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HomeMy WebLinkAbouthandout - 2Cheat Sheet Bayfront Park/Concorde Cruises (Casino Princesa) Transfer and Assignment • New BPMT memo dated 4/27/04 • Unchanged memo to Mayor and Commissioners • Revised Resolution — language regarding revocable license for surplus warehouse space deleted because the value does not require Commission approval. • Revised term sheet now includes language re: attorney fees (page 12) and is now part of documents to be approved by Commission. Previously the term sheet was only included as back-up material. • Unchanged Amendment and Restatement CLi MILDRED AND CLAUDE PEPPER BAYFRONT PARK TO: FROM: SUBJECT: DATE: MEMORANDUM Mayor and Members of the City Commissio Timothy F. Schmand, Executive Director Revised Resolution re: the transfer and assignment of the Casino Princesa April 27, 2004 At this Thursday's, April 29, 2004, special City Commission meeting, the City Commission will be considering the Bayfront Park Management Trust's approval of the transfer and assignment of the use and valet parking concession agreements from Concorde Cruises, Inc. ("Concorde") and Bayfront Valet, Inc. ("Bayfront Valet") to Southeast Cruise Holdings, LLC. Attached please find for your consideration a complete packet including: a cover memo, a revised resolution with two attachments. The first attachment is a revised term sheet delineating the amendments to the Use Agreement with Concorde. The second attachment is the Amended and Restated Valet Parking and Concession Agreement, which is the second amendment to the valet parking concession agreement with Bayfront Valet. Bayfront Valet is Concorde's wholly owned subsidiary that operates the valet parking concession adjacent to Bayfront Park. Please contact me should you have any questions. CC: Joe Arriola, City Manager/City Administrator Alejandro Vilarello, City Attorney Priscilla A. Thompson, City Clerk Maria Chiaro, Assistant City Attorney Erica N. Wright, Assistant City Attorney Victoria Guerrero, Assistant to the City Manager Ana Medina, Legislative Services Supervisor, City Clerk's Office Elvi Alonso, Agenda Coordinator, City Agenda Office Angela Smith, Administrative Assistant II, City Attorney's Office BAYFRONT PARK MANAGEMENT TRUST 301 North Biscayne Boulevard Miami, FL 33132 (305) 358-7550 TO: The Honorable Mayor and DATE: April 22, 2004 Members of the City Conunission SUBJECT: A Resolution of the Miami City Commission, with attachments, authorizing the Bayfront Park Management Trust to accept the transfer and assignment of the agreements with Bayfront Park Management Trust from Concorde Crises, Inc. to Southeast Cruise Holdings, LLC. FROM: Timothy F. Schmand Executive Director RECOMMENDATION It is respectfully recommended that the City Commission adopt the attached Resolution authorizing the Bayfront Park Management Trust to accept the transfer and assignment of the Agreements with Bayfront Park Management Trust from Concorde Cruises, Inc. to Southeast Cruise Holdings, LLC and authorizing the Executive Director of the Bayfront Park Management Trust to execute an Amendment and Restatement to the Use Agreement executed June 25, 1997, an Amendment and Restatement to the Valet Parking Concession Agreement dated December 8, 1998, and a Revocable License Agreement with Southeast Cruise Holdings, LLC. BACKGROUND The Bayfront Park Management Trust (Trust) manages Bayfront and Bicentennial Parks. Two of the Trust's objectives are to attract people to the parks and to continue generating revenue through the use of park facilities. To that end, a use agreement was entered into on June 25, 1997, between the Bayfront Park Management Trust and Concorde Cruises, Inc. for use of the north end dock adjacent to Bayfront Park. On December 8, 1998, the Trust and Bayfront Valet, LLC (owned by Concorde Cruises) entered into a valet parking concession agreement. Subsequently, a revocable license agreement was also entered into for use of warehouse space. Recently, Concorde Cruises, Inc., negotiated an asset purchase agreement with Southeast Cruise Holdings, LLC (Southeast) for acquisition of the vessel, the valet parking operation and the personal property related thereto. On April 19, 2 004, t he T rust a pproved t he transfer and assignment o f the u se a greement and the concession agreement and authorized the Executive Director to execute amendments and restatements to these agreements, in substantially the attached form, with Southeast, subject to the terms and conditions contained therein. The Trust also further authorized the Executive Director to execute a revocable license agreement with Southeast for use of surplus warehouse space located at the Park The Trust has determined that the acceptance of the assignment is in the best interest of the parties and has conditioned its acceptance of the assignment and transfer and its authorization for the Executive Director to execute the Amendments and Restatements to the Use Agreement and the Concession Agreement (collectively ("Agreements") and to execute the revocable license agreement based upon the following conditions: 1) City Commission approval, 2) provision of a Letter of Credit, 3) the execution of the of the asset purchase agreement(s) between Concorde and Bayfront Valet to Southeast, 4) Concorde's payment of its arrearage to the Trust, and 5) the other terms and conditions contained in the Agreements. TFS/jrg ..Title A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), AUTHORIZING THE BAYFRONT PARK MANAGEMENT TRUST ("TRUST") TO ACCEPT THE TRANSFER AND ASSIGNMENT OF THE AGREEMENTS WITH THE TRUST FROM CONCORDE CRUISES, INC. TO SOUTHEAST CRUISE HOLDINGS, LLC; AUTHORIZING THE TRUST'S EXECUTIVE DIRECTOR TO EXECUTE AN AMENDMENT AND RESTATEMENT TO THE USE AGREEMENT EXECUTED JUNE 25, 1997, AND AN AMENDMENT AND RESTATEMENT TO THE VALET PARKING CONCESSION AGREEMENT DATED DECEMBER 8, 1998, WITH SOUTHEAST CRUISE HOLDINGS, INC., IN SUBSTANTIALLY THE ATTACHED FORM. ..Body WHEREAS, the City of Miami ("City") is the owner of the property known as Bayfront Park ("Park"); and WHEREAS, pursuant to an agreement with the Department of Army ("Army Corps") dated August 8, 1990, the City is lessee of portions of the baywalk that is adjacent to the Park; and WHEREAS, pursuant to Section 38-101, of the Code of the City of Miami, Florida, as amended, the Park and the leased area from the Army Corps is managed and operated by Bayfront Park Management Trust ("Trust") which is authorized to enter into agreements for the use of those areas (hereinafter collectively referred to as the "Park"); and WHEREAS, the Trust and Concorde Cruises, Inc. ("Concorde"), formerly known as Bayfront Ventures, a Florida joint venture, entered into a Use Agreement dated June 25, 1997, ("Use Agreement"), which was further amended on September 26, 1997, in 2001, and June 27, 2002, for the operation of a casino gaming vessel known as Casino Princesa ("Vessel") at the northern dock of the Park; and WHEREAS, on December 8, 1998, the Trust and Bayfront Valet, LLC, a Florida limited liability company ("Bayfront Valet") owned by Concorde, entered into Valet Parking Concession Agreement ("Concession Agreement"), which was further amended on June 27, 2002, for the operation of valet parking services adjacent to the northern dock of the Park; and WHEREAS, currently, Concorde has negotiated an asset purchase agreement with Southeast Cruise Holdings, LLC ("Southeast") for acquisition of the Vessel, the valet parking operation and the personal property related thereto; and WHEREAS, Concorde and Bayfront Valet have requested that the Trust approve an assignment and transfer to Southeast of their rights, titles and interests in the Use Agreement and Concession Agreement, respectively; and WHEREAS, pursuant to the provision of Section 14 of the Use Agreement, Concorde shall not transfer more than fifteen percent (15%) of its interest without the Trust's prior approval; and WHEREAS, pursuant to the provisions of Section XIV of the Concession Agreement entitled "Assignment," Bayfront Valet may not subcontract, transfer, convey or assign any of the rights, privileges or premises granted pursuant to the Concession Agreement without obtaining written consent of the Trust; and WHEREAS, on April 19, 2004, the Trust approved the transfer and assignment of the Use Agreement and the Concession Agreement and authorized the Trust's Executive Director to execute amendments and restatements to these agreements, in substantially the attached form, with Southeast, subject to the terms and conditions contained therein; and WHEREAS, the Trust has determined that the acceptance of the assignment is in the best interest of the parties and has conditioned its acceptance of the assignment and transfer and has authorized the Executive Director to execute the amendments and restatements to the Use Agreement and the Concession Agreement (collectively "Agreements") based upon the following conditions: (1) City Commission approval, (2) provision of a Letter of Credit, (3) the execution of the asset purchase agreement(s) between Concorde and Bayfront Valet to Southeast, (4) Concorde's payment of its arrearage to the Trust, and (5) the other terms and conditions contained in the Agreements; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. The Trust's Executive Director is authorized { 1 } to accept the transfer and assignment of the Agreements with Concorde Cruises, Inc. to Southeast Cruise Holdings, Inc. Section 3. The Trust's Executive Director is authorized { 1 } to execute: (1) the fourth amendment to the Use Agreement entitled "Amendment and Restatement to the Use Agreement" and (2) the second amendment to the Concession Agreement entitled "Amended and Restated Valet Parking Concession Agreement," in substantially the attached form, between the Trust, Concorde Cruises, Inc. and Southeast Cruise Holdings, LLC., based upon the following conditions: (1) City Commission approval, (2) provision of a Letter of Credit, (3) the execution of the asset purchase agreements between Concorde and Bayfront Valet to Southeast, (4) Concorde's payment of its arrearage to the Trust, and (5) the other terms and conditions contained in the Agreements. Section 4. This Resolution shall become effective immediately upon its adoption and signature of the Mayor. { 1 } APPROVED AS TO FORM AND CORRECTNESS: ALEJANDRO VILARELLO CITY ATTORNEY ..Footnote { 1 } 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. {2} If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar days from the date it was passed and adopted. If the mayor vetoes this Resolution, it shall not be effective unless the City Commission overrides the veto. Term Sheet For Approval by the BAYFRONT PARK MANAGEMENT TRUST Of Request by Concorde Cruises, Inc. And Southeast Cruise Holdings, L.L.C. Date: April 12, 2004 1. Purpose: Request by Concorde Cruises, Inc., A South Dakota Corporation (Concorde) and Southeast Cruise Holdings, L.L.C., a Delaware limited liability corporation (Southeast), for approval by the Bayfront Park Management Trust (Trust) of Concorde's transfer and assignment to Southeast of Concorde's right, title and interest in and to the following agreements (jointly called the "Agreements") : 1. Use Agreement dated June 25, 1997 ("UA"). 2. Amendment to Use Agreement dated September 26, 1997 ("UA-1"). 3. Amendment No. 2 to Use Agreement (undated) ("UA-2"). 4. Third Amendment to Use Agreement dated June 27, 2002 ("UA-3") . 5. Valet Parking and Concession Agreement dated December 8, 1998 ("VP"). 6. First Amendment to Valet Parking and Concession Agreement dated June 27, 2002 ("VP-2"). 7. Revocable License Agreement for Occupancy of Property Located at 301 North Biscayne Boulevard, Miami, Florida, dated August 3, 1998 and revised June 26, 1998 ("RLA"). Request is also made for release and cancellation of that certain Guaranty dated June 27, 2002 executed by Concorde Gaming Corporation, a corporation existing under the laws of the State of Colorado, in favor of the Trust and the City of Miami. 11. New, Amended or Prominent Terms and Conditions of the Agreements Unless specifically noted as new or amended herein, all terms of the Agreements shall remain the same. For purposes of simplicity and organization the Use Agreement and it's amendments shall be merged into an "Amended and Restated Use Agreement" ("ARUA") which shall combine all original terms and provisions with subsequent amendments. The same shall be done with the Valet Parking Concession Agreement and subsequent amendment, which shall be merged into an "Amended and Restated Valet Parking and Concession Agreement" (ARVPCA"). III. The Use Agreement and Amendments A. Facility: As originally described in UA and amended in AU-3, the User under the UA has a right of use to the area known as the North Dock only. The Trust may permit use of the South Dock by third parties As long as the User is not in default under the UA, the South Dock may not be used for gaming purposes. B. Term: The Initial Term of the UA commenced September 1, 1997 but was changed to October 1, 1997 in UA-1 and covered a period of five (5) years. The Initial term was followed by an Extension Term of an additional five (5) years and an Additional Term of five (5) years (total 15 years). Currently, the UA is in the second year of the Extension Term. C. Fees: (i) Current total Annual Fees are $ 518,412.00, paid in 12 equal monthly installments. This amount will increase by an amount equal to 2% of the fees during each year of the Extension Term and by 4% during each year of the Additional Term. (ii) UA-3 requires the Operator to provide an advance payment equal to the last 3-months payment at the beginning of each Contract year, which is October 1. This advance payment was required because UA-3 also waived the requirement of a Letter of Credit (see paragraph D below). The proposed ARUA will re -incorporate the Letter of Credit requirement and waive the 3-month advance payment by the User. (iii) In addition to the Annual Fees there is an additional fee of one dollar ($1.00) per passenger carried by the vessel in excess of 200,000 passengers during any contract year. D. Letter of Credit: The UA required a Letter of Credit securing an amount equal to the annual fees to be paid during the succeeding 2 years of any Term. This requirement was deleted in UA-3 and replaced by a corporate Guaranty. The proposed ARUA will re -instate the requirement that the User provide a Letter of Credit and delete the corporate Guaranty. The Letter of Credit shall be in a form acceptable to Trust and the City Attorney. The Letter of Credit shall be provided to the Trust upon its execution of the Agreements and shall secure the Agreements. 2 E. Security Deposit: The UA required, and there is currently in place, a Security Deposit of One Hundred Thousand Dollars ($100,000.00) to cover non - monetary defaults/damages. The UA-3 extended it's coverage to monetary defaults/damages as well. The proposed ARUA reverts to the UA limitation of covering only non -monetary defaults/damages due to the re -incorporation of the Letter of Credit. F. Default Provision: (i) Payment/Monetary Default: A monetary default occurs upon failure to pay any Fees when due and continuance of such failure for 25 days after written notice. There is a ten percent (10%) per annum Default Rate. (ii) Non -Monetary Default: A non -monetary default occurs upon failure to perform any other covenant or condition and the continuance of such failure for 30 days after written notice, except if default cannot be cured due to "force majure". The proposed ARUA amends this provision by requiring User to cure defaults within a reasonable time period, in the Trust's sole discretion. (iii) Draw on the Letter of Credit: Trust may draw on the Letter of Credit if a monetary Event of Default default is not timely cured or if User files for or is adjudicated bankrupt. G. Charitable Cruises: (i) User shall provide the Trust with the gross revenues of four (4) "Charitable Sails" each Contract year. "Gross revenues" excludes merchandising and gaming revenues and bar revenues (unless Trust staffs and stocks bar). (ii) User shall provide the Trust with two (2) "Community Sails" each Contract year, but Trust shall not receive merchandising, gaming or bar revenues. (iii) User pays reasonable out-of-pocket promotional expenses in connection with Charitable Sails, not to exceed $5,000.00 per Charitable Sail. (iv) UA-2 added an additional "Special Community Sail" to be provided by User to the Trust (in addition to the Community Sails in (ii) above). (v) Unused Charitable and Community Sails in any Contract Year are not carried over to the following Contract Year. Unused Special Community Sails are carried over, automatically, on a cumulative basis, during the remaining term of the UA. H. Transfer of Controlling Interest in User and Transfer of Assignment: This provision remains the same, however, User shall provide the Trust with the 3 names of the persons or entities with ownership interest and the percentage of each ownership interest. I. Approval of Vessels: This provision remains the same. The Trust has the right to approve the vessels User can dock on the North Dock, which approval, as long as vessel does not exceed 260 feet in length, cannot be unreasonably withheld or delayed. User may also dock non -gaming vessels on the North Dock as long as they do not dock overnight. J. Limitations of Activities at Facility: UA-2 amended the UA by imposing greater restrictions on activities that could be carried out at the Facility. (i) Painting or heavy maintenance of the vessel is prohibited. (ii) Fueling can only occur from landside and only between the hours of midnight to 6 A.M. (iii) User must use best management practices , comply with all local, state and federal regulations and carry a Comprehensive General Liability insurance policy with limits of at least One Million Dollars ($1,000,000.00); an Environmental Impairment Policy with limits of at least One Million Dollars ($1,000,000.00); and Worker's Compensation statutory coverage. K. Hours of Operation: (i) Sunday through Thursday: two (2) cruises daily from 12:00 P.M. to 5:00 P.M., and from 6:30 P.M. to midnight. (ii) Friday and Saturday: three (3) cruises daily where night cruise returns after midnight. (iii) Hours of operation are subject to vary due to business and weather conditions, and significant changes in operating schedule which require Trust approval cannot be unreasonably withheld or delayed. (iv) User acknowledges there may be approximately 10 Significant Park Events per year, with some events attracting over 100,00 people. The ARUA shall contain an acknowledgement by User of an additional 60 events per year in the amphitheater. L. Taxes: The UA required the Trust as Owner at the Park to execute an application for exemption of real property taxes imposed by Dade County and the City of Miami. The UA will be amended to provide that the User shall be 4 responsible for payment of Federal, State of local taxes associated with the operations and activity of the User, whether it is assessed against the User, the City of the Trust. M. Provisioning of Vessels: (i) Provisioning of vessels may occur only between the hours of 12 midnight and 8:00 A.M., except on Friday, Saturday, Sunday nights or nights of Significant Park Events, during which provisioning may occur only between the hours of 2:00 A.M. and 8:00 A.M. (ii) Significant Park Events is defined as occasional community - wide events held at the Park, which User acknowledges may by approximately 10 per year and attract 100,000 people each. (iii) Trust is required to give User at least 60 days' written notice prior to each Significant Park Event. (iv) The ARUA shall contain acknowledgement by User of an additional 60 events per year in the amphitheater. N. Parking: User has parking rights in accordance with the Valet Parking Concession Agreement (VP) and the First Amendment to Valet Parking and Concession Agreement (VP-!), referenced above and more specifically below in this Term Sheet. O. Utilities: This provision was amended by UA-3. User shall be responsible for the cost of bringing utilities to the facility. In the event that User establishes shore -power electric connection to the facility, it shall receive a credit to the monthly payment of the Annual Use fee and such payment shall be amortized over a sixty -month period. P. Insurance; Indemnification: (i)The User must provide General Liability Insurance (including liquor liability insurance) covering the Park and the Facilities with the following limits: • Personal injury/death: not less than $1,000,000.00 per person/$2,000,000.00 per occurrence. • Property damage: not less than $500,000.00 per occurrence. (ii) The Trust must also provide similar insurance coverage as User. 5 (iii) User indemnifies Trust and members of Board of Trustees for damages sustained as a result of negligence or willful misconduct by User in the Park or Facility. (iv) Trust also indemnifies User for damages sustained by User as a result of negligence or willful misconduct of Trust, but limited to the extent of Trust's limited waiver of sovereign immunity under the Florida Statutes. Q. Termination of Rights: User has the right to terminate the UA upon 30 day's written notice to Trust if: (i) Due to governmental action User is not legally permitted to operate an off -shore gaming vessel. (ii) Due to governmental action casino gambling becomes legal in the State of Florida and User's passenger count declines to Tess than 80% of count in prior Contract Year, in which case User shall have the right to negotiate a just termination fee, which will be not less than one (1) year's fee. R. Early Termination Procedure: The UA-3 incorporated the following Early Termination Procedure: (i) Provided that User is not in default under the terms of the Amended Agreements, as defined in the Guaranty (hereinafter defined), User may at any time terminate the Use Agreement, as amended, by giving written notice of not Tess than twenty-four (24) months (such period, the "Notice Period") to Trust of User's intent to terminate the Use Agreement, as amended, and vacate the Facility. Notwithstanding User's termination of the Use Agreement, as amended, pursuant to this section, User may, at User's sole option, continue to occupy the Facility for a period (the "Post -Notification Use Period") not to exceed eighteen (18) months from User's written notification to Trust of its election to terminate, during which Post -Notification Use Period User shall continue to make monthly payments to Trust pursuant to the terms and conditions hereof, as such monthly payments come due, and shall continue to comply with all non -monetary obligations. (ii) Upon User's vacating the Facility after a termination pursuant to this section whether such vacating occurs (i) immediately, (ii) at some point prior to the running of the Post -Notification Use Period, or (iii) upon the running of the Post -Notification Use Period, then, throughout the remainder of the Notice Period, User shall continue to make monthly payments to Trust pursuant to the terms and conditions hereof, as such monthly payments come due, but shall have no other obligation hereunder, of any kind whatsoever, with respect to the Facility, except that User shall complete repairs, replacement and/or maintenance of any portion of the Facility commenced, or becoming due under the terms of the Use Agreement, as amended, prior to User's vacating the Facility. 6 (iii) In the event that User terminates the Use Agreement, as amended, pursuant to this section , with regard to the Fee, User's maximum liability to Trust under the terms of the Use Agreement, as amended, shall be an amount not greater than the sum of (i) all payments remaining due under this Third Amendment and the Use Agreement, as amended, for the duration of the Notice Period; (ii) any accrued but unpaid sums owed by User to Trust with respect to payments already due; (iii) full compliance by User of all non -monetary obligations while User is in possession of the Facility, and (iv) upon User's vacating the Facility, the value of any repairs, replacements and/or maintenance to the Facility commenced and not completed, or becoming due under the terms of the Use Agreement, as amended, prior to User's vacating the Facility. S. Notices: Shall change to reflect the current names and addresses for each party. T. Approval by the Emergency Financial Oversight Board This is no longer required by the City. IV. The Valet Parking Concession Agreement and First Amendment In this Agreement, Southeast is referred to as "Operator." A. Concession Granted: (i) Trust grant Operator exclusive right/privilege to operate the Services in the Parking Facility and receive all revenues therefrom. (ii) Parking Facility consists of three (3) Areas. (iii) The proposed ARVPA anticipates a Modification of the Parking Facility Area as a result of the construction of the Rock Garden improvements. B. Limitations: Operator acknowledges that its rights under the VP may be restricted on certain dates and that the Trust has approximately 60 events a year in the park. (i) Trust Dates: Trust has right to designate up to five (5) Trust dates during which the Trust shall have the right to suspend operator's rights under the VP or require Operator to provide services at a fee not to exceed $800. per day. 7 (ii) Event Dates: Are days, other than Trust Days, where the Park or the Amphitheater is used by the Trust. During Event Days the Trust is entitled to use certain parking spaces free of charge or by purchase. C. Term: The VP has an initial term of five (5) years with two(2) additional one year options. Currently, the Agreement is in the first additional term of the Agreement. D. Consideration: The VP required an Annual License Fee of One Hundred Eighty Thousand Dollars ($180,000.00) payable in a combination lump sum and monthly payments. The Annual License Fee had yearly CPI adjustments. VP-1 reduced the Annual License Fee to Ninety Thousand Dollars ($90,000.00) and deleted the CPI adjustments. The proposed ARVPA increases the Annual License Fee to One Hundred Ten Thousand Dollars ($110,000.00) with no CPI adjustment and an additional increase to One Hundred Twenty Thousand Dollars ($120,000.00) upon completion of the construction of the Rock Garden improvements. E. The Parking Facility: The Trust has sole discretion regarding design and construction of the Parking Facility, but in no event shall it contain less than sixty (60) parking spaces. F. Maintenance/Repair of Parking Facility: (i) The Operator is responsible for the maintenance and repair of the Parking Facility at Operator's sole cost and expense. (ii) The Operator is also responsible for all electricity, telephone and other utilities connections and for all usage and charges, except normal water usage at the Parking Facility, which is provided by the Trust. G. Operation of the Parking Facility: The Parking Facility shall be used by Operator exclusively for the purpose of operating a valet parking lot for visitors of the gaming vessel, Park and the general public, in the following manner: (i) Hours of Operation: Monday through Thursday, from 10:00 A.M. to 1:00 A.M.; Friday through Sunday, from 10:00 A.M. to 7:00 A.M. of the following day; On Event Days, during such times as may be required by the Trust. H. Manner of Operation: The valet parking services shall be commensurate with parking facilities of similar operation including, but not limited to having an attendant present at the facility when there are cars parked at the Facility. 8 I. Parking Rates: Operator can establish and charge parking rates, provided it cannot charge different rates for different users of the Parking Facility. J. Licenses and Taxes: The agreement will be amened to provide that the Operator shall be responsible for payment of Federal, State of local taxes associated with the operations and activity of the User, whether it is assessed against the User, the City of the Trust. K. Indemnification: Operator defends and holds the Trust and City harmless from all claims by reason of injury, death, damages, etc. caused by Operator's actions. L. Insurance: The Operator is required to purchase General Liability Insurance, Workers' Compensation and other liability insurance, as follows: • Workers' Compensation and Employer's Liability providing statutory coverage under the Workers' Compensation laws; and Employer's Liability coverage with limits of $100,000.00per occurrence of accident, $100,000.00 per occurrence of disease and $500,000.00 policy Iimit.Comprehensive General Liability affording (i) Bodily Injury Liability (or death) with limits of $1,000,000 for each person and, where applicable, $2,000,000 in the aggregate; and (ii) Property Damage Liability with limits of $1,000,000 for each occurrence and $2,000,000 in the aggregate, such coverage to' include: Products Completed Operations, Broad Form Contractual Liability covering liability assumed under this Agreement, Broad Form Property Damage, Elevator, and Concessionaire's Contingent (Protective) Liability with respect to work subcontracted by the Concessionaire. • Comprehensive Automobile Liability affording (i) Bodily Injury Liability (or death) with limits of at least $300,000 each person and $500,000 each occurrence; and (ii) Property Damage Liability with a limit of at least $250,000 each occurrence; such coverage to include liability for the operation of owned, hired, and non -owned vehicles. M. Default/Resolution of Disputes: In the event of default by Operator under any term or condition of the VP, the Trust can: (i) Give Operator written notice of default. Operator has 30 days to cure non -monetary defaults and 3 days to cure monetary defaults. If the defaults are not cured within said time frames, Trust can terminate the VP. (ii) Perform the work necessary to cure default and charge the Operator. 9 N. Assignment: This provision remains the same. The Operator cannot not subcontract, transfer, convey, or assign any of the rights, privileges or premises granted under VP in whole or in part to any other person, firm or corporation without written consent of the Trust which consent may be withheld, or conditioned, in the Trust's sole discretion. In the event of a transfer of stock of Operator under this Section, the Trust agrees not to withhold its approval unreasonably if the person or entity acquiring the stock of Operator is a "Qualified Transferee". A "Qualified Transferee" shall mean a person who would qualify for the issuance of a liquor license under Florida law. O. Right of Cancellation: (i) Cancellation by Either Party: The VP may be canceled by either party upon the occurrence of any one of the following events: • Default by Operator under the Use Agreement. • Any one of a number of events that has a direct material adverse impact on the use of the Parking Facility and/or the provision of the Services. • Illegality of possession of slot machines by Operator. • Class III gaming, as defined by the Indian Gaming Regulatory Act, 25 U.S.C. §2701, becomes legal on Indian lands located within the jurisdictional boundaries of the State of Florida. (ii) Early Termination Procedure: • Provided that Operator is not in default under the terms of the Amended Agreements, as defined in the Guaranty (hereinafter defined), Operator may at any time terminate this Concession Agreement by giving written notice of not Tess than twenty four (24) months (such period, the "Notice Period") to Trust of Operator's intent to terminate the Concession Agreement and vacate the Parking Facility. Notwithstanding Operator's termination of this Concession Agreement pursuant to this Section XV(b) Operator may, at Operator's sole option, continue to occupy the Parking Facility for a period (the "Post - Notification Use Period") not to exceed eighteen (18) months from Operator's written notification to Trust of its election to terminate, during which Post - Notification Use Period Operator shall continue to make monthly payments to Trust pursuant to the 10 terms and conditions hereof, as such monthly payments come due, and shall continue to comply with all non -monetary obligations. • Upon Operator's vacating the Parking Facility after a termination pursuant to this Section XV(b) whether such vacating occurs (i) immediately, (ii) at some point prior to the running of the Post -Notification Use Period, or (iii) upon the running of the Post - Notification Use Period, then, throughout the remainder of the Notice Period, Operator shall continue to make monthly payments to Trust pursuant to the terms and conditions hereof, as such monthly payments come due, but shall have no other obligation hereunder, of any kind whatsoever, with respect to the Parking Facility, except that Operator shall complete repairs, replacement and/or maintenance of any portion of the Parking Facility commenced and not completed, or becoming due under the terms of this Concession Agreement, prior to Operator's vacating the Parking Facility. • In the event that Operator terminates this Concession Agreement pursuant to this Section XV(b), with regard to the payment of the Annual License Fee, Operator's maximum liability to Trust under the terms of this Concession Agreement shall be an amount not greater than the sum of (i) all payments remaining due under this Concession Agreement for the duration of the Notice Period; (ii) any accrued but unpaid sums owed by Operator to Trust with respect to payments already due; (iii) full compliance by Operator of all non -monetary obligations while Operator is in possession of the Parking Facility, and (iv) upon Operator's vacating the Parking Facility, the value of any repairs, replacements and/or maintenance to the Parking Facility commenced and not completed, or becoming due under the terms of this Concession Agreement, prior to Operator's vacating the Parking Facility. P. Notices. This provision shall change to reflect the current names and addresses of the parties. V. Warehouse Revocable License Agreement. 11 The new revocable license agreement Southeast will be substantially similar to the agreement entered into with Concorde Cruises. In 1998, when the City and the Trust entered into the revocable license agreement with Bayfront Ventures, Bayfront Ventures, as the licensee, agreed to pay the Trust $15,000.00 for use of 1,800 sq.ft. of its surplus warehouse space. In the new agreement with Southeast, Southeast has Agreed to pay $25,000.00 in addition to any taxes and fees that may be assessed against Southeast's use of this facility. VI. Attorney's Fees The Use Agreements, the Valet Parking Concession Agreement and the Revocable License Agreement will contain an attorney's fees provision that in the event that one party initiates litigation for the enforcement of these agreements, the nonprevailing party will pay any and all reasonable attorney s fees and costs expended by the prevailing party, including those from appellate review at all available levels of review. 12 Amended and Restated Valet Parking Concession Agreement THIS AMENDED AND RESTATED VALET PARKING AND CONCESSION AGREEMENT made and entered into this day of April, 2004,(hereinafter called the "Restatement") by and between Bayfront Park Management Trust, a limited agency and instrumentality of the City of Miami (hereinafter called the "Trust"), and Southeast Cruise Holdings, L.L.C., a Delaware limited liability corporation authorized to do business in the State of Florida (hereinafter called the "Southeast" or "Operator"). RECITALS WHEREAS, the City of Miami, Florida, a municipal corporation of the State of Florida (hereinafter called the "City"), is the owner of the property known as Bayfront Park (hereinafter called the "Park"); and WHEREAS, pursuant to an agreement with the Department of Army ("Army Corps") dated August 8, 1990, attached hereto as Exhibit A, the City is lessee of portions of the baywalk that is adjacent to the Park; and WHEREAS, pursuant to Section 38-101, City of Miami Code, the Park and the leased area from the Army Corps is managed and operated by the Trust which is authorized to enter into agreements for the use of those areas (hereinafter collectively referred to as the "Park"); and WHEREAS, pursuant to Trust's issuance of Request for Proposals for Valet Parking Services, on December 8, 1998, the Trust and Bayfront Valet, L.L.C., a Florida limited liability company (hereinafter called "Bayfront Valet") entered into and executed that certain Valet Parking Concession Agreement (hereinafter called Concession Agreement) for the operation of valet parking services ("Services") on that portion of Property described in Exhibit `B" attached hereto (hereinafter "Parking Facilities"); and WHEREAS, on June 27, 2002 the Trust and Bayfront Valet entered into and executed that certain FIRST AMENDMENT TO VALET PARKING CONCESSION AGREEMENT (hereinafter "First Amendment"), w hich a mended c ertain p rovisions o f the Concession Agreement relating to the consideration paid by Bayfront Valet; and WHERAS, B ayfront Valet is owned by Concorde Cruises, Inc., which operates the Casino Princesa, a gaming vessel ("Vessel") adjacent to the North Dock of the Park; and WHEREAS, Concorde Cruises, Inc. ("Corcorde Cruises") has negotiated an asset purchase a greement w ith S outheast for t he Vessel, the valet parking operation and the personal property related thereto; and WHEREAS, Bayfront Valet, the current operator under the Concession Agreement, has requested that the Trust approve an assignment and transfer to Southeast, of all of Bayfront Valet's right, title and interest in and to the Concession Agreement; and WHEREAS, Southeast considers the valet parking operation an integral part of its operation of the Vessel; and WHEREAS, pursuant to the provisions Section XIV of the Concession Agreement entitled "Assignment," Bayfront Valet may not subcontract, transfer, convey or assign any of the rights, privileges or premises granted pursuant to the Concession Agreement without obtaining written consent of the Trust; and WHEREAS, the Trust has made one of its conditions of its acceptance of the assignment that Southeast execute an amendment to the Concession Agreement in which it assumes all of Bayfront Valet's right, title, interest, duties and obligations pursuant to the Concession Agreement and its First Amendment, subject to the terms and conditions contained herein; and WHEREAS, the Trust has determined that the acceptance of the assignment is in the best interest of the parties; and WHEREAS, on the day of April 2004, the Trust approved the assignment of the Concession Agreement and its First Amendment, together with of all right, title, interest, duties and obligations contained therein, to Southeast ; and WHEREAS, on the _ day of 2004, the City Commission approved the assignment of the Concession Agreement and its First Amendment, together with of all right, title, interest, duties and obligations contained therein, to Southeast ; and WHEREAS the Trust and Southeast wish to further amend the Concession Agreement and restate and consolidate all modifications and amendments to the Concession Agreementso that it is binding upon Southeast and effective as of the date of the execution of this Restatement. (As used in this Amended and Restated Valet Parking Concession Agreement the terms "Concession Agreement", and "Agreement" may be used interchangeably and shall mean the Valet Parking and Concession Agreement dated December 8, 1998 and all subsequent amendments and modifications thereto, including this Amended and Restated Valet Parking Concession Agreement). NOW THEREFORE, in consideration of the promises and of the mutual covenants and conditions hereinafter contained to be kept and performed by the respective parties, it is agreed as follows: 2 I RECITALS The foregoing recitals are true and correct and are hereby incorporated and made a part of this Agreement. II USE AGREEMENT On , 2004, pursuant to the Acceptance of Assignment executed between the Trust, Concorde Cruises and Southeast, Southeast executed the Amended and Restated Use Agreement (hereinafter "Restated Use Agreement") dated , 2004. This Service is provided in conjunction to the Restated Use Agreement. Collectively the Use Agreement and the amendments thereto, this Use Agreement, any agreement between the Trust and Southeast to use the Trust's warehouse facilities, and the Concession Agreement and the amendments thereto, including this Restatement, shall hereinafter be referred to as the "Amended Agreements." III CONCESSION GRANTED Except as specifically prohibited or limited in thisReinstatement, the Trust hereby grants to the Operator the right and privilege to operate the Services in the Parking Facility and to receive all revenues therefrom and, in connection therewith, the right to use, in common with others, those driveways and roadways located upon the Park area, all in accordance with the terms and provisions set forth herein. The City owns or leases the entire right, title and interest to the Parking Facility and that they have the sole right to grant to the Operator this exclusive concession. The Parking Facility shall consist of three (3) areas, designated and depicted in Exhibit "B" as Areas "A", "B" and "C". The license herein granted is also referred to herein as the "Concession". It is understood and agreed that the Trust retains all rights to the area in front of the entrance to the Trust's offices, which is more particularly depicted in Exhibit B" attached hereto, including parking rights in said area. The Trust hereby grants the Operator the non-exclusive right of ingress and egress over said area, for the purposes of accessing the Parking Facility in order to provide the Services. IV LIMITATIONS The Operator understands that there are approximately sixty events that are conducted in the Park. Operator further understands and agrees that its rights under this Agreement may be restricted or limited, as herein provided, during the days that the Park, 3 the Amphitheater, or any portion thereof, is used by the Trust, or by any third party pursuant to an agreement with the Trust, for any purpose whatsoever. The restrictions on Operator's rights hereunder are as follows: A. Trust Dates: Trust Dates are the dates on which the Trust is the sponsor of an event, or any other day designated by the Trust as a "Trust Date" in accordance with this Section. The Trust shall have the right to designate up to five (5) dates as "Trust Dates" by giving Operator written notice of the anticipated date of each on or before January 15 of each year. The actual date of each Trust Date, as well as any change on a date previously reserved, shall be given to the Operator at least ten (10) days in advance of the anticipated Trust Date. During Trust Dates the Trust shall have the right, in its sole discretion, to (I) suspend Operator's rights hereunder and operate the Parking Facility itself or grant another party the right to operate the Parking Facility, or (ii) require the Operator to provide the Services, at a fee not to exceed $800.00 per day and remit all revenues therefrom to the Trust or as designated by the Trust. B. Event Dates: Event Dates are any days, other than Trust Dates that the Park, the Amphitheater, or any portion thereof, is used by the Trust, or by any third party pursuant to an agreement with the City or the Trust, for any purpose whatsoever, including the times for "set-up" and "dismantle." During EventDates, the Trust shall be entitled to receive ten (10) parking spaces in Area "A" at no charge, and to purchase up to twenty (20) parking spaces, in Areas "A" and `B", as described in Exhibit `B", at a daily rate not to exceed $20.00 per parking space. The Trust shall exercise its right to purchase the twenty (20) parking spaces by making written request thereof to Operator at least forty-eight (48) hours prior to the proposed event. Operator agrees to issue parking passes to evidence the user's right to use the Parking Facility under this Section. The Trust shall pay the cost of each parking space purchased under this Section within fifteen (15) days of its receipt of the Operator's invoice, provided, however, that there shall be no charge if the event for which the passes have been issued is canceled. V TERM The initial term of this Agreement shall be for an initial term of five (5) years commencing on the Commencement Date, as defined in Article V below. The Trust shall have two (2) options to extend the term for an additional term of one (1) year each, upon the same terms and conditions contained herein, by giving Operator at least ninety (90) days prior written notice. The original Concession Agreement was executed December 8, 1998. Southeast's assignment and this Restatement is commencing during the first additional term for the Trust to extend the Agreement. This first additional term ends December 7, 2004. In the event that the Operator wishes to exercise the option for the second 4 additional one-year term, Operator shall notify the Trust ninety (90) days prior to the expiration of the first additional term. VI CONSIDERATION The Operator shall pay to theTrust, in consideration for the concessions and privileges herein granted, an Annual License Fee of One Hundred Ten Thousand Dollars ($110,000.00). The Annual License Fee shall be payable in equal monthly payments of Nine Thousand Six Hundred Sixty-six Dollars and sixty-seven cents ($9,166.67), each, with each such payment due and payable on the 8"' day of every month during each year of the term of this Concession Agreement. Any payment that is not made on the date the same is due shall bear interest at the highest rate permitted by law from the date payment was due until payment is received by the Trust. Operator shall be responsible for, and agrees to pay to the State of Florida, promptly when due, all taxes assessed against the Parking Facilities, the Annual License Fee, and/or 0 perator's a ctivities h ereunder, i ncluding s pecifically, but without limiting the generality of the foregoing, sales or use taxes. VII THE PARKING FACILITY / IMPROVEMENTS / COMMENCEMENT DATE The Trust shall deliver to Operator the Parking Facility ready for operation and with sufficient lighting. The Parking Facility and the improvements thereto consist of those contained in Exhibits A and B. the Trust is contemplating future improvements to the Parking Facility that are depicted in Exhibit C. The Trust shall have sole discretion regarding the design and construction of the improvements, provided, however, that in no event shall the Parking Facility contain less than sixty (60) parking spaces. VIII MAINTENANCE, AND REPAIR OF PARKING FACILITY The Operator agrees to maintain and repair, at his own cost and expense, the Parking F acility a nd a 11 personal property, equipment and furnishings necessary for its operation, according to reasonable standards acceptable to the Trust, and to surrender said facility, at the termination of the term of this Agreement, in at least as good condition as received ordinary wear and tear excepted. Further, Operator agrees to furnish, at its own cost and expense, all personal property and equipment necessary to the successful operation of the Parking Facility and to replace at its own expense any such property or equipment provided under the Agreement which has been destroyed, damaged, or become inoperable due to normal wear and tear, with like property or equipment. Operator shall have the right to erect on the Parking Facility a coin collection box and 5 professional parking signs, as long as they do not violate local ordinances, if any, or Park rules, and provided that all such signs and improvements are first approved by the Trust. Neither the Trust nor the City shall be responsible for any goods, merchandise or equipment stored at the Parking Facility nor will it be responsible for damage resulting from a power failure, hurricane, tornado, flood, fire, explosion and/or other force majeure causes. The Operator shall be responsible for all electricity, telephone and other utilities connections, including the installation of a separate electrical meter, if required by theTrust, and for all usage and other charges, excepting only charges for normal water usage at the Parking Facility, which shall be provided by the Trust. The Operator shall be responsible for keeping the Parking Facility in a clean condition, free of debris at all times during the term of this Agreement. IX OPERATION OF THE PARKING FACILITY The Parking Facility shall be used by Operator exclusively for the purpose of operating a valet parking lot for use of visitors to the Vessel, Park and the general public. The Parking Facility shall not be used in any manner to create any nuisance nor hazardous or unsafe condition in the Park. Except as provided in Article IV hereof, entitled "Limitations," Operator shall operate the valet parking services 365 days during such times as may be required to properly service the public and the gaming vessel's operations. Without limiting the generality of the foregoing, Operator agrees to operate the valet parking, Monday through Thursday from 10:00 am. to 1:00 am.; Friday, through Sunday from 10:00 am. through 7:00 am. of the following day and on EventDates, during such times as may be required by the Trust to properly service the public. Additionally, Operator agrees to provide adequate staff, to control and direct the use of the Facility, during non -valet parking hours, in connection with the gaming vessel. The parties agree that the hours of operation may be subject to change in order to accomplish the purposes herein established and Operator agrees, to the extent possible, to obtain the Trust prior written consent to any change in the hours of operation of the Parking Facility. Operator shall operate the Parking Facilities and provide the Services at a level commensurate with parking facilities of similar operations, which includes, but is not limited to, having an attendant present at all times which valeted cars are present in the Parking Facility. The Services shall be provided in an efficient, safe and courteous manner to all users of the Parking Facility. In this regard, Operator shall promptly respond to all complaints of the Trust, the City, Park guests, gaming vessel guests and members of the general public relating to the provision of Services. Operator shall procure and maintain, at all times during the term of this Agreement, all required 6 occupational licenses and display them in accordance with all applicable laws and regulations. Operator shall have the right to establish and change parking rates, provided; however, that Operator shall not charge different rates for different users of the Parking Facility, except for patron of the gaming vessel which may be charged a discounted rate. The Operator shall have the right to have "special" rates apply to specific events with the Trust's prior written consent. Operator agrees to establish its parking rates in accordance with prevailing market rates. All charges shall be posted in clear and readable signage, in a conspicuous place in the Parking Facility, readily accessible to the users of the Services. Notwithstanding anything herein to the contrary, Operator and the Trust agree that the maximum rate to be charged for the use of the Parking Facility shall in no event exceed the sum of $20.00 per day, and said rate shall not be increased more often than once per year, provided that said increase does not exceed the corresponding increase in the CPI and that Operator first obtains the Trust's prior written Consent. The Operator shall have the right to tow any vehicles that are parked or remain in the Parking Facility in violation of this Agreement and the Trust shall have the right to tow any vehicles that are parked in other areas within the Park in violation of this Agreement. The Operator hereby indemnifies and holds the Trust and the City harmless from and against any and all costs relating to the Trust's exercise of its right to tow hereunder. X PERS ONNEL The Operator shall employ, train and supervise all personnel hired by it to provide the Services. The Operator shall be deemed to represent and warrant to the Trust and the City that all personnel engaged for the provision of Services are fully qualified to perform such services. Operator shall have a hiring practice regarding minorities and women, which will ensure equity in the employment and utilization of same. Operator acknowledges that it has been furnished a copy of Ordinance No 10062, the Minority and Women Business Affairs Procurement Program Ordinance of the City of Miami, and agrees to comply with all applicable substantive and procedural provisions therein, including any amendments thereto. Operator shall observe and shall ensure compliance with the following requirements at all times: (a) Services shall be rendered in a professional manner to all individuals regardless of race, color, creed, age, sex, disability, marital status, or national origin. (b) Employees shall at all times be neatly attired in clean uniforms and wear an identification badge. 7 (c) All employees involved in the provision of Services at the Parking Facility shall be bondable and shall have satisfactorily completed drug tests to be given by Operator. (d) Operator shall be responsible for the selection and training of all personnel. S pecial attention s hall be required to select staff that is personable, service -oriented, and committed to the satisfactory service of the patrons of the Parking Facility. (e) Operator and its employees will not distribute campaign or political literature of any kind in the Parking Facility. (f) Operator shall provide adequate personnel to provide quality service at all times. Employees deemed not to be in the best interest of the City and/or the Trust shall be discussed with the Operator and the Trust. Operator and the Trust agree to use their best efforts to reach an agreement on all matters relating to personnel. (g) It is understood that Operator, including its agents and employees, shall not be an agent or employee of the Trust, but shall be an independent contractor. It is further understood that the Operator shall be responsible for making all payroll deductions and paying any and all income and other taxes as may be applicable and necessary to its personnel. XI MANAGEMENT / TRAINING PROGRAM Operator shall designate a management representative of the Operator who shall serve as the liaison between the Trust and the Operator. Said manager shall remain on call on a 24-hour basis during events at the Park should he/she need to be contacted by the Trust. In addition, the Trust shall be provided with a telephone number and beeper where said individual can be reached at all times, 24 hours per day, 7 days per week. It is expected said manager shall immediately respond to any requests and/or concerns by the Trust within a maximum of 24 hours, or immediately on the day of an event. Regular on -site scheduled and unscheduled visits shall be made by corporate representatives of Operator to ensure adherence to all requirements of this Agreement and the specifications within the Solicitation Documents, and to determine whether there are any deficiencies as determined by the Trust that need to be addressed. The manager of Operator and the Trust designated representative shall consult from time to time with reference to the operations of Operator to review such operations to provide the Services in a proper manner for persons attending the Park. Additionally, prior to an event, the Trust and the manager of Operator shall meet to discuss the requirements for the particular event. 8 XII LICENSES AND TAXES The Operator shall pay for and obtain all licenses and permits necessary for the operation of valet parking services. Operator represents and w arrants t hat i t c urrently has, and at all times during the term hereof shall maintain, all licenses and permits required for the fill and proper performance of this Agreement. The Operator shall pay to the State of Florida, promptly when due, all taxes assessed against the Operator or otherwise imposed in connection with this Agreement. Operator agrees to include the State Sales Tax in all the advertised prices. The Operator shall pay all social security, unemployment insurance, and other federal and state taxes which are measured by the wages, salaries or other remuneration paid to persons employed by Operator. XIII INDEMNIFICATION Operator shall indemnify, defend and hold harmless the Trust and the City and their respective officials, employees and agents (collectively referred to as "Indemnities") and each of them from and against all loss, costs, penalties, fines, damages, claims, expenses (including attorney's 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 loss 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 or in part, by any act, omission, default or negligence (whether active or passive) of Operator or its employees, agents or subcontractors (collectively referred to as "Operator"), regardless of whether it 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 Indemnities, or any of them or (ii) the failure of the Operator to comply with any of the paragraphs herein or the failure of the Operator to conform to statutes, ordinances or other regulations or requirements of any governmental authority, federal or state, in connection with the performance of this Agreement, (iii) the exercise of the Trust's right to tow vehicles in accordance with the provisions of Article IX, entitled "Maintenance And Repair of Parking Facility," hereof. Operator expressly agrees to indemnify and hold harmless the indemnities, or any of them, from and against all liabilities which may be asserted by an employee or former employee of Operator, or any of its subcontractors, as provided above, for which the Operator's liability t o s uch e mployee o r former employee w ould otherwise be limited to payments under state Workers' Compensation or similar laws. Operator further agrees to indemnify, defend and hold harmless the Indemnities from and against (i) any and all Liabilities imposed on account of the violation of any law, ordinance, order, rule, regulation, condition, or requirement, in any way related, 9 directly or indirectly, to Operator's performance hereunder, compliance with which is left by this Agreement to the Operator, and (ii) any and all claims, liens and/or Suits for labor and materials furnished by the Operator or utilized in the performance of this Agreement, if any. XIV INSURANCE The Operator shall take out, pay for, and at all times during the term of this Agreement maintain, such public, contingent (where applicable, professional malpractice) and employer's liability insurance as will satisfy the foregoing indemnity requirements of the Agreement and protect Operator, the Trust and the City from claims under Workers' Compensation and other employee benefit acts (the "Insurance"). The insurance shall include Comprehensive General Liability and property and damage, including automobile, products completed operations and broad form contractual covering liability assumed by the Operator under this Agreement. The insurance shall: (i) include the Trust and the City as insured; (ii) be primary insurance written on an occurrence basis to the full limits of liability hereinafter stated, and should the Trust or the City have other valid insurance, said insurance shall be excess insurance only; (iii) include a waiver of subrogation against the Trust, the City, and their respective officers, agents and employees, (iv) include a severability clause substantially in the following form: "The i nsurance a fforded a pplies s eparately t o e ach i nsured against whom claim is made or suit is brought, but the inclusion hereunder of more than one insured shall not operate to increase the limits of the insurance carrier's liability. The inclusion of any person or organization as an insured shall not affect any right that such person/organization would have as a claimant if not so included," and (iv) contain an endorsement substantially stating: "Cancellation or expiration of the policy to which this endorsement is attached shall not become effective until after thirty (30) days advance written notice has been delivered to theTrust. Attention: Executive Director Bayfront Park Management Trust 301 N. Biscayne Boulevard Miami, Florida 33132 cc: Risk Management Administrator 444 SW. 2nd Avenue. Ninth Floor 10 Miami, Florida 33130 Without limitation of the requirements set forth in this section, Operator shall maintain insurance with coverage and minimal limits of liability as follows: (1) Workers' Compensation and Employer's Liability providing statutory coverage under the Workers' Compensation laws and Employer's Liability coverage with limits of $ $100,000 per each occurrence of disease and $100,000 per each occurrence of accident and $500,000, policy limit. (2) Comprehensive General Liability affording (i) Bodily Injury Liability (or death) with limits of $1,000,000 for each person and, where applicable, $2,000,000 in the aggregate; and (ii) Property Damage Liability with limits of $1,000,000 for each occurrence and $2,000,000 in the aggregate, such coverage to' include: Products Completed Operations, Broad Form Contractual Liability covering liability assumed under this Agreement, Broad Form Property Damage, Elevator, and Concessionaire's Contingent (Protective) Liability with respect to work subcontracted by the Concessionaire. (3) Comprehensive Automobile Liability affording (i) Bodily Injury Liability (or death) with limits of at least $300,000 each person and $500,000 each occurrence; and (ii) Property Damage Liability with a limit of at least $250,000 each occurrence; such coverage to include liability for the operation of owned, hired, and non -owned vehicles, In no event shall the provisions of this Section be construed in any way to limit Operator's obligations under any provision of this Agreement, including, but not limited to, Operator's obligations to indemnify, defend and hold harmless the Indemnities. The insurance coverage required herein shall be through policies issued by companies authorized to do business under the laws of the State of Florida. The Company must be rated by the latest edition of Best's Insurance Guide, published by Alfred M. Best Company, Inc. [or other recognized organization] at no less than an "A" Best Policyholders Rating and no less than an "X" rating in Best's Financial Size Category. All such insurance, including renewals, shall be subject to the approval of the Trust for adequacy of protection, and evidence of such coverage shall be furnished to the Trust on Certificates of Insurance indicating such insurance to be in force and effect and providing that it will not be canceled during the performance of the services under this Agreement without thirty (30) calendar days prior written notice to the Trust, Completed Certificates of Insurance shall be filed with the Trust prior to the performance of services hereunder, provided, however, that Operator shall at any time upon request file duplicate copies of the policies of such insurance with the Trust. If, i n the j udgment of the Trust, prevailing conditions warrant the provision by Operator of additional liability insurance coverage or coverage which is different in kind, 11 the Trust reserves the right to require the provision by Operator of an amount of coverage different from the above stated amounts or kind 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 Operator fail or refuse to satisfy the requirement of changed coverage within thirty (30) days following the Trust's written notice, this Agreement shall be considered terminated on the date that the required change in policy coverage would otherwise take effect. XV DEFAULT / RESOLUTION OF DISPUTES If Operator fails to comply with any term or condition, or fails to perform any of its obligations under this Agreement, in the manner and within the time provided for performance hereunder, then Operator shall be in default. Upon the occurrence of a default hereunder, the Trust, in addition to all remedies available to it by law, 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: (ha) To give Operator written notice of such default. If the Operator does not cure said default within thirty (30) days in the event of a non -monetary default, and within three (3) business days in the event of a monetary default, after written notice thereof is given to Operator, then the Trust may terminate this Agreement, assume the operation of the Operator hereunder, and exclude the Operator from the premises and/or; and/or may recover at law any and all claims which may be due the Trust under this Agreement and/or (ib) The Trust may perform such work as it deems necessary to cure said default and charge the Operator for the full cost of labor and materials expended. Operator shall agree to pay the full cost of labor and materials expended by the Trust. Operator understands and agrees that termination of this Agreement under this section shall not release Operator from any obligations accruing prior to the effective date of termination. In the event the Trust defaults in the performance of any of the provisions of this Agreement, Operator may give the Trust written notice of such default. If the Trust fails to cure said default within thirty (30) days after written notice was given, or make reasonable progress to cure said default, then Operator may terminate this Agreement. XVI ASSIGNMENT Operator shall not subcontract, transfer, convey, or assign any 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 Trust which consent may be 12 withheld, o r c onditioned, in the Trust's sole discretion, For purposes of this section, a transfer of five percent (5%) or more of the stock of Operator, during the term of this Agreement, whether as a single transaction or a series of transactions, shall constitute an "Assignment." In the event of a transfer of stock of Operator under this Section, the Trust agrees not to withhold its approval unreasonably if the person or entity acquiring the stock o f Operator i s a " Qualified T ransferee". A "Qualified Transferee" shall mean a person who would qualify for the issuance of a liquor license under Florida law. XVII RIGHT OF CANCELLATION (a) Cancellation by Either Party This Restatement may be canceled by either party upon the occurrence of any one of the following events, Cancellation under this section shall be effective not earlier than thirty (30) days after written notice of election to cancel is given by either party: (b) (i) Default on the part of Southeast under the the Amended Agreements. (ii) Any one of the following events that has a direct material adverse impact on the use of the Parking Facility and/or the provision of the Services: fire, explosion, action of the elements, strike or other labor disputes, restrictions or restraints imposed by law, rules o r regulations of a public authority, acts of military authorities, war, riots, civil disturbances, interruptions, or delays of utilities, and any other cause which is beyond the reasonable control of the Party affected. (iii) Illegality of possession of slot machines by Operator. (iv) Class IN gaming, as defined by the Indian Gaming Regulatory Act, 25 U.S.C. §2701, becomes legal on Indian lands located within the jurisdictional boundaries of the State of Florida. Early Termination Procedure: (i) Provided that Operator is not in default under the terms of the Amended Agreements, Operator may at any time terminate this Concession Agreement by giving prior w ritten n otice o f n of 1 ess than tw n four (24) months ( hereinafter the "Notice Period") to Trust of Operator's intent to terminate the Concession Agreement and vacate the Parking Facility. Notwithstanding Operator's termination of this Concession Agreement pursuant to this subsection entitled "Early Termination Procedure", Operator may, at Operator's sole option, continue to occupy the Parking Facility for a period not to exceed eighteen (18) months after Operator's written notification to Trust of its election to terminate (hereinafter 13 the "Post -Notification Use Period"). During such Post -Notification Use Period Operator shall continue to make monthly payments to Trust pursuant to the terms and conditions hereof, as such monthly payments come due, and shall continue to comply with all non - monetary obligations. (56) Upon Operator's vacating the Parking Facility after a termination pursuant to this subsection entitled "Early Termination Procedure", whether such vacating occurs (i) immediately, (ii) at some point prior to the running of the Post -Notification Use Period, or (iii) upon the termination of the Post -Notification Use Period, then, throughout the remainder of the Notice Period, Operator shall continue to make monthly payments to Trust pursuant to the terms and conditions hereof, as such monthly payments come due, but shall have no other obligation hereunder, of any kind whatsoever, with respect to the Parking Facility, except that Operator shall complete repairs, replacement and/or m aintenance o f any portion of the Parking Facility commenced and not completed, or becoming due under the terms of this Concession Agreement, prior to Operator's vacating the Parking Facility. 0 In the event that Operator terminates this Concession Agreement pursuant to this subsection entitled "Early Termination Procedure"„ with regard to the Annual License Fee Operator's maximum liability to Trust under the terms of this Concession Agreement shall be an amount not greater than the sum of (i) all payments remaining due under this Concession Agreement for the duration of the Notice Period; (ii) any accrued but unpaid sums owed by Operator to Trust with respect to payments already due; (iii) full c ompliance b y Operator of all non -monetary obligations while Operator is in possession of the Parking Facility, and (iv) upon Operator's vacating the Parking Facility, the value of any repairs, replacements and/or maintenance to the Parking Facility commenced and not completed, or becoming due under the terms of this Concession Agreement, prior to Operator's vacating the Parking Facility. XVIII ABANDONMENT If Operator vacates or abandons its operations hereunder for a period of seven (7) consecutive days during the term of this Agreement, then the Trust, at its option and without serving notice e lsewhere r equired i n t his A greement, m ay: (a) t ake i mmediate possession thereof for the remainder of the said term, and, at its discretion, re -advertise 14 and solicit proposals for the provision of the Services, with Operator remaining liable for the Annual Payment, and for all other obligations under this Agreement to the same extent as if said abandonment had not taken place; or (b) cancel this Agreement, without prejudice to its rights and remedies under applicable laws. XIX INSPECTION RIGHTS The Trust may, at reasonable times during the term hereof, inspect Operator's facilities to determine whether the Services required to be provided by Operator under this Agreement conform to the terms hereof and/or the terms of the Solicitation Documents, if applicable. Operator shall make available to the City all reasonable facilities and assistance to facilitate the performance of inspections by the Trust's representative. XX AWARD OF AGREEMENT Operator represents and warrants to the Trust and 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 connection with, the award of this Agreement. XXI PUBLIC RECORDS Operator understands that the public shall have access, at all reasonable times, to all documents and information pertaining to City and Trust contracts, subject to the provisions of Chapter 119, Florida Statutes, and agrees to allow access by the public to all documents subject to disclosure under applicable law, Either party's failure or refusal to comply with the provisions of this section shall result in the immediate cancellation of this Agreement by the Trust. XXII COMPLIANCE WITH LAWS REGULATIONS AND DIRECTIVES Operator 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. The Trust and the Operator agree to comply with and observe all applicable laws, codes and ordinances as the may be amended from time to time. 15 Operator will use the Parking Facility for no purpose other than specified in this Agreement and the business conducted thereunder will be operated in strict compliance with all laws of the United States and the State of Florida, and with all applicable codes, rules and regulations. Operator shall not permit the Parking Facility, or any part thereof, to be used for any unlawful or immoral purpose or in any manner as to injure persons or property in, or on, or near said premises. Operator understands that the the Trust reserves the right in its sole discretion to cancel, interrupt, or terminate any performance, event, public or private gathering upon its premises, whether or not admission has been charged, and to dismiss the audience, or cause the same to be dismissed; and the Operator hereby agrees that it will not make or allow to be made against the City or the Trust, any claim for damages to the Operator or other party arising out of any acts of the City, the Trust, or their respective officers, agents, or employees, in the exercise of their discretion as herein provided All areas which are open to the public shall be available for use and enjoyment by the public without regard to race, color, creed, sex, age, national origin, marital status or disability. XXIII CONFLICT OF INTEREST Operator i s aware of the conflict of interest laws of the City of Miami (Miami City Code Chapter 2, Article V), Dade County, Florida (Dade County Code, Section 2- 11.1 et. seq.) and of the State of Florida as set forth in the Florida Statutes, and agrees that it will fully comply in all respects with the terms of said laws. Operator, in the performance of this Agreement, shall be subject to the more restrictive law and/or guidelines regarding conflict of interest promulgated by federal, state or local government. XXIV NONDISCRIMINATION Operator represents and warrants that it does not and will not engage in discriminatory practices and that there shall be no discrimination in connection with Operator's performance under this Agreement on account of race, color, sex, r eligion, age, disability, marital status or national origin. Operator 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 Concession Agreement and Restatement. 16 XXV NOTICES All notices or other communications 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 d esignate b y n otice g iven a s h erein p rovided. N otice s hall b e 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 the Trust: To Southeast Timothy F. Schmand, Executive Director Bayfront Park Management Trust 301 N. Biscayne Boulevard Miami, Florida 33132 With copies to: Alejandro Vilarello, City Attomey City of Miami 444 S.W. 2nd Avenue, Suite 945 Miami, Florida 33130 XXVI MISCELLANEOUS PROVISIONS A. This Agreement shall be construed and enforced according to the laws of the State of' Florida. Venue for any legal proceedings shall be Miami -Dade County. 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 17 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 he valid unless in writing and executed by property authorized representatives of the parties hereto. XXVII SUCCESSORS AND ASSIGNS This Agreement shall be binding upon the parties hereto, their heirs, executors, legal representatives, successors, or assigns. XXVIII INDEPENDENT CONTRACTOR Operator has been procured and is being engaged to provide the Services as an independent contractor, and not as an agent or employee of the Trust or the City. Accordingly, Operator shall not attain, nor be entitled to, any rights or benefits under the Civil Service or Pension Ordinances of the City, nor any rights generally afforded classified or unclassified employees. Operator further understands that Florida Workers' Compensation benefits available to employees of the Trust or the City are not available to Operator, and agrees to provide workers' compensation insurance for any employee or agent of Operator rendering Services under this Agreement. XXIX 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. XXX LETTER OF CREDIT BBB. Incorporated by reference in this Restatement is a letter of credit executed byVanguard, a corporation existing under the laws of the State of ("Guarantor"), in favor of the Trust and of the City of Miami, wherein Guarantor guarantees the performance and payment obligations of Operator ("Letter of Credit") pursuant to the Amended Agreements. Upon the expiration or other termination of each of the Amended Agreements and the payment in full and performance in full of 18 all Indebtedness (as defined in the Letter of Credit) of Operator to Trust, Trust shall sign a release. XXXI EFFECT OF RESTATEMENT The terms and provisions of this Restatement shall apply to Southeast and take effect on , 2004, and apply to the payments due and payable ,2004. It is the intention of the parties that Bayfront Valet, and its parent company Concorde Cruises, respectively, is liable to the City and the Trust for all of the terms and provisions of the Concession Agreementfrom the date that it executed the Concession Agreement until the date of execution of this Restatement by Southeast. It is the parties' intention that this Restatement is an amendment and restatement to the Concession Agreement and that Southeast is liable to the City and the Trust for the terms and provisions contained in this Restatement and any amendments hereto from this date forth. In the event of a conflict between the Valet Parking Concession Agreement dated December 8, 1998, the First Amendment to Valet Parking Concession Agreement dated June 27, 2002 and this Amended and Restated Valet Parking Concession Agreement, the provisions contained in this Restatement shall prevail. XXXII FORCE MAJEURE In the event that the Trust or Operator shall be delayed, hindered in, or prevented from the performance of any act required hereunder by reason of strikes, lockouts, inability to procure materials, failure of power, restrictive governmental laws or regulations, riots, insurrection, default of the other party, or other reason beyond t heir control, the prevented party shall provide Notice to the other party, and the performance of such act shall be excused for the period of the delay and the period for the performance of any such act shall be extended for a period equivalent to the period of such delay. 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. BAYFRONT PARK MANAGEMENT TRUST By: By: Print Name: Timothy F. Schmand Print Title: Executive Director Approved as to form and correctness: Approved as to Risk Requirements 19 Dania Carrillo Alejandro Vilarello Risk Management Administator City Attorney ATTEST: Southeast Cruise Holdings, LLC, a Delaware limited liability company authorized to do business in the State of Florida By: Secretary Managing Partner Attest: Bayfront Valet Print Name: Print Title: Print Name: Print Title: 20