R7A-Lease Agreements w- State Rep Richardson And Commissioner BarreiroCOMMISSION ITEM SUMMARY
Condensed Title:
Resolution Waiving The Competitive Bidding Requirement And Approving And Authorizing The Mayor And
City Clerk To Execute Two Separate Lease Agreements Between 1) The City And State Representative
David Richardson For The Use Of Office Space Located At 1701 Meridian Avenue, And 2) The City And
Commissioner Bruno Barreiro For The Use Of Ground Floor Space Located At City Hall
Key Intended Outcome Supported:
Not Applicable
Supporting Data (Surveys, Environmental Scan, etc.):
Not Applicable
Shall the City enter into two separate Lease Agreements with 1) State Representative David Richardson and
2 Commissioner Bruno Barreiro for the use of office s ace?
Item Summary/Recommendation:
David Richardson was elected to represent District 113 in the Florida House of Representatives and was
sworn into office on November 20, 2102. Representative Richardson currently occupies Suite 402B,
consisting of 149 square feet, and has requested to lease Suite 402A, consisting of 541 square feet, once it is
vacated by the current tenant Commissioner Richardson would vacate Suite 402B. The Lease would be for
an initial term of two (2) years with three (3) extension options for two (2) years each. In an open market,
Suites 402A/402B could command approximately $35 per square foot tt is recommended, due to the benefit
of providing space for Miami Beach residents to meet with their elected officials, the City enter into a Lease
Agreement with Representative Richardson for $6.90 per square foot, which covers the City's common area
maintenance costs and insurance expense.
Commissioner Bruno Barreiro was first elected in 1998 and has been re-elected for subsequent terms to
represent District 5, which includes portions of the City of Miami Beach. In approximately 2001, Commissioner
Barreiro moved his office to a 412 square foot space on the ground floor of City Hall Commissioner Barreiro
was most recently re~elected in November 2012 and wishes to continue to occupy City space in order to
continue serving Miami Beach residents with their constituent needs. The 412 square foot space could
command at least $35 per square foot (or $14,420 annually). The City does not currently charge rent for this
space. It is recommended, due to the benefit of providing space for Miami Beach residents to meet with their
elected officials, the City enter into a Lease Agreement for one dollar per year.
At its December 12, 2012 meeting, the Finance & Citywide Projects Committee discussed the matter and
recommended approving_ both Lease Agreements with the proposed terms.
~i!Qry Boa~d Recommendation: -----~
i Finance & Citywide Projects Commi~tee: December 20, 2012_
Financial Information: ourceof ------r---~~---A-m __ o_u_n_t----~~
unds: ~~-----1~+---~n~/~a ------
~--~--~-----~--~~ _anciallmpact Summary:
Cit Clerk's Office Legislative Tracking~
na Parekh, ext 6471
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KGB/MAS/AP/MM
T:IJ\GENDA\2013\January ·to\f~ep Hichmdson & C0mm Barreiro Leases SUM (1-4-13).docx
MlAMIBEACH 403
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AGENDA tTEM R 7 A
DATE {-Iff/]
(9 MIAMIBEACH
City of Miami Bea(h, 1700 Convention ((;nter Drive, Miami B<•och, Florida :33139, www.miort,ibeac~fl.gov
TO:
FROM:
DATE:
SUBJECT:
COMMISSION MEMORANDUM
Mayor Matti H. Bower and Members of the ~ity Com eon ·~~/.
Kathie Brooks, Interim City Manager/ " /
January 16, 2013
A RESOLUTION WAIVING, BY 5/7THS VOTE, THE COMPETITVE BIDDING
REQUIREMENT, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST
OF THE CITY, AND APPROVING A LEASE AGREEMENT WITH STATE
REPRESENTATIVE DAVID RICHARDSON TO LEASE OFFICE SPACE
LOCATED AT 1701 MERIDIAN AVENUE, MIAMI BEACH, FLORIDA, FOR AN
INITIAL TERM OF TWO YEARS RETROACTIVELY COMMENCING ON
DECEMBER 20, 2012, AND EXPIRING NOVEMBER 30, 2014, WITH THREE
(3) EXTENSION OPTIONS FOR A PERIOD OF TWO (2) YEARS EACH; AND
FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE THE
AGREEMENT SUBJECT TO FINAL REVIEW BY THE CITY MANAGER AND
FORM APPROVAL BY THE CITY ATTORNEY
A RESOLUTION WAIVING, BY 5/7THS VOTE, THE COMPETITVE BIDDING
REQUIREMENT, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST
OF THE CITY, AND APPROVING A LEASE AGREEMENT WITH
COMMISSIONER BRUNO BARREIRO AND/OR THE MIAMI-DADE BOARD OF
COUNTY COMMISSIONERS TO LEASE 412 SQUARE FEET OF GROUND
FLOOR OFFICE SPACE LOCATED AT 1700 CONVENTION CENTER DRIVE,
MIAMI BEACH, FLORIDA, FOR AN INITIAL TERM OF FORTY SIX (46)
MONTHS COMMENCING ON FEBRUARY 1, 2013, AND EXPIRING
NOVEMBER 30, 2016, WITH ONE (1) EXTENSION OPTION FOR A PERIOD
OF FOUR (4) YEARS; AND FURTHER AUTHORIZING THE MAYOR AND
CITY CLERK TO EXECUTE THE AGREEMENT SUBJECT TO FINAL REVIEW
BY THE CITY MANAGER AND FORM APPROVAL BY THE CITY ATTORNEY
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
BACKGROUND
State Representative David Richardson
On August 2012, David Richardson was elected by the voters to represent District 113 in the
Florida House of Representatives, and he was sworn into office on November 20, 2012.
Members of the Florida Legislature are each provided with a small budget to operate an office in
the district that they represent.
The Miami Beach Visitor and Convention Authority (MBVCA), which currently occupies
approximately 541 square feet of space on the fourth floor of 1701 Meridian Avenue (hereinafter
referred to as Suite 402A), intends to vacate the space in order to occupy a larger vacant space
on the east side of the same floor. Representative Richardson moved into an adjacent 149
square feet of space (hereinafter referred to as Suite 4028) on a temporary basis on December
404
Commission Memorandum -Representative Richardson & Commissioner Barreiro Leases
January 16, 2013
Page 2of3
20, 2012, which was previously used part-time on Tuesday mornings by staff from the office of
Congresswoman Ileana Ros-Lehtinen. Both spaces are depicted on the floor plan which is
attached hereto and marked ''Attachment 1."
Representative Richardson has requested to lease a larger space and has determined that the
current MBVCA space meets his needs to serve as his district office.
The MBVCA is in the process of initiating the renovations for its future space and the MBVCA's
contractor is currently in the permitting phase. In the meantime, the temporary use of Suite
402B allows Representative Richardson's office to begin to conduct its operations, install
equipment, print business cards. and more importantly provides a space for constituents to
meet with him.
Throughout Florida there is precedent for the provision of affordable municipal office space to
State Representatives. For example, the City of Vero Beach leases office space to
Representative Debbie Mayfield for $185 per month; Representative Martin Kiar utilizes office
space at Parkland City Hall; Senator Alan Hays leases space in Deland City Hall for $200 per
month. Additionally, Congressman Alcee Hastings rents space at Delray Beach City Hall for
$300 per month.
Florida House District 113 includes all of the City of Miami Beach, North Bay Village, and part of
Downtown Miami and East Little Havana. It is in the City's best interest to have Representative
Richardson's district office centrally located and accessible to the majority of his constituents,
and to the residents of Miami Beach. The City has provided low cost or free office space to
other governmental entities in the past, such as County Commissioner Bruno Barreiro, the
Miami-Dade Clerk of Courts, and Congresswoman Ileana Ros-Lehtinen's staff.
Miami-Dade County Commissioner Bruno Barreiro
The City will also work with County Commissioner Bruno Barreiro to enter into a lease
agreement for the use of 412 square feet of space on the ground floor of City Hall. It is in the
City's best interests to memorialize the terms of the use of City-owned space for the benefit of
our residents.
Commissioner Barreiro was first elected as a Miami-Dade County Commissioner in 1998 and
has been re-elected for subsequent terms to represent District 5, which includes portions of the
City of Miami Beach. Soon after being first elected, Commissioner Barreiro began using City
space known as the Answer Center {located between the main entrance elevators in City Hall
and currently occupied by Community Services) to meet with City residents and attend to
constituents' needs in a convenient and accessible government location. In approximately
2001, Commissioner Barreiro moved his City Hall office to the 412 square foot space on the
ground floor of City Hall. Commissioner Barreiro was most recently re-elected in November
2012 and wishes to continue to occupy City space in order to continue serving Miami Beach
residents with their constituent needs. The space occupied by Commissioner Barreiro's office is
depicted on the floor plan which is attached hereto and marked "Attachment 2."
ANALYSIS
Suite 402B (149 square feet temporarily occupied by Representative Richardson) and Suite
402A (541 square foot space to be occupied by Representative Richardson) could command, in
an open market, approximately $35/sf gross. The City currently leases adjacent office space at
$37.61/sf to a physician on the 41h floor. That rent (which started at $35/sf and escalated during
the exercised renewal options} includes $6.00/sf for operational expenses (utilities and common
area maintenance expenses) and $.90/sf for insurance. Cleaning and trash removal within the
405
Commission Memorandum-Representative Ric/1ardson & Commissioner Barreiro Leases
January 16, 2013
Page 3 of3
office/leased space is not included in the rent. The office space in the 1701 Meridian Avenue
building is not assessed real estate taxes by Miami-Dade County, At fair market rent, Suite
402A (541 square feet) could lease for approximately $18,935 per year and Suite 402B (149
square feet) could lease for $5,215 per year.
The 412 square foot space occupied by Commissioner Barreiro could command a similar or
higher rent per square foot than the office space at 1701 Meridian Avenue because it is ground-
floor space and is located in the City HaU building, However, the limited size may be a factor.
The City does not currently charge rent for this space. The maintenance for this office is
included in the City's janitorial contract and includes trash removal and vacuuming services.
While we do not charge Common Area Maintenance or insurance charges to Commissioner
Barreiro, our estimated CAM costs would be $6.90/sf, which is what we are charging the
physician in the 1701 Meridian Avenue leased space. In an open market, Commissioner
Barreiro's space could lease for approximately $14,420 per year.
CONCLUSION
While the City could command fair market rents for the use of the two spaces, the current use of
ground floor space by Commissioner Barreiro, and the proposed use of office space on the 41h
floor by Representative Richardson facilitate enhanced public service to constituents, The
City's contribution in making City space available for Miami Beach residents to meet with their
County and State elected officials outweighs the benefits of collecting fair market rent for these
properties.
At the December 20, 2012 Finance and Citywide Projects Committee ("F&CPC") meeting, the
Administration proposed the terms set forth above. The F&CPC agreed with the importance of
providing space for Miami Beach residents to meet with their elected officials, as well as the
terms proposed by the Administration.
Therefore, the Administration recommends in favor of approving:
• The City enter into a Lease Agreement with Representative David Richardson (and/or
the Florida House of Representatives) for the temporary use of 149 square feet and the
future use of 541 square feet of space located on the 41h floor of 1701 Meridian Avenue
for $6.90/sf. The rent for the 149 square foot space will be $86 monthly, and the rent for
the 541 square foot space will be $311 monthly. This rent represents the amount
necessary to cover the City's Common Area Maintenance costs and insurance
expenses.
• The City enter into a Lease Agreement with Commissioner Bruno Barreiro (and/or the
Miami-Dade Board of County Commissioners) for the use of 412 square feet of space
currently occupied in the ground floor of City Hall, 1700 Convention Center Drive, for one
dollar per year. The one dollar represents legal consideration and is intended to honor
the previously agreed upon terms for the use of the space. The recommendation to
enter into a formal Lease Agreement is intended for the purpose of memorializing the
re ent for the use of the space.
KGB\ MM
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T:\AGENDA\2013Vanuary 16\Rep Richardson & Comm Barreiro Leases MEM (1-4-13).docx
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Pliwmmu:\ Miami-Dade County
District 5 Commissioners Office
Miami Beach City Hail
1700 Convention Center Drive
408
C9 MIAMIBEACH
ATTACHMENT 2
~ 0 <0 MIAMI BEACH L -~~~----~"~" ~ ~ ~~ ~~~~~-~-~~----~ CITY OF MIAMI BEACH NOTICE OF PUBLIC HEARINGS NOTICE IS HEREBY given that public hearings will be held by the Mayor and City Commission of the City of Miami Beach, Florida, in the Commission Chambers, 3rd Floor, City Hall, 1700 Convention Center Drive, Miami Beach, Florida, on Wednesday, January 16,2013, to consider the following: 2:15p.m. A Resolution Waiving, By 517ths Vote, The Competitive Bidding Requirement, Finding Such Waiver To Be In The Best Interest Of The City, And Approving A Lease Agreement With State Representative David Richardson To Lease 541 Square Feet Of Office Space Located At 1701 Meridian Avenue, Miami Beach, Florida, For An Initial Term Of Two Years Commencing On December 20, 2012, And Expiring November 30,2014, With Three (3} Extension Options For A Period Of Two (2} Years Each; And Further Authorizing The Mayor And City Clerk To Execute The Agreement Subject To Final Review By The City Manager And Form Approval By The City Attorney. A Resolution Waiving, By Sfiths Vote, The Competitive Bidding Requirement, Finding Such Waiver To Be In The Best Interest Of The City, And Approving A Lease Agreement With Commissioner Bruno Barreiro And/Or The Miami-Dade Board Of County Commissioners To Lease 412 Square Feet Of Ground Floor Office Space Located At i 700 Convention Center Drive, Miami Beach, Florida, For An Initial Term Of Forty Six (46) Months Commencing On February 1, 2013, And Expiring November 30,2016, With One (1) Extension Option For A Period Of Four (4) Years; And Further Authorizing The Mayor And City Clerk To Execute The Agreement SubjectTo Final Review By The City Manager And Form Approval By The City Attorney. Inquiries may be directed to the Office of Real Estate, Housing & Community Development (305) 673-7260 INTERESTED PARTIES are invited to appear at this meeting, or be represented by an agent, or to express their views in writing addressed to the City Commission, c/o the City Clerk, 1700 Convention Center Drive, 1st Floor, City Hall, Miami Beach, Florida 33139. Copies of these items are avallable for public inspection during normal business hours in the City Clerk's Office, 1700 Convention Center Drive, 1st Floor, City Hall, Miami Beach, Florida 33139. This meeting may be continued, and under such circumstances additional legal notice will not be provided. Rafael E. Granado, City Clerk City of Miami Beach Pursuant to Section 286.0105, Fla. Stat, the City hereby advises the public that: if a person decides to appeal any decision made by the Ctty Commission with respect to any matter considered at its meeting or its hearing, such person must ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon whicfl the appeal is to be based. This notice does not constitute consent by the City for the introduction or admission of otherv1ise inadmissible or irrelevant evidence, nor does tt authorize challenges or appeals not otherwise allowed by law. To request this material in accessible format, sign language interpreters, information on access for persons with disabilities, and/or any accommodation to review any document or participate in any City-sponsored proceeding, please contact us five days in advance at (305) 673-7411(voice) or m users may also call the Florida Relay Service at 711. Ad#759
RESOLUTION TO BE SUBMITTED
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