93-20871 Reso
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RESOLUTION NO. 93-20871
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING
RESOLUTION NO. 92-20545, PROVIDING FOR THE
CREATION OF THE COMMUNITY BENEFIT COMMITTEE
FOR THE PERFORMING ARTS AS A CITY ADVISORY
BOARD; TO PROVIDE FOR THE ADMINISTRATION OF
TICKET SALES FOR THE BENEFIT AND USE OF SENIOR
CITIZENS.
WHEREAS, the Theater of the Performing Arts (hereinafter
sometimes referred to as "TOPA") is a municipal facility which the
Mayor and City commission is desirous of making re&dily available
to the residents of the City of Miami Beach to enhance the public
good and to enrich the public amusement and general welfare of the
residents of the city of Miami Beach; and,
WHEREAS, the Mayor and City commission of the City of Miami
Beach created and implemented the community Benefit Committee for
the Performing Arts and Advisory Board to the City for the purpose
of recommending the utilization of funds hereinafter set forth,
which funds shall be used to present and promote performances,
programs, shows and entertainment at reduced admission prices or
free admissions for the residents of Miami Beach; and,
WHEREAS, pursuant to Resolution Nos. 83-17447, as amended by
Resolution Nos. 84-17882, 86-18392, 88-19183, 89-19781 and 92-
20545, the City commission of the City of Miami Beach created a
community Benefit Committee for the Performing Arts and set forth
its duties, responsibilities, membership and funding; and,
WHEREAS, the records maintained by the Community Benefit
Commi ttee Administrator are not in agreement with the City's
~inancial records and formal monthly reconoiliaticn of transaction
activities are not being performed; and,
WHEREAS, Resolution No. 92-20545 should be amended to provide
for the administration of the surcharge funds through a separate
bank account with the city's General Trust Fund which is consistent
with the method of accounting for the funds that has been utilized
since the Community Benefit Committee was first established; and,
WHEREAS, the City Administration has met with the Community
Benefits Committee to discuss the procedure for administering the
ticket sales to the senior citizens and the financial transactions
relating thereto.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the following
sections of Resolution No. 92-20545 be amended as follows:
3) The duties and responsibilities of this Advisory Board
shall include:
a) Advise and recommend to the city commission the
most efficient allocation of the City of Miami
Beach Endowment funds mentioned below for the
purchase of two (2) tickets for the general
performances and resale to senior citizens residing
in Miami Beach at discounts of fifty (50%) or more
and to consider the presentation and promotion of
performances, programs, shows and entertainment for
the benefit and enjoyment of the residents of the
city of Miami Beach to be held at the Theater of
the Performing Arts at reduced admission prices, or
for free admission to senior citizens residing on
Miami Beach.
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The remaining 2/3 of the face value is then paid to the lessee out
of the surcharge funds (the $1.00 collected on each ticket sold for
each performance at TOPA). In the present example, a City check
would be issued for $1,600 and the Community Benefit General Trust
Fund ("surcharge") account would be charged. The lessee would then
have been paid a total of $2,400 ($800 + $1,600) which represents
the amount due for 80 tickes with a face value of $30 each.
It was the overall opinion of the .auditors that a reconciliation of
each events' proceeds, ticket sales and surcharge on the ticket
sales be performed by TICKETS' Finance Director before issuing a
check to the City for the total amount of the surcharge; that the
CBC Administrator verifies the amount of surcharge income received
but does not show evidence of the verification process on any
documentation.
The records maintained by the CBC Administrator are not in
agreement with the City's financial records and formal monthly
reconciliation of transaction activities are not being performed.
Resolution No. 92-20545 should be amended to provide for the
administration of the surcharge funds through a separate bank
account with the City's General Trust Fund which is consistent with
the method of accounting for the funds that has been utilized since
the Community Benefit Committee was first established.
It also appeared that the eligibility requirements for the senior
citizen discount program are not always enforced and that it is
possible that individuals who are not senior citizen residents of
Miami Beach have been allowed to participate in the program. It is
also apparent that some tickets purchased by senior citizens are
usually used by younger people who attend the performances.
The request of the city Administration. TICKETS prepared a
detailed program of administering the senior citizen discount
program. TICKETS would oversee all of the ticketing and financial
transactions related to the Senior citizen Discount Program and
more specifically, has recommended internal control, as well as
possible streamlining to a more efficient system.
The City Administration feels that it is in the best interest of
the city to transfer the Administration of the Senior citizen
Discount Program to TICKETS.
On July 27, 1993, City Administration met with the Community
Benefits Committee and discussed the procedure for administering
the ticket sales to the senior citizens and the financial
transactions relating thereto.
COlilCLUS:IOlil:
The city Administration recommends that the City of Miami Beach
Commission approve the request for TICKETS to administer the
ticketing and financial transactions of the Senior citizen Discount
Program and also approve the amendment to Resolution No. 92-20545.
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CITY OF
MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
OFFICE OF THE CITY MANAGER
TELEPHONE: (305) 673-7010
FAX: (305) 673-7782
COMMISSION MEMORANDUM NO. ~
TO:
Mayor Seymour Gelber and
Members of lhe City Commission
DATE: July 28, 1993
FROM:
Roger M. Carll
City Manager
SUBJECT:
ACCOUNTING POR TRB SEHIOR CITIZEH DISCOUNT PROGRAK
ADMINISTRATION RBCOMMBIlDATION:
The City Administration recommends that the City commission approve
the accounting and management of the Senior citizen Discount
program to be administered by Spectacor Management Group (SMG).
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BACKGROUND:
On March 1, 1993, the City Auditors presented the review of the
Community Benefit Committee (CBC) senior citizen Discount program.
The review focused on the controls over the issuance of the senior
citizen discount tickets and the accountability of the funds
generated by the program. The auditors also observed a senior
citizen ticket sale to ascertain procedures employed therein and
attended both a matinee and evening performance at the Theater of
the performing Arts (TOPA) to determine whether only senior
citizens were seated in the designated senior citizen seating area.
Resolution No. 83-17447, adopted on september 7, 1983, created the
community Benefit Committee for the Performing Arts. The
Resolution was subsequently amended several times, and Resolution
No. 92-20545 was adopted on July 8, 1992, to consolidate, restate
and amend all previous resolutions.
The duties and responsibilities of the CBC include advising and
recommending to the City commission the most efficient and
effe~tive means of administering the senior citizen discount
program. This program entitles senior citizens residing in Miami
Beach to purchase discounted tickets for general performances at
TOPA. Individuals are required to show proof of Miami Beach
residency and proof of age (65 years or older) when purchasing
these discounted tickets. The number of tickets available to
senior citizens is currently a minimum of sixty (60) and a maximum
of eighty (80) per performance. A discount of 66-2/3% (off the
tickets' face value) is presently being offered.
The senior citizen discount program is funded through the
imposition of a $1.00 per ticket surcharge on each ticket sold for
each performance at TOPA.
senior citizen tickets are usually sold once a month. Proceeds
from such sales are deposited into a city checking account and
checks are subsequently issued to each events' lessee. For
example, if eighty (80) senior citizen tickets are sold to a
particular event at $10 a ticket, the $800 collected would be
deposited into the checking account and a check would be drawn to
the lessee for this amount. Assuming the senior citizen has
received a discount of 66-2/3% on a $30 ticket, the check for $800 '1']
represents 1/3 of the face value of the tickets sold.
AGENDA
ITEM
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b) Advise and recommend to the city Commission and the
City administration the best procedures for
publicizing the existence and availability of the
above-mentioned tickets and performances, programs,
shows and entertainment to the residents of the
City of Miami Beach, including the method of
distributing or selling such tickets to senior
citizens residing on Miami Beach;
c) Advise and recommend to the City commission and the
City administration suitable and first-class
entertainers, artists, performances and
presentations for the Theater of the Performing
Arts as set forth herein;
d) Such related duties and responsibilities as may be
further resolved by the City commission.
4. There is heresy es~aBliBftea aRa ereatea a separate aRa
iRSS13e:Flaent. oi 't~f af Uiami Beaeh ifl'tercat. bear iJuJ saBle
aeeeuHt, ,:hich llRiRieipal seRle aeeSliftt. shall se
aElmiRist.erea aRa maRatJea. sy the Cit.y af Uiami Beach fer
the. faRsifttJ af t.he. ferstJeiftE) tic]tct. plirehasea aRa.
asdi t.iaRal f)srfOE'maRee.s I prsfJrams, sae"'.Il..s aRa
cRtc:rtainmcftt., aRa dire.ct. aest.s incurre.a fer olleh
BurBeees. For the Phantom of the Ooera series onlv. which
is tentative Iv scheduled for October 12th throuqh
November 20th. 1993. the oroceeds of the $1 surcharqe
from the Phantom series mav be used to fund the
imorovements to TOPA as set forth in citv of Miami Beach
Bid No. 91-91/92. which are required to accommodate the
Phantom of the Ooera series.
The surcharqe funds shall be deoosited in a seoarate bank
account with the citv's General Trust Fund.
PASSED and ADOPTED this 28th
ATTEST:
MAYOR
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