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HomeMy WebLinkAboutCRA-R-26-0031 MemorandumOMNI Board of Commissioners Meeting June 25, 2026 OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY INTER -OFFICE MEMORANDUM Board Chair Damian Pardo and Members of the CRA Board From: Carlos I. Suarez Executive Director Date: June 26, 2026 File: 19480 Subject: Paramount Security Services Enclosures: 19480 Backup BACKGROUND: The Omni Redevelopment District Community Redevelopment Agency ("CRA") is responsible for carrying out community redevelopment activities and projects within the Omni Redevelopment Area in accordance with the CRA Redevelopment Plan. The CRA owns and/or maintains properties within the Omni Redevelopment Area, including the property commonly known as the Citizens Bank Building, located at 1367 North Miami Avenue, Miami, Florida. On or about July 21, 2022, the CRA entered into a service agreement with Paramount FI. Security Group d/b/a Golden Security Guard ("Paramount Security") for the provision of professional security guard services. In November 2022, 24/7 security guard services were requested at the Citizens Bank Building to protect the property from vandalism, intruders, crime, theft, and other safety concerns. Paramount Security provided security guard services to the CRA, including services at the Citizens Bank Building and other CRA-related properties. On October 16, 2023, the then - Executive Director issued a Notice of Termination terminating the security services being provided by Paramount Security. JUSTIFICATION: Paramount Security has submitted a claim for payment in the total amount of Ninety -Four Thousand Three Hundred Ninety Two and 00/100 Dollars ($94,392.00), consisting of Invoice No. GSG-CPP-2308 in the amount of Sixty Two Thousand Eight and 00/100 Dollars ($62,008.00) and Invoice No. GSG-CPP-2319A in the amount of Thirty Two Thousand Three Hundred Eighty Four Dollars and 00/100 ($32,384.00). There is a dispute as to whether, and to what extent, this amount is owed by the CRA, and the claim is therefore a disputed claim. The security services were previously rendered prior to the tenure of the current Executive Director and were provided for the protection and preservation of CRA and CRA-related properties. Subsequent to the termination of Paramount Security's services, the Board of Commissioners adopted CRA Resolution No. CRA-R-24-0013 at its February 8, 2024 meeting, authorizing the accessing of City of Miami Contract No. RFP 985381(28) for the provision of security guard services with Kent Security Services, Inc. Following negotiations with Paramount Security, the company has agreed to resolve the dispute for a total settlement amount of Eighty -Five Thousand and 00/100 Dollars ($85,000.00). In light of the foregoing, and to avoid the cost, delay, and uncertainty of litigation, it is respectfully recommended that the Board of Commissioners adopt the attached Resolution authorizing the Executive Director to settle and resolve the disputed claim of Paramount Security, consistent with the authority to settle and resolve contract and breach of contract controversies under Section 18-105 of the City of Miami Code of Ordinances, by payment of an amount not to exceed Eighty -Five Thousand and 00/100 Dollars ($85,000.00) in full and final settlement and satisfaction of the claim, and conditioned upon Paramount Security's execution of a settlement agreement and general release in favor of the CRA in a form approved by the General Counsel. The recommended settlement reflects the reasonable value of security guard services actually rendered to and accepted by the CRA, and is not an admission of liability by the CRA or a concession that the amount claimed is due and owing. The Board further finds that settlement of the disputed claim on these terms is in the best interest of the CRA. FUNDING: A total amount not to exceed Eighty -Five Thousand and 00/100 Dollars ($85,000.00) will be allocated from Account No. 10040.920501.534000.0000.00000, titled "Other Contractual Services," subject to the availability of funds and budgetary approval. City of Miami Page 2 of 5 File ID: 19480 (Revision:) Printed On: 7/20/2026 Omni CRA City of Miami Legislation OMNI CRA Resolution CRA-R-26-0031 OMNI CRA 1401 N. Miami Avenue Miami, FL 33136 www.miamicra.com File Number: 19480 Final Action Date:6/25/2026 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA"), PURSUANT TO SECTION 18-105 OF THE CITY OF MIAMI, CODE OF ORDINANCES, AS AMENDED ("CITY CODE"), AUTHORIZING THE SETTLEMENT OF A DISPUTED CLAIM OF PARAMOUNT FL. SECURITY GROUP D/B/A GOLDEN SECURITY GUARD ("PARAMOUNT SECURITY") IN AN AMOUNT NOT TO EXCEED EIGHTY- FIVE THOUSAND AND 00/100 DOLLARS ($85,000.00), IN FULL AND FINAL SETTLEMENT AND SATISFACTION OF ALL CLAIMS FOR SECURITY GUARD SERVICES PREVIOUSLY RENDERED TO CRA; ALLOCATING FUNDS FROM ACCOUNT NO. 10040.920501.534000.0000.00000, TITLED "OTHER CONTRACTUAL SERVICES"; AUTHORIZING THE EXECUTIVE DIRECTOR TO DISBURSE FUNDS UPON EXECUTION OF A SETTLEMENT AGREEMENT AND GENERAL RELEASE; FURTHER AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE ANY AND ALL DOCUMENTS NECESSARY FOR SAID PURPOSE; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Omni Redevelopment District Community Redevelopment Agency ("CRA") is a community redevelopment agency created pursuant to Chapter 163, Florida Statutes, and is responsible for carrying out community redevelopment activities within the Omni Redevelopment Area; and WHEREAS, the CRA owns and/or maintains properties within the Omni Redevelopment Area, including the property commonly known as the Citizens Bank Building, located at 1367 North Miami Avenue, Miami, Florida; and WHEREAS, the Citizens Bank Building required security services to protect the property from vandalism, intruders, crime, theft, and other safety concerns; and WHEREAS, on or about July 21, 2022, the CRA entered into a service agreement with Paramount FI. Security Group d/b/a Golden Security Guard ("Paramount Security") for professional security guard services; and WHEREAS, by correspondence dated November 9, 2022, Mass Construction Corporation recommended that the CRA obtain 24/7 security guard services at the Citizens Bank Building due to the installation of valuable items at the property; and WHEREAS, Paramount Security provided security guard services to the CRA, including services at the Citizens Bank Building and other CRA-related properties; and WHEREAS, Paramount Security has submitted a claim for payment in the total amount of Ninety -Four Thousand, Three Hundred Ninety -Two and 00/100 Dollars ($94,392.00), and a dispute exists as to whether, and to what extent, this amount is owed by the CRA; and City of Miami Page 3 of 5 File ID: 19480 (Revision:) Printed On: 7/20/2026 WHEREAS, on October 16, 2023, the then -Executive Director of the CRA issued a Notice of Termination to Paramount Security, terminating the security services being provided to the CRA; and WHEREAS, subsequent to the termination of Paramount Security's services, the Board of Commissioners adopted CRA Resolution No. CRA-R-24-0013, authorizing the accessing of City of Miami Contract No. RFP 985381(28) for the provision of security guard services with Kent Security Services, Inc.; and WHEREAS, after negotiations with Paramount Security, the parties have agreed to settle the dispute for the sum of Eighty -Five Thousand and 00/100 Dollars ($85,000.00) to be paid to Paramount Security; and WHEREAS, the Board of Commissioners now desires to settle and resolve the disputed claim of Paramount Security for previously rendered security guard services, in full and final settlement and satisfaction of all claims and without admitting liability or ratifying the unauthorized service agreement, pursuant to Section 18-105 of the City of Miami Code of Ordinances, as amended ("City Code") to avoid the cost, delay, and uncertainty of litigation; and WHEREAS, the Board of Commissioners finds that the expenditure authorized herein serves a valid public and redevelopment purpose and is necessary to the implementation of the Omni CRA's Redevelopment Plan and the protection of CRA property, that the amount to be paid reflects the reasonable value of the security guard services actually rendered, and that settlement of the disputed claim on these terms is in the best interest of the CRA; and NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY 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 herein as if fully set forth in this Section. Section 2. The Board of Commissioners, pursuant to Section 18-105 of the City Code, hereby authorizes the Executive Director to settle and resolve the disputed claim of Paramount FI. Security Group d/b/a Golden Security Guard, in an amount not to exceed Eighty -Five Thousand and 00/100 Dollars ($85,000.00), in full and final settlement and satisfaction of all claims for security guard services previously rendered to the CRA, conditioned upon Paramount Security's execution of a settlement agreement and general release in favor of the CRA in a form approved by General Counsel. Section 3. The Board of Commissioners hereby finds that the expenditure authorized herein serves a valid public and redevelopment purpose and is necessary to the implementation of the Omni CRA's Redevelopment Plan and the protection of CRA or CRA-related properties. Section 4. Funds shall be allocated from Account No. 10040.920501.534000.0000.00000, titled "Other Contractual Services," subject to the availability of funds and budgetary approval. Section 5. The Executive Director is hereby authorized to disburse funds upon execution by Paramount Security of a settlement agreement and general release in favor of the CRA, and to execute any and all documents necessary, in a form acceptable to General Counsel, for said purpose. Section 6. This Resolution shall become effective immediately upon its adoption. APPROVED AS TO FORM AND CORRECTNESS: City of Miami Page 4 of 5 File ID: 19480 (Revision:) Printed On: 7/20/2026 2 ORGE . WYSON III, GENERAL COUNSEL City of Miami Page 5 of 5 File ID: 19480 (Revision:) Printed On: 7/20/2026