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HomeMy WebLinkAboutResolution 2025-34010RESOLUTION NO. 2025-34010 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING SPONSORSHIP FUNDING FOR THE ADIDAS ATHX GAMES, AS PART OF MIAMI BEACH FITNESS MONTH IN MARCH 2O26, INCLUDING: (1) A SPECIAL EVENT CASH SPONSORSHIP IN AN AMOUNT NOT TO EXCEED $W0,000, TO REIMBURSE THE EVENT ORGANIZER FOR THIRD -PARTY EVENT COSTS AND CITY SERVICES, AND (II) A WAIVER OF SPECIAL EVENT PERMIT FEES, SQUARE FOOTAGE FEES, VEHICLE BEACH ACCESS PASS FEES, AND LUMMUS PARK USER FEES IN AN AMOUNT NOT TO EXCEED $120,000; WITH SAID FUNDING APPROVED AND ALLOCATED THROUGH THE FY 2025 AND FY 2026 BUDGET PROCESS; AUTHORIZING THE ADMINISTRATION TO NEGOTIATE AND FINALIZE A SPECIAL EVENT SPONSORSHIP AGREEMENT WITH THE EVENT ORGANIZER, BREAKWATER HOSPITALITY GROUP, LLC; AND FURTHER, AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE THE FINAL SPECIAL EVENT SPONSORSHIP AGREEMENT. WHEREAS, the month of March has historically placed added stress on City services and residents due to high visitor impact in the Art Deco Cultural District (ADCD), requiring enhanced staffing and resources; and WHEREAS, in March 2023, the City successfully programmed fitness and cultural activations under the Miami Beach Live initiative, demonstrating that curaled events can mitigate visitor impacts while generating economic activity and enhancing the City's reputation; and WHEREAS, on April 3, 2024, the Mayor and City Commission approved a referral item to the Finance and Economic Resiliency Committee (FERC), to discuss a Fitness Festival recognizing the potential of fitness programming to attract international participants and promote health and wellness; and WHEREAS, on June 28, 2024, the FERC recommended focusing on March 2026, with funding priorities established during the FY 2025 and FY 2026 budget process, and on July 24, 2024, the Mayor and City Commission adopted Resolution No. 2024-33198, directing the Administration to engage vendors to bring a Fitness Festival to Miami Beach; and WHEREAS, on October 30, 2025, Breakwater Hospitality Group, LLC, the local event producer for HYROX North America, Inc., informed the City that HYROX had accepted the Miami Beach Convention Center's offer to host their event indoors on a date better aligned with their tour schedule, and since that time Breakwater has worked diligently to secure a comparable large- scale global fitness event for the third weekend in March 2026, ultimately identifying and securing the Adidas ATHX Games; and WHEREAS, Breakwater has established a partnership with ATHX and will serve as their local production and promotion agency, proposing that the Adidas ATHX Games utilize the same general footprint originally planned for HYROX in the Lummus Park beachfront between 10th and 13th Streets, with an activation area of approximately 50,000 square feet, similar to the March 2023 HYROX activation; and WHEREAS, Breakwater is requesting a special event cash sponsorship not to exceed $600,000, to reimburse the Event Organizer for third -party event costs and City services, along with waivers of special event permit fees, square footage fees, vehicle beach access pass fees, and Lummus Park userfees in an amount not to exceed $120,000, consistent with the City's prior commitment to incentivize large-scale fitness programming; and WHEREAS, funding in the amount of $600,000 has already been allocated in the FY 2026 budget to incentivize a large-scale fitness event, consistent with prior Commission direction. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby approve sponsorship funding for the Adidas ATHX Games, as part of Miami Beach Fitness Month in March 2026. including: (i) a special event cash sponsorship in an amount not to exceed $600,000, to reimburse the event organizer for third -party event costs and City services, and (ii) a waiver of Special Event Permit Fees, Square Footage Fees, Vehicle Beach Access Pass Fees, and Lummus Park User Fees in an amount not to exceed $120,000; with said funding approved and allocated through the FY 2025 and FY 2026 budget process; authorize the Administration to negotiate and finalize a Special Event Sponsorship Agreement with the event organizer, Breakwater Hospitality Group, LLC; and further, authorize the City Manager and City Clerk to execute the final Special Event Sponsorship Agreement. PASSED and ADOPTED this �� day of &eUAY ✓ IT-.2025. . -[even memer, mayor ATTEST: ZV DEC 2 2 2025 Rafaf3l E. Granado, City Clerk Sponsored by Commissioner David Suarez 41NaAP10RAiED.! APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION 1 (b*( City Attorney W.W Date Resolutions - C7 AW MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Eric Carpenter, City Manager DATE: December 17, 2025 TITLE: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING THE ADMINISTRATION TO NEGOTIATE AND FINALIZE A SPECIAL EVENT SPONSORSHIP IN AN AMOUNT NOT TO EXCEED $600,000 WITH BREAKWATER HOSPITALITY GROUP (-BREAKWATER-) FOR ADIDAS ATHX GAMES AND THE CITY AS PART OF MIAMI BEACH FITNESS WEEK IN MARCH 2O26 AS APPROVED BY THE CITY COMMISSION VIA RESOLUTION 2024-33198 DIRECTING THE ADMINISTRATION TO ENGAGE WITH RELEVANT VENDORS TO BRING A FITNESS FESTIVAL TO THE CITY IN MARCH 2O26 WITH FUNDING ALLOCATED DURING THE FY 2025 AND FY 2026 BUDGET PROCESS; AND FURTHER AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE THE SPONSORSHIP AGREEMENT. RECOMMENDATION Adopt the Resolution. BACKGROUND/HISTORY Historically, the month of March has been a period when the increased impact of visitors placed added stress on Citywide services, as well as on residents who live in and around the Art Deco Cultural District (ACDC). This period is defined as high -impact and spans a seven -week period, including the month of March and the first two weeks of April. Within the seven weeks, the second and third weekends in March have been identified as having the highest number of visitors and incidents. During this period, the Miami Beach Police, Fire, Code Compliance, and Sanitation departments have enhanced staffing in the ADCD area. In March 2023, the City programmed the month of March with fitness and cultural activations under the Miami Beach Live initiative, a City -sponsored program directed by the City Commission via Resolution No. 2022-32363, to engage with and contract various event producers and provide special event sponsorship incentives for Miami Beach Live. The theme of fitness was the focus of the month -long program aimed at replicating the impact that the Arts economy has on Miami Beach during Art Week Miami Beach. The connection between cultural and sporting activities as key drivers of economic impact, attracting visitors, and generating income served as a programming blueprint. Fitness Festival in March On April 3, 2024, at the request of Commissioner David Suarez, the Mayor and City Commission referred a discussion item (C4 J) to the Finance and Economic Resiliency Committee (FERC), regarding a Fitness Festival (the Festival) in March 2025 or 2026. The referral memorandum recommended the Administration to engage prominent fitness organizations, television programs, and brands such as CrossFit, American Ninja Warrior, Hyrox and RedBull to explore potential 1925 of 3458 collaborations. The inclusion of such entities would potentially elevate the Festival's profile, attract high -caliber participants and spectators, and enhance the overall experience for attendees. At the June 28, 2024, FERC meeting, staff presented initial research into the feasibility of programming for a Fitness Festival in March 2025. The Administration recommended focusing discussions on the production of a fitness event for March 2026. The FERC passed a favorable recommendation for the City Commission to direct the Administration to negotiate with the relevant vendors to bring the Festival during March 2026 and to make a budget priority during the FY 2025 and FY 2026 budget process. On July 12, 2024, at the FERC Budget Workshop, the Committee recommended a fitness festival activation in March 2026 for $ 1.4 million. The funding would be allocated from the existing Large -Scale Community Events budget ($606,000). The Administration would set aside $500,000 allocated annually in FY 2025 and FY 2026 for $ 1.0 million from the Large -Scale Community Events budget. The remaining $400,000 would be identified through sponsorship or the FY 2026 budget development process. At the July 24, 2024, City Commission meeting, the Mayor and City Commission accepted the favorable recommendation from the Finance and Economic Resiliency Committee at its June 28, 2024, meeting, via Resolution 2024-33198 attached, and directed the Administration to proceed to engage with the relevant vendors to bring a Fitness Festival during March 2026 and to make a budget priority during the FY 2025 and FY 2026 -budget process. Subsequent to the City Commission meeting Staff engaged the event organizers behind two major fitness events, TYR Wodapalooza and HYROX, to activate the second and third weekends in March in the Lummus Park beachfront. Having both events on back-to-back weekends allows for the creation of a "Fitness Week," in Miami Beach. ANALYSIS HYROX Update: On October 30, 2025, a representative from Breakwater Hospitality Group (Breakwater), the local event producer for HYROX North America, Inc., informed the City that HYROX has accepted the Miami Beach Convention Center's offer to host their event indoors on a date that better aligns with their tour schedule. Since then, the Breakwater team has worked diligently to secure a comparable large-scale global fitness event to program for the third weekend in March 19-22, 2026, and has successfully identified and secured the Adidas ATHX Games. Adidas ATHX Games: Adidas ATHX (ATHX) is a 2.5-hour continuous fitness competition held across six zones, each featuring a designated challenge intended to test a different dimension of athletic performance. The series, which originated in Europe and now comprises more then 15 events, will use Miami Beach as its first entry point into the U.S. market. Breakwater has established a partnership with ATHX and will serve as their local production and promotion agency. Breakwater is proposing that the Adidas ATHX Games event utilize the same general footprint originally planned for HYROX in the Lummus Park beachfront, between 10 and 13 Streets. The ATHX footprint would be approximately 50,000 square feet, similar to the March 2023 HYROX activation. In addition, Breakwater is requesting the special event sponsorship in the same amount as had been approved for HYROX, not to exceed $600,000, and waivers of square footage fees and relevant city services support. Currently, there is special event sponsorship funding in the amount of $600,000 in the FY 2026 budget, approved by the Mayor and Commission for the Administration to incentivize a large- scale fitness event for March 2026. 1926 of 3458 FISCAL IMPACT STATEMENT The fiscal impact to incentivize Breakwater / Adidas ATHX for March 2026 is in an amount of $600,000 that was allocated from FY 2025 and FY 2026 budget process via Resolution 2024- 33198 Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY) If applicable, the Business Impact Estimate (BIE) was published on: See BIE at: https://www.miamibeachfl.gov/city-hall/cityclerklmeeting-notices/ FINANCIAL INFORMATION Budget code is 160-0380-000349-25-406-548-00-00-00- CONCLUSION The Administration recommends moving forward to negotiate and finalize a special event sponsorship agreement in the amount not to exceed $600,000 with Breakwater Hospitality Group for the Adidas ATHX Games and the City as part of Miami Beach Fitness Week in March 2026 as approved by the City Commission via Resolution 2024-33198 directing the Administration to engage with relevant vendors to bring a fitness festival to the City in March 2026, with special event sponsorship funding currently approved and allocated in the FY 2025 and FY 2026 budgets. Applicable Area South Beach Is this a "Residents Right to Know" item. Is this item related to a G.O. Bond Pursuant to City Code Section 2-17? Project? Mk - en Was this Agenda Item initially requested bV a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No If so, specify the name of lobbyist(s) and principal(s): Department Tourism and Culture Sponsorts) Commissioner David Suarez Coaponsor(s) Condensed Title 1927 of 3458 Approve Sponsorship Agmt w/ Breakwater/Adidas ATHX, MB Fitness Week in March 2026. (Suarez) TC _ Previous Action (For City Clerk Use Only) 1928 of 3458 RESOLUTION NO. 2 O 2 4- 3 3 1 9 8 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND ECONOMIC RESILIENCY COMMITTEE AT ITS JUNE 28, 2024 MEETING TO DIRECT THE ADMINISTRATION TO ENGAGE WITH RELEVANT VENDORS TO BRING A FITNESS FESTIVAL TO THE CITY IN MARCH 2O26 AND TO ADD FUNDING AS A BUDGET PRIORITY DURING THE FY 2025 AND FY 2026 BUDGET PROCESS. WHEREAS, in April 2022, the Administration initiated the curation of the second Miami Beach Live!, for March 2023, with a focus on cultural and fitness activations in the Art Deco Cultural District (ADCD), specifically the Lummus Park and beachfront areas from 6th through 10th Streets; and WHEREAS, at the October 26, 2022, City Commission accepted the recommendation of the City Administration via Resolution 2022-32363, to engage and contract with various event producers and provide special event sponsorships incentives for Miami Beach Live!; and WHEREAS, through special event sponsorship incentives, the City attracted prestigious events interested in activating during the month of March in the Ocean Drive, Lummus Park, and the Art Deco Cultural District areas; and WHEREAS, by incentivizing event organizers, the City benefitted from an increased number of visitors coming to the City of Miami Beach specifically for Miami Beach Live! events; and WHEREAS, the criteria to qualify for special event sponsorship included events that increased Resort Tax collection by supporting tourism initiatives with large hotel room blocks or estimated tourist attendance, events that served as a marketing/branding opportunity for the City to generate favorable media impressions on the international stage via partnership and media/PR exposure, and events that improve the quality of life of City residents by promoting safe, healthy and enjoyable events that residents would also want to attend; and WHEREAS, on April 3, 2024, at the request of Commissioner David Suarez, the Mayor and City Commission referred a discussion item (C4 J) to the Finance and Economic Resiliency Committee (FERC), regarding a fitness festival in March 2025; and WHEREAS, the Administration has reviewed the feasibility of a fitness festival in Miami Beach in March 2025, and based on the 2023 Miami Beach Live! event schedule, fitness events and the funding support should be focused on the two (2) High -Impact weekends in March; and WHEREAS, City staff has initiated high-level conversations with representatives of HYROX, Red Bull, Mayhem Nation, and Sportworx regarding a fitness festival in Miami Beach for two (2) weekends in March 2025 or 2026; and WHEREAS, based on the Administration's experience with the 2023 Miami Beach Live!, the timeline, funding, and marketing needed to ensure the success of any event would require a minimum of twelve (12) months of lead time and planning; and 1929 of 3458 WHEREAS, at the June 28, 2024, FERC meeting, staff presented initial research into the feasibility of programming for a Fitness Festival in March 2025: and WHEREAS, currently, producing a fitness festival for March 2025 would only allow for a maximum of six (6) months of production time, which may not provide the desired result of a successful fitness festival; and WHEREAS, therefore, should the City Commission approve a fitness festival, the Administration recommends focusing discussions on the production of an event for March 2026; and WHEREAS, at its June 28, 2024, meeting, the FERC passed a favorable recommendation for the City Commission to direct the Administration to negotiate with the relevant vendors to bring a Fitness Festival during March 2026 and to make a budget priority during the FY 2025 and FY 2026 budget process. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the favorable recommendation from the Finance and Economic Resiliency Committee at its June 28, 2024 meeting, and direct the Administration to proceed to engage with the relevant vendors to bring a Fitness Festival during March 2026 and to make a budget priority during the FY 2025 and FY 2026 budget process. PASSED AND ADOPTED this Aday of ui 2024. ATTEST: � WSteven Meiner, Mayor Rafael E. Granado, City Clerk SEP 0 9 2024 BC' APPROVED AS TO y % FORM 8 LANGUAGE $r 4TIORWRATEh' Y �INWRP ORARF�t' &8: FON City A omey Date 1930of3458 50424. 954 4M11 Covemheet Committee Assignments -C4 J MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Commissioner David Suarez DATE: April 3, 2024 SUBJECT: REFERRAL TO THE FINANCE AND ECONOMIC RESILIENCY COMMITTEE - DISCUSSION REGARDING A FITNESS FESTIVAL IN MARCH 2O25. Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No If so, specify name of lobbyist(s) and principal(s): WA Please place on the April 3, 2024 agenda a referral to the Finance and Economic Resiliency Committee ("FERC") to discuss organizing a fitness festival in March 2025. A Miami Beach fitness festival (the "Festival") would aim to celebrate fitness and wellness while showcasing Miami Beach as a premier fitness destination. Miami Beach could leverage its unique attributes, including its beautiful outdoor spaces and vibrant community spirit, to establish ilseff as a hub for fitness enthusiasts worldwide. Hosting the Festival would showcase our city's commitment to health and wellness, drive tourism, and boost local businesses. The Department of Tourism and Culture and appropriate representatives of the Administration should review lessons learned from fitness events held in the City in previous years) and present a concept plan to the FERC. In addition, the Administration should reach out to prominent fitness organizations, television programs and brands such as CrossFit, American Ninja Warrior, Hyrox and RedBull to explore potential collaborations. The inclusion of such entities can elevate the Festival's profile, attract high -caliber participants and spectators, and enhance the overall experience for attendees. N/A The Fiscal Impact to be determined at Committee Is this a "Residents R'gbllQ Does this Item utilize G.O. Know tem,pursua.t to Bond Funds? City Code Secfon 2-147 No No Lttgislative Tracking Commissioner David Suarez $nonsor Co -sponsored by Commissioner Joseph Magazine https1/miamibeach.novuaagenda.corn/agentlapoblitlCoverSheetaspx?12rhID'34T63&FdsetinglD=1339 1/1