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HomeMy WebLinkAboutR-83-05016 4W J-83-455 rr M83-386 (5/12/83) RESOLUTION NO.���'•)O�` A RESOLUTION WAIVING THE REQUIREMENT FOR FORMAL SEALED BIDS AND AUTHORIZING, BY AN AFFIRMATIVE VOTE OF NOT LESS THAN 4/5THS OF THE MEMBERS OF THE CITY COMMISSION, THE PURCHASE FROM MIAMI MOTORSPORTS, INC., ON TERMS AND CONDITIONS AS SET FORTH IN THE ATTACHED AGREEMENT, OF RACEWAY BARRIERS, BRIDGES, AND OTHER RELATED FACILITIES TO BE USED TO PROVIDE AN ON -GOING CAPABILITY OF THE CITY FOR THE PROMOTION OF THE MIAMI GRAND PRIX AND/OR OTHER SIMILAR RACE EVENTS AND FOR SUCH OTHER USES AS THE CITY MANAGER MAY DEEM APPROPRIATE; ALLOCATING FUNDS THEREFOR FROM HIGHWAY BOND FUNDS; AUTHORIZING THE CITY MANAGER TO EXECUTE THE ATTACHED AGREEMENT AND TO INSTRUCT THE PURCHASING AGENT TO ISSUE PURCHASE ORDERS FOR THIS PURCHASE; FURTHER PROVIDING FOR THE ADOPTION OF THE FINDINGS AND CONCLUSIONS SET FORTH IN THE PREAMBLE OF 'THIS RESOLUTION. WHEREAS, the City has grantee to Miami Motorsports, Inc. (MMI) a license to promote an annual series of automobile races in downtown Miami, which races are known as the Miami Grand Prix and/or Grand Prix of. Miami; and WHEREAS, the City needs to exercise control of the major facilities needed to stage the Miami Grand Prix event over the next four years, regardless of the ability of MMI to do so; and WHEREAS, MMI owns certain barrier walls and precast steel and concrete bridges which can be used by the City for various other purposes as well as being used by MMI for the Miami Grand Prix and other similar race events; and WHEREAS, through the purchase of said facilities owned by MMI the City will be able to provide the Public Works Department and other departments with facilities for various other automobile related activities and services including traffic control as well as facilities to be used in other public events; and CITY COMMISSION MEETING OF J U N 81983 3-501 MX1 441 WHEREAS, the City Manager has also made a written finding that the use of the competitive sealed bidding method for the award of the herein procurement contract is not practicable or advantageous due to the nature of the event for which the particular facilities have proven so effective as set forth above; and WHEREAS, the City Commission, after a properly advertised public hearing, accepts and ratifies the City Manager's above finding by a two-thirds vote of its membership; NOW, THEREFORE, BE IT RESOLVED BY THE, COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The findings and conclusions set forth in the preamble to this Resolution are hereby adopted as if fully set forth in this Section. Section 2. The requirement for formal sealed bids for the purchase from Miami Motorsports, Inc., on terms and conditions as set forth in the attached agreement, of raceway barriers, bridges, and other related facilities to be used to provide an on-qoing capability of the City for the promotion of the Miami Grand Prix and/or other similar race events and for such other uses as the City Manager may deem appropriate is hereby waived. Section 3. The City Manager is hereby authorized to execute the attached agreement and also to instruct the Purchasing Agent to issue Purchase Orders for this purchase, with funds therefor hereby allocated from Highway Bond Funds. Section 4. The requirement of City Code Section 18-52.1 for obtaining competitive sealed bids herein is hereby waived by an affirmative vote of not less than four -fifths of the members of this Commission. -2- 83-SO PASSED AND ADOPTED this lSthday of June 1983. ATTEST: 7 -- 7 1' RAL H G. ONGIE CITY CLERK PREPARED AND APPROVED BY: ROBERT F. CLARK DEPUTY CITY ATTORNEY APPROVED AS TO FORM AND CORRECTNESS: *JOSER. GARCIA-PEDROSA CITY ATTORNEY -3- Maurice A. Ferre MAURICE A. FERRE M A Y O R 83-501 s AGREEMENT THIS AGREEMENT, made and entered into this day of , 1983, by and between CITY OF MIAMI, a Munici- pality of the State of Florida (hereinafter the "City"), and MIAMI MOTORSPORTS, INC., a Florida corporation, with principal offices located at 10113 S.W. 72nd Street, Miami, Florida (hereinafter "MMI") and Ralph Sanchez, an individual, in his individual capacity (hereinafter SANCHEZ). WITNESSETH: WHEREAS, the City has granted to MMI a license to promote a series of automobile races in downtown Miami, which races are known as the Miami Grand Prix and/or Grand Prix of Miami; and WHEREAS, the City desires to obtain the means of staging other similar race events during the next four years which would not compete with the Miami Grand Prix but which would provide additional promotion for the City as well as provide additional recreational events for the residents; and WHEREAS, the City desires to provide the Public works Department and other departments with facilities for various other automobile -related activities and services including traffic control as well as facilities to be used in other public events; and WHEREAS, MMI and SANCHEZ own certain barrier walls and precast steel and concrete bridges -which can be used by the City for various other purposes as well as for the Miami Grand Prix and other similar race events; and WHEREAS, the City desires to purchase said facilities owned by MMI and SANCHEZ subject to the terms and conditions of this Agreement; WHEREAS, Ralph Sanchez, an individual, holds a substantial interest in MMI and further intends to become personally liable for the performance of this Agreement, NOW, THEREFORE, in consideration of the premises and the mutual terms and conditions hereinafter set forth, it is agreed as follows: 83-501. 0 0 1. Subject to compliance with all of the terms and conditions enumerated herein, the CITY hereby agrees to purchase and MIMI and SANCHEZ agree to sell to the City the following facilities owned by MMI and SANCHEZ and used by MMI and SANCHEZ in staging the Grand Prix of Miami for the year 1983; and a) 6,204 lineal feet of Formula 1 type barrier wall; b) 2,980 lineal feet of modified DOT Type barrier walls; c) 6 percast steel and concrete bridges. 2. The purchase price to be paid by the City to KMI and SANCHEZ for acquisition of the above -reference facilities shall be an amount not to exceed $500,000 to be paid in full upon MMI and SANCHEZ' delivery of a Bill of Sale to the City and which payment is conditioned upon receipt by the City of an evaluation by an indepen- dent appraisor selected bxx the CITY reflecting the value of th WArck wi// be Ae, 2 #7e-,ht F° f e .br "a C' Xy ph 14a facilities As additional consideration, the City agrees that MMI and SANCHEZ shall reserve the right to use the facilities to stage the Miami Grand Prix in 1984, 1985, 1986 and 1987 pursuant to the terms of this Agreement and the license granted MMI by the City for said event, subject to the approval of event dates by the City Manager. 3. Prior to payment of the purchase price by City, MMI and SANCHEZ will obtain a bond in the amount of the purchase price from any company acceptable to CITY, guaranteeing MMI and SANCHEZ' per- formance of -che terms of this Agreement, including payment of all sums -A-haVM required to be paid by either or both of reu. W-1I and SANCHEZ shall pay the premium on the bond, wlLich-shall be continued in force and amount until the completed repurchase of the facilities. 4. The reservation of use of the facilities hereby granted to MMI and SANCIiEZ shall be for 60 days each year for use during the Miami Grand Prix. 5. During ownership of the above -referenced facilities by the City the storage thereof shall be the responsibility of MMI and SAN- CHEZ, unless the City shall indicate otherwise in writing to MMI and SANCHEZ. -2- 83--501, 0 5. While stored by MMI and SANCHEZ, I-1MI and SANCHEZ shall be responsible for any damages to the facilities. MMI and SANCHEZ shall indemnify City against loss and damages to the facilities while the facilities are stored by MMI and SANCHEZ. 7. MMI and SANCHEZ shall make any necessary repairs or preparations of said facilities for use by MMI and SANCHEZ during the staging of the Miami Grand Prix, at its sole cost. 8. MMI and SANCHEZ shall indemnify and save the City harmless from and against any and all claims, liabilities, losses and causes of action which may arise out of MMI and SANCHEZ' use of the facilities during the term of this Agreement, including MMI and SANCHEZ' activities under this contract, and all other omissions to act on the part of MMI and SANCHEZ or any of them, including any person acting for or on his or their behalf, and from and against any orders, judgments or decrees which may be entered and from and against all cost, attorney's fees, expenses and liabilities incurred in the defense of any such claims, or in the investigation thereof. 9. MMI and SANCHEZ hereby agrees to repurchase the aforesaid facilities over the four year period 1984 - 1987 as follows: a) MMI shall make equal annual installment payments of $125,000 starting on June 1, 1984 to the City plus interest on the outstanding balance of the $500,000 purchase price paid by the City for the facilities plus interest in an amount equal to the interest the City would have earned on that outstanding balance during the preceding year had said balance been deposited in the City's normal investment account for City funds, provided however that the annual percentage rate shall not be less than 12% per year nor more than 14% per year; such payments to be made from the gross revenues of the events referred to in paragraph 2 of this Agreement before payment of all event expenses other than required payment of federal, state and local taxes. b) Upon the final payment of the outstanding princi- pal balance together with any interest accrued thereon made by MMI and SANCHEZ in the fourth year (1987), the City shall reconvey the aforesaid facilities to MMI and SANCHEZ; c) MMI and SANCHEZ shall be entitled to accelerate the repurchase of the aforesaid facilities at any time during the four-year period by payment of the then outstanding balance of the purchase price paid by the City plus any accrued interest thereon, and the City shall at that time reconvey the facilities to MMI and SANCHEZ. d) If any annual installment payment plus interest shall become due and remain unpaid in whole or in part, all of installments shall become due and payable forthwith, and any payments made hereon after any default or violation of any of the terms and conditions of this Agreement shall be treated only as payments on account of full amount of this contract and not as payments of any installment shown herein. e) In case suit is instituted to collect the money due hereunder, or default in payment by MMI and SANCHEZ, MMI and SANCHEZ agree to pay such additional sum as the Court may adjudge reasonable as attorney's fees. 10. As further consideration to the City for the repurchase of said facilities by MMI and SANCHEZ, MMI and SANCHEZ covenant and agree to pay the City 1% of the net profits derived from each staging of the Miami Grand'Prix during the term of this Agree- ment. This payment is in addition to the graduated percentage of profits required to be paid to the CITY under the terms of the license granted 1,1i4I for the staging of the Miami Grand Prix. 11. During the term of the Agreement and prior to recon- veyance of said facilities to MNI and SANCHEZ, the City shall be entitled to use the facilities for City purposes and/or to lease them to others for use during all periods of each year except the 60-day period reserved by MMI and SANCHEZ for use during the staging of the Miami Grand Prix. -4- 83--501' 0 0 12. M.MI and SANCHEZ hereby agree to apply $141,608 of the purchase price to be paid by the City under this Agreement to payment to the City for the City's expense5in providing public services for the staging of the 1983 Miami Grand Prix, which MMI currently owes the City. MMI and SANCHEZ agree to pay the City that amount within ten (10) days of receipt of said purchase price. 13. The facilities to be purchased pursuant to this Agreement shall be conveyed to the City in as -is condition, free and clear of all liens or security interests; and said facilities shall be reconveyed by the City to M.MI and SANCHEZ pursuant to this Agree- ment in as -is condition existing on the date of reconveyance. 14. t4MI and SANCHEZ agree to provide adequate insurance acceptable to the City, in order to cover losses of the above - referenced facilities during such time as MMI and SANCHEZ uses said facilities pursuant to this Agreement in the staging of the Miami Grand Prix. 15. The City agrees to execute any necessary documents in order to establish a perfected security interest of MMI and SANCHEZ in the facilities under Florida's Uniform Commercial Code to secure the repurchase rights of MMI and SANCHEZ in the facilities under this Agreement. 16. MMI and SANCHEZ shall be jointly and severally liable for all obligations under this Agreement. This Agreement may be enforced against either MMI and/or SANCHEZ, separately or against both jointly. 17. The City and M1%1I and SANCHEZ hereby agree to cooperate in scheduling the use of the facilities as contemplated by this Agree- ment, it being understood that the scheduling of the Miami Grand Prix will be subject to scheduling changes during each of the four years covered by this Agreement. Such scheduling, however, shall be subject to the approval of the City Manager. IN WITNESS WHEREOF, the parties execute this Agreement on -5- 83-501 r: 6 the first gate written above. ATTEST: Ralph G. Ong ie City Clerk ATTEST: Secretary APPROVED AS TO FORM AND CORRECTNESSES: Jose R. Garcia -Pedrosa City Attorney BB/wpc/ab/057 CITY OF MIAMI By Howard V. Gary City Manager MIAMI MOTORSPORTS, INC. By President RALPH SANCHEZ, individually -6- 83-501 • 6 CITY OF MI.AMI, FLORIDA NOTICE OF PUBLIC HEARING i ; 'f' L , , A public hearing will be held by the Commission of the City of Miami, Florida on Thursday, June 9, 1983, at 2:30 P.M. in the City Commission Chambers at City Hall, 3500 Pan American Drive, Miami, Florida, for the purpose of considering a waiver of the requirement of obtaining sealed competitive bids for the acquisition of raceway barriers, bridges, and other related facilities from Miami Motorsports, Inc. at an approximate cost of $500,000, subject to specified terms and conditions; said facilities to be used to provide ongoing capability of the City for the promotion of the Miami Grand Prix and/or other similar race events and`ar such other uses as the City Manager deems -appropriate. Such proposed acquisition involves a repurchase by Miami Motorsports, Inc. of the raceway barriers, bridges, and other related facilities within 4 years. .All interested persons are invited to appear and may be heard concerning such proposed waiver, purchase and repurchase. The hearing will be held at the time and place specified above. Should any person desire to appeal any decision of the City Commission with respect to any matter considered at this hearing, that person shall ensure that a verbatim record of the proceedings is made, including all testimony and evidence upon which any appeal may be based. RALPH G. ONGIE CITY CLERK 83-5®1 HAND DELIVER June 1, 1983 THE MIAMI REVIEW 100 N.E. 7th Street Miami, Florida Attn: Octelma Gentlemen: Please publish the attached notice in your paper on June 2, 1983. Also enclosed is our Authorization to Advertise, Purchase Order #1252 Thank you. Very truly yours, ROBERT F. CLARK Deputy City Attorney RFC/rr cc: Ralph G. Ongie, City Clerk Manny Alvarez, Ass't. to the City Mgr. 83-so 11 0 0 CITY OF MIAMI AUTHORIZATION TO ADVERTISE Date: 6/1/83 THE MIAMI REVIEW 1G52 Publication: -P.O.# Please publish the attached advertisement one time !x. (number of times) starting date: Thursday, June 2, 1983 Please send notarized proof of publication and invoice to: Ralph G. Ongie, City Clerk, City of Miami, P. O. Box 330708, Miami, Florida 33233-0708 For further information contact Robert F. Clark, t telephone no. 579-6700 63-5011