Commissioner Alex Fernandez placed a referral to the Finance and Economic Resiliency Committee (FERC) on the January 31, 2024, City Commission Meeting agenda to review and discuss the proposal to host the Miami Beach Music Festival Concert in March 2025. The referral also asks for the proposal to be presented to key stakeholders such as the Ocean Drive Association, the Art Deco Neighborhood Association, Sobe Safe, and other potentially interested parties such as the South of Fifth Neighborhood Association, the Flamingo Park Neighborhood Association, the Washington Avenue BID, and the Lincoln Road BID.

The event is being proposed by Gregory Elias in coordination with Live Nation Europe and seeks to transform the City's image in March.

Item Timeline:

This item was initially heard at the February 28, 2020, FERC meeting, and members recommended preliminary approval of the event concept subject to the Event Organizer's submission of a complete sponsorship proposal with event details, a non-refundable deposit in favor of the City, and other negotiated terms subject to the approval of the City Commission. The item was scheduled to be heard at the March 18, 2020, Commission meeting but was deferred as the Pandemic began.

Subsequently, Commissioner Kristen Rosen Gonzalez sponsored an item co-sponsored by Commissioner Alex Fernandez to refer to the Public Safety and Neighborhood Quality of Life Committee and the Finance and Economic Resiliency Committee to discuss the Miami Beach Music Festival. The item was heard at the September 21, 2022, PSNQL meeting and a favorable recommendation was received, acknowledging that it would be heard at the next FERC meeting.

At the November 16, 2022, City Commission meeting, the Mayor and Commission discussed the details of the Miami Beach Music Festival sponsorship request and the event site plan. The Commission accepted the Finance and Economic Resiliency Committee's recommendation to approve the special event sponsorship for the Miami Beach Music Festival for March of 2024, contingent on specific details, terms, and conditions set forth by the City Commission as follows:

1. Confirm the event date in March 2024

2. Succession Plan

3. The activation of Ocean Drive in the Site Plan

4. Coordinate with the Goodwood Festival on the Load-In Overlap

The Administration presented an update to the Mayor and City Commission at the December 14, 2022, Commission meeting, as requested at the November 16, 2022, City Commission meeting. Upon further vetting of the event site plan for the Miami Beach Music Festival, submitted on November 16, 2022, and the consideration of another large-scale event, the Goodwood Festival of Speed, in the proposed footprint in Lummus Park, at that time, the Administration could not recommend the Miami Beach Music Festival during the proposed time frame. The Administration recommended ongoing conversations with the event organizers to identify a mutually agreed-upon date in the event calendar for the activation in Lummus Park.

Subsequently, the event organizers advised the Administration on January 10, 2023, their decision not to move forward with the event in 2024 due to scheduling conflicts.

The proposed Miami Beach Music Festival Concert was previously scheduled for March 2024. However, it was postponed due to scheduling conflicts. The event received unanimous approval (7-0) from the previous City Commission and was recommended by the Finance and Economic Resiliency Committee in 2023. It is proposed to be a culturally diverse, family-friendly, and high-level entertainment event spanning three days, with free admission for seven hundred (700) residents on the first day.

Key Considerations:

• The event is anticipated to have a significant positive impact on Miami Beach, potentially revitalizing the third weekend in March as a peak season for international travelers.
• Approximately thirty (30) performing acts are being planned, requiring advanced booking and a fifty percent (50%) non-refundable deposit.
• Key local stakeholders, including the Miami Beach Chamber of Commerce and the Miami Beach Hotel Association, have previously supported this initiative.
• It has been presented that the event organizer, Gregory Elias is prepared to invest $13.6 million in the event, emphasizing the sale and potential impact of the festival.
• Proposal includes 700 free General Admission entry passes for Residents on the first night – Thursday.
  
  

The proposal submitted by the event organizers for the 2025 event includes the following requests:

• Commission approval for a five-year agreement to produce the festival on the third weekend of March 2025 (preferably by March 2024), with a five-year extension option for the producers if they meet the agreed upon criteria during the initial five-year period.
• City to waive all square footage fees East of the seawall.
  All City services to be covered by the City outside of the event footprint site considering the tremendous investment and risk that the producers are willing to undertake.
• Commitment to provide the designated area, which is to include both the concert area, as well as back of house and restrooms, etc., from 6 to the border of 12 street. Initially, however, this area can be modified/expanded as necessary in future years with the City permission.
• Commitment from the City to promote to the best of their ability the festival through the regular channels at no additional expense, including the Greater Miami Convention and Visitors Bureau.
• Criteria for Five (5) year renewal option
  - 200,000 in ticket sales over the first five years
  - Over $100 Million economic impact to the City of Miami Beach over the first five (5) years of the concert over a 7-day period each year during concert weekend
  - Economic impact will be calculated in the same formula used by the Greater Miami Convention and Visitors Bureau for major events.

Financial Impact:

• City services waivers are approximately $235,162.00
• Square footage fee waivers are approximately $600-650,000.00