HomeMy WebLinkAboutR-92-0019�1
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- a-91-964
1/2/92 ((jj
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RESOLUTION NO.
A RESOLUTION, WITH ATTACHMENT($),
ESTABLISHING CHARGES, TERMS AND CONDITIONS
FOR THE USE OF THE ORANGE BOWL STADIUM BY THE
PROFESSIONAL SPRING FOOTBALL LEAGUE FOR
SEASON HOME FOOTBALL GAMES FOR A FIVE YEAR
PERIOD, WITH THE OPTION ON THE PART OF THE
PROFESSIONAL SPRING FOOTBALL LEAGUE TO EXTEND
SAID TERM FOR TWO ADDITIONAL FIVE-YEAR
PERIODS; FURTHER AUTHORIZING THE CITY MANAGER
TO EXECUTE AN AGREEMENT, IN SUBSTANTIALLY THE
ATTACHED FORM, BETWEEN THE CITY OF MIAMI AND
THE PROFESSIONAL SPRING FOOTBALL LEAGUE FOR
SAID PURPOSE; AND SUBJECT TO THE ORGANIZERS
OBTAINING INSURANCE TO PROTECT THE CITY IN
THE AMOUNT AS PRESCRIBED BY THE CITY MANAGER
OR HIS DESIGNEE.
WHEREAS, the City of Miami and the Professional Spring
Football League wishes to establish a successful long-term
j relationship through the presentation of the Professional Spring
Football League's season home football games at the Orange Bowl
Stadium; and
WHEREAS, representatives of the City and the Professional
Spring Football League have diligently worked to negotiate a
long-term agreement for the use of the stadium; and
WHEREAS, said agreement provides for a five-year period of
use, with the option to extend the period for two (2) additional
five-year periods on the part of the Professional Spring Football
`rd
League; and
ATTYACENS4VENT
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CITY COMMUSSION
OF ., .
w.:
JAN 9 199Z
92-- 19
WHEREAS► the agreement also provides for a per game, per
year use fee on a sliding scale basis as follows: during 1992 -
$8,500 for regular games, $12,500 for playoff games, $20,000 for
championship games; during 1993 - $11,500 for regular games,
$12,500 for playoff games, $20,000 for championship games; during
1994 - $15,000 for regular games, $17,500 for playoff games,
$20,000 for championship games; during 1995 - $15,000 for regular
games, $17,500 for playoff games, $20,000 for championship games;
during 1996 - $20,000 for regular games, $25,000 for playoff
games, $30,000 for championship games; during 1997 - $20,000 for
regular games, $25,000 for playoff games, $30,000 for
championship games; and beginning with the 1998 football season
and thereafter - $25,000 or 10% of gross ticket sales per game
played, whichever is higher.
WHEREAS, it is recommended that the Professional Spring
Football League shall also collect, on behalf of the City, a
$1 ticket suroharge on admission to said games and the City shall
use such revenue for improvements to the stadium; and
WHEREAS, said organization will cover all event employee
expenses, including police, for each game; and
WHEREAS, the attached agreement contains additional
provisions pertaining to the duties and obligations of each party
for the production of said football games, including, without
limitation, staffing, utilities, record -keeping and liability
insurance; and
WHEREAS, the modified charges, terms and conditions of the
use will not have adverse affect on the revenues of said facility
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but will assist in securing significant additional revenues to
the City in the form of added stadium use fees, surcharge,
parking and concession revenue for the continued operation,
maintenance and improvement of this City facility; and
WHEREAS, the City Manager recommends that the Commission
approve the charges, terms and conditions set forth in the
attachment to this Resolution and further that the execution of
the necessary agreement be authorized; and
WHEREAS, Section 53-131(C)(7) of the Code of the City of
Miami, Florida, as amended, provides that the City Commission has
the right to establish and fix special charges or special terms
and conditions for the use of said stadium;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. The recitals contained in the Preamble to
this Resolution are hereby adopted by reference thereto and
incorporated herein as if fully set forth in this Section.
Section 2. The charges, terms and conditions as set
forth in the attached agreement for the use of the Orange Bowl
Stadium by the Professional Spring Football League are hereby
established for said Professional Spring Football League's
presentation of season home football games for a five (5) year
period, with the option on the part of the Professional Spring
Football League, to extend said term for two (2) additional five-
year periods.
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Seotion 3. The City Manager is hereby authorized to
execute a use agreementin substantially the attaohed form,
between the City of Miami and the Professional Spring Football
League for said football games as set forth in the herein
agreement.
Seotion 4. The herein authorization is hereby
conditioned upon the organizers obtaining insurance to protect
the City in the amount as prescribed by the City Manager or his
designee.
Seotion 5. This Resolution shall become effeotive
immediately upon its adoption. ��33
PASSED AND ADOPTED this 9th day of ,�""nu�1992.
ATT T 100
MATrffY H4IRAI, CITY CLERK
PREPARED AND APPROVED BY:
CARMEN L. LEON
ASSISTANT CITY ATTORNEY
APPROVED AS TO FORM AND CORRECTNESS:
CITY AT EY
CLL:gb.M2737
XAVIER Ir.' ,SUAREZ", MAYOR
The herein authorization is further subject to compliance with
all requirements that may be imposed by the City Attorney,
including but not limited to those prescribed by applicable
City Charter and Code provisions.
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USE AGREEMENT
BETWEEN THE CITY OF MIAMI AND
PROFESSIONAL SPRING FOOTBALL LEAGUE, INC.
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THIS AGREEMENT, made and entered into this day of
elt
-*-1 �j 199/p'between THE CITY OF MIAMI , a municipal
corporation organized and existing under the laws of the State of
Florida (the "CITY") and the PROFESSIONAL SPRING FOOTBALL LEAGUE,
1 Meadowlands Plaza,, East Rutherford, New Jersey, 07073 (the
"PSFL" ) .
WHEREAS, the PSFL has the right to organize, own, and
franchise a professional football team in the City of Miami; and
WHEREAS, the PSFL desires to use the Miami ORANGE BOWL
Stadium (the "ORANGE BOWL"), 1501 N.W 3rd Street, Miami, Florida,
for the purpose of scheduling professional football games between
PSFL teams in order to present professional football to the
people of Miami, Dade County, and the surrounding area; and
WHEREAS, the Commission of the CITY has deemed it in'the
best interest of the electorate to authorize this Agreement in
order to provide the viewing public of this area the opportunity
of witnessing regularly scheduled games of the PSFL; and
WHEREAS, the CITY shall be the hometown of a PSFL team and
all games scheduled to be played by the PSFL in Miami shall be
played in the ORANGE BOWL; and
WHEREAS, the opportunity of viewing regularly scheduled
professional football games between PSFL teams will provide an
additional attraction to the tourists visiting the area, as well
as the citizens of the CITY, Dade County, and all of Florida, in
addition to providing continual publicity by the televising and
broadcasting of the games by national television and radio
stations; and
WHEREAS, due to the commitments made in this Agreement by ,
the CITY it would not be economically feasible for the CITY to
enter into this Agreement unless certain guarantees are granted
to the CITY, and the terms and conditions as provided herein are
fully and completely accepted by the PSFL.
NOW, THEREFORE, the parties hereto represent, covenant and
agree as follows s %jjL V HtiU►taiNU fuK FURTI".R
HEv , PLEASk IDENTIFY AS
0 0 5
The PSFL desires the right to organize, own, and operate a
professional football team in the City of Miami, Dade County,
Florida, and the CITY, during the term of this Agreement, shall
be the hometown of such professional football team and all
regularly scheduled home games shall be played in the ORANGE
BOWL.
UNNEWWWW9
(a) Subject to the agreed consideration and the
priority events and other provisions specified in paragraph 8
hereof, PSFL shall have the right to schedule PSFL professional
football games, including but not limited to, Preseason and
Regular football season PSFL games, during each of the regular
football seasons (as hereinafter defined). PSFL shall have the
right to occupy and use the ORANGE BOWL only during the days when
such games are scheduled and played.
(b) The "Regular football season" of the PSFL shall be
deemed by the parties to this Agreement to commence with the
first regularly scheduled games of the League, either Preseason
or otherwise, and shall terminate with the last play-off or
championship football game to be played in the ORANGE BOWL by the
PSFL. The games to be played in the ORANGE BOWL, as provided in
this Agreement and subject to the priority events and other
provisions specified in paragraph 8 hereof, shall be scheduled to
be played within each regular football season during the years
hereinafter set forth in Section 2 (d).
(c) The term "Regular football season" as used in this
Agreement shall be construed to permit PSFL to use the ORANGE
BOWL only during the dates and times when football games -are
actually to be played. Nothing herein is to be construed as
vesting in the PSFL the exclusive control and dominion of the
ORANGE BOWL but only vesting use during days when regularly
scheduled games are played as provided in this Agreement.
(d) PSFL agrees all regularly scheduled home games of
the PSFL Miami franchise shall be played in the ORANGE BOWL
during the regular football seasons for a period of five years
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beginning with the 1992 season. The PSFL shall have the option
of renewing this Agreement on the same terms for two (2) five (5)
year periods, for the purpose of playing all regularly scheduled
home games at the ORANGE BOWL.
(e) Subject to the provisions of this Agreement,
including paragraph S hereof, and in addition to those days when
the ORANGE BOWL is used by the PSFL for the playing of football
games herein provided, the ORANGE BOWL shall be made available to
the visiting team for the purpose of a workout on the ORANGE BOWL
field the day prior to all regularly scheduled football games of
the PSFL providing such workout does not conflict with any other
scheduled event on the day or the evening of such workout in the
ORANGE BOWL, and 'further provided that the scheduling of the
workout shall not damage the field for any event scheduled on the
day or evening of such workout or for the subsequent day's game.
3. FEES AND CHARGES FOR USE
(d) PSFL agrees to pay the cost of collection and
reasonable attorney's fees on any part of the use fee and event
expenses due under this Agreement that may be collected by suit
or attorney after the same are past due and PSFL has been
notified in writing and has had the opportunity to correct any
alleged default in accordance with paragraph 30 herein.
During the entire period covered by this Agreement
and including any extension or renewal thereof, PSFI, shall
furnish to the CITY not later than Ninety (90) days prior to the
beginning of the regular football of each of the years provided
in this Agreement, or as soon thereafter as the actual PSFL
schedule is received from the Commissioner of the PSFL, the dates IJ
of the PSFL's scheduled football games for such season. 'Not
later than the final regular season game or as soon thereafter as
such dates are known to the PSFL, the PSFL shall furnish to CITY
the dates of any Playoff, Championship, or All -Star games to be
played in the ORANGE BOWL, which dates shall not conflict with
the dates of the priority events or other provisions set out in
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paragraph 8 hereof. However, in order to meet broadcasting
schedules or other reasonably unexpected circumstances, the PSFL
may reschedule a particular game to another day.or at a different
time of the same day as originally scheduled upon at least 72
hours notice to the CITY, and as long as such rescheduling does
not conflict or interfere with other scheduled events.
4. USE FEES AND TICKET SURCHARGE:
The parties understand that the City and the Florida
Department of Revenue are currently contesting the issue of
whether sales tax on lease payments for use of the Orange Bowl
must be paid. PSFL agrees to pay 6.5% sales tax on the lease
payments to the City and the City agrees to keep the sales tax
payments in an interest -bearing escrow account. In the event it
is determined that sales tax must be paid, the City will transfer
the sales tax payments to the State. In the event a final
Judicial or adminstrative determination is made that no sales tax
is due, the City will return the sales tax payments along with
accrued interest to PSFL. PSFL shall pay the CITY for the use of
said ORANGE BOWL Stadium for each game, a flat use fee
(hereinafter "Use Fee") of Eight Thousand Five Hundred Dollars
($8r500.00)t plus 6.5% State of Florida Use Tax and employee
expenses for the 1992 football season. Eleven Thousand Five
Hundred Dollars ($11,500.00), plus 6.5% State of Florida Use Tax
and event employee expenses for the 1993 football season. Also,
a Twelve Thousand Five Hundred Dollars ($12,500.00) Use Fee, plus
6.5% State of Florida Use Tax and event employee expenses for the
1992 and 1993 football season playoff games with a Twenty
Thousand Dollars ($20,000.00) Use Fee, plus 6.5% State of Florida
Use Tax and event employee expenses for the Championship Games
held in 1992 and 1993. Fifteen Thousand Dollars ($15,000.00),
plus 6.5% State of Florida Use Tax and event employee expenses
for the 1994 and 1995 football season with a Use Fee of Seventeen
Thousand Five Hundred Dollars ($17,500.00), plus 6.5% State of
Florida Use Tax and event employee expenses for the 1994 and 1995
football season playoff games with a Twenty Thousand Dollars
($20,00.00) Use Fee, plus 6.5% State of Florida Use Tax and event
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d
employee expenses for the Championship games held in the 1994 and
1995 football season. Twenty Thousand Dollars ($20,000.00), plus
6.5% State of Florida Use Tax and event employee expenses for the
1996 and 1997 football season with a Use Fee of Twenty Five
Thousand Dollars ($25,000.00), plus 6.5% State of Florida Use Tax
and event employee expenses for the 1996 and 1997 playoff games
with a Use Fee of $30,000 for the Championship games, plus 6.5%
State of Florida Use Tax and event employee expenses. Commencing
with the 1998 football season and thereafter during the term of
the first (1) five (5) year option and the second (2) five (5)
year option, the PSFL should pay per game a Use Fee of Twenty
Five Thousand Dollars ($25,000.00), or 10% of gross ticket sales,
less State of Florida sales tax, whichever is greater and the
event employee expenses.
In addition to the above mentioned Use Fee, the PSFL agrees
to collect a Ticket Surcharge in the amount of one dollar
($1.00), to be applied against each paid ticket for admission to
all PSFL home games held in the ORANGE BOWL Stadium. It is
expressly agreed that the amount of the Ticket Surcharge
applicable to paid admissions to PSFL home football games during
the term of this Agreement shall not exceed one dollar ($1.00)
per paid ticket. The application of the Ticket Surcharge shall
'
begin with the first PSFL game at the ORANGE BOWL Stadium
following commencement of the terms of this Agreement and
continue through the basic five (5) year term of this Use
f
Agreement and each of the two (2) five (5) year options, if so
exercised. Receipts from the Ticket Surcharge collected from the
PSFL games held at the ORANGE BOWL Stadium shall be used by the
CITY for improvements and renovations to the ORANGE BOWL Stadium.
Notwithstanding the foregoing, the Ticket Surcharge applicable to
any renewal period is subject to adjustment during said renewal
period, which adjustment 'shall be mutually agreed upon by the
PSFL and the CITY prior to commencement of the renewal period,
provided that the revenue form the Ticket Surcharge, as adjusted,
(
shall be used by the CITY solely to perform improvements and
renovations to the ORANGE BOWL Stadium during said renewal
period, which improvements and renovations have been approved by
the PSFL.
S. PAYMENT: The PSFL shall remit to the CITY the Use Fee
and Ticket Surcharge referred to in Paragraph 4 herein, and any
other sums due CITY, within thirty (30) days after each PSFL game
played in the ORANGE BOWL Stadium. Payment shall be by cash,
cashier's check or PSFL check made payable to the City of Miami.
Payments shall be made at the Orange Bowl Stadium, 1501 N.W. 3
Street, Miami, Florida 33125 during regular business hours on
weekdays. The CITY may designate other locations for receipt of
payments in accordance with Paragraph 5 herein. The CITY may
audit the PSFL's ticket records to make final settlement of Use
Fees and Ticket Surcharge for said football season upon
reasonable advanced written notice anytime during the term of
this Use Agreement including any options if exercised and for
three (3) years thereafter. Late payments shall accrue simple
interest at the rate of 12% per annum from the date they are due
(or such other rate as is prescribed for judgements by Section
-Y
5: 55.03, Florida Statutes, as amended.)
1s �
6. NATURE AND CONSTRUCTION OF AGREEMENT
Notwithstanding anything contained herein to the
contrary whatsoever, this Agreement is not intended to create,
nor shall it be construed as creating or constituting, a lease
between the parties or vesting any leasehold estate in PSFL or
establishing the relationship of landlord and tenant.
7. NATURE AND EXTENT OF CHARGES
¢x= The fees and charges for the use of the ORANGE BOWL, as
hereinabove provided in Paragraph 3, shall not constitute rental
and shall not be construed as being rental but shall' be
considered only as fees and charges for the right to use the
I ORANGE BOWL on the dates so used, as above set forth.
- 8. PRIORITY IN SCHEDULING
i
During the term of this Agreement and any extension or
renewal thereof, PSFL and CITY agree the following organizations
} shall have priority in scheduling the following events to be
played in the ORANGE BOWL:
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(a) The University of Miami for all of its regularly
scheduled football games ( to be played, without- limitation, on
either Friday or Saturday) with other colleges and universities.
No University of Miami home games, however, shall be scheduled or
played on Sundays or on any Saturdays after the second Saturday
in the month of December of each year. If the University of
Miami is required to change any scheduled event during any year
for the purpose of participating in a regional, sectional, or
nationally televised football game with another college, the
University of Miami shall have the right to amend its schedule as
to such game up to and including May 1 of each year prior to. the
regular football season, and shall have the right to amend its
schedule at any time for the purpose of participating in a
regional, sectional or nationally televised football game with
another college when such change does not conflict with any games
scheduled by PSFL or would not require the scheduling of a game
on the same day as PSFL.
(b) The ORANGE BOWL Committee for the ORANGE BOWL
Classic to be played on New Year's Day, the dcy before or the day
after New Year's Day in the event any New Year's Day falls on a
Sunday or a day of national mourning.
(c) The Kiwanis Club of Little Havana for Carnaval
Night commencing the
first
Saturday in
March of
every year.
(d) The
World
Cup 1994
for the
presentation of
preliminary soccer games to be held at the Orange Bowl Stadium in
the year 1994.
The provisions of Paragraph 8 of this Agreement
shall not be amended, modified or changed, nor shall any other
provision of this Agreement be amended, modified or changed if
such -amendment, modification or change shall adversell affect the
priorities established in Paragraph 8, unless 15 days written
notice, together with a true copy of the proposed changes,
modifications or amendments, are first delivered to the
organizations described in Paragraph 8 which shall be affected by
such change and any such amendments must appear in writing and be
executed by both PSFL and CITY.
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(a) CITY shall also continue its regular maintenance
of the ORANGE BOWL with its regular full time personnel in a
comparable manner as provided for other regularly scheduled
football events at the ORANGE BOWL.
(b) CITY shall furnish all stadium electrical power
and water necessary for the use and operation of the ORANGE BOWL
during the football games encompassed herein.
(c) PSFL shall have the right, at PSFL's expense, to
operate the stadium's public address system during PSFL's home
games provided, however, such public address system shall not be
used for the dissemination of paid advertising without the
consent of the CITY. CITY may and will display advertising in
the ORANGE BOWL during any period when PSFL shall be entitled to
the use of the ORANGE BOWL as provided hereunder.
(d) During the PSFL season no event will be scheduled
that may have the. potential to damage the playing field without
first notifying PSFL and receiving its prior consent, which
consent shall not be unreasonably withheld.
(e) During the PSFL season, the PSFL shall, at its
sole expense, have the right to dress all stadium personnel in a
uniform of its choice, which said uniform may reflect the home
team.
CITY retains all rights and privileges and
control of the parking facilities of the ORANGE BOWL, and areas
adjacent which are owned and operated by CITY.
(b) CITY shall furnish, however, without cost to PSFL,
125 parking passes for each of its games (of which 25 may be in
Lot S-2) which passes may be distributed by PSFL to its staff,
its guests, and game officials. These 125 parking passes must
accommodate the needs for all of the aforementioned persons and
groups. CITY shall in addition issue all parking passes
necessary to accommodate press coverage of PSFL's home football
game.
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(a) The CITY shall permit the PSFL to use up to 2,500
tickets per game for complimentary purposes, all complimentary
tickets issued in excess of 2,500 shall have a value equal to a
like ticket price offered for sale to the General Public and
shall be included in the calculation to determine gross ticket
sales as described in Paragraph 4 of this Agreement.
(b) CITY will be given the right to the use of the
President's Booth for all of PSFL games including any exhibition,
play-off or Championship games located in the 6th level Press Box
(c) The PSFL agrees to furnish tickets approved by the
Stadiums Administrator and a ticket manifest for each game is to
be presented to the Stadiums Administrator within five (5) days
of the conclusion of the game.
(d) CITY agrees to use its best efforts to discourage
scalping and other non -authorized sales of PSFL's tickets in, on
or about the ORANGE BOWL and the grounds adjacent thereto.
(e) CITY shall provide an accurate count of attendance
through the turnstiles of the ORANGE BOWL -iot later than the
third quarter of each of PSFL's games played in the ORANGE BOWL.
12. CONCESSIONS
(a) PSFL acknowledges that it has no concession rights
during the term of this Agreement except as described herein, and
except that PSFL reserves and at all times shall have the sole
right to control, sell, rent, or give away (or assign to others
the right to do so) novelties and or souvenirs which are PSFL
related, game programs, yearbooks and other similar publications
relating to PSFL (or any team in the PSFL). Sixty-five percent
income from the net sales of the above shall accrue solely to*the
PSFL, with 25% of net sales to the novelty concessionaire and
i CITY shall receive 10% of net sales revenues. Net sales meaning
after the cost to the league of purchasing merchandise is
deducted. The,PSFL shall be responsible for payment of State of
Florida Use Tax. City shall not engage in nor undertake the sale
of any such articles without the written consent of the PSFL, In
this connection, PSFL shall have the right to place stands (at
its own expense) for the vending of such articles at mutually
-
agreed upon locations in and about the ORANGE BOWL.
13. CONCESSION RIGHTS; DISCONTINUANCE OF BEER SALES: The
CITY shall control all concession rights of food, beverage
(alcoholic and nonalcoholic) and noncompetitive novelty
concessions which are not official PSFL novelties at all events
staged within the ORANGE BOWL Stadium and its grounds. PSFL
shall retain the right to sell football programs and any PSFL
official novelties at the stadium and on stadium grounds, during
the day of the PSFL football game and be allowed the use of a
program room.
—�
If by a rule, regulation, law or policy, not promulgated by the
CITY, the sale of beer is discontinued at the Stadium then in
such event, the PSFL shall pay the CITY a sum equivalent to the
difference between the per capita concession sales, exclusive of
state sales and use taxes, for the preceding year less the per
taxes for the
{
capita concession sales, exclusive of sales and use
current year, times (X) the total attendance for the current
'
year. Attendance shall be determined by. Stadium turnstile
;j
counts, as verified by PSFL and CITY. If this amount is
negative, PSFL shall not request a set off or credit against
other fees paid.
l
14. DAMAGE REPAIR
PSFL agrees to repair any damage to the personal
property and real property of the premises encompassed in this
Agreement caused by any act of PSFL, its agents, employees or
other occupants, customers, spectators, or any person whomsoever,
except upkeep of the turf of the football field. If the damage
is not repaired within 10 days after notice is given to PSFL,
then CITY is hereby authorized to make such repairs at the cost
and expense of PSFL. PSFL shall pay the City for cost so incurred
i
within 10 days from the date of billing.
15. BANKRUPTCY
If bankruptcy proceedings shall be begun by or against
PSFL or its assigns and PSFL or its assigns are declared bankrupt
'
before the end of the term of this Agreement, CITY is hereby
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irrevocably authorized, at its option, to cancel this Agreement,
unless the PSFL shall, within 30 days after the PSFL or its
assigns are declared bankrupt, notify the City Manager in writing
that it assumes all of the obligations hereunder.
In addition, the Agreement may be terminated by either
party hereto upon the dissolution of the PSFL or the dissolution
of the PSFL franchise located in Miami.
16. CITY SEATS:
PSFL shall set aside, at no cost to the CITY, one hundred
(100) seats each year to be used by the CITY at a location
mutually agreed upon each year by the PSFL and the CITY.
17. RECORDS AND AUDITS:
The PSFL shall keep available at its offices or such other
place within Dade County, Florida approved by the City Manager of
the CITY, true, accurate and complete records and accounts of all
ticket sales arising in connection with the PSFL Miami
franchise's games on a per game basis, and shall give access to
the authorized representatives of the CITY, during reasonable
business hours, to examine and audit such records and accounts.
The PSFL shall also maintain accurate and complete records of all
complimentary tickets distributed. Upon execution of this Use
Agreement, PSFL shall furnish a letter to the CITY Manager, or
authorized designee, from an independent C.P.A. licensed in
Florida, which establishes that the PSFL's internal controls are
adequate to safeguard its assets and properly reconcile
accounting transactions. This report will have to be reissued or
supplemented each time, if any, the PSFL exercises a five (5)
year option to renew this Use Agreement. The City Manager
reserved the right to audit the records of PSFL any time during
the term of this Use Agreement including any options of exercised
and for three (3) years thereafter.
18. SCHEDULE NOTIFICATION:
The PSFL shall notify the CITY, by furnishing to the CITY
Manager a written schedule each and every year on or before the
first day of August of the dates on which PSFL home football
games are to be played during the following season. If the PSFL
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elects to reschedule a home football game after it has furnished
the CITY Manager with a written schedule of the dates on which
PSFL home football games are to be played, the CITY hereby
agrees to permit the game to be rescheduled upon receipt of
written notice from the PSFL to the City Manager, provided that
on the date that the City Manager receives said written notice,
the CITY has not executed a contract or use agreement granting
another party the use of the ORANGE BOWL Stadium on said
rescheduled date. The City shall have three (3) days from
receipt of written notice from the PSFL whether the CITY has in
fact executed a contract or use agreement granting another party'
the use of the ORANGE BOWL Stadium on said scheduled date. If
the CITY fails to respond to the PSFL's request, then it shall be
deemed that the game is rescheduled for said date.
19. PERSONNEL:
The PSFL shall have exclusive use of the southeast ticket
office (Gate 8) and small ticket room west of Gate 12 (or
equivalent space after the renovations conte;iplated in this Use
Agreement are completed) for administration of ticket sales and
personnel from 9:00 A.M. to 11:00 P.M. on days of PSFL football
games.
19.2 CITY Responsibilities
The CITY shall furnish, at PSFL's expense, the following:
(1) Conferences, Conventions, and Public Facilities
Department personnel routinely scheduled to work
at the ORANGE BOWL Stadium
(2) All working field and sideline personnel
(3) Electrician (three)
(4) ORANGE BOWL Stadium Operations Workers
(5) Restroom Personnel
(6) Communications Personnel
(7) Groundstenders
(8) Security Guards
(9) Plumber (one)
(10) Air Conditioning Mechanic
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(11) Cleanup Personnel
(12) Fire Marshals
(13) Law Enforcement Officers
(14) Fire Rescue Personnel and Facilities
(15) Parking Lot Attendants, and
(16) Two Scoreboard Operators.
The CITY shall furnish at its own expense, ticket
takers, ticket sellers and ushers as required to stage the PSFL
football games. The CITY shall provide all of the aforementioned
personnel in sufficient numbers as is necessary during the
staging of the games authorized by this Use Agreement. The
personnel's function will be to handle seating and normal crowd
control.
1 •_��• • • .M�_ 1•
If
at
any time during the
term
of this Use
Agreement, title
to all
or
substantially all of
the
ORANGE BOWL
Stadium shall be
taken by condemnation or by right of eminent domain, this Use
Agreement shall terminate on the date of such. taking and all use
payments already made shall be apportioned as of the date of the
taking. For purposes of this section, substantially all of any
of the ORANGE BOWL Stadium shall be deemed to have been taken if
that portion of the ORANGE BOWL Stadium not taken cannot be
economically utilized by the PSFL for those purposes permitted
under the preamble to this Use Agreement.
20.2 Partial Taking
In the event that title to less than all or substantially all
of the ORANGE BOWL Stadium is taken by condemnation or by right
of eminent domain, this Agreement shall not terminate, but- the
parties agree to negotiate in good faith any reduction that may
be advisable with regard to the appropriate Use Fee during the
remainder of the term of this Use Agreement.
20.3 General Provisions
If there is a taking by right of eminent domain, the award
shall belong to and be paid to CITY, except that PSFL shall
receive from the award whatever amount it would be entitled under
2 -� 19
13
the eminent domain laws of the State of Florida.
-
20.4 Frustration of Purpose
At any time during the term of this Agreement, if the
governing body of any political subdivision having competent
jurisdiction over the premises should enact any valid, law or
regulation which prohibits the use of the whole or a substantial
part of any part of the stadium for the purposes as provided in
�z
this Agreement, it is .agreed that PSFL may elect, within one
hundred twenty (120) days after the effective date of such
-ii
ordinance, law or regulation, to cancel this Agreement and
surrender possessions of the premises. Any such cancellation and '
surrender will act to release a discharge from any further
obligation under this Agreement.
21. DAMAGE -AND RESTORATION OR TERMINATION:
i�
21.1 Restoration
If the ORANGE BOWL Stadium is ever insured by the CITY as
against loss by virtue of fire, windstorm, hurricane or other
casualty, and such damage occurs to the ORANGE BOWL Stadium, the
CITY will utilize said proceeds to rebuild o repair the ORANGE
?;
i�
BOWL if the proceeds are sufficient to affect ninety percent
(90%) or more of the repair work.
21.2 Termination
If all or any portion of the ORANGE BOWL Stadium is damaged by
."'
fire or any other insured casualty during .the last three (3)
years of the initial term of this Use Agreement or during the
last three (3) years of any option period to such an extent that
the cost of repair will exceed twenty-five percent (25%) or more
of the overall value. of the ORANGE BOWL Stadium prior to such
damage, then PSFL may, at its sole election, elect to terminate
' this Use Agreement. Notwithstanding anything contained herein to
the contrary, the PSFL shall have no obligation to repair,
reconstruct or replace all or any portion of the ORANGE BOWL
Stadium.
22. ADMISSIONS
. The PSFL's employees, necessary to perform the PSFL's
one under its contract with the CITY, shall be admitted
9 2 -- 19
- 14 -
free of charge by the PSFL prior to or during the staging of
these games.
b. Authorized CITY employees and Concessionaire employees
shall have the right of ingress and egress to the ORANGE BOWL
Stadium at any time, except that during PSFL games held pursuant
hereto, only those employees who are actually performing services
at that time and who have assigned identification shall be
admitted to the ORANGE BOWL Stadium without payment of regular
admission charges, and no PSFL or CITY officials not actually
performing services shall be admitted without admission tickets.
A list of such working personnel shall be supplied to the PSFL
two hours before games.
23. RISK OF LOSS: PSFL shall indemnify and save harmless
CITY, its officers, officials and employees against all risk of
loss, injury, death or damage of any kind or nature whatsoever to
property now or hereafter placed on or within said areas, and all
risk of loss, injury or damage of any kind or nature whatsoever
to the contents of such areas or improvements made by PSFL to the
structure or structures, or to any goods, chattels, merchandise
or to any other property that may now or hereafter be placed upon
said areas, whether belonging to PSFL or others, when said loss,
injury or damage results from negligence or use, rising water or
from any other cause or other contingency, and whether the same
be caused by the claimed negligence of CITY or any of its
employees, agents, or otherwise, and to keep harmless CITY from
all claims and suits growing out of any such loss, injury or
damage.
24. HOLD HARMLESS: PSFL agrees to save and hold harmless
CITY, its officials and employees from and against all suits and
claims that may be based on any injury or alleged injury to any
person (including death), or loss, damage, destruction, or to the
property of any person, firm or corporation, that may arise, or
that may be alleged to,have arisen, out of the operations and/or
use of the Stadium by the PSFL, or any willful act of negligence
of any of its agents, servants, or employees, whether such claim
shall be made by an employee of PSFL, or by any third party, and
92- 13
15 -
0
shall apply whether or not it shall be claimed that the alleged
injury or death or damage to property was caused through a
willful or negligent act or omission of PSFL, its agents,
servants or employees; and PSFL shall at its own cost and expense
make and tender a defense on behalf of the CITY, pay all fees and
charges of attorneys and all costs, damages, judgments, and other
expenses arising therefrom or incurred by PSFL in connection
therewith provided that PSFL retains the right, at its own
expense, to deal with any action hereunder by employing its own
legal counsel. Notwithstanding anything herein to the contrary,
it is agreed that this hold harmless shall not apply to claims or -
damages occurring at times that the PSFL is not in possession of
the Stadium. The possession period includes without limitation:
start-up, cleanup before and after a game and such times during
non -game days.
25. ALTERATIONS The PSFL shall make no additions,
partitions, improvements or alterations to the physical structure
of the ORANGE BOWL Stadium or any part thereof without first
having obtained the written consent of the City Manager, or
designee. All requests shall be in writing and shall include
plans and specifications pertaining thereto, and shall be subject
to the further review, approval, and issuance of permits by all
requisite CITY officials and other public authorities with
jurisdiction. All alterations, improvements, additions or
partitions made or installed by the PSFL shall become the
property of the CITY at the conclusion of this Agreement, or, the
modified area, structure or portion shall be returned to its
original state, at the option of the PSFL. All such alterations,
improvements, additions or partitions as set forth herein shall
be made at the PSFL'S sole cost and expense.
26. CLOSED CIRCUIT m PAY TELEVISION: It is understood that the
PSFL has no agreement or contractual commitment with any person,
firm or corporation regarding closed circuit pay television. If,
however, any time during the term of this Agreement, the PSFL
shall enter into such a television contract and become entitled
to receive revenue as a result of the telecast of the PSFL games
- 16 -
.92- 19
within a radius of 150 miles of the site of the said game, and if
the attendance in the ORANGE BOWL Stadium decreases from full
capacity, it will be conclusively and decisively assumed that
such decrease was a result of the telecast on closed circuit pay
television. In that event, the PSFL shall be obligated to pay
the CITY a portion of its closed circuit pay television revenue
to replace the CITY's monetary loss of Use Fees due to such
telecast. Said portion shall be based upon the following
formula: The paid attendance of the three (3) most recent PSFL
games prior to the telecast game shall be averaged. Said
attendance average shall be multiplied by the current ticket
prices, and the resultant figure shall be multiplied by ten (10%)
percent. The attendance average shall also be multiplied by the
applicable ticket surcharge (or such other ticket surcharge as is
currently prescribed by the City of Miami Code, as amended from
time to time).
The sum of these figures shall be the Estimate of Revenue for the
telecast game. The difference between the revenues actually
received by the CITY for the telecast game ..nd the Estimate of
Revenue for the telecast game shall be the additional monies owed
to the CITY by the PSFL and shall be payable in the manner as
prescribed by Section 12 herein. An Amendment shall be promptly
negotiated by the parties to effectuate this section, at t;ie time
of the foregoing events occur.
27. GENERAL CONDITION
A) All notices or other communications which shall or
may be given pursuant to this Agreement shall be in writing and
shall be delivered by personal service, or by registered mail
addressed to the other party at the address indicated herein or
as the same may be changed from time to time. Such notice shall
be deemed given on the day on which personally served; or if by
mail, on the fifth day after being posted or the date of actual
receipt, whichever is earlier.
PSFL: 1 Meadowlands Plaza
East Rutherford, NJ 07073
CITY: City Manager
3500 Pan American Drive
P.O. Box 330708
Miami, Florida 33133 y 2-- 1
within a radius of 150 miles of the site of the said game, and if
the attendance in the ORANGE BOWL Stadium decreases from full
capacity, it will be conclusively and decisively assumed that
such decrease was a result of the telecast on closed circuit pay
television. In that event, the PSFL shall be obligated to pay
the CITY a portion of its closed circuit pay television revenue
to replace the CITY's monetary loss of Use Fees due to such
telecast. Said portion shall be based upon the following
formula: The paid attendance of the three (3) most recent PSFL
games prior to the telecast game shall be averaged. Said
('
attendance average shall be multiplied by the current ticket '
-
prices, and the resultant figure shall be multiplied by ten (10%)
percent. The attendance average shall also be multiplied by the
applicable ticket surcharge (or such other ticket surcharge as is
currently prescribed by the City of Miami Code, as amended from
time to time) .
'y
The sum of these figures shall be the Estimate of Revenue for the
='
telecast game. The difference between the revenues actually
y='
received by the CITY for the telecast game ..nd the Estimate of
Revenue for the telecast game shall be the additional monies owed
YS
-j1
to the CITY by the PSFL and shall be payable in the manner as
prescribed by Section 12 herein. An Amendment shall be promptly
negotiated by the parties to effectuate this section, at the time
!:
of the foregoing events occur.
1
27. GENERAL CONDITION
3'
A) All notices or other communications which shall or
F_
may be given pursuant to this Agreement shall be in writing and
shall be delivered by personal service, or by registered mail
addressed to the other party at the address indicated herein or
as the same may be changed from time to time. Such notice shall
be deemed given on the day on which personally served; or if by
mail, on the fifth day after being posted or the date of actual
receipt, whichever is earlier.
PSFL: 1 Meadowlands Plaza
'
East Rutherford, NJ 07073
CITY: City Manager
3500 Pan American Drive
P.O. Box 330708 ,
j
Miami, Florida 33133 9 2- 19
t
- 17 -
and Director, Department of Conferences,
Conventions, and Public Facilities
400 SE Second Avenue
Miami, Florida 33131
B) Titles and paragraph headings are for convenient
reference and are not a part of this Agreement,
C) In the event of conflict between the terms of this
Agreement and any terms or conditions contained in any attached
documents, the terms in this Agreement shall rule.
D) Should any provisions, paragraphs, sentences, words
or phrases contained in this Agreement be determined by a court
of competent jurisdiction to be invalid, illegal or otherwise
unenforceable under the laws of the State of Florida or CITY,
such provisions, paragraphs, sentences, words or phrases shall be
t
deemed modified to the extent necessary in order to conform with
Y
�
j
such laws, or if not modifiable to conform with such laws, then
R.
same shall be deemed severable, and in either event, the
remaining terms and provisions of this Agreement shall remain
unmodified and in full force and effect.
E) Venue in any legal or administrative proceedings
w
(or mutually agreed upon arbitration proceedings) shall be in
courts and/or before administrative tribunals and/or before
arbitrators located in Dade County, Florida.
}
F) The parties may agree, in writing, to submit any
controversy existing between them to arbitration in which event
the practice and procedure set forth in the Florida Arbitration
ll'!?
Code, Chapter 682, Florida Statutes, as amended, shall govern.
.,
28. ADVERTISING
!'
,
During such times that the PSFL is in possession of the
'.
Stadium PSFL shall not allow any signs or advertising matter to
".
be placed either in the interior or upon the exterior of the
Stadium without having first obtained the approval of the City
Manager or designee.
is
29. INSURANCE AND 11IABILITY
PSFL shall obtain, at its sole cost and expense, and
P �
maintain throughout the term of this Agreement, comprehensive
general liability insurance in amounts of not less than
92— 19
a
l
$1,000,000 combined single limit for bodily injury and property
damage. The City shall be named as an additional insured in said
policy. All insurance shall be written by Florida licensed and
registered insurance companies having at least an A:X rating per
AM Best's Key Rating Guide (latest edition) The policy of
insurance shall provide that the City be given at least thirty
(30) days advance written notice of cancellation or material
modification of said policy. Said policy shall be written on an
occurrence basis, and the carrier shall be acceptable to the
Insurance Coordinator, Risk Management Division, 174 East Flagler
Street, Seventh Floor, Miami, Florida 33131. A certificate of
insurance or the insurance policy shall be provided to the City's
Insurance Coordinator prior to the execution of this Agreement,
and all renewals, amendments, riders and endorsements shall be
provided to the City Insurance Coordinator as they are received
by the PSFL throughout the term of this Agreement
30. DEFAULT
a) In the event either party defaults in the performance of
any of the provisions of this Agreement, the ion -defaulting party
shall have the following options, and its choice of any option
shall in no way waive its right to select any other option at any
time:
I. The non -defaulting party or designee, shall
give the defaulting party written notice of such default. If
the defaulting party does not substantially cure said default
within thirty (30) days in the event of a nonmonetary default and
within seven (7) days in the event of a monetary default after
written notice was given or make reasonable progress to cure said
default, the non -defaulting party may terminate the
Agreement,upon the giving of one additional thirty (30) day
notice, at the end of which the termination will be automatic.
In the event the PSFL is the defaulting party upon the occurrence
of the automatic termination described above, CITY may exclude
PSFL from the Stadium, and/or CITY may recover at law and/or in
equity any and all claims which may be due the CITY;
A. The City Manager or designee may bring an
- 19 -
appropriate civil action enforcing its remedies at law or in
equity.
(b) The PSFL's obligation to pay the use fees
specified herein will survive any default and termination of this
Agreement for any reason other than those set forth in Paragraph
lb. The PSFL shall remain liable to CITY for the payment of such
minimum Use Fees for the term of the Agreement in operative force
and Affect at the time of cancellation until discharged by
payment. This subsection shall not be deemed a limit upon the
parties' remedies at law or in equity.
31. TERMINATION OF CONTRACT_
CITY retains the right to terminate this Agreement at
any time during the term of the Agreement for cause determined by
the City Commission at a public hearing, without penalty to CITY.
In such event, notice of termination of this Agreement shall be
in writing to PSFL, and all monies owed to CITY shall be due
immediately upon receipt of such notice.
32. NON-DELEGABILITY
The obligations undertaken by PS','L pursuant to this
Agreement shall not be delegated or assigned to any other person
or firm unless the City Manager shall first consent in writing to
the performance or assignment of such services or any part
thereof by another person or firm and
unreasonably withheld.
33. ASSIGNMENT OR TRANSFER
The PSFL shall not sublet,
such consent may be
transfer, convey, assign nor
permit the use of the rights, privileges or premises granted
under this Agreement in whole or in part to- any other person,
firm or corporation without written consent of the City Manager
or designee which consent may be unreasonably denied. Any
assignment which may be approved by the City Manager will require
that the assignee execute such assumption agreement and other
instruments satisfactory to the City Attorney.
34. SUCCESSORS AND ASSIGNS
This Agreement shall be binding upon the parties
herein, their heirs, executors, legal
representatives,
92- 19
-. J
successors, and authorized assigns.
35. NON-DISCRIMINATION
PSFL agrees that it shall not discriminate as to race, sex,
color, creed, national origin or handicap in connection with its
performance under this Agreement.
36. INDEPENDENT CONTRACTOR
PSFL and its employees and agents shall be deemed to be
independent contractors, and not agents or employees of CITY, and
shall not attain any rights or benefits under the Civil Service
or Pension Ordinances of the City or any rights generally
afforded classified or unclassified employees; further, PSFL, its
employees and agents shall not be deemed entitled to Florida
Worker's Compensation benefits as an employee of the CITY.
37. CONFLICTOF INTEREST
a. PSFL covenants that no person under its employ who
presently exercises any functions or responsibilities
in connection with this Agreement has any personal
financial interests, direct or indirect, with CITY.
PSFL further covenants that,
this Agreement, no person
interest shall be employed.
in the performance of
having such conflicting
Any such interests on the
part of PSFL or its employees, must be disclosed in
writing to CITY.
b. PSFL is aware of the conflict of interest laws of CITY
of Miami (Miami City Code Chapter 2, Article V), Dade
County, Florida (Dade County Code Section 2-11.1) and
the State of Florida, and agrees that it will fully
comply in all respects with the terms of said laws.
38. AWARD OF AGREEMENT
PSFL warrants that it has not employed or retained any
person employed by CITY to solicit or secure this Agreement and
that it has not offered to pay, paid, or agreed to pay any person
employed by CITY any fee, commission, percentage, brokerage fee,
or gift of any kind contingent upon or resulting from the award
of this Agreement.
-iJ
- 21 -
9 2 - 19
39. ASSURANCES AND CERTIFICATIONS
PSFL assures and certifies that PSFL possesses legal
authority to enter into this Agreement; a resolution, motion, or
similar action has been duly adopted or passed as an official act
of PSFL'S governing body, authorizing the execution of this
Agreement, including all understandings and assurances contained
herein, and directing and authorizing the person identified as
the official representative of PSFL to act in connection with
PSFL and to provide such additional information as required. A
copy of such resolution, motion or other transcribed action is
attached hereto and mare a part hereof.
40. WAIVER
Except those provisions reserved for CITY or PSFL, no waiver
of any provision hereof shall be deemed to have been made unless
such' waiver be in writing signed by the City Manager, or
designee. The failure of CITY or City Manager to insist upon the
strict performance of any of the provisions or conditions of this
Agreement shall not be construed as waiving or relinquishing in
the future any such covenants or conditions but the same shall
continue and remain in full force and effect.
41. JURY TRIAL WAIVER
To the extent allowed by law the parties expressly waive
their right to a jury trial on any claim brought against the
other which arises by virtue of this Agreement.
42. CONSTRUCTION OF AGREEMENT
This Agreement shall be construed and enforced according to
the laws of the State of Florida.
43. COMPLIANCE WITH FEDERAL, STATE AND LOCAL LAWS
Both parties shall comply with all applicable laws,
ordinances and codes of Federal, State and Local Governments.
44. ENTIRE AGREEMENT
This instrument and its attachments constitute the sole and
only Agreement of the parties hereto relating to said use of the
ORANGE BOWL Stadium and correctly set forth the rights, duties,
and obligations of each to the other as of its date. Any prior
agreements, promises, negotiations, or representations not
- 9 2 --- 19
22 -
I
11
ATTEST:
i
ATTEST:
Corporate Secretay-
APPROVED AS TO DEPARTMENTAL
- REQUIREMENTS:
THE CITY OF MIAMI, a municipal
corporation of lie State of
Florida ,
Cesar H. Odio
City Manager
PSFL: Professional Spring
Football League, Inc. a For
Profit Delaware Corporation.
CV / L,-(l` aP -t ,
P f-C 1, 1 -- -�S>->s � =
Tony Paja es, Director
Department of Conferences,
Conventions and Public Facilities
APPROVED AS TO INSURANCE
REQUIREMENTS:
Segundo P ez,
'n
Insuranc Coo ator
Signature
V 1 ry c e,,)r-r- 5L 1 F
Print Name
Title
(SEAL)
APPROVED AS TO FORM AND
CORRECTNESS:
.Q i n es III, Ll
Acting C' Attorney
6111"-
,.4j
- 24 -
CITY OF MIAMI, FLORIDA 7
INTER -OFFICE MEMORANDUM
TO DATE FILE
Honorable Mayor and Members
of the City Commission SUBJECT
Resolution establishing
fees for the Professional
n Spring Football League at
FROM �, !' REFERENCES the Orange Bowl
Cesar H. Odio
City Manger ' ENCLOSURES:
It is respectfully recommended that the City Commission adopt the
attached resolution establishing special charges, terms and
conditions for the use of the Orange Bowl Stadium by the
Professional Spring Football League for the presentation of their
home spring football games beginning with the 1992 football
season. The legislation would also authorize the City Manager to
execute an agreement with this organization for this purpose.
The Department Of Conferences, Conventions and Public Facilities
has been working with the Professional Spring Football League for
the presentation of their home spring football games, which will
consist of eight (8) playing dates starting on March 14 through
to June 13, 1992 at the Orange Bowl Stadium. This organization
wishes to present its games from 1992 through to 1997, with a two
(2) five (5) year renewal option.
The PSFL and City have agreed that the following organizations
shall have priority in scheduling: the University of Miami, for
its regularly scheduled football games, the Orange Bowl Committee
for its Orange Bowl Classic to be played on New Year's Day, the
Kiwanis Club of Little Havana for their annual Carnaval Night and
the World Cup 1994 for the presentation of preliminary soccer
games. The Administration has determined that the PSFL's spring
football schedule will not adversely affect these major tenants
at the Orange Bowl Stadium.
The Administration has prepared an agreement with the PSFL for a
five (5) year period of use, with the option to extend the period
for two (2) additional five (5) year periods.
The Department of Conferences, Conventions and Public Facilities
will collect approximately $573,500 in net revenues for the year
1992. The department will collect from the PSFL all applicable
surcharges, police and event expenses for each game.
A& 92- 19
1.
PROFESSIONAL SPRING FOOTBALL LEAGUE, INC.
REVENUE/EXPENSE PROJECTIONS
ORANGE BOWL STADIUM
1992
Attendance: 150,000(15,000 for 10 games)
Use Fee: $8,500 (per 8 regular games) $12,500 (per 2
playoff games)
Surcharge: $1.00
Concessions: $1.95 per cap
(food & beverage)
Concessions: $1.50 per cap
(novelties)
Parking: $10.00(based on 2,500 parking spaces)
REVENUES
Use Fee
Surcharge
Concessions
(food & beverage)
Concessions
(novelties - 10% net sales)
Parking
TOTAL
EXPENSES
Parking Personnel
Ticket takers & Ushers
($2,500 per 8 regular games
($5,000 per 2 playoff games
TOTAL
NET REVENUE
$ 93,000
150,000
123,000
22,500
250,000
$638,500
35,000
20,000
10,000
65,000
$573,500
92-
19
3
3AN-- 2-92 THU
1 .Y wM ,i...i♦ ...• mow.._
1 1 II 1 0 L A W D E P T
CITV Or MIAMI. FLORIDA
1hTER4ORFICE MEMORANDUM
P g 2 -
max L. Cruz 0ATK December 30, 1991 ntrK-91-452
Assistant Director
[)apartment of Conference suNn:c:T. Professional Spring
and Conventions Football League, Inc.
,oM Carmen,. Leon
Assistant City ntIorney a0.'rr1"iNe21br
WNCw6URCs
Due to certain litigation between the City of Miami and the
Florida Department of Revenue, the following iH suggested
additional language to be inserted in the form of a footnote or
additional provision at the beginning of Section 9:
The parties understand that the City and the
Florida Department of Revenue are currently
contesting the issue of whether sales tax on
lease payments for use of the Orange Bowl
must be paid. PSFL agrees to pay 6% sales
tax on the lease payments to the City and the
City agrees to keep the sales tax payments in
an interest -bearing escrow account. In the
event it is determined that sales tax must be
paid, the City will transfer the sales tax
payments to the State. In the event a final
judicial or administrative determination is
made that no sales tax is due, the City will
return the sales tax payments along with
accrued interest to PSFL.
Please make the appropriate change In the agreement and have
the parties execute a new agreement.
CLx,/ebg/PO4 s
92— 19
2