HomeMy WebLinkAboutSubmittal-Samuel Dubbin-Opposition Letter Packet RE Ultra FestDUBBIN
KRAYETZ
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Hon. Mayor Francis Suarez and
City Commissioners Keon Hardemon,
Ken Russell, Willy Gort, Joe Carollo,
and Manolo Reyes
3500 Pan American Way
Miami, Florida
Submitted into the pAlic
record for ilem(s) NA.
on City Clerk
f&3.(AAL4A
September 12, 2018
SAMUEL I DUBBIN, P.A.
DIRECT (305) 357-9004
sdubbin0dubbinkravetz.com
Re: Downtown Miami Residents' Opposition to Proposed Agreement by the City
of Miami for Ultra Music Festival in Bayfront Park
Dear All:
This law firni represents the following residents of 50 Biscayne Boulevard and 200
Biscayne Boulevard Way in Downtown Miami: Itai Benosh, Joy Prevor, Ken Schwartz, Victor
Gadino, Santiago Peredo, Carmine Sorrentino. Rebecca Yu, Barry Duceman, Arlene Ramsingh,
Luz Saldarriaga, and Pete Ellis, as well as the 50 Biscayne Condominium Association, Inc.
("Association") (Collectively "Residents"). As documented in my June 20, 2018 letter to the
City of Miami ("City") Mayor and Commissioners and the Bayfront Park Management Trust
("Trust"), extreme Mega -Events such as the Ultra Music Festival constitute legal nuisances, and
the City and the Trust have a legal obligettion not to allow such harmful activity in the middle of
a heavily populated residential community. On behalf of the Residents, I am re -submitting t11e
June 20, 2018 letter and attachments for the record in opposition to the Proposed Ultra
Agreement at the September 13 ineeting.
In addition, the Proposed Ultra Agreement would violate Sections 29-A, 29-B, and
3(f)(iii) of the City of Miami Charter, which require competitive bidding, independent appraisals,
and a return to the City of fair market value, as a precondition for the City to lease or convey any
interest in Bayfront Park to a private entity. Unfortunately, in the past, the City has
circumvented the Charter in to allow Ultra concerts in Bayfront Park, and proposes to do it again,
using the legal fiction that the Ultra Agreement is a "license" instead of a lease or conveyance of
an interest in land governed by the Charter. However, the Third District Court of Appeal, in
Homestead-Mictnri Spryeciii!(ty, LLC v, City gj'Mianai. 828 So -2d 411 (Fla. 3d DCA 2002), rejected
this fiction and held an almost identical arrangement for motor racing over a three-day period in
Bayfront Park was a lease and not a "license." The Court held that the City's attempt to enter
into such an agreement without I0110wing the Charters competitive bidding, appraisal, and fair
market rent requirements was void.
1200 ANASTASIA AVENUE • SUITE 3007 • CHORAL GABLES,
�F`LORIDA 33134 n ]
SMS. �F �r f�.-�b o -4700 vh 4.1O- jCn f f Ci
Mayor and City of Miami Commissioners
September 12, 2018
Page 2
Submitted into the public
record for items) . a)
on l t City Clerk
After reviewing the relevant Charter provisions and case law, we believe you will
understand clearly that any Commissioner who votes "yes" on the Proposed Ultra Agreement
will be acting in violation of the Charter, and that any resulting "agreement" would be void.'
1. Governing Charter Provisions. The following Charter provisions prohibit the
Commission from voting in favor of the Proposed Ultra Agreement without first following these
Charter requirements.
Charter Section 29-A(b) provides:
Sales and leases of real property; prohibition. Except as otherwise provided in
this section, there shall he no sale, conveyance, or disposition of ' any interest,
including any leasehold, in real property owned by the city, the department of off-
street parking, or the downtown development authority, unless lhei-e has been
prior public notice and a prior opportunity given to the public to compete, for said
real property or interest. ,4ny such sale, conveyance, or disposition shall be
conditioned upon compliance with this .section.... Further, no right, title, or
interest shall vest in the transferee of such property unless the sale, conveyance,
or disposition is made to the highest responsihle bidder ... .
Exhibit A, page 4 (Emphasis supplied).
Charter Section 29-B of the Charter also requires competitive bidding, and imposes the
additional requirement that any lease of public land return fair market value to the city. It is
worded carefully to prohibit the Cornnaissivn from ':favorably considering" any transaction that
does not return fair market value to the city, and that does not result from competitive bidding:
Notwithstanding any provision to the contrary contained in this Charter of
the City Code, and except as provided below, the city commission is prohibited
fr'om_favorably considering any sale or lease of property awned by the city unless
there is a return to the city cif fair market value under such proposed .sale or.
lease. The city commission is also prohibited. f •om favorably considering any sale
or lease of city -owned property unless (a) there shall have been. prior to the date
° Under the November 2016 City of Miami Charter standing amendment approved by over
84% of the voters, Section 52. any City resident would have standing to challenge the City's
violation of the Charter. In addition, the Residents would suffer a "special injury" from the
City's violation of the Charter due to their close proximity to Bayfront Park and the illegal levels
of noise and other damages that Ultra would inflict on the parr, the residents, and local
businesses.
DUBBIN & KRAVErz, LLP
1200 ANASTASIA AVENUE • SUITE 300 + CORAL GABLES. FLORIDA 33134 • TELEPHONE (3051 371-4700
Mayor and City of Miami Commissioners
September 12, 2018
Page 3
Submitted into the public
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on - City Clerk
of the city commission's consideration of such sale or lease, an advertisement
soliciting proposals for said sale or lease published in a daily newspaper of
general paid circulation in the city, allowing not less than ninety (90) days for the
city's receipt of proposals_from prospective purchasers or lessees ....
Exhibit A, page 5 (Emphasis supplied).
In addition, Section 3(f)(iii) of the Charter governs disposition of the city's waterfront
property, which obviously includes Bayfront Parr. It requires observance of all other Charter
provisions, as well as "reasonable public access to the water and reasonable public use of the
property," "a fair return to the city based on two independent appraisals," and observance of all
Code procurement requirements .Z If these requirements are not satisfied, the agreement would
have to be approved in a referendum.
Section 3(f)(iii) provides:
Sec. 3. Powers.
The City of Miami shall have power to:
(a) --(e) [Reserved]
(f) Acquisition and disposition of property and services:
(iii) To lease or contract with entities for the management of any of the city's
waterfront property, but only in compliance with the other requirements of this
charter and on the condition that:
(A) the terms of `the contracl allow reasonable public access to the water
and reasonable public use of the property. and comply with the other
charter waterfront setback and view -corridor requircinents; and
(B) the terms of the contract result in a fair return to the city based on
livo independent appraisals; aIld
(C) the use is authorized Linder the then -existing master plan of the city;
? Section also limits aI1y contract to five years and prohibits "an aL110II1at1C renewal
or termination penalty.' which some versions of the draft Ultra agreements would have allowed.
DUBBIN & KRAVF.TZ, LLP
1200ANASTASIA AVENUE • SUITE 300 • CORAL GABLES, FLORIDA 33134 • TELEPHONE (305) 371-4700
Mayor and City of Miami Commissioners
September 12, 2618
Page 4
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(D) the procurement methods prescribed by ordinances are observed;
(E) the contract does not exceed five years and does not contain an
automatic renewal or termination penalty.
Any such lease or management agreement or proposed extension of
modification of an existing such lease or management agreement which
does not comply with each of the above conditions shall not he valid
unless it has first been approved by a majority cif the voters of the city.
Exhibit B, at 1-2 (Emphases supplied).
2. Legal Fiction that Proposed Ultra Agreement is a "License" and Not a Lease Subject
to Charter Sections 29-A. 29-B. and 3(f)(111).
The Proposed Ultra Agreement is subject to these requirements of the Charter because it
constitutes a lease of, or a conveyance of an interest in, public waterfront land. The City
Attorney's Office has taken the position that under the authority of the Homestead Speedway
case, the distinction between a "lease" and "license" allows the City to approve the Proposed
Ultra Agreement ivithout following the requirements of the Charter. However, the Third District
Court of Appeal in the Homestead Speedway case held just the opposite of what the City has
been doing with past Ultra agreements, and the Proposed Ultra Agreement would purport to do
again.
In Homestead ,Speedway, the Court invalidated an agreement between the City and
Raceworks, LLC to allow auto racing in Bayfront Park for three days each year, because the City
failed to follow the Charter requirements. It held: "We affirm the trial court's determination
that the agreement was a lease, not a license, and as such should have been competitively bid as
required by the City Charter.' 828 So.2d at 413. The Court elaborated:
The original agreement between the City and Raceworks was not a
license because a license is revocable at i ill and cannot be ass geed. . . . .I'lle
agreement at issue here was assignable and could not be revoked without notice
of default and the opportunity to cure. Additionally. Raceworks was given the
exclusive use of Bayfront Park for at least three days each year for fifteen years.
Since the agreement between the City and Raceworks was a lease, it bell
within the purview of section 3(f)(iii) and section 29-A(D) of the City Chat -ter....
The agreement at issue here gave Raceworks in effect a sub -lease for Bayfront
Park, part of the City's interest in waterfront property. Thus, the original
DUBRIN & KRAVETZ, LLP
1200 ANASTASIA AVENUE • SUITE 300 • CORAL GABLES, FLORIDA 33134 • TELEPHONE (305) 371-4700
Mayor and City of Miami Commissioners
September 12, 2018
Page 5
Submitted into the public
record for item s) 00-3
on City Clerk
agreement to hold races in Bayfront Park should have been the result of
competitive bids.
The trial court therefore correctly held that the city was required to follow
competitive bid procedures and that any contract for the use of the City's
waterfront property entered into without complying with those procedures was
void.
HomesteadSpeedway, 828 So.2d at 412-13 (Emphasis supplied), attached as Exhibit C.3
There is no credible argument that the Proposed Ultra Agreement is a "license" when the
Third District held the agreement in Homestead Speedway was a lease, or a conveyance of the
City's interest in Bayfront Park, nor is there any credible argument that Sections 29 and 3(f)(iii)
of the Charter do not apply.
■ The lessee in Homestead .Speedy+jay had the right of exclusive use of the Park for
three (3) days each year. Under Section 2.17 of the Proposed Ultra Agreement, Ultra
has exclusive use of the Park for at least thirty (30) days each year.
■ The agreement in Homestead Speedvmy could not be revoked without notice of
default and an opportunity to cure. Under Section 18 of the Proposed Ultra
Agreement, the City must provide Ultra with written notice of any "material breach"
and an opportunity over a thirty day period to cure the breach before it can terminate.
■ The agreement in Homestead Speedway was assignable. Under Section 29, the
Proposed Ultra Agreement is also assignable tinder a multitude of scenarios,
including many that do not require the City's consent, such as a merger or
consolidation or asset sale to an entity with a net worth in excess of $5 million, or that
has operated 5 live events over the past five years, and others.
Under the Homestead Speedway case, the fact that Ultra would have the exclusive right
to control a massive defined area in Bayfront Park for over thirty (34) days, the right to receive
notice and a right to cure for any possible termination effort by the City, and broad assignment
rights, makes any argument that the Proposed Ultra Agreement is a -terminable at will license"
and not a lease or interest in City property utterly specious. 4
The Charter provisions at issue in Homestead Speedway, Sections 29-A and 3(f)(iii). are
materially identical to the Charter provisions applicable today.
4 The Proposed Ultra Agreement also contains several of the elements the Third District held
were characteristic of a lease. not a license, in Ryan €,. National Harine jldf -s, Assn, 103 So.3d
1001 (Fla. 3d DCA 2012), discussed inljw at pages 7-8.
DUBBIN [SQL KRAVETZ, LLP
1200 ANA57ASIA AVENUE • SUITE 300 • CORAL GABLES. FLORIDA 33134 + TELEPHONE [3057 371-4700
Mayor and City of Miami Commissioners
September 12, 2018
Page 6
Submitted into the pub 'c
record for items
on City Clerk
The Third District Court of Appeal in Homestead Speedway cited other Florida appellate
decisions which held that agreements to allow the use of public property similar to the Proposed
Ultra Agreement are considered "leases" of, or interests in public property, such that competitive
bidding laws applied. See Outdoor 11-fedia of Pensacola, Inc. v. Santer Rosa County, 554 So.2d
613 (Fla. 1st DCA 1989) (county's granting exclusive right to use right of way was a
lease subject to competitive bidding procedures); Randall Indus., Inc. v. Lee County, 307 S0.2d
499 (Fla. 2d DCA 1975) (license agreement which gave taxi company exclusive use of airport.
parking spaces was a lease which required competitive bidding).'
In Outdoor Media, Santa Rosa County granted a sign company "an exclusive right to use
county rights of way for placing signs paid for by" the company's customers which included a
plate naming the sponsor. A competitor stied on the ground that state law required counties to
hold competitive bidding before selling or leasing any real or personal property. The court cited
Florida Supreme Court precedent that "defined a lease as `a conveyance by the owner of an
estate to another of a portion of his interest in the land for a term less than his own [which
passes] a present interest in the land for the period specified."' 554 So.2d at 615, quoting
De Yore v. Lee, 158 Fla. 648, 30 So.2d 924, 925 (1947).
The court in Outdoor Medici also quoted Black's Law Dictionary, and found the billboard
transaction met the traditional definition of a lease rather than a license:
A dense is defined in Black's Law Dictionary § 829 (5"' ed. 1979) as a
Contract for exclusive possession of lands or tenements for determinate period.
Contract for possession and profits of lands and tenements either for life, or for
certain period of time, or during the pleasure of the parties... Conveyance of
interest in real property for specified period or at will. Conveyance or grant of
estate in real property for limited term with conditions attached.
554 So.2d at 615. In contrast. it cited Black's definition of "license:" "A license is not a
contract between the state and the licensee, but is a mere personal permit. License, with respect
to real property, is a privilege to go on premises for a certain purpose. but does not operate to
confer oil, or vest in, licensee any title, interest, or estate in such property." Id., at 615.
Based on these definitions, the court in Outdoor Xledia held that the County's grant of an
exclusive right to the advertising company to place signs oil county rights of way for a three year
period, at a fixed price, and -v ith the right to renew for an additional three year period, was a
lease, not a license:
These parenthetical quotes are directly from the Third District's decision in Homestead
Sjreedivay, 828 So.2d at 413.
DUBBIN & KRAVETZ, LLP
1200 ANASTASIA AVENUE • SUITE 300 + CORAL GABLES, FLORIDA 33134 • TELEPHONE (305).371-4700
Mayor and City of Miami Commissioners
September 12, 2018
Page 7
Submitted into the 11M, .
rec0 for item{s}
Cin City Clerk
This right under the agreement comports with the generally accepted
definition of a lease as contemplated by the Supreme Court in De Yore, and by
Slack's Law Dictionary. That is, by agreement the county has passed a portion of
its interest in the rights of way for a specified period, in that [the advertising
company] is authorized to use county land for the placing of signs. In other
words, [the company] has been granted more than a privilege to go on the land.
Instead, it has been granted use of a portion of the land for the duration of the
agreement.
Al., at 615 (Emphasis supplied).
The Third District in Homestead Speedway, and the First District in Outdoor Media, also
cited Randall Indus., Inc., v. Lee County, 307 So.2d 499, 501 (Fla. 2d DCA 1975). In Randall,
the Second DCA held the county's grant of an exclusive right to use certain parking areas at the
airport for a taxicab and limousine stand, which was called a "license agreement and space
lease," nevertheless constituted a lease of county property that was subject to the competitive
bidding requirements of state law.
In Ryan v. National Marine Mfrs. Assn, 103 So.3d 1001 (Fla. 3d DCA 2012), the Third
District analyzed an agreement by the City of Miami Beach allowing the national trade
association for the recreational boating industry (NMMA) to use a City -owned, private parking
lot to park several trailer tractors during the international boat show. It held the agreement
conveyed a "controlling interest in real property" for purposes of a state law providing that a
person with such an interest is not liable for damages when a trespasser is injured on that
property when under the influence of alcohol.
In Ryan, even though the document was entitled "Temporary License and Use
Agreement," the Third District held the following elements compelled the conclusion that the
agreement fit the textbook definition of a "lease" rather than a "license." such that the
grantee/lessee had "a controlling interest in real property." It cited the following factors:
■ The agreement describes a particular piece of property, which is identified by exact
address and is described as "the Premises.'-
■ The agreement is for a set term beginning on a date certain and ending on a date
certain, referred to as "the Term" of the Agreement.
■ The parties agreed `'this agreement constitutes a month -to month agreement
■ NMMA was required to pay a "security deposit" at the time of execution of the
agreement.
■ NMMA was required to "quit and deliver the Premises ... at the end of the term
■ NMMA agreed "that it will occupy and maintain the premises in a good condition.,
and "will not commit, or suffer to be committed, any waste of or on the Prernises."
DUBBIN & KRAVETZ, .LLP
1200 ANASTASIA AVENUE • SUITE 300 • CORAL GAIgLES, FLORIDA 33134 • TELEPHONE (305) 371-4700
Mayor and City of Miami Commissioners
September 12, 2018
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■ NMMA agreed that it "will not assign this Agreement, or any interest therein, and
"may not sublease without the prior written agreement" of the City.
■ NMMA was required to "property maintain" and "be responsible" for all automobiles
on the Premises at all times during the Agreement.
■ NMMA agreed that the City "shall have the right to enter upon the Premises at such
times and at such ,places during reasonable business hours, for the purpose of
inspecting the Premises, or for any reason whatsoever."
■ NMMA was required to provide a minimum of one million dollars in liability and
personal property insurance coverage "related to NMMA's possession of the
Premises."
• In the event NMMA failed to perform any of the terms and conditions of the
Agreement, the City was required to give NMMA a five-day written notice to cure a
default.
In light of these provisions, the Third DCA concluded that the grantee/lessee had a far
more extensive interest than the Black's Law Dictionary definition of a license. "It is clear from
these provisions that NMMA was given far more than a revocable permission or privilege to
enter upon the property." The Court concluded: "The Agreement far more closely approaches
the BIack's Law Dictionary definition of a "Iease," i.e. "[a] contract by which a rightful
possessor of real property conveys the right to use and occupy the property in exchange for
consideration." 103 So.3d at 1004-05.
As the Commissioners can readily observe from the Agenda materials, virtually all of the
elements cited by the Third District in Ryan to hold that the City of Miami Beach had conveyed a
controlling interest in land, and not a mere license to NMMA, are found in the Proposed Ultra
Agreement. Sege Sections 2.12. 2.15, 2.17, 3. 1, 3.2. 4.1, 4.3, 5.1. 6.3, 7, 9.1. 9.4. 13. 15. 16. 17.
and 18.
There is simply no legal way for this Commission to approve the Proposed Ultra
Agreement until the City conducts a proper competitive bidding process, obtains the necessary
appraisals, ensures a return of fair market value to the City, and meets the other protections for
the public set forth in the Charter.
3. Conclusion. As the Residents and others from the COMMILinity will explain at the City
Commission meeting on Thursday. there are abundant policy reasons for this Commission to
icject the Proposed Ultra Agreement. There are also compelling legal reasons why this
Commission must vote No.
DUBBIN & KRAVETZ, LLP
1200 ANASTASIA AVENUE • SIJ ITE 300 • CORAL GABLES. FLORIDA 33134 • TELEPHONE (305) 371-4700
Mayor and City of Miami Commissioners
September 12, 201$
Page 9
cc: Emilio Gonzalez, City Manager
Victoria Mendez, City Attorney
Tadd. B. Hannon, City Clerk
Jose Gell, Acting Executive Director,
Bayfront Park Management Trust
Submitted into the public „
record for item s}
an City Clerk
Respectfully,
,P
A.
Samuel J. Dubbin, P.A.
Dubbin & Kravetz, LLP
DUBBIN & KRAVETZ, LLP
1200 ANASTASIA AVENUE • SUITE 300 • CORAL GABLES, FLORIOA 33134 • TELEPHONE (305) 37 1-4700
%binitted into the public
, Wkl for item(s) .3
p, City Clerk
EXHIBIT A
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EXHIBIT B
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EXHIBIT C
Submitted into the public .�
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1 City Clerk
EXHIBIT A
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record for itemis)
on ill I Y City Clerk;
Sec, 29-A. Contracts for, unified development projects, and real property;
®r
safeguards
(a)
Unified devefoprnenfprojects- A unified development project shall mean a project
where an interest in real property is awned or is to be acquired by the city, is to be
used for the development of improvements, and as to which the city commission
determines that for the development of said improvements it is most advantageous to
the city to procure from a private person, as defined in the Code of the City of Miami,
one or more of the following integrated packages:
(1)
planning and design, construction, and leasing; or
(2)
planning and design, leasing, and management; or
(3)
planning and design, construction, and management, or
(4)
planning and design, construction, leasing, and management.
So long as the person from whom the city procures one of the above-mentioned
integrated packages provides all of the functions listed for that package, such person
need not provide each listed function for the entire unified development project nor
for the same part of the unified development project.
As many members of the public having expertise in the field of real estate
development or in other relevant technical areas or who reside within the vicinity of a
proposed unified development project site as deemed appropriate by the city
manager shall be invited by the city manager to provide input during the preparation
of documents for competitive processes of the unified development project.
If deemed appropriate by the city manager, the unified development project process
shall include a request for qualifications process prior to the issuance of a request for
proposals. Qualifications shall be evaluated by the city manager or designee(s) and
only those deemed qualified in accordance with the specified evaluation criteria shall
be invited to participate in the subsequent request for proposal process for said
unified development project.
Requests for proposals for unified development projects shalt generally define the
nature of the uses the city is seeking for the unified development project and the
estimated allocations of land for each use. They shall also state the following:
(f)
the specific parcel of land contemplated to be used or the geographic area
the city desires to develop pursuant to the unified development project;
(2)
(3)
(4)
(5)
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the specific evaluation criteria to be used by the below -mentioned certified
public accounting firm;
the specific evaluation criteria to be used by the below -mentioned review
committee, -
the extent of the city's proposed commitment of funds, property, and
services;
the definitions of the terms "substantial increase" and "material alteration"
that will apply to the project pursuant to subsection (e)(4) hereof, and
(6)
a reservation of the right to reject all proposals and of the right of termination
referred to in subsection (e)(4), below.
After public notice there shall be a public hearing at which the commission shall
consider:
(f)
the contents of the request for proposals for the subject unified development
project;
(2)
the selection of a certified public accounting firm, which shall include at least
one member with previous experience in the type of development in
question; and
(3)
the recommendations of the city manager for the appointment of persons to
serve on the review committee. Said review committee shall consist of an
appropriate number of city officials or employees and an equal number plus
one of members of the public, whose names shall be submitted by the city
manager no fewer than five days prior to the above-mentioned public
hearing.
At the conclusion of the public hearing the city commission shall authorize the
issuance of a request for proposals, select a certified public accounting firm, and appoint the
members of the review committee only from among the ,persons recommended by the city
manager-
The procedure for the selection of an integrated package proposals shall be as
follows -
(1)
(2)
(3)
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all proposals shall be analyzed by a certified public accounting firm appointed
by the commission based only on the evaluation criteria applicable to said
certified public accounting firm contained in the request for proposals. Said
certified public accounting firm shall render a written report of its findings to
the city manager.
the review committee shall evaluate each proposal based only on the
evaluation criteria applicable to said review committee contained in the
request for proposals. Said review committee shall render a written report to
the city manager of its evaluation of each proposal, including any minority
opinions.
taking into consideration the findings of the aforementioned certified public
accounting firm and the evaluations of the aforementioned review committee,
the city manager shall recommend one or more of the proposals for
acceptance by the city commission, or alternatively, the city manager may
recommend that all proposals be rejected. If there are three or more
proposals and the city manager recommends only one, or if the city manager
recommends rejection of all proposals, the city manager shall state in writing
the reasons for such recommendation.
In transmitting his or her recommendation or recommendations to the
commission, the city manager shall include the written reports, including any
minority opinions, rendered to by the aforementioned certified accounting firm
and review committee_
all contracts for unified development projects shall be warded to the person
whose proposal is most advantageous to the city, as determined by the city
commission.
The commission may accept any recommendation of the city manager by an
affirmative vote of a majority of its members. In the event the commission does not accept a
proposal recommended by the city manager or does not reject all proposals, the commission
shall seek recommendations directly from the aforementioned review committee, which shall
make a recommendation or recommendations to the commission taking into account the
report of the aforemenCioned certified public accounting firm and the evaluation criteria
specified for the review committee in the request for proposals.
After receiving the direct recommendations of the review committee, the commission
shall, by an affirmative vote of a majority of its members'
(1)
accept any recommendation of the review committee; or
(2)
accept any previous recommendation of the city manager; or
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(3)
reject all proposals.
All contracts for unified development projects shall be signed by the city manager or
designee after approval thereof by the commission. The city manager or designee shall be
responsible for developing a minority procurement program as may be prescribed by
ordinance and permitted by law in conjunction with the award of contracts for unified
development projects. The provisions of this charter section shall supersede any other
charter or code provision to the contrary.
(b)
Sales and leases of real property, prohibition. Except as otherwise provided in this
section, there shall be no sale, conveyance, or disposition of any interest, including
any leasehold, in real property owned by the city, the department of off-street
,parking, or the downtown development authority, unless there has been prior public
notice and a prior opportunity given to the public to compete for said real property or
interest. Any such sale, conveyance, or disposition shall be conditioned upon
compliance with: the provisions of this section, such procurement methods as may
be prescribed by Ordinance; and any restrictions that may be imposed by the city, the
department of off-street parking, or the downtown development authority, as
appropriate. Further, no right, title, or interest shall vest in the transferee of such
properly unless the sale, conveyance, or disposition is made to the highest
responsible bidder, as is determined by the city commission, or the off-street parking
board, or the downtown development authority hoard of directors. The city
commission or the off-street parking board or the downtown development authority
board of directors, as appropriate, may by resolution waive the requirement of sale,
conveyance, or disposition to the highest responsible bidder by means of the
following procedure: the city manager, the director of the off-street parking authority,
or the director of the downtown development authority, as appropriate, must maize a
written finding that a valid emergency exists, which finding must be ratified by an
affirmative vote of two-thirds of the city commission after a property advertised public
hearing. When the requirement of sale, conveyance, or disposition to the highest
responsible bidder is waived, other procurement methods as may be prescribed by
ordinance shall be followed. The city or the department of off-street parking or the
downtown development authority shall have the power to reject all offers. All
invitations for bids, requests for proposals, or other solicitations shall contain a
reservation of the foregoing right to reject all offers. This section shall not apply to
transfers to the United States or any department or agency thereof, to the State of
Florida, or to any political subdivision or agency thereof_
(c)
Submitted into t1vW-CitY
r�cor�Qr%m s)
q llClerk
Safeguards.
(1)
All persons contracting with the city under this section shall be required to
certify their compliance with the antitrust laws of the United States and of the
State of Florida and to hold harmless, defend, and indemnify the city for any
noncompliance by said persons with the above taws.
(2)
All persons contracting with the city under this section shall be obligated to
pay whichever is the greater of the following: (i) all applicable ad valorem
taxes that are lawfully assessed against the property involved or (ii) an
amount to be paid to the city equal to what the ad valorem taxes would be if
the property were privately owned and used for a profit-making purpose.
Such taxes shall not be credited against any revenues accruing to the city
under any contract that may be awarded under this section_
(3)
(4)
Any proposal by a potential bidder or contractor that contemplates more than
the estimated extent of the city's proposed commitment of funds, property, or
services shall be ineligible for acceptance by the city commission.
Any substantial increase In the city's commitment of funds, property, or
services, or any material alteration of any contract awarded under subsection
(c) of this section shall entitle the city commission to terminate the contract _
after a public hearing_ Prior to such public hearing, the city commission shall
seek and obtain a report from the city manager and from the review
committee that evaluated the proposals for the project, concerning the
advisability of exercising that right.
(Char. Amend. No. 3, 1'f-6-79; 01-cl. rvo. 9507, § 1. 10-2MV11-2-82: Rcs,'Vo-,96-656,§ 2.a, 7 -24.13W11-
4 -SSS: Res. No. 87-6178; § 2ra). 7-9-87,'1 T-3-87, Res. No. J? -8,?, 9 2. S -9-4t; Res. No. e1-843, § 2, 8-9-0 11
,Editor's note—
Fees. No. 01-843, § 2, adopted August 9, 2001, amended ti 28-A in its entirety to read as
herein set out. Formerly, § 29-A pertained to contracts for personal property, public
works or improvements, unified development projects, and real property, safeguards.
The historical notation has been retained for reference purposes.
Orta. No. 9489, adopted by the commission on Sept. 17, 5982, set forth Charter
Amendment No. 1 for approvallrejection at election on Nov. 2, 1982. On Oct. 28,
1982, Ord. No. 9507 amended the language of subsections (a) and (c) Of-§ 53 as
proposed by Ord_ No. 9489. The election was to approve the language of Charter
Amendment No. 1. as amended by Ord. No, 9507. Subsequently, in light of Charter
Submitted into the pubo
record,for 'item s) +3
on City Clerk
Amendment No. 2 of Nov. 3, 1987, the city attorney directed the codifier to delete
paragraph (ii) of subsection (d) as superseded by § 29-B.
Case law reference—Fol, cass deraded prior to enactment by Cbader Rmendrment Ab. 3 of 1579 of a
competitive -bidding requirement fordispvs$gipn or city property, see Mahoney v- Gh"s, 64 5o. 2d 926.
Said case held that compet,"We bk ng u not required to lease city real estate_
Material variance between plans bid upor arfd plass sfrbmitted and adopted renders contract +loid,
Glatstein V. City of ffam% 398 So, 2d 1005.
Sec. 29-B- City -owned property sale or (ease—Generally:;
Notwithstanding any provision to the contrary contained in this Charter or the City
Code., and except as provided below, the city commission is prohibited from favorably
considering any sale or lease of property owned by the city unless there is a return to the city
of fair market value under such proposed sale or lease. The city commission is also
prohibited from favorably considering any sale or lease of city -owned property unless (a)
there shall have been, prior to the date of the city commission's consideration of such sale or
lease, an advertisement soliciting proposals for said sale or lease published in a daily
newspaper of general paid circulation in the city, allowing not less then ninety (90) days for
the city's receipt of proposals from prospective purchasers or lessees, said advertisement to
be no less than one-fourth (%) page and the headline in the advertisement to be in a type no
smaller than 18 -point and, (b) except as provided below, there shall have been at least three
(3) written proposals received from prospective purchasers or lessees; however, if there are
less than three (3) such proposals received and if the guaranteed return under the proposal
whose acceptance is being considered is equal to fair market value the city commission
determines that the contemplated sale or lease will be in the city's best interest then, subject
to the approval of a majority of the votes cast by the electorate at a referendum, the sale or
lease may be consummated. In the case of city -owned property which is not waterfront,
when the value of such property to be sold or leased (individual leaseholds within a single
city -owned property shall not be considered as a sing ie pard of property for such valuation
purposes) is five hundred thousand dollars ($540,000) or less, based on an appraisal
performed by a state -certified appraiser, the city commission, by a 4les affirmative vote,
may sell or lease said city -owned property after compliance with the advertisement
requirements set forth alcove but without the necessity of a referendum.
The above provisions and any other city requirements for competitive bidding shall
not apply when;
{a)
conveying property to implement housing programs or projects which are
intended to benefit persons or households with low andlor moderate income,
M
Submitted into the public
recor for item )LN.
on ' City Clerk
the criteria of which to be provided for by federal and/or state law or by the
city commission,
conveying property to implement projects authorized under the Florida
Community Redevelopment Act of 1969, as amended;
conveying property to implement projects of any governmental agency nr
instrumentality;
disposing of property acquired as a result of foreclosure;
disposing of property acquired in connection with delinquent taxes which
properties were conveyed to the city by the Miami -Dade board of county
commissioners under the provisions of Section 197,592 Florida Statutes, as
amended; and
disposing of non -waterfront property to the owner of an adjacent property
when the subject property is 7,500 square feet or less or the subject non -
waterfront property is non -buildable.
Notwithstanding anything herein to the contrary, the city commission, by a 415ths
affirmative vote, may:
(a)
(b)
grant a lessee of city -owned property a one-time extension during the last
five years of its lease, without the necessity of a referendum, for the purpose
of funding additional capital improvements. The extended term shalt not
exceed twenty-five percent of the original term or ten years, whichever is
less. The granting of such an extension is subject to the lessee paying fair
market rent as determined by the city at the time of such extension and not
being in default of its lease with the city nor in arrearage of any monies due
the city; and
amend the Lease Agreement between the City of Miami and Biscayne Bay
Restaurant Corp., dfbla Rusty Pelican, dated February 13, 1970, as
amended, to (i) extend the lease for an additional term of fifteen (15) years,
with the option to renew for two (2) additional five (5) year periods, (ii)
increase the amount of the minimum guarantee to the City to at least
$360,000 per lease year effective upon execution of the lease amendment,
and (iii) require Rusty Pelican to complete capital iinprovernents to the
Submitted into the public
record for item(s) U.5
on City Clerk
property, including a public baywalk, in the amount of not less than $3 Million,
within twenty-four (24) months of the effective date of the lease amendment
{,Res. No, 87-67R § 2(a), 7-9-87/17,3-87• Res, Na. 01-841, § 2, 8-9-01: Res. Aka. 01-843. 4 e, 6-9-01; Res.
No. 03.855, § 2. 7-24-03)
f�.
Sec. 29-C. Same Watson Island. u
Notwithstanding any provision to the contrary contained in the Charter or Code of the
City of Miami, no sale, conveyance, lease or management agreement may be entered into
for the management, occupancy or use of the area known as Watson Island for periods
greater than one year unless (1) there shall have been, prior to the date of the city
commission's consideration of such sale, lease, management agreernent, an advertisement
soliciting proposals for said sale, lease or management agreement~ published in a daily
newspaper of general paid circulation in the city, allowing not less than ninety (90) days for
the city's receipt of proposals from prospective purchasers or lessees, said advertisement to
be no less than one-fourth page and the headline in the advertisement to be in a type no
smaller than 18 -point; and, (2) the proposed transaction be approved by a majority of the
votes cast by the electorate at a referendum_ The procedures for selection of proposals shall
be those provlded by Charter section 29-A(c) or (d) as appropriate andlor by applicable City
Code provisions. Nothing herein shall affect the existing rights or privileges, if any, of any
lessee, permittee, licensee or concessionaire currently situated in said area; however, any
enlargement; amendment, transfer, or increase in those rights or privileges as may be in
existence at the time this amendment is adopted shall require compliance with the provisions
of this amendment. This Charter Amendment shall not affect the city's use or occupancy of
the area, nor shall it apply to contracts for the construction of any city facilities or
improvements in the area; further, nothing contained herein shall apply to projects of any
governmental agency or instrumentality.
The city commission, by a 4/6`15 affirmative vote, may authorize issuance of a license
or concession agreement for a period not exceeding one (1) year, without the necessity of a
referendum, for the use of Watson Island.
(Res. No. 87-6777 § 2f&), 7-9-87/1167; Res. No. 01-847, § 2, 8-9-01; Rea. Na 01-843: § 2; a -9-01j
Sec, 29-a. City -owned waterfront property; leases with nonprofit organizations;
authorization to waive competitive bidding and referendum requirements; terms
t
of lease-'
Notwithstanding any provision to the contrary contained in the Charter or Code of the
City of Miami, the city commission is authorized to waive all competitive bidding and
referendum requirements, if applicable, when entering into a lease or extending an existing
lease with a nonprofit, noncommercial, water -dependent organization which provides or
Submitted into the public
record for item{s} .5
on City Clerk
seeks to provide marine -recreational services and/or activities to the community at any city -
owned waterfront property, provided all of the following conditions are met
(A)
The terms of the lease allow reasonable public access to the water and
reasonable public use of the property, and complies with all waterfront
setback and view -corridor requirements set forth in the Charter and Code;
The use is authorized under the then existing comprehensive plan of the city,
The terms of the lease require that the property be used for public purposes
only;
The terms of the lease result in a return to the city based on fair market value
pursuant to two M independent appraisals, and
The terms of the lease comply with all requirements pertaining to
membership prescribed by ordinance for organizations using city facilities.
{firs. No. 93-485, § 2. 7-22-93: Rigs. No, 01,141, § 2,.3-9-01. Res. Na. 07-$43, § 2. 8-9-01;
Submitted into the public .1
rec:d!
�,-rr
�N,
� J
on City Clean
EXHIBIT B
CITY CHARTER: SUBPART A
Sec. 3. Powers.
Submitted into the public
record foci tern{s , 3
on City Clerk
The City of Miami shall have the governmental, corporate, and proprietary
powers to enable it to conduct municipal government, perform municipal
functions and render municipal services and may exercise any power for
municipal purposes, except when expressly prohibited by law.
The city shall have the extraterritorial powers granted to the city by general and
special law and including Laws of Florida, ch. 10847 (1925), as amended.
The City of Miami shall have power to:
(a)—(e). [Reserved.]
(f) Acquisition and disposition of property and services.
(i) To acquire by purchase, gift, devise, condemnation or otherwise,
real or personal property or any estate or interest therein, inside or
outside the city, for any of the purposes of the city; and to improve,
sell, lease, mortgage, pledge, or otherwise dispose of such property
or any part thereof.
(ii) To acquire or dispose of services inside or outside the city, by
purchase, gift, or otherwise for any purposes of the city_
(iii) To lease to or contract with entities for the management of any of
the city's waterfront property, but only in compliance with the other
requirements of this charter and on condition that:
(A) the terms of the contract allow reasonable public access to
the water and reasonable public use of the property, and
comply with other charter waterfront setback and view -
corridor requirements; and
(B) the terms of the contract result in a fair return to the city
based on two independent appraisals; and
Submitted into the pubo+�
recordfor it s)
on -1City Clerk
(C) the use is authorized under the then existing master pian of
the city;
(D) the procurement methods prescribed by ordinances are
observed;
(E) the contract does not exceed five years and does not contain
an automatic renewal or termination penalty.
Any such lease or management agreement or proposed
extension or modification of an existing such lease or
management agreement which does not comply with each of
the above conditions shall not be valid unless it has first
been approved by a majority of the voters of the city.
Nothing herein contained shall in any manner affect or apply
to any project the financing of which has been provided by
the authorization of bonds to be issued by the city.
(g) --(I). [Reserved.]
(m) Harbor and shipping facilities: To establish, construct, maintain,
and operate, both inside and outside the city, public landings,
wharves, docks, and warehouses; to dredge or deepen harbors
and rivers, or any branch or portion thereof; to install turning
basins, build jetties, and otherwise improve the harbor and
shipping facilities of the city, inside and outside the city and inside
and outside harbor lines where such improvements outside of
harbor lines are approved by the United States Government or its
proper agencies; to acquire by condemnation or otherwise all
lands, riparian, and other rights and easements [necessary for the
purposes aforesaid; to lay and collect] reasonable duties or fees
on vessels corning through or using said landings, wharves, docks
or warehouses; to regulate the manner of using other landings,
wharves, docks, and warehouses within the city; to prescribe and
enforce reasonable rules and regulations for the protection and
use of said property; to advance to the Government of the United
States, with or without interest, funds to be expended in harbor
improvements to be made by the government in or near the city, or
directly affecting the city within Miami Harbor and the approaches
thereto, if such work has been duly authorized by laws of the
Submitted into the public
record for item(s}
on V City Clerk
United States; and to issue bonds or notes to obtain funds for such
advances.
(n)—(Il). [Reserved.]
(mm) Building and zoning:
@ To provide by ordinance building, planning, and zoning regulations
and restrictions governing the height, number of stories, method of
construction, type, and size of buildings and other structures; the
percentage and portion of the lot or site that may be occupied, the
size of the front, rear, and side yards, courts, and other open
spaces; the location, use of buildings, structures, and land for trade,
industry, residences, apartment houses, and other purposes; and
the widening and future widening of streets in zoned street areas
that the city may establish. Such regulations may provide that a
board of appeals or the city commission may determine and vary
the application of building, planning, or zoning ordinances in
harmony with their general purpose and intent.
(ii) In order to preserve the city's natural scenic beauty, to guarantee
open spaces, and to protect the waterfront, anything in this Charter
or the ordinances of the city to the contrary notwithstanding, neither
the city nor any of its agencies shall issue building permits for any
surface parking or enclosed structures located on Biscayne Bay or
the Miami River from its mouth to the N.W. 5th Street Bridge,
(A) which are not set back at least 50 feet from the seawall
(where the depth of the lot is less than 200 feet, the setback
shall be at least 25 percent of the lot depth), and
(B) which do not have average side yards equal in aggregate to
at least 25 percent of the water frontage of each lot based on
average lot width.
(iii) The above setback and side -yard requirements may be modified by
the city commission after design and site -pian review and public
hearing only if the city commission determines that the
modifications requested provide public benefits such as direct
public access, public walkways, plaza dedications, covered parking
up to the floodplain level, or comparable benefits which promote a
Submitted into the public
record for itern(s)
on �►j City CIerk
better urban environment and public advantages, or which preserve
natural features. Wherever setback, side -yard, or site -plan review
requirements of zoning ordinances are greater than the foregoing
requirements, such greater requirements shall govern.
(iv) These requirements shall not apply to docks and appurtenant
structures, single-family residences and appurtenant structures,
and waterfront industrial uses along the Miami River and at the Port
of Miami. Nothing herein contained shall in any manner affect or
apply to: the City of Miami/University of Miami James L. Knight
International Center and hotel facility, including all improvements
thereon, or to lands and projects which the city commission has
approved prior to September 18, 1979, by development order
pursuant to F.S. ch. 380 of a planned area development pursuant
to article XXI-1, City of Miami Comprehensive Zoning ordinance or
which have received site and development plan approval, including
Plaza Venetia, Phase fl, Resolution No. 72-113, April 20, 1972;
Resolution No. 72-114, April' 20, 1972, and Resolution No. 72-416,
July 20, 1972.
(Res. No. 01-841. § 2.. 8-9-01; Res. No. 01-843; § 2, 8-9-01)
Editors note—
The department of neighborhood rehabilitation of the city and all functions
involved therein were abolished pursuant to Ord. No. 7576, § 1, adopted July 17,
1957, and effective on the date of transfer of said department to Dade County. At
the direction of the city, § 3(vv), added to the charter by Char. Amend. No. 2,
effective Jan. 1, 1963, is not set forth herein.
Submitted into the public
record. for item(s)
on City Clerk
EXHIBIT C
Homestead -Miami Speedway, LLC v. City of Miami, 828 So.2d 491 (2002)
27 Fla. L. Weekly D2143
828 80.2d 411
District Court of Appeal of Florida,
Third District.
HOMESTEAD—MIAMI SPEEDWAY, )'.IAC.,
Appellant,
CITY OF MIAMI, etc., et al., Appellees.
Nos. 3D02 -15o6, 3Do2--811, 3Do2--814.
Sept. 30, 2002.
Synopsis
Competitor brought action against city, alleging city could
not enter into agreement with company planning to build
racetrack on waterfront property without following
competitive bid procedures applicable to leases and
alleging city violated the Sunshine Law. Company
intervened. The Circuit Court, Miami—Dade County,
Michael Gendcn_ J.. entered summary Final judgment in
favor of competitor as to competitive bidding claim, but
found cite did not violate Sunshine Laze. All parties
appealed in consolidated appeal. 'rhe District Court of
Appeal, Ramirez, J., held that: ( 1) agreement was lease.
not license and city was obligated to Iollow competitive
bid procedures applicable to leases. but (2) city complied
with Sunshine Lay.
A ft i rmed in part and reversed i n part.
West I leadnotes (a)
Fal Licenses
l.casc
iMunicipal Corporations
- Requisites and validity of conveyance or
dispcosilion
Agreement between city and compam . allowing
conipan) to use watertront pr opert5 I -or motor
cal' races_ Was a lease. not a license_ as It «'as
assienable and could not be revoked without
notice ol'defaull and [lie opportunity to CUre. and
gave Company CNC1Usivc use of property for at
least three days each \ car for 15 years. and thus
city was oblieated to IUllov, competitive bid
Submitted into the public
record for item s)
on U City Clerk
procedures before conveying lease to company.
1 Cases that cite this headnote
ISI Licenses
Transfer of rights
Licenses
A,icenses Revocable
A license is revocable at will and cannot be
assigned.
I Cases that cite this headnote
131 Injunction
: Issues_ proof: and variance
In competitors action against city alleging city
could not enter into agreement with company
planning to build racetrack on waterfront
properly Without following competitive bid
procedures applicable to leases. trial court could
not order city to comply with all applicable
competitive bid procedures and give competitor
full and equal opportunity to submit competing
bid, since such relief was neither pled nor
requested by competitor.
Cases that cite this hcadnote
ISI Municipal Corporations
----Rules of procedure and conduct of buSinCsS
('i(\ did not violate Sunshine Law. requiring
public meetings ol'ano board or commission of
any municipal corporation at which olticial acts
were taken. Own it negotiated contract to allow
races at Naterfront park, because there \ycrc
several publicly -noticed meetings regarding
proposed agreement in which there vas public
participation and debate: Sunshine La\� did not
require that all negotiations about contract be
Homestead -Miami Speedway, LLC v. City of Miami, 828 So.2d 411 (2002)
27 Fla. L. Weekly D2143 µ
open to the public. West s F.S.A. § 286.011(1)
Cases that cite this headnote
Attorneys and Law Firms
*412 Benny Nachwalter, and Kevin J. Murray, and
'Phomas H. Seymour, and Robert D.W. Landon, ill.
Miami. for appellant.
Alejandro Vilarello, City Attorney, and Henry Hunnefeld,
Assistant City Attorney, and Myrna D. Bricker, Assistant
City Attorney, and Erica Wright, Assistant City Attorney;
and Lauri Waldman Ross, and 'Theresa L. Girten;
Greenberg Trauri. and Alan T. Dimond, and Elliot H.
Scherkcr, and Paul C. Savage, Miami, for appellees.
Before FLETCHER. and RAMIREZ, JJ., and NESBITT,
Senior Judge.
Opinion
RAM IREL. J.
In this consolidated appeal. the City of Miami and
intervenor Racewvorks I.1.0 appeal the entry of summary
final judgment in savor of Flumestcad—Miami Specdwway
LLC (" Specdwway") in which the trial court held that tite
original agreement between Racewworks and the City of
Miami )vas void and issued an in prohibiting any
races rrom going forward under that agreement.'
Speedway appeals from a stimMar} final judgment
entered in the Cil_v's favor in which the trial court held
that the City did not violate the Sunshine Law in its
negotiations with Speed)wa\'. We affirm the trial court's
determination that the agreement was a lease, not a
license. and as such should have been competitively bid
as required by the Cite Charter. We also affirm the trial
court's determination that there were no Sunshine Law
violations.
Ill Izl
The original agreement between the City and
Racewvorks %wits not a license *413 because a license is
revocable at w+ill and cannot be assigned. See Oweloor°
:1?erlio rr1 Pensacola. Inc. v- Simla Rosa Cmnl),. 554
So.2d 611 (Fla. Ist DCA I989) (county's granting
exclusive: ri-ht to use right or %wav ,vas a lease subject to
compctiIkc bidding procedures) ..';ce also Randall hulrr.s.,
Inc. v. Lee ['oust}'. 307 So.2d 499 (Fla. 2d DCA 1975)
Submitted into the public
record for item(s)
City Clerk
(license agreement which gave taxi company exclusive
use of airport parking spaces was a lease which required
competitive bidding). The agreement at issue here was
assignable and could not be revoked without notice of
default and the opportunity to cure. Additionally,
Raceworks was given the exclusive use of Bayfront Park
for at least three days each year for fifteen years.
Since the agreement between the City and Raceivorks was
a lease, it fell within the pur'v'iew of section 3(0(iii) and
section 29—A(d) of the City Charter.' The pre -amendment
language of section 3(f)(iii) required competitive bidding
for the commercial use of any of the City's waterfront
property' Section 29—A(d) requires competitive bidding
for any agreement which conveys any interest the City
has in waterrront property. The City leases the )waterfront
from the t'ederal government. The agreement at issue here
gave Raceww•orks in effect a sub -lease for Bayfront Park.
part of the City's interest in waterfront property. Thus. the
original agreement to hold races in Bayfront Park should
have been the result of competitive bids.
131 The trial court therefore correctly held that the City was
required to follow competitive bid procedures and that
any contract for the use of the City's wvatertront proper[}
entered into without complying with those procedures
was void. However, we agree with the City, that paragraph
5 or the March 4, 2002 order must be deleted because it
was neither pled nor requested by Speedway, See
Crtrrlinal lm: Group, Inc. v. Giles, 813 So.2d 262, 263
(Fla- 4th DCA 2002) (" [Clourts are not authorized to
grant relief not requested in the pleadings.")
NI Florida's Sunshine Lawn. section 286.01 1(1). Florida
Statutes. provides that:
All meetings of any board or
commission of any ... municipal
corporation. or political
subdivision. except as otherwise
provided in the Constitution. at
which official acts are to be taken
are declared to be public meetings
Open to the public at all times. and
no resolution. rule. or formal action
shall be considered binding except
as taken or made at such meeting.
The board or commission must
provide reasonable notice of' all
such meetings.
Specd%va} argues that the Cite violated the Sunshine Laww
because it held no public hearing on the final negotiated
contract *414 before tine City voted to approve the
Homestead -Miami Speedway, LLC v. City of Miami, 828 So.2d 411 (2002)
27 Fla. L. Weekly D2143
proposed contract at the August 9, 2001 meeting, and
there was no cure by the City of this violation. The record
reflects, however, that there were meetings regarding the
proposed agreement between the City Manager and
Raceworks in which there was public participation and
debate. The publicly noticed meetings were held on May
24, 2001, July 10, 2001, July 26, 2441, August 9, 200E
and September 25, 2001, and involved a discussion of the
terms of the proposed agreement. At the July 10 and July
26 meetings, there was specific public comment regarding
the proposed agreement. Furthermore, Speedway has not
relied upon any case which requires that "all" such
negotiations be open to the public so as not to violate the
Sunshine Law. We thus find that the public was involved
in the decision making process that resulted in the [-trial
negotiated contract of the parties and Speedway's
argument lacks merit.
Footnotes
submitted into the public 3
record for item's) City Clerk
on
This appeal was further complicated by a subsequent
agreement between the parties negotiated ager the trial
court had entered summary judgment. despite this new
agreement, the City and Raceworks continue to argue the
validity of the old agreement. By our opinion today, we
do not address whether the subsequent agreement
between the City and Raceworks was also subject to
competitive bidding because the trial court has never
ruled on the legality of the new agreement.
Affirmed in part, reversed in part.
All Citations
828 So.2d 411, 27 Fla. L. Weekly 172143
Order of March 4, 2002:
1. Speedway has standing to assert its claims and the contract is a lease.
2. Because the contract is a lease, the City was and is required to follow competitive bid procedures applicable to
leases, and the City's failure to do so renders the contract void as a matter of law.
3. Alternatively, even if the contract were not a lease, the City was required to follow competitive bid procedures
pursuant to the provision of City Charter § 3(f)(iii). The City's admitted failure to follow any competitive bid
procedures renders the contract void as a matter of law.
4. The contract between the City and Raceworks, which is acknowledged to have been entered into without the City
having complied with any of the applicable competitive raid procedures, is hereby declared null, void and of no further
legal effect.
5. The City is hereby directed to comply with all applicable competitive bid procedures, and thereby to give
Speedway a full and equal opportunity to submit a competing bid, and to have its bid fully and equally considered,
before entering into any lease, or any contract for use of the City's waterfront property, for motor car races.
6. The City and Raceworks' cross-motions for summary judgment on Counts V and VI of the Second Amended
Complaint are denied.
We do, however, reverse the language contained in paragraph 5 of the March 4, 2002 order as it exceeded the relief
requested in the pleadings.
Section 29—A(d) of the City Charter states: Js]ales and leases of real property; prohibition. Except as otherwise
provided in this charter section, there shall be no sale, conveyance, or disposition of any interest, including any
leasehold, in real property owned by the city ... unless there has been prior public notice and a prior opportunity given
to the public to compete for said real property or interest."
Section § 3(f)(iii) of the City Charter states: "[t]he City of Miami shall have power ... [t]o lease to or contract with
private firms or persons for the commercial use or management of any of the city's waterfront property, but only in
compliance with the other requirements of this charter and on condition that ... (D) the procurement methods
prescribed by ordinances are observed. Any such lease or management agreement ... which does not comply with
each of the above conditions shall not be valid unless it has first been approved by a majority of the voters of the
city."
The City Charter was amended by referendum on November 6, 2001 to delete the words "commercial use" from
section 3(f)(iii).
Submitted into the public
Homestead-Miami Speedway, LLC v. City of Miami, $28 Sv.2d 419 (200 2) on city Cie*
27 Fla. L. Weekly D2i43
End of Docurnerrt rD 2018 Thornsorl Reuters. No claim to original U.S. Government Works.