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HomeMy WebLinkAboutResolution 2026-34169RESOLUTION NO. 2026-34169 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING, IN SUBSTANTIAL FORM, AMENDMENT NO. 8 TO THE AGREEMENT BETWEEN THE CITY AND A NATIONAL SALUTE TO AMERICA'S HEROES, LLC DATED FEBRUARY 1, 2016; SAID AMENDMENT EXTENDING THE TERM OF THE AGREEMENT TO INCLUDE THE AIR & SEA SHOW EVENTS SCHEDULED FOR MEMORIAL DAY WEEKEND IN 2028, 2029, AND 2030 (EACH, AN "ANNUAL SHOW"), AND PROVIDING, FOR EACH ANNUAL SHOW, THE CITY'S MAXIMUM CONTRIBUTION OF $350,000 IN EVENT -RELATED CITY SERVICES, TOGETHER WITH THE WAIVER OF SPECIAL EVENT FEES, LUMMUS PARK USER FEES, AND SQUARE FOOTAGE FEES IN AN AMOUNT TO BE APPROVED ANNUALLY THROUGH THE CITY'S BUDGET PROCESS; AUTHORIZING THE CITY MANAGER AND CITY CLERK TO FINALIZE AND EXECUTE THE AMENDMENT; AND WAIVING, FOR THE 2029 AND 2030 SHOWS, THE THREE-YEAR LIMITATION ON FEE WAIVERS AND CITY SERVICE SUBSIDIES ESTABLISHED IN RESOLUTION NO. 2025-33757. WHEREAS, on or about February 1, 2016, the City and A National Salute to America's Heroes, LLC, a Florida limited liability company ("Producer") executed an Agreement (the "Agreement') with respect to the production of the annual Air & Sea Show (each, an "Event" or "Annual Show"); and WHEREAS, on April 26, 2017, the Mayor and City Commission discussed agenda item R9 AL, entitled "Discussion Regarding Memorial Day Air & Sea Show" and adopted Resolution No. 2017-29848, approving the waiver of special event permitting fees for the 2017 Annual Show, as memorialized in Amendment No.1 to the Agreement; and WHEREAS, on October 18, 2017, the Mayor and City Commission discussed agenda item R9 J, entitled "Discussion of an Amendment to the Air & Sea Show Agreement which would allow the Event Producer to Expand the Show to Run from 10: 00 AM - 9: 30 PM, including Two Major Televised Concert Performances and a Fireworks Display on bath Saturday and Sunday Evenings; and to Discuss a Potential Increase in City Resources to Support the Larger Production" and approved the terms and conditions for the 2018 larger Annual Show activation, including the City's waiver of special event permit fees, in the amount of approximately $154,000.00, and the contribution for Event -related Public Services (Police, Fire, Ocean Rescue and Sanitation) in the maximum amount not -to -exceed $350,000.00, as memorialized in Amendment No. 2 to the Agreement; and WHEREAS, on February 14, 2018, the Mayor and City Commission authorized additional funding to the Producer, in the maximum not -to -exceed amount of $250,000, to produce a concert to take place during the 2018 Annual Show, as memorialized in Amendment No. 3 to the Agreement; and WHEREAS, on July 2, 2018, the Mayor and the City Commission discussed agenda item R9 A, entitled "Discussion Regarding the 2018 National Salute to America' s Heroes Air & Sea Show and City -Funded Concert" and directed the Administration to negotiate revisions to the Agreement for the 2019 Annual Show activation, and further specified that no City funding would be provided for any concert that may be produced in conjunction with the Annual Show; and WHEREAS, on September 21, 2018, the Mayor and City Commission adopted Resolution No. 2018-30509, approving the terms and conditions for the activation and City sponsorship of the 2019 Annual Show, which took place May 25-26, 2019, including the City's payment of a maximum not to exceed amount of $350,000.00 for Event -related public services, as well as a City waiver of special event permit fees estimated to total $154,062.00, which was memorialized in Amendment No. 4 to the Agreement; and WHEREAS, due to the COVID-19 pandemic, on or about April 6, 2020, in consultation with the Producer, the City exercised the force majeure provision of the Agreement and cancelled the 2020 Annual Show; and WHEREAS, on April 22, 2020, the Mayor and City Commission adopted Resolution No. 2020-31231, approving Amendment No. 5 to the Agreement, extending the Agreement for an additional three (3) years and specifying the terms and conditions for the activation for the 2021- 2023 Annual Shows, including the City's payment of a maximum contribution of $350,000 for Event -related public services for each Annual Show; and WHEREAS, upon presenting the draft Amendment No. 5 to the Producer, the Producer advised that it was under the impression that the City Commission's extension of the Agreement would include the 2024 Annual Show in light of the cancellation of the 2020 Annual Show; and WHEREAS, on April 29, 2021, the Mayor and City Commission adopted Resolution No. 2021-31673, authorizing an amendment to the Agreement for the sole purpose of including the 2024 Annual Show to the scope of the Agreement, based upon the same terms and conditions as applicable to the 2021-2023 Annual Shows; and WHEREAS, on May 4, 2021, the City and Producer executed the revised Amendment No. 5, incorporating the 2021-2024 Annual Shows into the Agreement; and WHEREAS, on June 26, 2024, the Mayor and City Commission adopted Resolution No. 2024-33111, authorizing Amendment No. 6 to the Agreement with Producer, and extending the term of the Agreement to include the Annual Shows scheduled for Memorial Day weekends in 2025, 2026, and 2027, and providing for the City's maximum contribution of $350,000 in event related City services per Annual Show, along with the waiver of special event fees, Lummus Park user fees, and square footage fees as established by the City; and WHEREAS, on February 5, 2026, the Mayor and City Commission adopted Resolution No. 2026-34078, approving Amendment No. 7 to the Agreement and providing that the City's maximum annual contribution of $350,000 will continue to reimburse event -related City services and, for the 2026 event only, may also reimburse concert production costs associated with the Hyundai Air & Sea Show kickoff to America's 250th celebration; and WHEREAS, the Producer has requested an extension of the Agreement, maintaining all existing terms, including the City's maximum contribution of $350,000 per Annual Show for event -related public services and the continued waiver of special event permit fees, user fees, and square footage fees; and WHEREAS, the Administration supports extending the Agreement for an additional three (3) years, covering the 2028, 2029, and 2030 Annual Shows; and WHEREAS, on June 25, 2025, the Mayor and City Commission adopted Resolution No. 2025-33757 limiting the waiver of special event fees and subsidization of City service fees to the first three (3) years of an event, except for events held in July, August, or September based on financial hardship; and WHEREAS, Resolution No. 2025-33757 further provides that, for existing events, the three-year period for such fee waivers and City service subsidies begins with the first event following June 25, 2025, subject to any contractual commitments extending beyond that period; and WHEREAS, 2028 Annual Show will be the third annual show following June 25, 2025; and WHEREAS, the Mayor and City Commission desire to make an exception to Resolution No. 2025-33757 for the 2029 and 2030 Annual Shows. 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, in substantial form, Amendment No. 8 to the Agreement between the City and A National Salute To America's Heroes, LLC; said amendment extending the term of the Agreement to include the Air & Sea Show events scheduled for Memorial Day weekend in 2028, 2029, and 2030 (each, an "Annual Show"), and providing, for each Annual Show, the City's maximum contribution of $350,000 in event -related City services, together with the waiver of Special Event Fees, Lummus Park User Fees, and Square Footage Fees in an amount to be approved annually through the City's budget process; authorize the City Manager and City Clerk to finalize and execute the amendment; and waive, for the 2029 and 2030 Annual Shows, the three-year limitation on fee waivers and City service subsidies established in Resolution No. 2025-33757. PASSED and ADOPTED this Y day of 2026. ATTEST: 2 O 2026 STEVEN MEINER, MAYOR RAFAEL E. GRANADO, CITY CLERK INCOR? 0ullial }: xy�� APPROVED AS TO FORM & LANGUAGE & FO EXECUTION ) Zoi( Cityy Date Resolutions - C7 M MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Eric Carpenter, City Manager DATE: March 18, 2026 TITLE: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING, IN SUBSTANTIAL FORM, AMENDMENT NO.8 TO THE AGREEMENT BETWEEN THE CITY AND A NATIONAL SALUTE TO AMERICA'S HEROES, LLC DATED FEBRUARY 1, 2016; SAID AMENDMENT EXTENDING THE TERM OF THE AGREEMENT TO INCLUDE THE AIR & SEA SHOW EVENTS SCHEDULED FOR MEMORIAL DAY WEEKEND IN 2028, 2029, AND 2030 (EACH, AN "ANNUAL SHOW"), AND PROVIDING, FOR EACH ANNUAL SHOW, THE CITY'S MAXIMUM CONTRIBUTION OF $350,000 IN EVENT - RELATED CITY SERVICES, TOGETHER WITH THE WAIVER OF SPECIAL EVENT FEES, LUMMUS PARK USER FEES, AND SQUARE FOOTAGE FEES IN AN AMOUNT TO BE APPROVED ANNUALLY THROUGH THE CITY'S BUDGET PROCESS; AUTHORIZING THE CITY MANAGER AND CITY CLERK TO FINALIZE AND EXECUTE THE AMENDMENT; AND WAIVING, FOR THE 2029 AND 2030 SHOWS, THE THREE-YEAR LIMITATION ON FEE WAIVERS AND CITY SERVICE SUBSIDIES ESTABLISHED IN RESOLUTION NO. 2025-33757. The Administration recommends approving, in substantial form, Amendment No. 8 to the Agreement; said amendment extending the term of the Agreement to include the Air and Sea Show events scheduled for Memorial Day Weekend in 2028, 2029, and 2030 (each an "Annual Show"), and providing, for each annual show, the City's maximum contribution of $350,000 in event -related City services, together with the waiver of special event fees, Lummus Park user fees, and square footage fees in an amount to be approved annually through the City's budget process; authorizing the Mayor and City Clerk to finalize and execute the Amendment; and waiving, for the 2029 and 2030 shows, the three-year limitation on fee waivers and city service subsidies established in Resolution No. 2025-33757. On February 1, 2016, the City and A National Salute to America's Heroes, LLC, a Florida limited liability company ("Producer"), executed an Agreement with respect to the production of an annual Air & Sea show event (each, an "Event" or "Annual Show"). On April 26, 2017, the Mayor and City Commission discussed agenda item R9 AL, entitled "Discussion Regarding Memorial Day Air & Sea Show" and adopted Resolution No. 2017-29848, approving the waiver of special event permitting fees for the 2017 Annual Show, (Amendment No. 1 to the Agreement). On July 26, 2017, the Mayor and City Commission discussed agenda item R9 J, entitled "Discussion Regarding whether to Continue the Air & Sea Show for the 2018 Memorial Day Weekend (May 26, 2018 through May 27, 2018), and if so, Whether the City Commission Should Terminate the City's Existing Agreement with the Event Organizer for Convenience, and Authorize the Administration to Renegotiate and Clarify terms (Such as those relating to City's Financial Contribution for Certain Event -Related Expenses)" and declined to exercise the City's right 469 of 1677 pursuant to Section 20(a) of the Agreement to discontinue the Event, and agreed to permit the 2018 Annual Show, based upon the same scope as the 2017 Annual Show. On October 18, 2017, the Mayor and City Commission discussed agenda item R9 J, entitled "Discussion of an Amendment to the Air & Sea Show Agreement which would allow the Event Producer to Expand the Show to Run from 10:00 AM — 9:30 PM, including Two Major Televised Concert Performances and a Fireworks Display on both Saturday and Sunday Evenings; and to Discuss a Potential Increase in City Resources to Support the Larger Production" and approved the terms and conditions for the 2018 Annual Show activation and the City's waiver of special event permit fees, in the amount of approximately $154,000, and contribution for Event -related Public Services (Police, Fire, Ocean Rescue and Sanitation) in the maximum amount not -to - exceed $350,000, memorialized in Amendment No. 2 to the Agreement. On February 14, 2018, the Mayor and City Commission authorized additional funding to the Producer, in the maximum not -to -exceed amount of $250,000, to produce a concert to take place during the 2018 Annual Show. This was subsequently memorialized in Amendment No. 3 to the Agreement. On July 2, 2018, the Mayor and City Commission discussed agenda item R9 A, entitled "Discussion Regarding the 2018 National Salute to America's Heroes Air & Sea Show and City Funded Concert" and directed the Administration to negotiate revisions to the Agreement for the 2019 Annual Show activation, and further specified that no City funding would be provided for any concert that may be produced in conjunction with the 2019 Annual Show. On September 21, 2018, the Mayor and City Commission adopted Resolution No. 2018-30509, approving the terms and conditions for the activation, and City's sponsorship of, the 2019 Annual Show (and each annual show for the remainder of the Agreement's term), to take place May 25- 26, 2019, including City's payment of a maximum not -to -exceed amount of $350,000 for Event related public services, as well as City's waiver of special event permit fees estimated totaling $154,062. This was memorialized in Amendment No. 4. Due to the COVID-19 pandemic, on or about April 6, 2020, in consultation with the Producer, the City exercised the force majeure provision of the Agreement and cancelled the 2020 Annual Show. On April 22, 2020, the Mayor and City Commission adopted Resolution No. 2020-31231, approving Amendment No. 5 to the Agreement with A National Salute to America's Heroes, LLC, for the Annual Shows, scheduled to take place on the Memorial Day Weekends of 2021, 2022, and 2023. The Amendment specified the terms and conditions for the activation of each Annual Show, including City's payment of a maximum contribution of $350,000 for Event -related public services (for each Annual Show), plus City's waiver of special event permit fees, user fees, and square footage fees (for each Annual Show). Thereafter, the Producer advised the City that, due to the cancellation of the 2020 Air & Sea Show, it understood that the Amendment No. 5 extension would include the 2024 Annual Show. However, Resolution No. 2020-31231only specifically approved the 2021- 2023 Annual Shows. On April 29, 2021, the Mayor and City Commission adopted Resolution No. 2021-31673, authorizing an amendment to the Agreement, permitting the Producer to have the Air & Sea Show during Memorial Day 2024, based upon the same terms and conditions as applicable to the 2021- 2023 Annual Shows. For the 2024 Annual Show, the Producer partnered with the Ocean Drive Association and the Miami Beach Classical Music Festival to present the "Music Explosion," a patriotic 3D projection mapping display with musical performances along 14 Street and Ocean Drive culminating with a fireworks display. At the Annual Show's Media Event on Friday, May 24, 2024, Hyundai announced it was extending its sponsorship for three (3) years until May 2027. The 2024 Annual Show was the last activation approved through Amendment No. 5 of the Agreement with the City via Resolution No. 2021- 31673. 470 of 1677 On June 26, 2024, the Mayor and City Commission adopted Resolution No. 2024-33111, approving Amendment #6 extending the term of the agreement to include the 2025, 2026 and 2027 annual shows, including the City's maximum contribution of $350,000 in event -related city services for each annual show and the City's waiver of special event fees, Lummus Park user fees, and square footage fees, for each annual show as establish by the City from time to time. On February 5, 2026, the Mayor and City Commission adopted Resolution No. 2026-34078 approving, Amendment No. 7 to the Agreement; said Amendment providing that the City's maximum annual contribution of $350,000 will continue to reimburse event -related City services and, for the 2026 event only, may also reimburse concert production costs associated with the Hyundai Air & Sea Show kickoff to America's 250th celebration. ANALYSIS Since the inaugural 2017 Annual Show, the Air and Sea Show, whose slogan is "The Greatest Show Above the Earth" has been a significant event in the Art Deco Cultural District during 'Memorial Day Weekend. For the last eight years, the Annual Show has provided a safe and enjoyable environment for families, showing our appreciation for the men and women of our military and first responders, and has been a highlight for both Miami Beach residents and visitors. The two-day event takes place in the heart of Miami Beach, specifically in Lummus Park and the beachfront between 10 and 14 Streets. It features offshore activations, including Cigarette offshore powerboat racing on the sea and awe-inspiring displays of cutting -edge military technology in the sky, such as jet demonstrations and parachute teams. In Lummus Park, the Florida Power & Light Patriot Display Village, located between 10 -14 Streets, includes motocross performances, military equipment displays, food vendors, and the Nicklaus Children's Hospital Kids Zone. Currently, the 2027 Annual Show is the last activation approved through Amendment No. 6 of the Agreement with the City via Resolution No. 2024-33111. The Annual Shows have proven to be a positive activation for the City in the last nine (9) years, and the Producer has demonstrated to be a good partner in good standing The event producer has requested an extension to the current agreement. The proposed amendment would maintain the existing terms, including the City's maximum contribution of $350,000 per Annual Show for event -related public services, as well as the continued waiver of special event permit fees, user fees, and square footage fees for each Annual Show. The Administration is supportive of amending the Agreement for an additional three (3) years to include, 2028, 2029, and 2030. On June 25, 2025, the Mayor and Commission adopted Resolution No. 2025-33757, which established a policy that the waiver of special event fees, including but not limited to special event application fees, permit fees, vehicle beach access passes, square footage fees, and park user fees, as well as the subsidizing of any City services fees, including but not limited to police, fire and sanitation, shall be limited to the first three years of an event, with an exception for events held during the months of July, August and September to the extent necessary based on financial hardship. For existing events, the three-year period will commence with the first event following adoption of this resolution subject to any contractual commitments extending past such three- year period. As part of the 8m amendment for the extension, the Administration recommends Mayor and City Commission make an exception to the three-year policy, allowing for the waivers of fees and city service subsidies for years 2029 and 2030. 471 of 1677 FISCAL IMPACT STATEMENT The fiscal impact is a maximum of $350,000 in City services, and waiver of special event fees, Lummus Park user fees, and square footage fees. 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/city-clerk/meeting-noticesl FINANCIAL INFORMATION Funding to be allocated in the Resort Tax Fund 160-0380-000349-25-406-548-00-00-00- CONCLUSION The Administration recommends approving, in substantial form, Amendment No. 8 to the Agreement; said amendment extending the term of the Agreement to include the Air and Sea Show events scheduled for Memorial Day Weekend in 2028, 2029, and 2030 (each an "Annual Show"), and providing, for each annual show, the City's maximum contribution of $350,000 in event -related City services, together with the waiver of special event fees, Lummus Park user fees, and square footage fees in an amount to be approved annually through the City's budget process; authorizing the Mayor and City Clerk to finalize and execute the Amendment; and waiving, for the 2029 and 2030 shows, the three-year limitation on fee waivers and city service subsidies established in Resolution No. 2025-33757, Applicable Area South Beach Is this a "Residents Riaht to Know" item. Is this item related to a G.O. Bond Pursuant to City Code Section 2.17? Project? No No Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481. includes a principal enaaaed in lobbvina? No If so, specify the name of lobbyist(s) and principal(s) Department Tourism and Culture Sponsor(s) Co-sponsors) 472 of 1677 Condensed Title Approve Amendment 8 to Air and Sea Show Sponsorship, Extend through 2030 Event. TC Previous Action (For City Clerk Use Only) 473 of 1677 AMENDMENT NO.8 TO THE AGREEMENT BETWEEN THE CITY OF MIAMI BEACH, FLORIDA AND A NATIONAL SALUTE TO AMERICA'S HEROES, LLC This Amendment No. 8 ("Amendment") to the Agreement (defined below) by and between the City of Miami Beach, Florida ("City") and A National Salute to America's Heroes, LLC, a Florida limited liability company (the "Applicant" or " Producer"), is entered into this day of , 2026. RECITALS WHEREAS, the City and Producer executed that certain Agreement (as amended, the "Agreement"), dated as of February 1, 2016, with respect to the production of the annual Air & Sea Show (each, an " Event" or" Annual Show"); WHEREAS, the City and Producer executed Amendment No. 1 to the Agreement, memorializing the waiver of special event permitting fees for the 2017 Annual Show; WHEREAS, on November 3, 2017, the City and Producer executed that certain Amendment No. 2 to the Agreement, delineating the terms of an expanded Annual Show for the 2018 Event activation; WHEREAS, on March 29, 2018, the City and Producer executed that certain Amendment No. 3 to the Agreement, setting forth the terms for a concert to take place during the 2018 Annual Show; WHEREAS, on September 21, 2018, the City and Producer executed that certain Amendment No. 4 to the Agreement, delineating the terms and conditions for the activation and City sponsorship of the 2019 Annual Show, which took place May 25-26, 2019, including the City's payment of a maximum not to exceed amount of $ 350, 000.00 for Event- related public services, as well as a City waiver of special event permit fees estimated to total $154,062.00; WHEREAS, due to the COVID-19 pandemic, on or about April 6, 2020, in consultation with the Producer, the City exercised the force majeure provision of the Agreement and cancelled the 2020 Annual Show; WHEREAS, on September 3, 2024, the City and Producer executed that certain Amendment No. 6 to the Agreement, extending the term of the Agreement to include the 2025- 2027 Annual Shows, and providing for the City's maximum contribution of $350,000 in event -related City services per Annual Show, along with the waiver of special event fees, Lummus Park user fees, and square footage fees as established by the City; WHEREAS, on , 2026, the City and Producer entered into that certain Amendment No. 7 to the Agreement, providing that the City's maximum annual contribution of $350,000 will continue to reimburse event -related City services and, for the 2026 event only, may also reimburse concert production costs associated with the Hyundai Air & Sea Show kickoff to America's 250th celebration; and 474 of 1677 WHEREAS, the Annual Shows have proven to be a positive activation for the City over the last ten years; and WHEREAS, accordingly, on March 18, 2026, the Mayor and City Commission adopted Resolution No. approving, in substantial form, this Amendment to the Agreement to extend the term of the Agreement for an additional three (3) years to include the 2028, 2029, and 2030 Annual Shows. NOW THEREFORE, in consideration of the mutual promises and conditions contained herein, and other good and valuable consideration, the sufficiency of which is hereby acknowledged, the City and Consultant hereby agree to amend the Agreement as follows: 1. ABOVE RECITALS. The above recitals are true and correct and are incorporated as part of this Amendment. 2. MODIFICATIONS. The Agreement is hereby modified (deleted items stracktkreugh and inserted items underlined) as follows: A. Section 20 (TERM AND TERMINATION) is modified as follows: 20. TERM AND TERMINATION: The City hereby grants to the Producer the exclusive right and privilege to conduct the Air and Sea Show annually, during the Memorial Day weekend, for the years 2016-292T2030, subject to the following conditions: 3. RATIFICATION. Except as amended herein, all other terms and conditions of the Agreement shall remain unchanged and in full force and effect. In the event there is a conflict between the provisions of this Amendment and the Agreement, the provisions of this Amendment shall govern. [SIGNATURE PAGE FOLLOWS] 475 of 1677 476 of 1677 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by their appropriate officials, as of the date first entered above. FOR CITY: ATTEST: Rafael E. Granado, City Clerk Date FOR CONTRACTOR: ATTEST: Witness Signature Print Name/Title Date CITY OF MIAMI BEACH, FLORIDA By: Eric T. Carpenter, City Manager A NATIONAL SALUTE TO AMERICA'S HEROES, LLC By: Authorized Signature NameMtle 477 of 1677