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HomeMy WebLinkAboutSummary FormAGENDA ITEM SUMMARY FORM FILE ID: d(,-ttl 1% Date: 10/23/2006 Requesting Department: Public Works Commission Meeting Date: 11/9/2006 District Impacted: All Type: ® Resolution 0 Ordinance ❑ Emergency Ordinance ❑ Discussion Item ❑ Other Subject: Resolution to consider a request from Sarmiento Advertising Group, LLC, (Sarmiento) for the sale and transfer of 100 percent of Sarmiento stock to Fuel Miami, LLC (FUEL), with conditions and in form and substance with guarantee ofperformance from FUEL'S parent company satisfactory to the City. Purpose of Item: SEE ATTACHED SUPPLEMENTAL PAGE. Background Information: On April 18, 2002, Sarmiento executed an agreement with the City of Miami for the provision of bus benches for use by the general public within the City ("Agreement") including bus bench design, installation, and maintenance. Subsequent amendments to the Agreement were executed by the City and Sarmiento on September 18, 2002, February 27, 2003, August 18, 2003, and July 20, 2004 (collectively "Amendments"). In addition to the Agreement and Amendments regarding bus benches, the City and Sarmiento executed a Professional Services Agreement ("PSA") on July 28, 2004, for the maintenance of City bus shelters. Budget Impact Analysis NO Is this item related to revenue? NO Is this item an expenditure? If so, please identify funding source below. General Account No: Special Revenue Account No: CIP Project No: NO Is this item funded by Homeland Defense/Neighborhood Improvement Bonds? Start Up Capital Cost: Maintenance Cost: Total Fiscal Impact: CIP If using or,receiving capitat.funds Grants Final Approvals (SIGN AND DATE) Budget Purchasing Chief 17 1I/I Risk Management Dept. Director City Manager ti T3orria 1 of 1 SUPPLEMENTAL PAGE A resolution to consider a request from Sarmiento Advertising Group LLC., ("Sarmiento"), dated August 31, 2006, to the City Manager requesting prior approval and consent of the City Commission to approve sale and transfer of 100 percent of Sarmiento's stock to Fuel Miami, LLC, a Delaware limited liability corporation ("FUEL"), pursuant to Section 9.3 and Section 10.8 of the Agreement dated April 18, 2002 between the City of Miami and Sarmiento for bus bench design, installation and maintenance. The sale and transfer will be conditioned upon (A) a guarantee for performance from FUEL'S parent company in form and substance satisfactory to the City; and (B) FUEL entering into a satisfactory transfer, assignment and assumption agreement with the City which shall include but not be limited to the following conditions: 1) FUEL shall retain for a minimum of three (3) years with a six (6) month transition phase thereafter, the current Sarmiento Chief Executive Officer (CEO) and Corporate Business Director to continue working on the City's account; and 2) Provide a continuing payment bond or letter of credit in the amount of $250,000 and continuing insurance as required by the City's Risk Management Department; 3) Assume the current Sarmiento bus shelter maintenance agreement on a month to month basis; 4) The Assignment and Assumption shall not be further assigned without the express written consent of the City and FUEL; and 5) Such other terms and conditions as satisfactory to the City Commission.