract requires PTG to produce a minimum of forty eight (48) show days in each '
theatrical season.
The contract defines the theatrical season as November 1st to May 30th of each contract
year.
In the 1995 theatrical season PTG produced the following events:
Dates Show Days
Jesus Christ Superstar November 1994 6
Hello, Dolly December 1994 6
Joseph February 1995 6
Blood Brothers April 1995 6
Grease May 1995 6
30
Other events produced outside of the theatrical season:
Radio City October 1994 6
David Copperfield January 1995 2
AGENDA "'a _9_ �/�
ITEM
LATE �� 1
As noted above only 30 show days were produced within the defined theatrical season.
This would leave PTG eighteen (18) days short of the contract requirement of forty eight
(48) show days. The contract also states that for any shortfall in the show days, PTG
is required to pay to the City $2,500 for each of those days.
Additionally, the contract also requires penalties of $500 per day for late
cancellations. Specifically, dates reserved and not canceled within one hundred five
(105) to ninety (90) days are subject to this penalty.
The City Administration, SMG, the Legal Department, Convention Center Advisory Board and
representatives of PTG entered into negotiations relative to these issues.
It was agreed to by the parties, subject to City Commission approval that PTG would be
given credit for the six (6) show days of Radio City since it was a Broadway event which
took place only two (2) weeks prior to the start of the theatrical season. Additionally,
PTG would be given credit for the two (2) show days of David Copperfield since it in fact
had played Broadway prior to coming to the Theater and also generated substantial and
unbudgeted revenues. Based on the number of performance days of thirty (30) that took
place within the defined theatrical season and the credit given to eight (8) additional
performance days as explained above, it was agreed that PTG would pay for ten (10)
performance days at the rate of twenty five hundred ($2,500) per day. The PTG
representatives also agreed to pay for two (2) days of late cancellations penalties on
a event booked in December 1994. Further, the PTG representative agreed to pay for
unrealized revenues on the shortfall of performance days.
ANALYSIS: Based on consultation by the City Administration with the Legal Department,
SMG, and the Convention Center Advisory Board, the amount of $30,500 appears to be a fair
and equitable settlement between the parties of the estimated amount of monies necessary
to make to City financially whole. The summary is as follows:
10 show days at $2,500 per day $25,000
Late cancellations, 2 days at $500 per 1,000
Unrealized revenues 4,500
$30,500
CONCLUSION: The City Administration recommends approval.
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