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HomeMy WebLinkAboutSummary FormAGENDA ITEM SUMMARY FORM FILE ID: 06- c as $ `7 LaW. 1L! 13/2006 Commission Meeting Date: 01/11/2007 PH.5 Requesting Department: Public Works District Impacted: All Type: ® Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item ❑ Other Subject: Resolution amending a term and condition change requested by Sarmiento. FUEL, and FUEL Outdoors to the Assignment and Assumption Agreement. Purpose of Item: A resolution amending a term and condition change requested by Sarmiento, FUEL, and FUEL Outdoors to the Assignment and Assumption Agreement ("Agreement") that was approved by the City Commission on November 9, 2006 through Resolution No. R-06-0665. The term and condition change will accept a Letter of Credit in the amount of $250,000, in lieu of a $250,000 continuing payment bond as originally outlined in the terms and conditions agreement. This resolution requests that the City Commission consent to, ratify and approve such term change. Background Information: On November 9, 2006, the City Commission adopted Resolution No. R-06-0665, which approved a request from Sarmiento Advertising Group, LLC, ("Sarmiento"), to the City Manager requesting prior approval and consent of the City Commission to approve the sale and transfer of one hundred percent (100%) of Sarmiento's stock to FUEL Miami, LLC, a Delaware limited liability corporation ("FUEL") and also approving and authorizing the City Manager to negotiate an Assignment and Assumption Agreement ("Agreement") with Sarmiento, FUEL, and FUEL's parent company, FUEL Outdoor Holdings, LLC. The original Assignment and Assumption Agreement required a $250,000 continuing payment bond as part of the terms and conditions. However, Sarmiento, FUEL, and FUEL Outdoors has requested a change to this term and condition, offering a $250,000 Letter of Credit in lieu of the continuing payment bond. The City Manager has reviewed this request and has found it acceptable to proceed execution of the Agreement with said Letter of Credit. However, this item requests that the City Commission consent, ratify, and approve said term change. 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 PP) if using or receiving capital funds Grants Final Approvals SIGN AND DATE) Budget Risk Management Dept. Director City Manager Purchasing Chief / A, Page 1 of 1