10312017 SM1c7B
MIAMIBEACH
Gommission Meeting
SUPPLEMENTAL MATERIAL 1
City Hall, Commission Chambers, 3'd Floor, 1700 Convention Genter Drive
October 31,2017
Mayor Philip Levine
Commissioner John Elizabeth Alem6n
Commissioner Ricky Arriola
Commissioner Joy Malakoff
Commissioner Kristen Rosen Gonzalez
Commissioner Micky Stein berg
City Manager Jimmy L. Morales
City Attorney Raul J. Aguila
City Clerk Rafael E. Granado
Vrsrt us at www.miamibeachfl.gov for agendas and video "streaming" of City Commission Meetings.
ATTENTION ALL LOBBYISTS
Chapter 2, Article Vll, Division 3 of the City Code of Miami Beach entitled "Lobbyists" requires the
registration of all lobbyists with the City Clerk prior to engaging in any lobbying activity with the City
Commission, any City Board or Committee, or any personnel as defined in the subject Gode
sections. Copies of the City Code sections on lobbyists laws are available in the City Clerk's office.
Questions regarding the provisions of the Ordinance should be directed to the Office of the City
Attorney.
SUPPLEMENTAL AGENDA
C7 - Resolutions
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE C]TY OF MIAMI BEACH,
FLORIDA, APPROVING AND AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A
CONCI LIATION AG REEM ENTruOLU NTARY COMPLIANCE AGREEM ENT BETWEE N TH E C ITY
AND NORMANDY LlVlNG, LLC, lN THE MATTERS ENTITLED: (1) NORMANDY LlVlNG, LLC V.
CITY OF MIAMI BEACH UNDER UNITED STATES DEPARTMENT OF HOUSING AND URBAN
DEVELOPMENT (HUD) UNDER CASE NUMBERS:Q4-17-7816-8;04-17-78164AND 04-17-7816-9;
AND (2) NORMANDY LlVlNG, LLC, V. THE CtTy OF MtAMt BEACH, ET AL., UNDER CASE NO.:
17-2060-CA.1O; CURRENTLY PENDING IN THE CIRCUIT COURT OF THE ELEVENTH JUDICIAL
CIRCUIT IN AND FOR MIAMI-DADE COUNTY, FLORIDA.
Office of the City Attorney
Supplemental updated on 10127 12017
(Memorandum & Resolution)
1
Supplemental 1, October 31,2017 Commission Meeting
C7 C A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO
REQUEST FOR QUALIFICATIONS NO. 2017-242-WG, FOR STATE LEGISLATIVE CONSULTING
SERVICES; AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH
SOUTHERN STRATEGY GROUP OF MIAMI, LLC; FURTHER, SHOULD THE ADMINISTRATION
NOT BE SUCCESSFUL IN NEGOTIATING AN AGREEMENT WITH SOUTHERN STRATEGY
GROUP OF MIAMI, LLC, AUTHORIZING THE ADMINISTRATION TO ENTER INTO
NEGOTIATIONS WITH RUTLEDGE ECENIA, P.A.; AND FURTHER AUTHORIZINc THE MAYOR
AND CITY CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL
NEGOTIATIONS BY THE ADMINISTRATION.
Office of the Mayor and Commission/Procurement
Supplemental updated on 1 012612017
(Memorandum & Resolution)
C7 D A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, APPROVING, PURSUANT TO RESOLUTION NO. 2016-29506, A TEMPORARY LANE
CLOSURE FOR ART BASEL U.S. CORP., TO CLOSE THE SOUTHBOUND LANES ON
WASHINGTON AVENUE, A MAJOR ROADWAY, BETWEEN fiTH STREET AND DADE
BOULEVARD, CONTINUOUSLY FROM MONDAY, NOVEMBER2O,2017, AT 6:00A.M., THROUGH
FRIDAY, DECEMBER 15,2017,AT 6:00A.M., INCLUDING DURING RESTRICTED RUSH HOUR
PERIODS, TO PROVIDE A MAIN ENTRANCE ON THE EAST SIDE OF THE MIAMI BEACH
CONVENTION CENTER FOR THE 2017 EDITION OF ART BASEL IN MIAMI BEACH.
Tourism, Culture and Economic Development
Supplemental updated on 10127 12017
(Memorandum, MOTs & Resolution)
C7 E A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO
REQUEST FOR QUALIFICATTONS (RFO) NO. RFQ 2017-11g-KB, SMART CtTy STREET
LIGHTING SYSTEM - DESIGN, BUILD, OPERATE, AND MAINTAIN; AUTHORIZING THE
ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH JOHNSON CONTROLS, INC., AS THE
TOP RANKED PROPOSER;AND, SHOULD THE NEGOTIATIONS WITH JOHNSON CONTROLS,
INC., FAIL, AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH
CITELUM US, lNC.,, AS THE SECOND HIGHEST RANKED PROPOSER; AND, SHOULD
NEGOTIATIONS WITH CITELUM US, INC., FAIL, AUTHORIZING THE ADMINISTRAT]ON TO
ENTER INTO NEGOTIATIONS WITH MIAMI BEACH STREET LIGHTING PARTNERS, AS THE
THIRD HIGHEST RANKED PROPOSER; AND FURTHER AUTHORIZING THE MAYOR AND CIry
CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS
BY THE ADMINISTRATION,
Pu blic Works/Procurement
Supplemental updated on 1012612017
(Memorandum & Resolution)
2
Supplemental 1, October 31,2017 Commission Meeting
C7 F A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, AUTHORIZING THE ADMINISTRATION TO NEGOTIATE AN AGREEMENT WITH THE
SCHOOL BOARD OF MIAMI-DADE COUNTY PUBLIC SCHOOLS; SAID AGREEMENT, lN
MATERIAL PART, PROVIDING FOR A CITY CONTRIBUTION TOWARD THE MAINTENANCE OF
THE ATHLETIC FIELD AT MIAMI BEACH SENIOR HIGH SCHOOL, THROUGH MATCHING
FUNDS, IN AN AMOUNT NOT TO EXCEED $22,OOO ANNUALLY, TO ENSURE THAT ONE-
HUNDRED PERCENT (100%) OF THE H|GH SCHOOL'S ATHLETTC FTELD lS USABLE DURTNG
THE REMAINDER OF THE 2017-2018 SCHOOL YEAR; AUTHORIZING THE RENEWAL OF THE
AGREEMENT FOR UP TO TWO (2) ADDTTTONAL ONE-YEAR TERMS THEREAFTER (SUBJECT
TO ANNUAL BUDGETARY APPROVAL BY THE CITY COMMISSION); AND ADDRESSING
POSSIBLE USAGE, BY THE CITY, OF THE ATHLETIC FIELD AFTER-SCHOOL HOURS AND
DURING WEEKENDS;AND FURTHERAUTHORIZING THE CITY MANAGER TO EXECUTE THE
AGREEMENT UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE
ADMINISTRATION.
Organizational DevelopmenUParks and Recreation
Commissioner John Elizabeth Alem6n
Supplemental updated on 1 Ol27 12017
(Memorandum & Resolution)
R7 - Resolutions
R7 H A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH,
FLORIDA, (1) APPROVING AND AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A
SETTLEMENT AGREEMENT BETWEEN THE CIry OF MIAMI BEACH, FLORIDA AND SUNTRUST
BANK, WITH RESPECT TO THE 2016 THEFT OF FUNDS THAT OCCURRED FROM ONE OF THE
CITY'S SUNTRUST ACCOUNTS, INCLUDING, AMONG OTHER TERMS, A PAYMENT BY
SUNTRUST BANK TO THE CITY lN THE AMOUNT OF $536,258.00; (2) APPROVING AND
AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AMENDMENT NO. 1 TO THE
TREASURY MANAGEMENT MASTER AGREEMENT BETWEEN THE CITY AND SUNTRUST
BANK, DATED FEBRUARY 1,2013, FOR THE PROVISION OF VARIOUS BANKING SERVICES,
INCORPORATING THE TERMS OF THE SETTLEMENT AGREEMENT; (3) APPROVING A TERM
SHEET FORA GLOBAL SETTLEMENTAGREEMENTAMONG THE CITY, SUNTRUST BANK, STR
MARKETPLACE, LLC., AND BANK OF AMERICA, N.A., WITH RESPECT TO THE 2016 THEFT OF
FUNDS, INCLUDING, AMONG OTHER TERMS, A PAYMENT BY STR MARKETPLACE, LLC TO
THE CITY lN THE AMOUNT OF $900,000.00; (a) AUTHORIZING THE MAYOR AND CITY CLERK
TO EXECUTE THE GLOBAL SETTLEMENT AGREEMENT (CONSISTENT WITH THE TERM
SHEET APPROVED HEREIN), lN A FORM ACCEPTABLE TO THE CITY ATTORNEY; AND (5)
RATIFYING ALL ACTIONS UNDERTAKEN BY THE CITY MANAGER WITH RESPECT TO THE
RECOVERY OF THE CITY'S FUNDS STOLEN FROM THE CITY'S SUNTRUST ACCOUNT.
Finance
Supplemental updated on 10127 12017
(Memorandum, Resolution & Settlement Agreement)
3
THIS PAGE INTENTIONALLY LEFT BLANK
4
Resolutions - G7 B
COMMISSION MEMOMNDUM
Honorable Mayor and Members of the City Conmission
Raul J. Aguila, City Attorney
October 31,2017
MIAMIBEACH
TO:
FROM:
DATE:
SUBJECT A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING AND AUTHORTZING THE MAYOR AND
CITY CLERK TO EXECUTE A CONCILIATION AGREEMENTruOLUNTARY
COMPLIANCE AGREEMENT BETWEEN THE CITY AND NORMANDY LIVING,
LLC, lN THE MATTERS ENTITLED: (1) NORMANDY LlVlNG, LLC V. CITY OF
MIAMI BEACH UNDER UNITED STATES DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT (HUD) UNDER CASE NUMBERS: 04-17-7816-8; 04-17-
7816-4. AND 04-17-7816-9; AND (2) NORMANDY LlVlNG, LLC, V. THE CITY OF
MIAMI BEACH, ET AL., UNDER CASE NO.: 17-2060-CA-10; CURRENTLY
PENDING IN THE CIRCUIT COURT OF THE ELEVENTH JUDICIAL CIRCUIT IN
AND FOR MIAMI.DADE COUNTY FLORIDA.
RECOMMENDATION
Please see attached Mernc.
ANALYSIS
Legislative Tracking
Office of the CityAttorney
ATTACHMENTS:
Description
o Mernorandum
o Resolution
Page 28 of 426
5
MIAMIBEACH
Gity of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139,
www.miamibeachfl.gov
COMMISSION MEMOMNDUM
,
Mayor Philip Levine and
Members of the Clty Commission
Jimmy L. Morales, City Manager
Raul J. Aguila, citynttorqgfr*-\- Q"'L
TO:
FROM:
DATE:
SUBJECT:
October 31,2017
A RESOLUTION OF THE MAYOR AND CITY COMMISSTON OF THE
CITY OF MIAMI BEACH, FLORIDA, APPROVING AND
AUTHORIZING THE MAYOR AND GITY CLERK TO EXEGUTE A
CONGILIATION AGREEMENT/VOLUNTARY COMPLIANCE
AGREEMENT BETWEEN THE CITY AND NORMANDY LIVING, LLC,
lN THE MATTERS ENTITLED: (1) NORMANDY LlVlNG, LLC V.
CITY OF MIAMI BEAGH UNDER UNITED STATES DEPARTMENT
OF HOUSING AND URBAN DEVELOPMENT (HUD) UNDER CASE
NUMBERS: O4-17-7816-8; 0'1 17-7816-4 AND 04-17-78{6-9; AND (2)
NORMANDV LIWNG, LLG, V. THE CITY OF MIAMI BEACH, ET AL.,
UNDER CASE NO.: 17.2060-CA-10; CURRENTLY PENDING IN THE
CIRCUIT COURT OF THE ELEVENTH JUDICIAL CIRGUIT !N AND
FOR MIAMI.DADE COUNTY, FLORIDA.
BACKGROUND
On May 4, 2016, Normandy Living, LLC ("Normandy Living") filed an Application with
the City to modify an existing conditional use permit ('CUP') to allow it operate an adult
congregate living facility ("ACLF" or "ALF") at 1904 Marseille Drive and 7100 Rue
Granville, and to expand the use onto 1915 Normandy Drive in Miami Beach, Florida
(the "Property"). The proposed ACLF was actually a "detox" facility use, which facility is
used as the first step in coming off of narcotics or alcohol. The intended use would be
for the first 4 to 14 days of a person addicted to drugs or alcohol detoxify at the above
location.
On August 31,2016, the City issued an Administrative and Jurisdictional Determination
('Determination") as to Normandy Living's Application, and found that it did not meet the
City's deflnition of an ALCF. Normandy Living appealed the City's Determination to the
Page 29 of 426
6
Memorandum on Normandy Livlng LLC settlement
October 31, 20'17
Page 2 of 3
Planning Board, which upheld the flndings contained in the Determination that it did not
meet the City's definitlon of an ACLF. After the Planning Board upheld the City's
Determination, Normandy Living initiated a related civil action styled Normandy Living,
LLC, v. The City of Miami Beach, et al., Case No.: 17-2060-CA-10, in the Eleventh
Judicial Circuit in and for Miami Dade County, Florida.
Normandy Living's Complaint alleges monetary damages against the City, the Planning
Board, and indivldual members of the administration due to the decision that the use
proposed for the Property, did not meet the City's definition for an Adult Congregate
Living Facility (ACLF). Normandy Living argues that the City, and individual employees,
should be estopped from allowing the use and should be required to pay monetary
damages.
Subsequent to theflling of the above circuit court action, on April 17,2017, Normandy
Living also filed a separate complaint with the U.S. Department of Housing and Urban
Development (HUD) and the U.S. Department of Justice, Normandy Living alleges,
based upon the foregoing history, that the City discriminated against It under the Fair
Housing Act, Rehabilitation Act, Housing and Community Development Act, and the
American with Disabilities Act,
Specifically, Normandy Living alleges the City discriminated against it as it relates to
failing to make a reasonable accommodation for dwelling purposes, to persons with a
disability (persons withdrawing from drug or alcohol addictions). Normandy Living also
alleges the City has discriminated in its application of zoning laws and, in particular, by
the Planning Director finding that the conditional use permit application filed by
Normandy Living for a detox center was not an ACLF. Moreover, Normandy Living
alleges that the Planning Board discriminated against it for the same purposes, by
rejecting their appeal of the Planning Dlrector's determination.
Without admitting fault, liability, or responsibility for Normandy Living's alleged damages,
the City Attorney's Office believes it would be in the City's best interest to voluntarily
settle this controversy and resolve this matter without the necessity of an evidentiary
hearing or other judicial process available under the laws cited above. The federal
claims against the City are not covered by Section 768.28, Florida Statutes, which
statute would have limited the City's exposure to liability to $200,000, per claim, per
person, for certain state law torts. As this sovereign immunity limitation is unavailable to
the City, the City's exposure to liability may be unlimited. Normandy Living issued a
demand letter to U.S. HUD seeking $29,000,000, plus attorney's fees. This claim was
exclusive of the damages sought ln the civil action. Additionally, a finding of a violation
of federal law could put the City's federal grant funding at risk (the City would be
requlred to return the federal funds). ln addition to the pending HUD complaint possible
federal enforcement suit, or federal civil suit, the state court action raised allegations that
would expose the City to potential lost profits damages and extensive discovery and
depositions disrupting the operations of the City. The City faces extensive litigation costs
associated wlth defending both the federal action and the circuit court action. Finally,
more cases in Florida have settled or had judgments entered far in excess to the
proposed settlement with similar issues of fact and law.
Page 30 of 426
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Memorandum on Normandy Living LLC settlement
October 31,201V
Page 3 of 3
On September 25, 2017, and October 18, 2017, the Mayor and City Commission held
Closed Attorney-Client Sessions and discussed litigation strategy and settlement.
Pursuant to those discussions, parties have entered into a tentative settlement, subject
to approval by the Mayor and City Commission and US HUD, which settlement
agreement in memorialized in the Conciliation AgreemenWoluntary Compliance
Agreement attached as Exhibit 1 to the Resolution accompanying this Agenda item.
The material terms of the Conciliation Agreement are as follows:
1. With no admission of liability, the City is to pay Normandy Living, within 10 days
from the effective date of the Agreement, $500,000.2. Dismissal of all Actions, with prejudice.
3. Normandy Living shall be required to dlsmiss, covenant, waive, and release all
claims agalnst the City, its boards, elected officials or employees; and agrees to
indemnify and hold the City harmless for any claims thereafter.
4. The City is to provide to U,S. HUD a copy of the City's medical use ordinance,
which is currently scheduled for first reading before the City Commission on
October 31,2017. The ordinance addresses the various medical uses that are
permifted under state law but were never contemplated within the City's zoning
code. HUD will review the draft ordinance to ensure compliance with federal law
as it relates to "reasonable accommodation" and "disability'. HUD may comment
upon the ordinance and provide direction relating to same. HUD is aware that the
ordinance is currently pending before the City Commission, and that second
reading of the ordinance is anticipated for December 13, 2017.
5. Within six (6) months of the effective date, the Clty Attorney's office shall be
required to provide the Planning Department with training on the Federal Fair
Housing Act, Section 504 of the Rehabilitation Act, and Section 109 with a
particular emphasis on reasonable accommodation and reasonable
modifications. Training of Planning Department staff is tentatively scheduled for
November 2,2017.
RECOMMENDATION
Approval of the attached Resolution authorizing the Mayor and City Clerk to execute the
attached Conciliation AgreemenWoluntary Compliance Agreement,
Page 31 of 426
8
RESOLUTION NO.
A RESOLUTION OF THE MAYOR AND CIry COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA" APPROVING AND AUTHORIZING THE MAYORAND CITY CLERK TO EXECUTE A CONCILIATION
AGREEMENT/VOLUNTARY COMPLIANCE AGREEMENT BETWEEN THE
CITY AND NORMANDY LlVlNG, LLC, lN THE MATTERS ENTITLED: (1)
NORMANDY LIVING, LLG V. CITY OF MIAMI BEACH UNDER UNITED
STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD)
UNDER CASE NUMBERS: 04-17-7816.8; 04-17.78164 AND 04.17-7816-9;
AND (2) NORMANDY LIWNG, LLC, V. THE C|TY OF MtAMt BEACH, ET AL.,
UNDER CASE NO.: 17-2060-cA-10; CURRENTLY PENDING lN THE CIRCUIT
COURT OF THE ELEVENTH JUDICIAL CIRCUIT IN AND FOR MIAMI.DADE
COUNTY, FLORIDA.
WHEREAS, on May 4,2A16, Normandy Living, LLC ("Normandy Living") filed an Application
with the City to modify an existing conditional use permit ('CUP') to allow it operate an adult
congregate living facility ("ACLF' or "ALF") at 1904 Marseille Drive and 7100 Rue Granville, and to
expand the use onto 1915 Normandy Drive ln Miami Beach, Florida (the "Property"); and
WHEREAS, the proposed ACLF, was actually a "detox'facility use, which facility is used as
the first step in coming off of narcotics or alcohol; the intended use would be for the first 4 to 14 days
of a person addicted to drugs or alcohol detoxify at the above location; and
WHEREAS, on August 31,2016, the Gity issued an Administrative and Jurisdictional
Determlnation ("Determination") as to Normandy Living's Application and found that it did not meet the
City's definition of an ALCF; and
WHEREAS, Normandy Living appealed the City's Determination to the Planning Board, which
upheld the findings contained ln the Determination that it did not meet the City's definition of an ACLF;
and
WHEREAS, after the Planning Board upheld the City's Determination, Normandy Living filed a
HUD Complalnt and initiated a related civil action, styled Normandy Living, LLC, v. The CiW of Miami
Beach, et al., Case No.: 17-2060-CA-10, in the Eleventh Judicial Circuit in and for Miami Dade
County, Florida, alleging that the City, and individual employees, should be estopped from precluding
the detox/ACLF use at the above location, and asked the Court to award monetary damages; and
WHEREAS, on April 17, 2017, Normandy Living flled a separate complaint with HUD and the
U.S. Department of Justlce alleging that the City discriminated against it under the Fair Housing Act,
Rehabilitation Act, Housing and Community Development Aet, and the American with Disabilities Act;
and
WHEREAS, the administrative complaint was filed under the following HUD case numbers:
04-17-7816-8, Section 504 Case No. 04-17-7816-4, ADA Case No. 04-17-7816-D, Section 109 Case
No. 04-17-7816-9; and
WHEREAS, Normandy Living, LLC also filed an original action entitled Normandy Living, LLC
v.CW of Miami Beach, et al., Case No. 17-2060-CA-10, (Fla. 11th Judicial Circuit 2017), alteging
Page 32 of 426
9
monetary damages against the City, the Planning Board, and individual members of the
administration, claiming that the City should be estopped from denying Normandy Living's application
for a conditional use approval to operate a detox/ACLF on the Property; and
WHEREAS, without admitting fault, liability, or responsibility for Normandy's alleged damages,
the City Attorney's Office believes that it would be in the City's best interest to voluntarily settle this
controversy and resolve this matter without the necessity of an evidentiary hearing or other judicial
process available under the laws cited above; and
WHEREAS, on Septem ber 25, 2017, and October 18, 2017,the Mayor and City Commission
held two Closed Attomey-Client Sessions to discuss litigation strategy and settlement; and
WHEREAS, pursuant to that discussion and direction, the parties have entered into a tentative
Conciliation AgreemenWoluntary Compliance Agreement between the City and Normandy Living,
LLC, subject to approval by the Mayor and Gity Commission and HUD which conciliation agreement is,
attached hereto as Exhibit 1.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: that the Mayor and City Commission
hereby approve and authorize the Mayor and City Clerk to execute a Conciliation
AgreemenWoluntary Compliance Agreement between the City and Normandy Living, LLC, in the
matters entitled: (1) Normandy Living, LLC v. City Of Miami Beach under the United States
Department Of Housing And Urban Development (HUD) Case Numbers: 04-17-7816-8; 04-17-7816-
4 and 04-17-7816-9; and (2) Normandy Livin,g, LLC, v. the City Of Miami Beach, et al., under Case
No.: 17-2060-CA-10.
PASSED and ADOPTED this
-
day of October, 2017.
ATTEST:
Philip Levine, Mayor
Rafael Granado, City Clerk
APPRO\EDASTO
FORM & TANGUAGE
&FOR EXECUTION !
l6 -?')-t'l
.€
Dato
2
Page 33 of 426
10
Resolutions - C7 C
COMMISSION MEMORANDUM
Honorable Mayor and Members of the City Commission
Jimmy L. Morales, City Manager
October 31,2A17
MIAMIBEACH
TO:
FROM:
DATE:
SUBJECI A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY
MANAGER, PURSUANT TO REQUEST FOR QUALIFICATIONS NO. 2017-242-WG,
FOR STATE LEGISLATIVE CONSULTING SERVICES; AUTHORIZING THE
ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH SOUTHERN
STRATEGY GROUP OF MIAMI, LLC; FURTHER, SHOULD THE
ADMINISTRATION NOT BE SUCCESSFUL IN NEGOTIATING AN AGREEMENT
WITH SOUTHERN STRATEGY GROUP OF MIAMI, LLC, AUTHORIZING THE
ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH RUTLEDGE ECENIA,
P.A.; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO
EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL
NEGOT lAT IONS BY THE ADM IN ISTRAT ION.
RECOMMENDATION
Adopt the Resolution.
ANALYSIS
On January 11,2017 the Commission voted to terminate the agreenent with Corcoran & Associates,
lnc. for convenience. At the April 26,2017 neeting Commission authorized the issuance of a new
RFQ to retain a new state legislative consulting firm.
RFQ PROCESS
On July 27,2A17, (RFO) No.2017-242-WG for State Legislative Consulting Services was issued.
RFQ responses were due and received on August 29, 2017. The City received proposals from the
following finrs: Rutledge Ecenia, P.A., Colodny Fass P.L.L.C. and Southern Strategy Group of
Miami, LLC.
The Evaluation Committee appointed by the City Manager pursuant to LTC# 453-2A17 convened on
October 6, 2017, to consider the responsive proposals received. The Committee was comprised of
Judy Hoanshelt, Division Director, Grants Managernent Division, Office of Budget and Performance
lmprovenrent, City of Miami Beach, Marcia Monsenat, Chief of Staff, Office of the City Manager,
City of Miami Beach, and Elizabeth Wheaton, Chief of Staff, Office of the Mayor and City
Commission, City of Miami Beach.
The Committee was provided an overview of the project, inforrnation relative to the City's Cone of
Silence Ordinance and the Government Sunshine Law. The Committee was also provided with
general infornntion on the scope of services and a copy of each proposal. The Committee was
Page 28 of387
11
instructed to score and rank each proposal pursuant to the evaluation criteria established in the
RFQ. The evaluation process resulted in the ranking of proposers as indicated in Attachment A. A
brief description of each proposer, as provided in their response to the RFQ, follows.
Southern Strategy Group of Miami, LLG
According to the inforrnation contained in its proposals, Southem Strategy Group is a full-seruice
lobbying flrm that was established in Tallahassee, Florida in 1999, with offices throughout Florida in
Tallahassee, Jacksonville, Orlando, Tarnpa Bay, and Miami. They understand how and why
decisions are made at every level of Florida governrnent and use that knowledge to the benefit of
their clients. Their Tallahassee office is staffed by 13 full-tirne lobbyists, as well as two full-tirne and
four part-tinre administrative staff. Their Miami office is staffed by three fulltine lobbyists and one
fulltinre office administrator who spend a great deal of their tine in South Florida. From transportation
to infrastructure, to stormwater issues as well as economic developnrent, they are keenly aware of
the issues that the City faces. Their team includes the services of Ronald L. Book, P.A. considered
one of the premier lobbying firns in the State, with unparalleled eperience in the appropriations
process. Established in 1987, the firm specializes in governnent affairs, and offers a powerful
combination of talent and experience with a proven track record of success before the legislative and
executive branches of Florida government.
Rutledoe Ecenia. P.A.
According to the infonretion contained in its proposals, the attorneys of Rutledge Ecenia have
extensive erpertise in practicing before state agencies, the Division of Administrative Hearing, state
and federal courts, and the legislative and Executive Branches of Government. They are committed
to excellence in regulatory affairs and litigation and seek to ensure that their services are provided in
a costeffective and efficient nanner, pursuing their clients' litigation objectives with focused
determination, while striving to achieve beneficial resolutions through settlernents and altemative
dispute resolution when such approaches best serves their clients'needs.
Golodny Fass P.L.L.C.
The legislative and executive team of Colodny Fass possesses the bi-partisan contacts and access
to legislative and executive leadership of the State of Florida to successfully and consistently
advocate for diverse policy issues and cultivate bipartisan relationships with legislators statewide.
Colodny Fass has worked with virtually every aspect of the City's legislative agenda in all realms of
governrnent, and is highly eperienced and ready to represent Miami Beach and its interests before
Florida's Legislature, Executive Branch and regulatory agencies.
CONGLUSION
I have reviewed each firns' submissions and the results of the Evaluation Committee process. ln
doing so, I flnd that the Evaluation Committee has unaninrously ranked Southern Strategy Group of
Miami, LLC, as the top-ranked firm responding to the RFQ. I comnend each firm for its proposal and
acknowledge each firns excellent qualifications in the field of governrnental consulting services.
However, I do concur with the evaluation committee's determination and, after reviewing Southern's,
the top-ranked firm's, proposal and qualifications, I find that this firm has docunented exceptional
qualifications, including (but not limited to):
o its expertise relating to transportation, infrastructure, stormwater and economic developnrent
projects;
r a broad range of bipartisan contacts in the legislative and executive branches of state
governnent.
Therefore, I recornmend that the City Commission approve the Resolution authorilng the
Administration to enter into negotiations with Southern Strategy Group of Miami, LLC; and if
unsuccessful in negotiating an agreement with Southern Strategy Group of Miami, LLC, that the
Page 29 of 387
12
Administration be authorized to enier into negotiations with Rutledge Ecenia, P.A.; and further
authorize the Mayor and City Clerk to execute an Agreenent upon conclusion of successful
negotiations by the Administration.
FINANCIAL INFORMATION
Grant funding will not be utilized for this project.
Legislative Tracking
Office of the Mayor and Commission/Procurenent
ATTACHMENTS:
Description
n Attachment A
o Resolution
Page 30 of 387
13
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14
RESOLUTION NO.
A RESOLUTION OF THE MAYOR AND CITY GOMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY
MANAGER, PURSUANT TO REQUEST FOR QUALIFICATIONS NO. 2017.242.WG,
FOR STATE LEGISLATIVE CONSULTING SERVICES; AUTHORIZING THE
ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH SOUTHERN STRATEGY
GROUP OF MIAMI, LLC; FURTHER, SHOULD THE ADMINISTRATION NOT BE
SUCCESSFUL IN NEGOTIATING AN AGREEMENT WITH SOUTHERN STRATEGY
GROUP OF MIAMI, LLC, AUTHORIZING THE ADMINISTRATION TO ENTER INTO
NEGOTIATIONS WITH RUTLEDGE EGENIA, P.A.; AND FURTHER AUTHORIZING
THE MAYOR AND GITY CLERK TO EXECUTE AN AGREEMENT UPON
GONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION.
WHEREAS, on January 11,2017 the Commission voted to terminate the
agreement with Corcoran & Associates, lnc. for convenience; and
WHEREAS, at the April 26, 2A17 Commission meeting, staff was directed to
issue a new RFQ to retain a new state legislative consulting firm; and
WHEREAS, on July 26, 2017, the Gommission approved the issuance of RFQ
2017-242-WG for State Legislative consulting Services; and
WHEREAS, on July 27, 2017, (RFO) No. 2017-242-WG for State Legislative
Consulting Services was issued; and
WHEREAS, on August 29, 2017, the City received proposals from Rutledge
Ecenia, P.A.; Colodny Fass P.L.L.C.; and Southern Strategy Group of Miami, LLC; and
WHEREAS, the Evaluation Committee appointed by the City Manager, pursuant
to LTC No. 453-2017, convened on October 6, 2017, to consider the responsive
proposals received; and
WHEREAS, the Evaluation Committee was provided an overview of the project,
information relative to the City's Cone of Silence Ordinance and the Government
Sunshine Law, general information on the scope of services and a copy of each
proposal; and
WHEREAS, the Evaluation Committee was instructed to score and rank each
proposal pursuant to the evaluation criteria established in the RFQ; and
WHEREAS, after reviewing the qualifications of each firm, and having
considered the Evaluation Committee's comments and rankings, the City Manager
recommends that the Administration be authorized to enter into negotiations with
Southern Strategy Group of Miami, LLC; and if unsuccessful in negotiating an
Page 32 of 387
15
agreement with Southern Strategy Group of Miami, LLC, that the Administration be
authorized to enter into negotiations with Rutledge Ecenia, P.A.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND GITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission accept the recommendation of the City Manager, pursuant to Request for
Qualifications No. 2017-242-WG, for State Legislative Consulting Services; authorize
the Administration to enter into negotiations with Southern Strategy Group of Miami,
LLC; further, should the Administration not be successful in negotiating an agreement
with Southern Strategy Group of Miami, LLC, authorize the Administration to enter into
negotiations with Rutledge Ecenia, P.A.; and further authorize the Mayor and City Clerk
to execute an Agreement upon conclusion of successful negotiations by the
Administration.
PASSED AND ADOPTED this
-
day of
ATTEST:
;.f-r o *L|'(t
--r...-.--.--tH F
GltyAttomey I2_Af Date
2017.
RAFAEL E. GRANADO, CITY CLERK PHILIP LEVINE, MAYOR
T:\AGENDA\2017\10 - October\Procurement\October 31 , 2017 Meeting\RFQ2117-242-WG State Legislative Consulting
Services\RFQ2017 -242-W G- RESO. doc
APPROVEDAS TO
FOHM & LANGUAGE
&FOR EXECUTION
Page 33 of 387
16
Resolutions - C7 D
COMMISSION MEMORANDUM
Honorable Mayor and Menbers of the City Commission
Jimrny L. Morales, City Manager
October 31,2017
MIAMIBEACH
TO:
FROM:
DATE:
SUBJECT A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING, PURSUANT TO RESOLUTION NO. 2016-
29506, ATEMPORARY LANE CLOSURE FOR ART BASEL U.S. CORP., TO CLOSE
THE SOUTHBOUND LANES ON WASHINGTON AVENUE, A MAJOR ROADWAY
BETWEEN 17TH STREET AND DADE BOULEVARD, CONTINUOUSLY FROM
MONDAY NOVEMBER20,2017,AT 6:00 A.M., THRoucH FRtDAy DECEMBER 1s,
2017, AT 6:00 A.M., INCLUDING DURING RESTRICTED RUSH HOUR PERIODS,
TO PROVIDE A MAIN ENTRANCE ON THE EAST SIDE OF THE MTAMI BEACH
CONVENTION CENTER FOR THE 2017 EDITION OF ART BASEL IN MIAMI
BEACH.
RECOMMENDATION
The Administration reconrends approval of the closure.
ANALYSIS
The annual Art Basel in Miami Beach international art fair will take place from Decernber O,2O1l
through Decenber 10,2017, with the prinnry activations inside the Miani Beach Convention Center.
This year, Art Basel in Miant' Beach will create an enclosed activation area with sponsor
conponents and public food offerings for the east side entrance of the Miani Beach Convention
Center. The installation, activation and renrcval of this activation area will require the closure of
southbound Washington Avenue, a rnajor roadway, from Monday, Novenber 20,2017 at 6:00 am
until Friday, Decenber 15,2017 at 6:00 am, continuously and inclusive of closure during restricted
rush hour periods. This closure will utilize the existing barricade and fence line installed by Clark
Construction and will continue the existing traffic flow, using northbound Washington Avenue for two-
way northbound and southbound traffic.
At the July 13, 2016 neeting of the Miami Beach Cormt'ssion, Resolution 2016-29506 was adopted,
henceforth requiring any new special event applicant seeking to close a road or lane of a rnajor
thoroughfare in the City of Miani Beach to seek approval from the Miani Beach Cormission. Art
Basel US Corp. has provided a Maintenance of Traffic (MOT) plan that has been reviewed by the
Transportation Departnent. The closure will be rnanaged by the Miami Beach Police Departnent.
CONCLUSION
The Administration reconrrpnds approval of the closure.
KEY !NTENDED OUTCOMES SUPPORTED
Maximize The Mian{ Beach Brand As A World Class Destination
Page 40 oI 426
17
Legislative Tracking
Tourism, Culture and Econonic Developnent
ATTACHMENTS:
Description
o ABMB MOT
o ABMB MOT2
o Resolution
Page41 ot426
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20
RESOLUTION NO.
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING,
PURSUANT TO RESOLUTION NO.20{6.29506, A
TEMPORARY LANE CLOSURE FOR ART BASEL U.S.
CORP,, TO CLOSE THE SOUTHBOUND LANES ON
WASHINGTON AVENUE, A MAJOR ROADWAY, BEN'VEEN
17TH STREET AND DADE BOULEVARD, CONTINUOUSLY
FROM MONDAY, NOVEMBER 20, 2017, AT 6:00 A.M.,
THROUGH FRIDAY, DECEMBER {5, 2017, AT 6:00 A.M.,
INGLUDING DURING RESTRICTED RUSH HOUR PERIODS,
TO PROVIDE A MAIN ENTRANCE ON THE EAST SIDE OF
THE MIAMI BEACH GONVENTION CENTER FOR THE2O17
EDITION OF ART BASEL IN MIAMI BEACH.
WHEREAS, the annualArt Basel in Miami Beach internationalartfairwilltake place
from December 6, 2017, through December 10, 2017, with the primary activations
scheduled to take place inside the Miami Beach Convention Center; and
WHEREAS, Art Basel U.S. Corp. ('Art Basel") intends to create an enclosed
activation area with sponsor components and public food otferings at the east side
entrance of the Miami Beach Convention Center, which activation area shall be located on
the southbound lanes of Washington Avenue, between 17h Street and Dade Boulevard;
and
WHEREAS, the installation, activation and removal of this activation area will require
the continuous closure of the southbound lanes on Washington Avenue, a major roadway,
from Monday, November 20, 2017, at 6:00 a.m., until Friday, December 15,2017 at 6:00
a,m., including during restricted rush hour periods; and
WHEREAS, Art Basel has provided the City with a Maintenance of Traffic Plan
(attached hereto as Exhibit"A") that has been reviewed bythe Transportation Department;
and
WHEREAS, pursuant to the Maintenance of Traffic Plan, the City's Police
Department will coordinate the proposed road closure; and
WHEREAS, pursuantto Resolution No. 2016-29506, the City has adopted a policy
requiring that all future special events requiring lane closures along majorthoroughfares in
the City of Miami Beach must obtain prior approval from the Miami Beach City
Commission.
NOW THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAM! BEACH, FLORIDA, that the Mayor and City
Page 44 of 426
21
Commission hereby approve a temporary lane closure for Art Basel U.S. Corp., to close
the southbound lanes on Washington Avenue, a major roadway, between 17th Street and
Dade Boulevard, continuously from Monday, November 20,2017, at 6:00 a.m., through
Friday, December 15,2017, at 6:00 a.m., including during restricted rush hour periods, to
provide a main entrance on the east side of the Miami Beach Convention Center for the
2017 edition of Art Basel in Miami Beach.
PASSED and ADOPTED this day of
ATTEST:
2017.
Philip Levine
Mayor
Rafae! E. Granado
City Clerk
F:\ATTO\XALN\RESOLUTIONSIABMB Washington Avenue Closure RESO.doc
,trU$'olo -z_L;11
Citv AitorneY Dolr:
IJK
APPROVED AS TO
FORM & LANGUAGE
Page 45 of 426
22
Resolutions - G7 E
COMMISSION MEMORANDUM
Honorable Mayor and Members of the City Commission
Jimmy L. Morales, City Manager
October 31,2017
MIAAAIBEACH
TO:
FROM:
DATE:
SUBJECTA RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY
MANAGER, PURSUANT TO REQUEST FOR QUAL|FTCATTONS (RFO) NO. RFQ
2A17.119.K8, SMART CITY STREET LIGHTING SYSTEM - DESIGN, BUILD,
OPERATE, AND MAINTAIN; AUTHORIZING THE ADMINISTRATION TO ENTER
INTO NEGOTIATIONS WITH JOHNSON CONTROLS, INC,, AS THE TOP
RANKED PROPOSER; AND, SHOULD THE NEGOTIATIONS WITH JOHNSON
CONTROLS, INC., FAIL, AUTHORIZING THE ADMINISTRATION TO ENTER INTO
NEGOTIATIONS WITH CITELUM US, INC.,, AS THE SECOND HIGHEST RANKED
PROPOSER; AND, SHOULD NEGOTIATIONS WITH CITELUM US, lNC., FAIL,
AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH
MIAMI BEACH STREET LIGHTING PARTNERS, AS THE THIRD HIGHEST
RANKED PROPOSER; AND FURTHER AUTHORIZING THE MAYOR AND CITY
CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL
NEGOT IAT IONS BY THE ADM INISTRAT ION.
RECOMMENDATION
Adopt the Resolution.
ANALYSIS
ln 2016, the City's Public Works Department @mpleted the first step in the preparation of a Citywide
Street Lighting Master Plan by conducting a city-wide photonetric analysis, in an effort to assess the
state of the City's current lighting system. Upon the completion of the photornetric analysis, the
departrent found that large areas of the City were either over lit or under lit and that only 18.2% ot
the City's roadways fall within the acceptable range for illuminance and uniformity when compared to
standards. ln addition the study recomrnended the City should work with the industry to develop a
Lighting Master Plan that would define the City's lighting goals, improve uniformity, and upgrade
existing lighting to LED and to inprove operations and rnaintenance with the implementation of a
Computerized M ai ntenance Management System (C M M S ).
ln an effort to address the findings, follow recomnendations, and to continue the department's efforts
for the preparation and implementation of a Citywide Street Lighting Master PIan the solicited for
Design, Build, Operation and Maintenance (DBOM) Services from qualified teans with eperience in
the design, construction, implenentation, integration, operation, maintenance, nanagernent, and
oversight of a Snert City street lighting system ("the Project"), starting with the creation of an overall
Smart City LED Street Lighting Conversion Master Plan to guide the vision and direction of the
Project. The Srnart City LED Street Lighting Conversion Master Plan should "future proof' the City
Page 35 of 390
23
by planning for the integration of the snnrt services of tomorrow that the City can implenrent in a
phased approach. The design should apply the concepts of Lighting Master Plan to all elenents of
the city srnart lighting conversion and utilize the improved street lighting network as a platform to not
only rnanage its streetlights, but as an open platform capable of integrating sorre of the existing snnrt
city initiatives and other snart city services such as srnart parking, traffic rnanagenent, air quality and
sound sensors, electrical vehicles charging stations, security caneras, etc., in an effort to upgrade
the City's urban lighting systens, to pronote energy conservation, public safety, and economic
developnent; and to ensure the effective long-term operation, nnintenance, and managernent of the
systens. The City rnay require a finance cornponent, which will enable the systems upgrade,
operation, rnaintenance and management, while providing a pricing structure that rneets the City's
cost and budget objectives.
RFQ PROCESS
On June 7, 2017, the City Commission approved the issuance of Request for Qualiflcations (RFQ)
No.2017-119-KB for Srnart City Street Lighting System- Design, Build, Operate, and Maintain. On
June 14, 2017, lhe RFQ was issued. A voluntary pre-proposal conference to provide inforrnation to
the proposers submitting a response was held on June 23, 2017. RFQ responses were due and
received on August 14,2017 . The City received proposals in response to the RFQ from the following
nine (9) firns:
o Airis USA, LLC
o Arneresco, lnc.
o Citelum US, lnc.
o Horsepower Electric, lnc.. Johnson Controls, lnc.
o MasTec North Arnerica, lnc.
o Miami Beach Srnart Lighting Partners
o Noresco, LLC
o Sienens lndustry, lnc.
On July 26, 2017, the City Manager appointed the Evaluation Committee via LTC # 382-2017. The
Evaluation Committee convened on August 23,2017 to consider proposals received. The committee
was comprised of Roy Coley, Assistant Director, Public Works Departrnent, City of Miami Beach;
David Martinea Director, Office of Capital lmprovement Projects, City of Miami Beach; Margarita
Wells, Acting Director, Environrnent & Sustainability Departnent, City of Miami Beach and Ana
Zecchini, lnterimApplications Division Director, Department of lnfornntion Technology, City of Miami
Beach. The Cornnrittee was provided an overview of the project, infornntion relative to the City's
Cone of Silence Ordinance and the Governnent Sunshine Law. The Committee was also provided
with general information on the scope of services and a copy of each proposal. The Committee was
instructed to score and rank each proposal pursuant to the evaluation criteria established in the
RFQ. The evaluation process resulted in the ranking of proposers as indicated attachnent A, in the
following order:
1st Johnson Controls, lnc.
2nd Miami Beach Snnrt Lighting Partners
3rd Horsepower Electric, lnc.
4th Noresco, LLC
sth Citelum US, lnc
6th Anreresco, lnc.
7th MasTec North Anerica, lnc.
8th Sienens lndustry lnc.
gth Airis usA, LLC
Page 36 of 390
24
Furthernrcre, on October 23, 2017, the City Manager, as a part of his due diligence in nnking a
recommendation for award to City Commission, requested presentations by firms wishing to be
considered for award pursuant to the RFQ.
CONCLUSION
The recent photonetric analysis of the City lighting indicated that certain improvernents are needed
to address deficiencies in how certain City areas are illuminated. ln addition, the ernerging fields of
technology under the umbrella known as "Smart City" provide some exciting possibilities for
addressing the lighting improvernents in a proactive and future-driven rrnnner, as well as possibly
rnoving towards the ultimate goal of an interconnected City. Finally, rnerny of the Smart City
technology providers have deployed solutions to engage both residents and staff, through the use of
computerized nnintenance management systens (CMMS), to better rnanage and rnaintain these
systens. For all of these reasons, I have determined that this project, with its current and future
opportunities to rnaximize services to residents, while simultaneously assisting staff in improving the
effectiveness and efficiency of City street lighting and Snrart City operations, is an incredibly
important project for the Administration.
Because of the potential inpact of this project, following the Evaluation Committee's initial review of
proposals, I requested each proposer to rnake presentations of each teams qualifications and project
approach as part of rny due diligence in naking an award reconunendation to the City Commission. I
found this to be an important step in rny due diligence because the RFP clearly indicates that,
despite the results of the Evaluation Committee process, my recommendation to the City Commission
rnay differ from the proposer ranking resulting from the Evaluation Commiftee's review of proposals.
The sessions were inforrnative and highlighted irportant aspects of both qualifications of the firns
and each team's approach to the project. While, in the end, rny recommendation does differ
somewhat from the rankings of the Evaluation Cornrnittee, I do believe that my recomnrendation is
consistent with what a project of this sort will require to be successful and what I believe are the
dernonstrated experiences and qualifications of each proposer to rnove the City fonruard with
improved lighting, proven Snnrt City technologies, and resident engagenrent.
After review of the proposals and considering the presentations provided by each firm, I concur with
the Evaluation Committee and find Johnson Controls to be the best qualified firm for the project.
Johnson Controls is already a lead provider in Snurt Building technologies, and is proving itself as
leader in emerging field of Snnrt City technologies. The firm, in nry opinion, presented the rnost
comprehensive qualifications package for today's needs, including lighting irnprovenents around the
City, as well as creating a vision for a Smart City future. ln addition to its experience in lighting
improverent projects, its proposal has well docunented its team's eperience including sorne of the
following highlights:' a well-rounded team of eperts in lighting master plans and improvernents, the engineering
expertise of CH2M, networking services provided by Hotwire Communications, and a careful
consideration of the importance of public outreach with the assistance of lnfinite Source
Communications; and' proven eperience in similar large scale street lighting projects (the City is contemplating
approxirnately 8,200 lighting units); and' a careful consideration of the environnental impacts of such a project, including the impact
to sea turtle habitats; and' a clear understanding of the importance of public outreach and engagernent utililng local
experts, including public outreach professionals cunently leading public outreach for the Miami
Beach Convention Center renovation project; and' eperience in a delivering a number of projects through public/private financing options that
could provide the City with funding/financing options.
Page 37 of 390
25
With respect to second and third ranked proposers, my recornrendation differs from the Evaluation
Committee's ranking. The Evaluation Committee has ranked Miami Beach Street Lighting Partners
and Citelum US, lnc. as the second and fifth ranked proposers, respectively. While they are both well
qualified firrs, it is ny opinion that the Citelum proposal has provided a combination of qualifications
and technological approach that are better suited for the City's requirernents and world-class
reputation, including:
o proven eperience and an understanding of the denrands and expectations of working on
lighting projects for world class cities (including Copenhagen, Paris, Madrid and Bordeux); and
o a valuable partnership with Cisco Systens, a leading provider of technology infrastructure
solutions for the Snart City functionalities; and
o a careful consideration of the importance of aesthetics, both in street light and other artistic
lighting projects;and
o a robust CMMS portal for custoners/residents to report issues and to assist staff in nanaging
rnaintenance of assets.
I would also note that Roy Coley, Public Works Departnent Assistant Director, who oversees street
lighting operations, has also ranked Citelum as the second ranked proposer.
Miami Beach Street Lighting Partners also provided a good set of qualifications, including:
o a welldetailed maintenance plan; and
o an understanding of the importance of stakeholder communications; and
o a well-qualified team of individualfirns.
However, several areas of Miami Beach Street Lighting Partners raised a number of concerns for a
complex and, possibly, longer term project such as this one. Prinnrily, the proposal, submitted by a
consortium of five (5) individual firrns, was unclear as to which firm would be the City's primary
partner responsible for successful deployrnent of the project(s). While the RFQ does not specifically
prohibit this sort of joint venture, in this case I find the combination of so nany firnrs acting as prirnary
partners with the City not to be advantageous to the overall success of the project. Further to this
point, in its proposal Miami Beach Street Lighting Partners has indicated that the City's lead or nnin
point of contact will change throughout the phases of the project. At one tirne during the presentation,
the team did state that the overall lead firm for the project would be Star Anrerica, the
finance/developer team nember. However, this appears to deviate from what the team originally
stated in its proposal indicating that there would be several team firns that would be interacting with
the City, either solely or simultaneously. The lack of clarity in this area raises concerns for the ability
of so nany team nembers to deploy a project successfully, and for the City to hold a single party
accountable.
Additionally, while all team firns appear to be individually qualified, the issues raised above are
especially concerning since it is difficult to ascertain the number of similar projects that the firns
constituting Miami Beach Street Lighting Partners have successfully completed as a team. From its
proposal, it appears that four of the five team rnember firns have collaborated together on only one
project.
For the reasons stated herein, I recornrnend that the Mayor and City Comrnission approve the
Resolution authorilng the Adnilnistration to enter into negotiations with Johnson Controls, lnc., as
the top ranked proposer; and, should negotiations with Johnson Controls, lnc., fail, authorilng the
Administration to enter into negotiations with Citelum US, lnc., as the second highest ranked
proposer; and, should negotiations with Citelum US, lnc., fail, authorizing the Adm{nistration to enter
into negotiations with Miami Beach Street Lighting Partners, as the third highest ranked proposer;
further, authoriZng the Mayor and City Clerk to execute the agreenent with the successful firm.
Page 38 of 390
26
FINANCIAL INFORMATION
TBD.
Legislative Tracking
Public Works/P rocu rernent
ATTACHMENTS:
Description
o AttachmentA
o Firm Summaries
a Resolution
Page 39 of 390
27
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A summary, based on the information contained in the proposals, of each of the three top-
ranked firms follows:
Johnson Controls, lnc.
According to the firm, developing a future proof smart city program requires significant
technological expertise and realworld implementation experience. They have evaluated several
potential partners and assembled a cohesive team that brings the smart city expertise, project
experience, local utility knowledge and understanding of local stakeholders that will help tum
Miami Beach into a smart island. As the team leader in the Smart Street Lighting project,
Johnson Controls will be ultimately responsible for all aspects of the project design, financing,
community outreach and implementation. CH2M brings their extensive smart city planning
experience from around the country and the world. Hotwire Communications has implemented
major related communications networks and will be the telecommunications manager. lnfinite
Source Communications Group brings established relationships with Miami Beach stakeholders
from leading the public outreach efforts of several major projects.
With the experience of Johnson Controls, their partner firms and the key personnel they have
dedicated to Miami Beach, they will help the City improve the lighting infrastructure to preserve
the history and beauty of the city, establish appropriate light levels, and reduce energy and
maintenance costs while maintaining the occurrence and density of sea turtle nesting through
environmentally sensitive technology. The system will improve the safety of area streets by
implementing a Johnson Controls solution focused on adaptable and expandable technology. A
Johnson Controls lighting system is intelligent, adaptable and future ready and can be
connected to other systems that monitor gunshot detection, street flooding, air quality, traffic
flow and parking needed for a world class cultural entertainment tourism capital and
international center for innovation and business.
Citelum US. lnc.
According to the firm, Citelum is a global expert with respect to Lighting Master Plans and has
provided planning services to cities across the globe. Streetlights are no longer simply a means
to light roadways and neighborhoods. The location of streetlight assets throughout the city
means that a modern streetlight system can serve as a data communication network and the
foundation of a truly "smart city." As such, it is necessary that such a network be robust enough
not only to serve the City's current needs, but to serve them well for many years into the future
as technology evolves. Citelum believes that its experience in designing and implementing
world-class smart city solutions, as well as its partnership with Cisco, positions the firm to
exceed the City's goals in implementing the solution sought by the City in its RFQ.
Cisco has worked with cities across the globe to create Cisco@ Smart+ConnectedrM
Communities solutions that accommodate the diverse conditions found in each city. The Cisco@
Smart+Connected Digital Platform, part of the Smart+Connected Communities solution set,
connects a city's digital services and infrastructure, from devices to applications, into a cohesive
view that can easily extend to include other services. All that is required is integration with
Cisco's APls, and any sensor and application will function within one integrated, cohesive
infrastructure. This allows seamless integration of technology currently on the market, as well as
technology released in the future.
While the technology aspect of lighting is important to the future of the City, so are the functional
and aesthetic aspects of its lighting. Citelum manages over 2.5 million streetlights around the
world and believes that decades of experience uniquely qualify the team to ensure that the right
light, for the right application, for every location of the City of Miami Beach is planned, installed
Page 41 of 390
29
and maintained. Additionally, its global artistic lighting experience with such iconic structures as
the Eiffel Tower, Tower Bridge in London and the Case Memorial Bridge over the Potomac in
Washington, DC will allow it to bring unique and beautiful artistic lighting designs to Miami
Beach.
Miami Beach Smart Liqhtinq Partners (MBSLP)
According to MBSLP, the firm will lead, develop and deliver this innovative project, providing
unparalleled collective experience. The firms that have come together to form the project team
are all national and global leaders in smart city and lighting design, construction, asset
management, maintenance and finance. The team believes this makes MBSLP uniquely
qualified to deliver a state of the art, first of its kind smart lighting platform for the City of Miami
Beach. This is the exact same team of companies is just days away from an on -time
completion of the construction phase of the Metro Region Freeway Lighting P3 Project in
Michigan (MDOT Lighting P3 Project). This ground-breaking project is the first LED roadway
lighting public private partnership (P3) in the United States. With MBSLP, the City will benefit
from a team that has recently worked together successfully gaining this profoundly relevant
experience. Every best practice of the MDOT Lighting P3 Project, as well as the team's
collective experience working on similar projects, will ensure a state of the art system, utilizing
cutting edge technologies and exceeding the City and its resident's expectations for the project.
Their team also recognizes the strong desires for the City of have a robust and comprehensive
stakeholder and local community outreach initiative, to listen and engage its citizens in the
development of this project. To meet this important project need, their team has brought on
Media Relations Group, LLC (MRG) to help facilitate that interaction. MRG will lead
discussions, solicit feedback and input, provide education, information and customer support
throughout the entire project.
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30
RESOLUTION NO.
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THEclw MANAGER, PURSUANT TO REQUEST FOR QUALIFICATIONS (RFO)
NO. RFQ 2017.119.K8, SMART CITY STREET LIGHTING SYSTEM
DESIGN, BUILD, OPERATE, AND MAINTAIN; AUTHORIZING THE
ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH JOHNSON
CONTROLS, lNC., AS THE TOP RANKED PROPOSER; AND, SHOULD THE
NEGOTIATIONS WTH JOHNSON CONTROLS, INC., FAIL, AUTHORIZING
THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH CITELUM
US, tNC.,, AS THE SECOND HIGHEST RANKED PROPOSER; AND, SHOULD
NEGOTTATTONS WITH CTTELUM US, tNC., FA|L, AUTHORTZTNG THE
ADMINISTRATION TO ENTER INTO NEGOTIATIONS WTH MIAMI BEACH
STREET LIGHTING PARTNERS, AS THE THIRD HIGHEST RANKED
PROPOSER; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK
TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL
NEGOTIATIONS BY THE ADMINISTRATION.
WHEREAS, on June 7, 2017, the City Commission approved the issuance of Request
for Qualifications (RFO) No. 2017-11g-KB for Smart City Street Lighting System - Design, Build,
Operate, and Maintain; and
WHEREAS, the RFQ was released on June 14, 2017, with an opening date of August
14,2017; and
WHEREAS, pre-proposal conference to provide information to the proposers submitting
a response was held on June 23,2017; and
WHEREAS, the City received proposals in response to the RFQ from the following nine
(9) firms: Airis USA, LLC; Ameresco, lnc.; Citelum US, lnc.; Horsepower Electric, lnc.; Johnson
Controls, lne.;-MasTee-North ,America, Inc.; Miami Beach Smart Lighting Partners; Noresco,
LLC; and Siemens lndustry, lnc.; and
WHEREAS, on July 26, 2A17, via LTC # 382-2017, the City Manager appointed the
Evaluation Committee (the "Evaluation Committee"), which convened on August 23,2017 to
consider the proposals submitted; and
WHEREAS, the Evaluation Committee's rankings were as follows: (1) Johnson Controls,
tnc.; (2) Miami Beach Smart Lighting Partners; (3) Horsepower Eleclric, lnc.; (4) Noresco, LLC;
(5) Citelum US, lnc; (6) Ameresco, lnc.; (7) MasTec North America, lnc.; (8) Siemens lndustry,
lnc.; and (9) Airis USA, LLC; and
WHEREAS, on October 23, 2017, the City Manager, as part of his due diligence in
making a recommendation for award to City Commission, requested that firms wishing to be
considered for award pursuant to the RFQ make oral presentations; and
WHEREAS, through the oral presentations conducted by the City Manager, the City
Manager personally heard from each of the proposers, asked questions of each of the
proposers, and was able to form his own impressions based on his review of the proposals and
the presentations made to the City Manager; and
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31
WHEREAS, based on the City Manager's due diligence, the City Manager has made a
recommendation that differs slightly from the rankings of the Evaluation Committee, but that the
City Manager believes is consistent with what a project of this sort will require, and which
reflects the City Manager's impression of the demonstrated experience and qualifications of
each proposer to move the City fonruard with improved lighting, proven Smart City technologies,
and resident engagement; and
WHEREAS, atter review of the proposals and considering the presentations provided by
each firm, the City Manager concurs with the Evaluation Committee to the extent that it
recommended Johnson Controls as the best qualified firm for the project; and
WHEREAS, with respect to second and third ranked proposers, although the Evaluation
Committee has ranked Miami Beach Street Lighting Partners and Citelum US, lnc. as the
second and fifth ranked proposers, respectively; it is the City Manager's opinion that the Citelum
proposal has provided a combination of qualifications and technological approach that, while not
as favorable as Johnson Controls, the highest ranked proposer, would be better suited for the
City's requirements than that offered by Miami Beach Street Lighting Partners, a consortium of
five (5) firms, and particularly given the City Manager's concerns regarding Miami Beach Street
Lighting Partners approach to the deployment of the project and the consortium's approach to
its organizational line of authority among the flve different firms; and
WHEREAS, for the reasons as specified in the Commission Memorandum
accompanying this Resolution, the City Manager has recommended that the Mayor and City
Commission authorize the Administration to enter into negotiations with Johnson Controls, lnc.,
as the top ranked proposer; and, should negotiations with Johnson Controls, lnc., fail, authorize
the Administration to enter into negotiations with Citelum US, lnc.,, as the second highest
ranked proposer; and, should negotiations with Citelum US, lnc., fail, authorize the
Administration to enter into negotiations with Miami Beach Street Lighting Partners, as the third
highest ranked proposer; further, authorize the Mayor and City Clerk to execute the agreement
with the successful firm.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE GITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby accept the recommendation of the City Manager pertaining to the ranking
of proposals, pursuant to Request for Qualifications (RFQ) No. 2017-119-KB for Smart City
Street Lighting System - Design, Build, Operate, and Maintain; authorize the Administration to
enter into negotiations with Johnson Controls, lnc., as the top ranked proposer; and, should
negotiations with Johnson Controls, lnc., fail, authorize the Administration to enter into
negotiations with Citelum US, lnc.,, as the second highest ranked proposer; and, should
negotiations with Citelum US, lnc., fail, authorize the Administration to enter into negotiations
with Miami Beach Street Lighting Partners, as the third highest ranked proposer; and further
authorize the Mayor and City Clerk to execute an agreement upon conclusion of successful
negotiations by the Administration.
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32
PASSED AND ADOPTED this day of 2017.
Philip Levine, Mayor
ATTEST:
Rafael E. Granado, City Clerk
f:\nceruoeUOtT\to - OctobeA0ctober 3't\Oclober 3l\Procurement\RFQ 2017-1 19-KB SMART City Street
Lighting\RFQ-2o1 7-1 1g-KB SMART Cib, Lighting ' Resolution v2.doc
APPBOVED AS TO
FOBM & I.ANGUAGE
&FOREXECUTION
,.\.- {., -}L-(ucny@
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34
Resolutions - G7 F
COMMISSION MEMOMNDUM
Honorable Mayor and Members of the City Commission
Commissioner John Elizabeth Aleman
October 31,2017
MIAMIBEACH
TO:
FROM:
DATE:
SUBJECT A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, AUTHORIZING THE ADMINISTRATION TO
NEGOTIATE AN AGREEMENT WITH THE SCHOOL BOARD OF MIAMI.DADE
COUNTY PUBLIC SCHOOLS; SAID AGREEMENT, IN MATERIAL PART,
PROVIDING FOR A CITY CONTRIBUTION TOWARD THE MAINTENANCE OF
THE ATHLETIC FIELD AT MIAMI BEACH SENIOR HIGH SCHOOL, THROUGH
MATCHING FUNDS, lN AN AMOUNT NOT TO EXCEED $22,000 ANNUALLY TO
ENSURE THAT ONE-HUNDRED PERCENT (100%) OF THE HtcH SCHOOL'S
ATHLETIC FIELD IS USABLE DURING THE REMAINDER OF THE 2017-2018
SCHOOL YEAR; AUTHORIZING THE RENEWAL OF THE AGREEMENT FOR UP
TO TWO (2) ADDITIONAL ONE-YEAR TERMS THEREAFTER (SUBJECT TO
ANNUAL BUDGETARY APPROVAL BY THE CITY COMMISSION); AND
ADDRESSING POSSIBLE USAGE, BY THE CITY OF THE ATHLETIC FIELD
AFTER-SCHOOL HOURS AND DURING WEEKENDS; AND FURTHER
AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT UPON
CONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION.
RECOMMENDATION
Approval of the Resolution.
ANALYSIS
The Education Compact with Miami-Dade County Public Schools (M-DCPS), established on
January 16, 2008, includes the outcorne to increase the health and well-being of students in Miami
Beach public schools. The activities included in the Compact agreement to support this outcone
include the following:
o The M-DCPS District (the District) will rnaintain health clinics (nurse practitioners and/or
registered nurses) at Fienberg-Fisher, Biscayne, Nautilus, and Miami Beach Senior High
School (the High School), subject to continued available funding, and will work with all Miami
Beach schools to coordinate visits from the Health Connect on Wheels service (as available) or
similar service to schools and/or Miami Beach recreation centers;
o The District and the City of Miami Beach (the City) will collaborate to deliver inforrmtion
regarding health and wellness education, prevention and intervention strategies regarding
nutrition, physical activity levels, and health nnintenance in accordance with the District's
Wellness lnitiative;
o The City will explore the development of a middle school-level after-school program. The
District will collaborate with the City by assisting with the recruitrnent of students, including
Page 57 of 426
35
providing space within District-owned facilities as needed, and eploring expanded
transportation options for pafticipating students; and
o District will erylore the epansion of fulltime nurse practitioners and/or registered nurses at
schools without health clinics, subject to available funding.
Currently, the rnajority of the athletic field at the High School is not usable and the inability for
youth at the High School to utilize 100% of the athletic field year round is limiting the athletic
prograns for the High School..
ln support of the outcone to support the health and well-being of youth, on October 24, 2017,
the Committee for Quality Education submitted the following nntion for consideration by the
City of Miami Beach:
The Committee for Quality Education asks the Miami Beach Mayor and City Commission
to immediately request, for the 2017-18 school year, that Miami-Dade County Public
Schools partner with the City of Miami Beach to assist in helping the Miami Beach Senior
High School field be 100% usable by rnatching rnaintenance funds up to $22,000; and
negotiate to allow community access after-school hours and weekends when the field is not
being used by Miami Beach Senior High Schoolyouth.
Additionally, a partnership with M-DCPS rnay increase recreational field space for community youth
after-school, summer and on weekends when available. The City and MDCPS have existing joint
use agreerrents for other greenspace located at Nautilus Middle School and Biscayne Elenentary
School for use of park and playground recreational purposes. Furthernpre, the City has a current
Use Agreernent with MDCPS which dates back to 2001, which allows the High School the use of
the Baseball and Softball fields at Flamingo Park (the Flamingo Park Agreenent) in order to benefit
the students of the school and to rnake facilities available for recreational programs and activities.
Pursuant to this agreement the Board reimburses the City at an established anpunt of $22,203.67
for the prorated share of the annual maintenance costs for use of the fields at Flamingo Park.
The Administration is recomnending the City partner with MDCPS to allow for immediate full use of
the athletic field by youth at Miami Beach Senior High School, by entering into an agreernent,
providing, in rnaterial part, for the City to contribute up to $22,000 toward the rnaintenance of the
High School field for lhe 2017-2018 school year, from the current funds which the City receives
pursuant to the Flamingo Park Agreenent; for two (2) one-year renewal options, at the City's option,
subject to budgetary approvals; and for use by the City during tines when the field is not being used
by the High School youth.
CONCLUSION
Commission direction on negotiation of an agreernent with M-DCPS for rnaintenance of athletic field
at Miami Beach Senior High School.
KEY INTENDED OUTCOMES SUPPORTED
Achiere Educational (K-12) E>aellence
Leqislative Trackino
O rga nizational DeveloprnenUPa rks and Recreation
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36
Soonsor
Commissioner J ohn E I izabeth Alernan
ATTACHMENTS:
Description
o Resolution
Page 59 of 426
37
RESOLUTION NO.
A RESOLUTION OF THE MAYOR AND CIry COMMISSTON OF THE CITY OF
MIAMI BEACH, FLORIDA, AUTHORIZING THE ADMINISTRATION TO
NEGOTIATE AN AGREEMENT WITH THE SCHOOL BOARD OF MIAMI.DADE
COUNTY PUBLIC SCHOOLS; SAID AGREEMENT, lN MATERIAL PART,
PROVIDING FOR A CITY CONTRIBUTION TOWARD THE MAINTENANCE OF
THE ATHLETIC FIELD AT MIAMI BEACH SENIOR HIGH SCHOOL, THROUGH
MATCHING FUNDS, IN AN AMOUNT NOT TO EXCEED $22,OOO ANNUALLY, TO
ENSURE THAT ONE-HUNDRED PERCENT (100%) OF THE HlcH SCHOOL'S
ATHLETIC FIELD IS USABLE DURING THE REMAINDER OF THE 2017-2018
SCHOOL YEAR; AUTHORIZING THE RENEWAL OF THE AGREEMENT FOR UP
TO TWO (2) ADDITIONAL ONE-YEAR TERMS THEREAFTER (SUBJECT TO
ANNUAL BUDGETARY APPROVAL BY THE CITY COMMISSION); AND
ADDRESSING POSSIBLE USAGE, BY THE CITY, OF THE ATHLETIC FIELD
AFTER.SGHOOL HOURS AND DURING WEEKENDS; AND FURTHER
AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT UPON
CONCLUSION OF SUGCESSFUL NEGOTIATIONS BY THE ADMINISTRATION.
WHEREAS, the Education Compact with Miami-Dade County Public Schools (M-DCPS),
established on January 16, 2008, includes the outcome to increase the health and well-being of
students in Miarni Beach public schools; and
WHEREAS, the activities included in the Compact agreement to support this outcome
include the following:o the M-DCPS District (the District) will maintain health clinics (nurse practitioners
and/or registered nurses) at Fienberg-Fisher, Biscayne, Nautilus, and Miami Beach
Senior High School (the High School), subject to continued available funding, and
will work with all Miami Beach schools to coordinate visits from the Health Connect
on Wheels service (as available) or similar service to schools and/or Miami Beach
recreation centers;o the District and the City of Miami Beach (the City) will collaborate to deliver
information regarding health and wellness education, prevention and intervention
strategies regarding nutrition, physical activity levels, and health maintenance in
accordance with the District's Wellness lnitiative;. the City will explore the development of a middle school-level after-school program,
and the District will collaborate with the City by assisting with the recruitrnent of
students, including providing space within District-owned facilities as needed, and
exploring expanded transportation options for participating students; ando the District will explore the expansion of full-time nurse practitioners and/or
registered nurses at schools without health clinics, subject to available funding; and
WHEREAS, currently a majority of the athletic field at the High School is not usable and
the inability for youth at the High School to utilize 100% of the athletic field year round is limiting
the athletic programs at the High School; and
WHEREAS, ln support of the outcome to support the health and well-being of youth, on
October 24,2017, the Committee for Quality Education submitted the following motion for
consideration by the City:
Page 60 of 426
38
(1) that the Miami Beach Mayor and City Commission immediately request, for lhe 2017-
18 school year, that M-DCPS partner with the City to assist in helping the High School
field be 100% usable by matching maintenance funds up to $22,000; and
(2) that MDCPS and the City negotiite to allow community access after-school hours and
weekends when the field is not being used by the High School youth; and
WHEREAS, M-DCPS and the City currently have joint use agreements for the use of
greenspace at Nautilus Middle School and Biscayne Elementary School, and use of the baseball
and softball fields at Flamingo Park (the Flamingo Park Agreement); and
WHEREAS, pursuant to the Flamingo Park Agreement, the City currently receives
$22,203.67 from M-DCPS for annual maintenance costs; and
WHEREAS, the Administration recommends that the City execute an agreement with M-
DCPS for the 2017-2A18 school year, with two (2) one-year renewal terms, at the City's option,
providing for a City contribution, in an amount not to exceed $22,000, toward the maintenance of
the High Sohool field, with the first year's contribution to be funded from the current funds which
the City receives pursuant to the Flamingo Park Agreement; and further providing for use by the
City of the High School field when the field is not being used by the High School youth.
NOW, THEREFORE, BE IT DULY RESOLVED THAT THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEAGH, FLORIDA, that the Mayor and City Commission
hereby authorize the Administration to negotiate an agreement with the School Board of Miami-
Dade County Public Schools; said agreement, in material part, providing for a City contribution
toward the maintenance of the athletic field at Miami Beach Senior High School, through matching
funds, in an amount not to exceed $22,000 annually, to ensure that one-hundred percent (1000/o)
of the High School's athletic field is usable during the remainder of the 2017-2018 school year;
authorizing the renewal of the agreement for up to two (2) additional one-year terms thereafter
(subject to annual budgetary approval by the City Commission); and addressing possible usage,
by the City, of the athletic field after-school hours and during weekends; and furlher authorize the
City Manager to execute the agreement upon conclusion of successful negotiations by the
Administration,
PASSED and ADOPTED this day of 2017.
ATTEST:
RAFAEL E, GRANADO, CITY CLERK PHILIP LEVINE, MAYOR
APPROVED AS TO
FORM &
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40
Resolutions - R7 H
COMMISSION MEMOMNDUM
Honorable Mayor and Members of the City Commission
Jimmy L. Morales, City Manager
October 31,2017
MIAMIBEACH
TO:
FROM:
DATE:
SUBJECT A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, (1) APPROVTNG AND AUTHORTZTNG THE MAYOR AND
CITY CLERK TO EXECUTE A SETTLEMENT AGREEMENT BETWEEN THE CITY
OF MIAMI BEACH, FLORIDAAND SUNTRUST BANK, WITH RESPECT TO THE
2016 THEFT OF FUNDS THAT OCCURRED FROM ONE OF THE CITY'S
SUNTRUST ACCOUNTS, INCLUDING, AMONG OTHER TERMS, A PAYMENT BY
SUNTRUST BANK TO THE CITY lN THE AMOUNT OF $536,258.00; (2)
APPROVING AND AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE
AMENDMENT NO. 1 TO THE TREASURY MANAGEMENT MASTER
AGREEMENT BETWEEN THE CITYAND SUNTRUST BANK, DATED FEBRUARY1, 2013, FOR THE PROVISION OF VARIOUS BANKING SERVICES,
INCORPORATING THE TERMS OF THE SETTLEMENT AGREEMENT; (3)
APPROVING A TERM SHEET FOR A GLOBAL SETTLEMENT AGREEMENT
AMONG THE CITY SUNTRUST BANK, STR MARKETPLACE, LLC., AND BANK
OF AMERICA, N.A., WITH RESPECT TO THE 2016 THEFT OF FUNDS,
INCLUDING, AMONG OTHER TERMS, A PAYMENT BY STR MARKETPLACE,
LLC TO THE C|TY tN THE AMOUNT OF $900,000.00; (4) AUTHORTZTNG THE
MAYOR AND CITY CLERK TO EXECUTE THE GLOBAL SETTLEMENT
AGREEMENT (CONSISTENT WITH THE TERM SHEET APPROVED HEREIN),
IN A FORM ACCEPTABLE TO THE CITY ATTORNEY AND (5) RATIFYING ALL
ACTIONS UNDERTAKEN BY THE CITY MANAGER WITH RESPECT TO THE
RECOVERY OF THE CITY'S FUNDS STOLEN FROM THE CITY'S SUNTRUST
ACCOUNT.
RECOMMENDATION
The Administration recommends that the Mayor and City Commission approve the foregoing
settlernents, as these settlernents will result in the City having recovered the total arrpunt of
$3,499,344. lt is important to note that this recovery has been achieved without protracted and
epensive litigation, and will likely result in full recovery of the rernaining outstanding anrcunts by the
end of the first quarter of 2018, if not sooner.
ANALYS!S
BACKGROUND
The City of Miami Beach has been a custoner with SunTrust for over 20 years. On November 14,
2012, the Mayor and City Commission adopted Resolution No. 2012-28055, approving an agreenent
between the City of Miami Beach, Florida "City" and SunTrust, pursuant to RFP No. 53-11/12, for
the provision of various banking services for a five (5)year term, with five (5) additional one (1)year
Page 324 ot 426
41
renewal options, at the City's option. Pursuant to City Commission Resolution No.2012-28055, the
City and SunTrust executed a Treasury Managenent Master Agreenrent, with the initial term
comnencing on January 1,2013, and expiring on Decernber31,2017 (the "Agreement").
The City currently has over 27 bank accounts with SunTrust and rnaintains an average daily
balances ranging from $92 to $170 million. Between July 29, 2016 and October 27,2016, the Cig
was a victim of theft with a total of $3,686,712 stolen from the City's General Depository Account
(#6568) nnintained by SunTrust (the "Account"), which funds were stolen through the use of
fraudulent and unauthorized Autornated Clearing House (ACH) debits from the Account. A rnajority of
the debits were to a Bank of Anerica account held by STR Marketplace, LLC, a Texas firm that runs
an online rnarketplace for "personal seat licenses" for seats at professional sporting events.
On or about May 31 , 2017, an individual in New York was criminally charged with committing the
offenses of bank fraud and aggregated identity theft. The individual was in violation of federal laq
based on the individual's fraudulent use of the City's funds from the Account to purchase personal
seat licenses and re-sell individual seat tickets through online services such as Craigslist and
StubHub.
The City has worked diligently to mitigate its dannges from the theft and has recovered $2,063,086
to date. Despite the City's best efforts, it has been unable to recover the rernaining $1,623,626 that
was stolen from the Account.
PROPOSED SETTLEMENTAGREEMENT WITH SUNTRUST BANK, N.A.
bn July 10,2017, the City notified SunTrust of potential clains due to the foregoing bank fraud.
Although SunTrust has denied any liability to the City ielating to the bank fraud rnatter it has
cooperated with and assisted the City subsequent to the fraud in recovering funds and improving
internal controls. As such, in recognition of those efforts and the bank's longstanding relationship with
the City, both SunTrust and the City desire to facilitate a comrrercial resolution of the foregoing
issues.
Accordingly, without any admission of liability whatsoever and with a reservation of all rights,
SunTrust has submitted a proposal to the City, the terrns of which are rnemorialized in the Settlenrent
Agreernent attached as Exhibit "A'. The proposed Settlenrent Agreenrent provides for the following:
1. An extension of the term of the Agreenent for banking services for a period of two (2) years,
pursuant to the City's renewal option as provided in RFP No. 53-11/12and City Commission
Resolution No. 201 2-28055;
2. An increase of forty five (45) basis points (for a total of 50 basis points) with respect to the
interest rate the City earns on the excess balance on various accounts rnaintained at SunTrust;
3. The retroactive application of the increased interest rate, effective as of January 1 ,2017;
4. An adjustrnent of the City's Earning Credit Rate (ECR), which serves as a npnthly credit
against bank fees the City is otherwise obligated to pay; and
5. A mutual release of clairns relating to the foregoing bank fraud rnatter.
The proposed Settlernent Agreernent (and Anrendnrent No. 1 to the Treasury Managernent
Agreenent, attached as Extribit "8" hereto, incorporating the terns of the Settlenent Agreenent),
would result in the City, within sixty days after the execution of the Agreernent, recovering a minimum
anpunt of $536,258 plus interest earned from November 1 through December 31, 2017. The
Page 325 of 426
42
Agreernent also establishes the frarnework for the City to recover additional earnings each nronth
during the renewal term, with the monthly earnings depending on the volurne of transactions and the
average nnnthly balance in the accounts.
The Administration has benchrnarked the SunTrust proposal, and Administration recomrnends the
approval of Anrendnent No. 1 as being in the City's best interest, particularly in view of the highly
competitive ternrs and retroactive nature of the proposal to Jan. 1, 2017 .
TERM SHEET FOR GLOBAL SETTLEMENT WITH STR MARKETPLACE. LLC
Tn" ROrinistration has also negotiated a proposed settlenent with STR Marketplace, LLC,
whereby STR Marketplace, LLC agrees to nnke a lump sum paynent to the City in the anrcunt of
$900,000 to settle all clainrs anpng the parties with respect to the 2016 theft of funds.
The proposed Term Sheet for a Global Settlernent Agreenent arnong the City, STR Marketplace,
LLC., Bank of Arnerica and SunTrust, is attached as Eiribit "C" hereto, and provides for the
$900,000 paynrent to the City within five business days of the executed Agreernent and a mutual
release of all clains anpng the parties relating to the 57 ACH transactions at issue.
As STR Marketplace has proposed a global settlenent arrpng the parties, the City's proposed
settlernent with STR Marketplace, LLC depends in part on SunTrust's agreernent to release any
clains SunTrust rnay have against STR Marketplace and Bank of Anerica, N.A.
ln further support of the City's Settlenent Agreenrent with SunTrust, and continued relationship
with SunTrust Bank, SunTrust has agreed to provide the mutual releases requested by STR
Marketplace and Bank of Arnerica, in an effort to facilitate the City's recovery of $900,000 from
STR Marketplace and bring closure to all parties with respect to the 2016 theft of funds.
Accordingly, of the total $3,686,712 stolen from the City's account, the Administration recomrnends
that the Mayor and City Commission approve the foregoing settlernents, as these settlenents will
result in the City having recovered the total anrcunt of $3,499,344, not including any anpunts the
City intends to pursue in the pending criminal forfeiture proceeding, and not including any additional
monthly earnings accruing to the City as a result of the adjusted ECR and interest rate as part of the
Agreement with SunTrust. lt is important to note that this recovery has been achieved without
protracted and expensive litigation, and will likely result in full recovery of the renaining outstanding
arpunts by the end of the first quarter of 2018, if not sooner. Finally, it is also important to highlight
that to date, there has been no evidence that any City ernployee was in any way involved with the
fraud and theft.
Leoislative Trackino
Finance
ATTACHMENTS:
Description
o Resolution
Page 326 of 426
43
D E*libit A - Settlement Agreement with SunTrust
o Exhibit B - Amendment No. 1 to SunTrust Treasury ManagementAgreement
^ E$ibit C - Term Sheet for Proposed Global Settlement among the City, STR Marketplace, SunTrust and' Bank of America
Page 327 of 426
44
RESOLUTION NO,
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CIW OF
MtAMt BEACH, FLOR|DA, (r) AppROVtNG AND AUTHORTZTNG THE MAYOR
AND CITY CLERK TO EXECUTE A SETTLEMENT AGREEMENT BETVVEEN THE
CITY OF MIAMI BEACH, FLORIDA AND SUNTRUST BANK, WITH RESPECT TO
THE 2016 THEFT OF FUNDS THAT OCCURRED FROM ONE OF THE CITY'S
SUNTRUST ACCOUNTS, INCLUDING, AMONG OTHER TERMS, A PAYMENT BY
SUNTRUST BANK TO THE CITY lN THE AMOUNT OF $536,258.00; (21
APPROVING AND AUTHORIZING THE MAYOR AND CIry CLERK TO EXEGUTE
AMENDMENT NO. { TO THE TREASURY MANAGEMENT MASTER
AGREEMENT BETWEEN THE CITY AND SUNTRUST BANK, DATED FEBRUARY1, 2013, FOR THE PROVISION OF VARIOUS BANKING SERVICES,
INCORPORATING THE TERMS OF THE SETTLEMENT AGREEMENT; (3)
APPROVING A TERM SHEET FOR A GLOBAL SETTLEMENT AGREEMENT
AMONG THE CITY, SUNTRUST BANK, STR MARKETPLACE, LLC., AND BANK
OF AMERICA, N.A., WITH RESPECT TO THE 2016 THEFT OF FUNDS,
INCLUDING, AMONG OTHER TERMS, A PAYMENT BY STR MARKETPLACE,
LLC TO THE CITY lN THE AMOUNT OF $900,000.00; (4) AUTHORIZING THE
MAYOR AND CITY CLERK TO EXECUTE THE GLOBAL SETTLEMENT
AGREEMENT (CONSISTENT WITH THE TERM SHEET APPROVED HEREIN), IN
A FORM ACCEPTABLE To THE clTY ATTORNEY; AND (5) RATIFYING ALL
ACTIONS UNDERTAKEN BY THE GITY MANAGER WITH RESPECT TO THE
RECOVERY OF THE CITY'S FUNDS STOLEN FROM THE CITY'S SUNTRUST
ACCOUNT.
WHEREAS, the City has been a customer of SunTrust Bank ("SunTrust") for over two
decades; and
WHEREAS, on November 14, 2012, the Mayor and City Commission adopted
Resolution No.2012-28055, approving an agreement between the City of Miami Beach, Florida
("City") and SunTrust, pursuant to RFP No. 53-11112, for the provision of various banking
services for a five (5) year term, with five (5) additional one (1) year renewal options, at the
City's option; and
WHEREAS, pursuant to City Commission Resolution No. 2012-28055, the City and
Suntrust executed a Treasury Management Master Agreement, with the initial term
commencing on January 1,2013, and expiring on December 31, 2A17 (the "Agreement'); and
WHEREAS, pursuant to the Agreement, the City currently has over 27 bank accounts
with Sun:Irust and maintains an average daily balance with SunTrust ranging from $92 million to
$170 million; and
Page 328 of 426
45
WHEREAS, between July 29, 2Q16 and October 27, 2016, the City was a victim of a
theft of a total of $3,686,712 stolen from the City's General Deposltory Account (-6568)
maintained by SunTrust (the "Account"), which funds were stolen through the use of fraudulent
and unauthorized Automated Clearing House (ACH) debits from the Account; and
WHEREAS, a majority of the debits were to a Bank of America account held by a Texas
firm, STR Marketplace, LLC, that runs an online marketplace for "personal seat licenses" for
seats at professional sporting events; and
WHEREAS, on or about May 31, 2017, an individual in New York was criminally charged
with committing the offenses of bank fraud and aggregated identity theft, in violation of federal
law, based on the individual's fr:audulent use of the City's funds from the Account to purchase
personal seat licenses and re-sell individual seat tickets through online services such as
Craigslist and StubHub; and
WHEREAS, the City has worked diligently to mitigate its damages from the theft and
has recovered $2,063,086 to date; and
WHEREAS, in connection with a pending forfeiture proceeding related to the criminal
prosecution referenced above, the United States Department of Justice has seized two bank
accounts with a total of $112,510, and the City has filed a petition for remission of property in
connection therewith; and
WHEREAS, despite the City's best efforts, it has to date been unable to recover
$1,623,626 that was stolen from the Account; and
WHEREAS, on July 10,2017, the City notified SunTrust of potential claims due to the
foregoing bank fraud; and
WHEREAS, although SunTrust has denied any liability to the City relating to the bank
fraud matter, in recognition of SunTrust's community presence in the City of Miami Beach, and
its longstanding relationship with the City, both SunTrust and the City desire to facilitate a
commercial resolution of the foregoing issues; and
WHEREAS, without any admission of liability whatsoever and with a reservation of all
rights, SunTrust has submitted a proposal to the City, the terms of which are memorialized in
the Settlement Agreement, attached as Exhibit uA' to the Commission Memorandum
accompanying this Resolution; and
WHEREAS, the proposed Settlement Agreement (and Amendment No. 1 to the Master
Treasury Agreement, attached as Exhibit 'B' to the Commission Memorandum accompanying
this Resolution) provides for the following:
. an extension of the term of the Agreement for banking services for a period of
two (2) years, pursuant to the City's renewal option as provided in RFP No. 53-1 1112 and City
Commission Resolution No. 2012-28055; and
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46
. an adjustment of the City's Earning Credit Rate (ECR), which serves as a
monthly credit against bank fees the City is othenruise obligated to pay; and
. an increase of forty-five (45) basis points with respect to the interest rate the City
earns on the excess balance on various accounts maintained at SunTrust; and
r the retroactive application of the increased interest rate to specified accounts,
effective as of January 1,2017; and
. a mutual release of claims relating to the foregoing bank fraud matter; and
WHEREAS, the proposed Settlement Agreement would result in the City recovering the
amount of $536,258.00, and establishes the fr:amework for the City to recover additional
amounts each month during the renewal term, with the monthly earnings depending on the
volume of transactions and the average monthly balance in the accounts; and
WHEREAS, the Administration has benchmarked the SunTrust proposal, and
Administration recommends the approval of the Settlement Agreement and Amendment No. 1
as being 1n the City's best interest, particularly in view of the competitive terms and retroactive
nature ofthe proposal to Jan. 1,2017; and
WHEREAS, the Administration has also negotiated a proposed settlement with STR
Marketplace, LLC, whereby STR Marketplace, LLC agrees io make a lump sum payment to the
City in the amount of $900,000 to settle all claims among the parties with respect to the 2016
theft of funds; and
WHEREAS, the proposed Term Sheet for a Global Settlement Agreement among the
City, STR Marketplace, LLC., Bank of America and SunTrust, is attached as Exhibit "C" to the
Commission Memorandum accompanying this Resolution, and provides for the $900,000
payment to the City, and a mutual release of all claims among the parties relating to the 57
ACH transactions at issue; and
WHEREAS, the City's proposed settlement with STR Marketplace, LLC depends in part
on SunTrust's agreement to release any claims SunTrust may have against STR Marketplace
and Bank of America, N,A.; and
WHEREAS, in further support of the City's Settlement Agreement with SunTrust, and
continued relationship with SunTrust Bank, SunTrust has agreed to provide the mutual releases
requested by STR Marketplace and Bank of America, in an effort to facilitate the City's recovery
of $900,000 from STR Marketplace and bring closure to all parties with respect to the 2016 theft
of funds;
WHEREAS, of the total $3,686,712 stolen from the City's account, the Administration
recommends that the Mayor and City Commission approve the foregoing settlements, as these
settlements will result in the City having recovered the total amount of $3,499,344, not including
any amounts the City intends to pursue in the pending criminal forfeiture proceeding (with a
maximum potential recovery of $112,510), and also not including any additional monthly
earnings accruing to the City as a result of the adjusted ECR and interest rate that will be
Page 330 of 426
47
applied to the Clty's accounts through the Settlement Agreement with SunTrust.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE GITY GOMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA that the Mayor and City Commission hereby (1) approve
and authorize the Mayor and City Clerk to execute a Settlement Agreement between the City of
Miami Beach, Florida and SunTrust Bank, with respect to the 2016 theft of funds that occurred
from one of the City's SunTrust accounts, including, among other terms, a payment by
SunTrust Bank to the City in the amount of $536,258.00; (2) approve and authorize the Mayor
and City Clerk to execute Amendment No. 1 to the Treasury Management Master Agreement
Between the City and SunTrust Bank, dated February 1, 2A13, for the provision of various
Banking Services, incorporating the terms of the Settlement Agreement; (3) approving a Term
Sheet for a Global Settlement Agreement among the City, SunTrust Bank, STR Marketplace,
LLG, and Bank of America, N.A., with respect to the 2016 theft of funds, including, among other
terms, a payment by STR Marketplace, LLC to the City in the amount of $900,000.00; (4)
authorizing the Mayor and City Clerk to execute the Global Settlement Agreement (consistent
with the term sheet approved herein) in a form acceptable to the City Attorney; and (5) ratifying
all actions undertaken by the City Manager with respect to the recovery of the City's funds
stolen from the City's SunTrust account.
PASSED AND ADOPTED this day of 201V.
ATTEST:
MAYOR
APPROVED AS TO
FORM & LANGUAGE
& FOR D(ECUTION
CIry CLERK
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48
Exhibit hjA,,t
Page 332 of 426
49
SETTLEMENT AGREEMENT
THIS SETTLEMENT AGREEMENT AND RELEASE (the "settlement Agreement") is
made and entered into this 3lst day of October, ZAfi (he "Effeotive Date'o), by and between the
City of Miami Beach (the "City") on the one hand, and SunTrust Bank ("SunTrust") on the other
hand (oollectively the "Parties" and each a"Party"),
RECITALS
WHEREAS, the City maintains a number of deposit banking accounts at SunTrust and a
list of such acoounts is attached hereto as Exhibit A (tfie accounts listed on Exhibit A are hereby,
the "Accounts");
WHEREAS, the Accounts were opened and are governed by, among other agreements, the
Request for Proposal, RFP NO. 53-1 l/12, For the Provision of Yarious Banking Services to the
Ctty of Mtami Beach, for a Flve-Year Period with Fiye One-Year Renewal Options, sought by the
City and responded to by SunTrust (the "Contract");
WHEREAS, the original term of the Contract was from January 1,20t3 to December 31,
2AL7 buthaq five (5) one-year renewal option periods that may be exeicised by the City (each an
"Option Period");
WHEREAS, the City alleges it suffered a loss related to or arising out of Automated
Clearing House (*ACH') debits that occurred in the Accounts between luly 29, 2016 and
Ootober 27, 2076 (the "Transactions");
WHEREAS, the City believes it has or may have claims, causes of action, counterclaims
or defenses which could be brought or asserted by the City against SunTrust related to or arising
9!t 9{{lege_d_fraudulent or unauthorized ACH debits that occumed in the Accounts between Juty
29,2016 and October 27,2016 (the "Claims");
WIIEREAS, a dispute has arisen between the Parties as to which Party is responsible for
the Transactions (the "Dispute");
WHEREAS, to avoid the further expenditure of time, effort and money, and without
determining the validity or invalidity of the position of each of the Parties with respect to the
Dispute, each of the Parties desires fully and finally to compromise, settle and resolve all olaims
and causes ofaotion between them as set forth herein; and
WHEREAS, SunTrust acknowledges that the City is entering into this Settlement
Agreement, in reliance upon SunTrust's agreement to release STR Marketplace, LLC and Bank
of America, N.A. with respect to the Transactions, as outlined in tho Non-Binding Term Sheet
for a Proposed Global Settlement among STR Marketplace,LLC, the City, SunTrust, and Bank
of America, N.A. presented to the City Commission at its October 31,2017 meeting.
Page 1 of5
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50
TERMS AND CONDITIONS
NOW, THEREFORE, in consideration of these premises and for good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties,
intending to be legally bound hereby, covenant and agree as follows:
1. Election of Option Period and Modilication of the Contract.
1.1. The City agrees to exeroise two (2) one-year Option Periods of the Contract
whioh will renew the Contract for two (2) years until December 31, 2019 (the 'oExercised Option
Periods"). The extension of the Contract under the Bxercised Option Periods will oontinue to be
governed by the same terms as the original period of the Contract except for the changes listed in
section 1.2 below.
1.2. The Parties agree that the Contract will be modified for the period of November l,
2017 until the end of the Exercised Option Periods as follows:
1,2,1, SunTrust will agree to convert all the Accounts to hybrid accounts in
which the balances of the Accounts are subject to being analyzedto potentially cover the fees
and expenses incumed for the Accounts (known as earnings credit analysis) and if such balanoes
are in exoess ofthat needed to cover the fees and expenses for the Accounts, to earn interest on
the Accounts for the balances exceeding the balances needod to cover the fees and expenses for
the Accounts;
1,2.2. SunTrust will apply a 60 basis points earnings credit to the Accounts for
any balances used to cover the fees and expenses incured for the Accounts; and
1.2,3. SunTrust will offer 50 basis points interest on any balances in the
Accounts that exceed the balances needed to cover the fees and expenses for the Accounts as
described in section 1.2,2, above.
1.2.4. The rate for the earnings credit and interest stated in sections 1.2.2 and
1.2.3 are in lieu of, and not in addition to, any other rate of eamings credit or intorest called for in
the Contract.
2. Payment of Additional Interest.
Within sixty (60) days of the Effective Date, SunTrust will deposit a total of Five
Hundred Thirty-Six Thousand Two Hundred Fifty-Eight Dollars andZero Cents ($536,258.00)
into one of the Accounts which amount is an approximation of the totalamount of additional
interest for the period of January 7,2017 through October 31,2017 that would have been paid
had the balances entitled to interest in the Accounts been paid interest at 50 basis points minus
the amount of interest actually paid in the Acoounts during the period, The City agrees and
affirms that other than this payment and any interest paid prior to the Effeotive Date, the City is
not entitled to any additional interest on the Accounts for any period prior to November 1,2077.
Page 2 of5
Page 334 of 426
51
3. Releases.
3.1. In consideration of the agreements by SunTrust as outlined in sections I and2
above and for other good and valid consideration, the receipt and suffioiency of which is hereby
acknowledged, the City, for itseli its officers, managers, employees, attorneys, agents,
representatives, successors, assigns and any other legal representatives, does hereby release,
acquit and forever discharge SunTrust, and its cument and former predecessors, successors,
acquiring entities, acquired entities, assigns, parents, affiliates and subsidiaries and eaoh ofits
ourrent and former directors, offioers, employees, attorneys, agents, and any other legal
representatives, of and from any and allactions, causes of action, claims, rights, suits,
proceedings, demands, relie{ liabilities, controversies, damages, losses and expenses (including
attorney's fees), whatsoever, in law or equity, which the City, either now has, had, or may
hereafter claim to have against those persons or entities by reason of any matter, act, omission,
o&use ot event that has occumed prior to the Effective Date and that relate to or arise out of the
Transactions, the Claims, or the Dispute. This release does not apply, however, to any claims
that the City may have under or arising out of the Settlement Agreement.
3.2. In consideration of the agreements by the City as outlined in section I above and
for other good and valid consideration, the receipt and sufficiency of which is hereby
acknowledged, SunTrust, for itself, its officers, employees, attorneys, agents, representatives,
successors, assigns and any other legal representatives, does hereby release, acquit and forever
disoharge the City, and its officers, managers, employees, attorneys, agents, representatives,
successors, assigns and any other legal representatives, ofand from any and all actions, causes of
aotion, olaims, rights, suits, proceedings, demands, relief, liabilities, controversies, damages,
losses and expenses (including attorney's fees), whatsoever, in law or equity, which SunTrust,
either now has, had, or may hereafter claim to.have against those persons or entities by reason of
any matter, act, omission, cause or event that has occured prior to the Effective Date and that
relate to or arise out of the Transactions, the Claims, or the Dispute. This release does not apply,
however, to any claims that SunTrust may have under or arising out of the Settlement
Agreernent.
4, Additional Terms.
4,1, The Settlement Agreoment was negotiated between the Parties at arm's length.
Each Party had ample opportunity to consult with independent legal counsel. No Party will be
entitled to have any language contained in the Settlement Agreement construed against any other
Pafly basod upon the identity of the drafter.
4.2. Tho Settlement Agreoment sets forth the entire agreement between the Parties
regarding the subject matter hereof and supersedes any and all prior agreements, negotiations and
understandings regarding such subject matter except as herein specifically set forth in this
settlement. The Settlement Agreement shall not be altered or modified except by written consent
of the Party or Parties against whom enforcement of the alteration or modification is sought.
Page 3 of 5
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52
4.3. The Parties agree that the Settlement Agreement represents a compromise
settlement of disputed claims and that nothing in the Settlement Agreement is intended to be, nor
shall it be construed as, an admission of wrongdoing by any Party.
4.4. Eaoh Party to the Settlement Agreement herein represents and warrants that: (a)
the person executing the Settlement Agreement on its behalf is duly aufiorizedto bind the Party
purporting to be bound thereby; (b) all formalities and approvals required to authorize the entry
into and performance of the Settlement Agreement have been undertaken; and (c) the entry into
and performance of the Settlement Agreement is not barred, prohibited or impaired by any law,
rule, regulation, contract, judgment, ordero or decree by which that Party is bound.
4.4. The Settlement Agreement shall be governed by and construed in aocordance with
the laws of the State of Florida without giving effect to its conflict of laws rules.
4,5, The Settlement Agreement may be executed in two or more counterparts, each of
which will be deemed an original, but all of which together shall constitute one and the same
instrument.
IN WITNESS WHEREOF, the Parties have caused this instrument to be executed on and
as of the day and year written below.
CITY OF MIAMI BEACH
By:
Title:
Sworn to and subscribed before me
this _ day of Octobe420l7.
Notary Public
My Commission expires:
APPROVED AS TO
FOHM & I.ANGUAGE
&FOB EXEOUTION
$Qn,t-
CttyAtbms! At\f
tlt -ZL'
Date
o
Page 4 of5
Page 336 of 426
53
UST BANK
By:
Print:
Title:
Sworn to and subsoribed before me
this _ day of October,201,7,
Notary Public
My Cornmission expires:
-
Page 5 of 5
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54
Exhibit A
LIST OF ALL ACCOUNT NUMBBRS
List of bank accounts on file with Cityts Finance Department; City's bank account
information is conlidential and exempt from public records disclosure pursuant to Section
119.071(5) of the Florida Statutes.
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55
Exhibit 13B"
Page 339 of 426
56
AMENDMENT NO. 1 TO THE
TREASURY MANAGEMENT MASTER AGREEMENT
BETI'VEEN THE CITY OF MIAMI BEACH, FLORIDA
AND
SUNTRUST BANK
This Amendment No. 1 (Amendment) to the Treasury Management Master Agreement,
dated February 1,2013, by and between the City of Miami Beach, Florida ("City"), and
SunTrust Bank, ("SunTrust"), is entered into this 31st day of October, 2017 (Effective
Date):
RECITALS
WHEREAS, on November 14, 2012, the Mayor and City Commission adopted
Resolution No. 2012-28055, approving an agreement between the City and SunTrust,
pursuant to RFP No. 53-1 1112, far the provision of various banking services for a five (5)
year term, with five (5) additional one (1) year renewal options, at the City's option; and
WHEREAS, pursuant to City Commission Resolution No. 2012-28055, the City
and SunTrust executed a Treasury Management Master Agreement, with the initial term
commencing on January 1, 2013, and expiring on December 31, 2012 (the
'Agreement'); and
WHEREAS, on October 31, 2017, the Mayor and City Commission adopted
ResolutionNo.2017.-,approvingtheSettlementAgreementbetweenthe
City and SunTrust, a copy of which is attached hereto as Exhibit "A," with respect to
certain alleged fraudulent or unauthorized ACH debits that occurred in the City's General
Depository Account (-6568) between July 29, 2016 and October 27, 2016; and
WHEREAS, this Amendment No. 1 incorporates certain of the terms of the
Settlement Agreement, as set forth herein.
NOW THEREFORE, in consideratlon of the mutual promises and conditions
contained herein, and other good and valuable consideration, the sufficiency of which is
hereby acknowledged, the City and SunTrust hereby agree to amend the Agreement as
follows:
ABOVE RECITALS.
The above recitals are true and correct and are incorporated as part of this
Amendment No. 1.
MODIFICATIONS.
The Agreement is herehy amended (deleted ifsrns stru€k+hr€sgh and inserted
iterns underlined) as follows:
(a) Section {7 to the Treasury llllanagement Terms and Gonditions, entitled
"Term and Termination," is hereby amended by adding a new sentence
at the end of Section 17, as follows:
1.
2.
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57
At the conclusion of the initial term. this aoreement shall be renewed for
an additional term. commencino on Januarv 1.2018 and exoiring on
December 31, 2019.
(b) Section 2 of the Agreement, entltled Organization of Agreement, is
hereby amended by adding a new Section 2(j) as follows:
The terms and conditions set forth in the Settlement Aoreement attached as
Exhibit "A" hereto. includinq Section 1 (and subsections) and Section 2
thereof. are herebv inoorporated bv reference.
3. RATIFICATION.
Except as amended herein, all other terms and conditions of the Agreement shall
remain unchanged and in full force and effect. ln the event there is a conflict
between the provisions of this Amendment and the Agreement, the provisions of
this Amendment shall govern.
lN WTNESS WHEREOF, the parties hereto have caused this Amendment to be
executed by their appropriate officials, as of the date first entered above.
THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.
Page 341 of426
58
FOR GITY:
ATTEST:
ctrY oF MtAMt BEACH, FLORIDA
APPROVED AS TO
FOBM & LANGUAGE
& FOR EXECUTION
Rafael E. Granado, Gity Clerk Philip Levine, Mayor
Date
FOR SUNTRUST BANK:
ATTEST:
By:
Print Name
Date
M'D:Y'
CltyAttomey dttAl, Date
Page342ot 426
59
Exhibit 3jC"
Page 343 ot 426
60
NON.BINDING TERM SHEET FOR PROPOSED GLOBAT SETTTEMENT
AMONG
sTR MARKETPIACE, [[C, CITY OF MIAMI BEACH, SUNTRUST BANK, BANK OF AMER|CA, N.A.
ProposalOnlv:
This Non-Binding Term Sheet states only a proposal for consideration by the City of
Miami Beach City Commission. The Term Sheet is subject to and without waiver of all rights of
STR Marketplace, LLC, City of Miami Beach, SunTrust Bank, and Bank of America, N.A. No party
is bound until a definitive, final settlement agreement and release is signed by all parties, and
neither this Term Sheet nor any of its terms shall be used in any way to prove an admission of
any wrongdoing or any liability on the part of any of the parties.
Proposed General Terms:
L, Partles:
a. City of Miami Beach ("CMB")
b. STR Marketplace, LIC ("STR")
c. SunTrust Bank ("SunTrust")
d. Bank of America, N.A. ("BANA")
2. Subiect Matter:
The proposed global settlement agreement concerns the Automated Clearing House
('ACH") debit transaction instructions initiated by an impostor using the identity of "Robert
Walsh, Jr." and conducted during the period July 28, 2016 through on or about October 26,
2016, for purchase of personal seat licenses through STR's lnternet seat license marketplaces,
resulting in 57 ACH debit entries totaling $3,555,395.56, originated by STR as Originator and
BANA as Originating Depository Financial lnstitution, and charged against CMB's general
depository account (the "CMB Account") at SunTrust (collectively, the "ACH Transactions").
3. Settlement Amount:
STR will pay CMB the settlement amount of Nine Hundred Thousand and 00/100 U.S.
Dollars (5900,000,00) in a one-time lump sum payment, by cashier's check or wire transfer,
within five (5) business days of all parties' execution of a global settlement and release
document.
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61
4. MutualReleases:
CMB, SunTrust, BANA, and STR shall release and forever discharge each other from any
and all claims, demands, causes of action, suits, and charges or grievances of any kind or
character, known or unknown, fixed or contingent, liquidated or unliquidated, whlch were or
could have been asserted by any of the parties against any of the parties, in any way arising
from or relating to any of the ACH Transactions, including without limitation any attorney's fees
or costs.
5. lndemnitv Asainst lnsurance Claim.
CMB anticipates that, upon execution of the global settlement agreement contemplated
herein, CMB will withdraw any insurance claim it has submltted with respect to the ACH
Transactions. CMB shall indemnify STR and BANA from and against any claim, demand, cause of
action, or suit by any insurer in any way arising from any insurance claim by CMB concerning
any of the ACH Transactions.
6. No Representation as to Tax Consequences.
The parties shall not make any representations or warranties to each other concerning
tax treatment of the settlement amount or global settlement agreement by the United States
lnternal Revenue Service or any State or local taxing authority.
2
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62