HomeMy WebLinkAboutExhibitMOTORCYCLE LEASE AGREEMENT
This Motorcycle Lease Agreement (the "Lease" or "Agreement") is entered into this
day of ,2010 (the "Effective Date') by and between Peterson's
Harley-Davidson of Miami, L.L.C. ("Dealer" or "Lessor"), a Florida corporation, located at
and the City of Miami (the "Lessee" or "City"), a
municipal Corporation of the State of Florida, whose address is 444 S.W. 2nd Ave, Miami, Florida
33131 for the lease of new current model production year, certified traffic law enforcement
motorcycles for use by the City's authorized employees in the performance of police -related or
law-enforcement duties, all as more specifically set forth herein.
RECITALS:
A. The City needs to lease twenty-five (25) new current model production year,
certified traffic law enforcement motorcycles (hereinafter referred to as "the Motorcycles"), with
the option to add additional units as necessary under the same prices, terms and conditions set forth
in this Agreement, to be utilized by the City of Miami Police Department.
B. The City has issued an Invitation for Bids No. 150157 ("IFB") for the leasing of the
Motorcycles and Lessor's Bid ("Bid"), in response thereto, has been selected as the lowest
responsive bidder to the City. The IFB and the Bid are sometimes referred to herein, collectively,
as the Solicitation Documents, and are by this reference incorporated into and made part of this
Agreement.
C. The Commission of the City of Miami, by Resolution No. , adopted on
2010, authorized the City Manager to execute this Lease.
NOW, THEREFORE, in consideration of the mutual covenants and promises herein
contained, Lessor and the City agree as follows:
TERMS:
1. RECITALS: The recitals are true and correct and are hereby incorporated into and made a
part of this Lease.
2. TERM AND OPTION TO EXTEND: The initial teen of this Lease shall be twenty-four
(24) months, commencing on the date of delivery of the Motorcycles, as set forth in Section 3. The
City shall have the option to extend the initial term for a period of two -years (24 months) under the
same tenns and conditions set forth herein, subject to availability and appropriation of funds, by
written notice given by the City Manager or his/her designee at least one hundred twenty (120)
calendar days prior to the expiration of the initial teen. Additionally, the City Manager or his/her
designee, may extend this Lease for up to one hundred twenty (120) calendar days beyond the
expiration of the Term if needed, in its sole discretion, while a new contract is being solicited,
evaluated, and/or awarded. If the right is exercised, the City Manager or his/her designee shall
notify the Lessor, in writing, or its intent to extend the Lease at the same price, terms and
conditions for a specific number of days. Additional extensions beyond the first one hundred
twenty (120) day extension period may occur, if mutually agreed to by the City and the Lessor. At
the end of each year during the Tenn, the Lessor will replace the Motorcycles with the newest
models available.
3. SPECIFICATIONS AND DELIVERY: Not later than 120 days after the Effective
Date, Lessor agrees to deliver to the City twenty-five (25) Motorcycles wluch meet the
specifications set forth in Attachment "A", which by this reference is incorporated into and made
part of this Agreement. The City has the right to increase the number of Motorcycles to be leased
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under this Lease under the same prices, terms, and conditions stipulated in the Bid, by giving
written notice thereof, signed by the City Manager or his/her 'designee. In such event, Lessor
shall have a period not to exceed ninety (90) days from the City's request in which to deliver the
additional Motorcycles.
4. LEASE PAYMENTS:
A. Lessee shall make monthly lease payments to Lessor in the amount of Four
Hundred Seventy -Five Dollars and no cents ($475) for each Motorcycle; but not to exceed total
sum paid annually does not exceed One Hundred Thirty -Six Thousand Eight Hundred Dollars and
no cents ($136,800).
B. Lessee agrees to make monthly payments within thirty (30) days after receipt of
Lessor's invoice, which shall be accompanied by sufficient supporting documentation and contain
sufficient detail, to allow a proper audit of expenditures, should City require one to be performed.
Initial payment will be made by the City after the Motorcycles have been received, inspected, and
found to comply with award specifications, free of damage or defect, and properly invoiced.
However, initial payment and all other subsequent monthly payments thereafter, if not made
within the time stipulated herein, will be subject to the provisions of Florida Statute 218.74 and
other applicable law. No advanced payments of any kind will be made by the City,
5. MISCELLANEOUS FEES: Lessee agrees to pay for all official fees in connection with
the certificate of title, registration and license fees and any applicable taxes, for each of the leased
Motorcycles. Lessor hereby waives all charges with respect to freight and dealer prep of the
motorcycles.
6. MAINTENANCE, WARRANTY AND REPAIRS: Lessor shall provide, and hereby
reaffirms, all warranties, maintenance and repair services described in the Solicitation Documents
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at no cost to the Lessee. The Lessor agrees to allow Lessee to perform all service and non -warranty
repairs at the Lessee's maintenance facility utilizing City personnel; Lessee's use or repair of the
Motorcycle must not invalidate any warranty. The Lessee reserves the right to require Lessor to
provide maintenance for the Motorcycles at the rates set forth in the Bid and subject to City
Commission approval. Lessee reserves the right to return the Motorcycle to any Peterson's
Harley-Davidson dealer for warranty repairs. The Lessor shall be responsible for the pickup and
delivery of all Motorcycles requiring repair, maintenance or warranty work. Motorcycles shall be
transported using a trailer, flatbed or other vehicle designed specifically to transport motorcycles.
The Lessor shall pick up Motorcycles requiring repair, maintenance or warranty work within
twenty-four (24) hours of notification and agrees to deliver them to the City within twenty-four
(24) hours after completion of said repairs.
7. BUYBACK OPTION: Lessor agrees to allow Lessee to purchase any or all Motorcycles
at the end of the initial (first 24 month of lease) or extended term (second 24 month of lease), if the
option is renewed by the City, whichever is in the best interest of the City, for Ten Thousand
Dollars and no cents ($10,000) per Motorcycle, at the sole discretion of Lessee, subject to City
Commission approval, if required.
S. OWNERSHIP OF DOCUMENTS: Lessor understands and agrees that any
inforination, document, report of any other material whatsoever which is given by the City to
Lessor or which is otherwise obtained or prepared by Lessor pursuant to or under the terns of this
Agreement is and shall at all times remain the property of the City. Lessor agrees not to use any
such information, document, report or material for any other purpose whatsoever without the
written consent of City, which may be withheld or conditioned by the City in its sole discretion.
9 AUDIT AND INSPECTION RIGHTS:
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A. The City may, at reasonable times, and for a period of up to three (3) years
following the date of final payment by the City to Lessor under this Agreement, audit, or cause to
be audited, those books and records of Lessor which are related to Lessor's performance under this
Agreement. Lessor agrees to maintain all such books and records at its principal place of business
for a period of three (3) years after final payment is made under this Agreement.
B. The City may, at reasonable times during the term hereof, inspect Lessor's
facilities and perform such tests, as the City deems reasonably necessary, to determine whether the
services required to be provided by Lessor under this Agreement confonn to the teens hereof, if
applicable. Lessor shall make available to the City all reasonable facilities and assistance to
facilitate the performance of tests or inspections by City representatives. All tests and inspections
shall be subject to, and made in accordance with, the provisions of Section 18-101 of the Code of
the City of Miami, Florida, as same may be amended or supplemented, from time to time.
10. AWARD OF AGREEMENT: Lessor represents and warrants to the City that it has not
employed or retained any person or company employed by the City to solicit or secure this
Agreement and that it has not offered to pay, paid, or agreed to pay any person any fee,
commission, percentage, brokerage fee, or gift of any kind contingent upon or in comlection with,
the award of this Agreement.
11. PUBLIC RECORDS: Lessor understands that the public shall have access, at all
reasonable times, to all documents and information pertaining to City contracts, subject to the
provisions of Chapter 119, Florida Statutes, and agrees to allow access by the City and the public
to all documents subject to disclosure under applicable law, Lessor's failure or refusal to comply
with the provisions of this section shall result in the immediate cancellation of this Agreement by
the City.
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12. COMPLIANCE WITH FEDERAL, STATE AND LOCAL LAWS: Lessor
understands that agreements between private entities and local governments are subject to certain
laws and regulations, including laws pertaining to public records, conflict of interest, record
keeping, etc. City and Lessor agree to comply with and observe all applicable federal, state and
local laws, rules, regulations, codes and ordinances, as they may be amended from time to time:
13. E�TDEAIINIFICATIONS: Lessor shall indemnit7, defend and hold harmless the City
and its officials, employees and agents (Collectively referred to as "Indemnitees") and each of
them from and ,against all loss, costs, penalties, fines, damages, claims, expenses (including
attorneys fees) or liabilities (collectively referred to as "Liabilities") by reason of any injury to or
death of any person or damage to or destruction or 1 oss of any property arising out of, resulting
from, or in connection with (i) the performance or non-performance of the services contemplated
by this Agreement which is or is alleged to be directly or indirectly caused, in whole in part, by any
act, omission, default or negligence (whether active or passive) of Lessor or its employees, agents
or subcontractors (collectively referred to as "Lessor"), regardless of whether it is, or is alleged to
be, caused in whole or part (whether joint, concurrent or contributing) by any act, omission, default
or negligence (whether active or passive) of the Indemnitees, or any of them or (ii) the failure of
the Lessor to comply with any of the paragraphs herein or the failure of the Lessor to conform to
statutes, ordinances, or other regulations or requirements `of any govermnental authority, federal,
state or local, in connection with the ,performance of `this Agreement. Lessor expressly agrees to
indemnify and hold harmless the Indemnitees, or any of them, from and against all liabilities which
may be asserted by an employee or former employee of Lessor, or any of its subcontractors, as
provided above, for which the Lessor's liability to such employee or former employee would
otherwise be limited to payments under state Workers' Compensation or similar laws.
C,
The City agrees to indemnify and hold Lessor harmless from the losses, liability, damages,
injuries, claims, demands and expenses, including attorney's fees, arising out of the use of the
Motorcycles while in the care, custody or control of the City, provided that the said losses,
liability, damages, injuries, claims, demands and expenses are not the result of actions or
omissions on the part of the Lessor. Lessee's indemnification hereunder is subject to the
limitations in §768.28, Florida Statutes. Lessee does not waive its right to sovereign immunity
under §768.28 of the Florida Statutes.
14. DEFAULT: If Lessor fails to comply with any term or condition of this Lease, or fails to
perform any of its obligations hereunder, then Lessor shall be in default. Upon the occurrence of a
default hereunder the City, in addition to all remedies available to it by, law, may immediately,
upon written notice to Lessor, terminate this Lease whereupon all payments, advances, or other
compensation paid by the City to Lessor while Lessor' was in default shall be immediately
returned to the City. Lessor understands and agrees that termination of this Lease under this
section shall not release Lessor from any obligation accruing prior to the effective date of
termination. Should Lessor be unable or unwilling to commence to perform its obligations
hereunder within the time provided or contemplated herein, then, in addition to the foregoing,
Lessor shall be liable to the City for all expenses incurred by the City in preparation and
negotiation of this Lease, as well as all costs and expenses incurred by the City in the re -
procurement of this Lease, including consequential and incidental damages.
15. CITY'S TER31INATION RIGHTS: The City reserves the right to terminate this Lease
by written notice to the Lessor, effective the date specified in the notice, upon the occurrence of
any of the following:
A. The Lessor is determined by the City to be in beach of any of the terms and
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conditions of the Lease.
B. The City has determined that such termination is in the best interest of the City.
C. Funds are not available to cover the cost of the goods, services, or equipment.
The City's obligation hereunder is contingent upon the availability of appropriate funds.
16. INSURANCE: Lessor shall, at all, times during the teem hereof, maintain such insurance
coverage as maybe required by the City and as described in Section 2.37 of the IFB asset forth in,
Attachment `B". All such insurance, including renewals, shall be subject to the approval of the
City for adequacy of protection and evidence of such coverage shall be finished to the City on
Certificates of Insurance indicating such insurance to be in force and effect. Completed
Certificates of Insurance shall be filed with the City prior to the performance of services
hereunder, provided, however, that Lessor shall at any time upon request file duplicate copies of
the policies of such insurance with the City.
If, in the judgment of the City, prevailing conditions warrant the provision by Lessor of
additional liability insurance coverage or coverage which is `different in kind, the City reserves the
right to require the provision by Lessor of an amount of coverage different from the amounts or
kind previously required and shall afford written notice of such change in requirements thirty (30)
days prior to the date on which the requirements shall take effect. Should the Lessor' fail or.
refuse to satisfy the requirement of changed coverage within thirty (30) days following the City's
written notice, this Agreement shall be considered terminated on the date the required change in
policy coverage would otherwise take effect.
17. SOLICITATION DOCUMENTS: Except as otherwise specifically provided herein,
Lessor shall comply with all the provision of the Solicitation Documents that are intended by their
terms to apply to the contractual relationship hereby created. All such provisions shall apply to
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this Lease as if restated herein.
18. NONDISCRIMINATION: Lessor represents and warrants to the City that Lessor does
not and will not engage in discriminatory practices and that there shall be no discrimination in
connection with Lessor's performance under this Agreement on account of race, color, sex,
religion, age, handicap, marital status or national origin. Lessor further covenants that no
otherwise qualified individual shall, solely by reason of his/her race, color, sex, religion, age,
handicap, marital status or national origin, be excluded from participation in, be denied services, or
be subject to discrimination under any provision of this Agreement.
19. ASSIGNMENT: This Agreement shall not be assigned by Lessor, in whole or in part,
without the prior written consent of the City's, which may be withheld or conditioned, in the City's
sole discretion.
20. NOTICES: All notices or other cominunications required under this Agreement shall be
in writing and shall be given by hand -delivery or by registered or certified U.S. Mail, return receipt
requested, addressed to the other party at the address indicated herein or to such other address as a
party may designate by notice given as herein provided. Notice shall be deemed given on the day
on which personally delivered; or, if by mail, on the fifth day after being posted or the date of
actual receipt, whichever is earlier.
TO LESSOR:
PETERSON'S HARLEY DAVIDSON OF
MIAMI, L.L.C.
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TO THE CITY:
CARLOS A. MIGOYA, CITY MANAGER
CITY OF MIAMI
444 S.W. 2ND Avenue, 10t" floor
MIAMI, FLORIDA 33130
21. MISCELLANEOUS PROVISIONS:
A. This Agreement shall be construed and enforced according to the laws of the State
of Florida.
B. Title and paragraph headings are for convenient reference and are not a part of this
Agreement.
C. No waiver or breach of any provision of this Agreement shall constitute a waiver of
any subsequent breach of the same or any other provision hereof, and no waiver shall be effective
unless made in writing.
D. Should any provision, paragraph, sentence, word or phrase 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 the City of Miami, such provision,
paragraph, sentence, word or phrase shall be deemed modified to the extent necessary in order to
conform with such laws, or if not modifiable, then 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 or limitation of its use.
E. This Agreement constitutes the sole and entire agreement between, the parties
hereto. No modification or amendment hereto shall be valid unless in writing and executed by
properly authorized representatives of the parties hereto.
22. SUCCESORS AND ASSIGNS: This Agreement shall be binding upon the parties
hereto, their heirs, executors, legal representatives, successors, or assigns.
23. CONTINGENCY CLAUSE: Funding for this Agreement is contingent on the
availability of funds and the Agreement is subject to amendment or tennination due to lack of
funds, reduction of funds and/or change in regulations, upon thirty (30) days notice.
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24. COUNTERPARTS: This Agreement may be executed in two or more counterparts,
each of which shall constitute an original but all of which, when taken together, shall constitute
one and the same agreement.
25. USE AND SUBLEASING: Lessee agrees that the Motorcycles (a) will be operated only
by authorized licensed drivers employed by, Lessee as law-enforcement officer; (b) will be kept
free of all fines, liens and encumbrances; (c) will not be used illegally, improperly, for hire, or
contrary to the manufacturer's recommendations.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed
by their respective officials thereunto duly authorized, this the day and year above written.
ATTEST:
"City"
CITY OF MIAMI, a municipal
corporation
By:
PRISCILLA A. THOMPSON CARLOS A. MIGOYA
City Clerk City Manager
"Lessor"
ATTEST: Peterson's Harley-Davidson of
Miami, L.L.C.,
a Florida corporation
Print Name:
Title: Corporate Secretary
By:
Print Name:
Title:
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APPROVED AS TO FORM AND
CORRECTNESS:
APPROVED AS TO INSURANCE
REQUIREMENTS:
JULIE O.BRU, City Attorney Division of Risk Management
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