HomeMy WebLinkAboutexhibit 1-Letterh,4 -, !'4"
!IJ a� t�txnt
JoE ARRIOLA
CITY MANAGER
April 1, 2004
Mr. Chuck Martinez
President & General Manager
Grand Prix Americas/Raceworks, LLC
1514 Mercado Avenue
Coral Gables, FL 33146
Dear Mr. Martinez:
P.O. BOX 330708
MIAMI, FLORIDA 33233-0708
(305) 250-5400
FAX (305) 250-5410
This letter will serve to confirm your conversation with members of my staff on March 19,
2004, regarding terms for a potential settlement between the City of Miami ("City") and Raceworks,
LLC ("Licensee"). During the aforementioned conversation, the City and Licensee discussed:
• Licensee's outstanding financial obligations, consisting of the outstanding Use
Fee, Ticket Fee, and payment for costs for subsequent improvements to the
Race Perimeter totaled $104,401,05.
• City currently possessed $19,473.00 in police and fire surcharges erroneously
assessed pursuant to Section 11 of the Revocable License Agreement.
• Licensee stated that the number of tickets sold for the 2003 Grand Prix
Americas totaled 10,554, Licensee provided a copy of "Final Settlement Detail"
report from Ticketmaster Miami which listed total sales at 8,504 tickets,
Licensee further represented that the balance of tickets sold, a total 2055,
consisted of suite, chalet, and club passes.
• City and Licensee agreed that the outstanding balance of $104,401.05 would be
reduced by the $19,473.00 in police and fire surcharges retained by the City,
leaving a balance of $84,928.05 owed by the Licensee.
• The City and Licensee mutually agree to a settlement of $33,971.22 or 40% of
the $84,928.05 outstanding.
Please also be advised that a condition of the City's approval of this settlement is
conditioned upon Raceworks agreeing to be considered debarred pursuant to the City of Miami's
Debarment and Suspension Ordinance, Section 18-107, City of Miami Code (2004)("Debarment
Ordinance") and the Debarment Regulations which are contained in City of Miami Resolution No.
02-1325. A copy of the ordinance and resolution are attached to this letter.
Please acknowledge your confirmation and acceptance of the above stated terms by signing
in the space indicated below. In a few days, we will be forwarding to your attention five (5) copies
of a settlement agreement for your review and execution.
Should you have any questions regarding any of the terms listed herein, please do not
hesitate to contact Javier Fernandez, Asst. to the Chief of Operations, at (305) 416-1017.
Very truly yours,
Joe Arriola
City Manager
RACEWORKS, LLC:
Chuck Martinez
President & General Manager
Date of signature:
Cc: Alejandro Vilarello, City Attorney
Alicia Cuervo Schreiber, Chief of Operations
Erica Wright, Asst. City Attorney
Javier Fernandez, Asst. to the Chief of Operations