A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE FINANCE AND CITYWIDE PROJECTS COMMITTEE, AND WAIVING, BY 5/7TH VOTE, THE COMPETITIVE BIDDING REQUIREMENT IN SECTION 82-39(A) OF THE CITY CODE, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE CITY, AND FOLLOWING A DULY ADVERTISED PUBLIC HEARING, APPROVING, IN SUBSTANTIAL FORM, A NEW LEASE BETWEEN THE CITY AND MDGLCC FOUNDATION, INC. D/B/A MIAMI-DADE GAY & LESBIAN CHAMBER OF COMMERCE (TENANT), FOR APPROXIMATELY 2,543 SQUARE FEET OF OFFICE SPACE, LOCATED IN HISTORIC CITY HALL, 1130 WASHINGTON AVENUE, 1ST FLOOR NORTH, MIAMI BEACH, FLORIDA, FOR A PERIOD OF THREE (3) YEARS, COMMENCING APRIL 1, 2019 AND ENDING MARCH 31, 2022, WITH TWO (2) ADDITIONAL RENEWAL OPTIONS, FOR THREE (3) YEARS EACH, AT THE CITY MANAGER'S SOLE DISCRETION; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE THE FINAL NEGOTIATED LEASE.

Adopt the Resolution.

BACKGROUND

On March 10, 2010, the Mayor and City Commission passed Resolution No. 2010-27354, approving a Lease Agreement between the City and MDGLCC Foundation, Inc., d/b/a Miami-Dade Gay & Lesbian Chamber of Commerce (“MDGLCC” or “Tenant”), for approximately 2,543 square feet of City-owned property, located on the first floor of Historic City Hall, 1130 Washington Avenue. The original lease had a term of three (3) years, commencing on April 1, 2010, with two (2) additional three (3) year renewal terms, the final of which is set to expire March 31, 2019.

On March 13, 2013, the Mayor and City Commission adopted Resolution No. 2013-28153, accepting the recommendation of the Finance and Citywide Projects Committee (FCWPC) and approving an amendment to the Lease Agreement (Amendment). At the request of the tenant, the Amendment implemented a reduction in rent. The City Commission found this request reasonable, not only because of persistent maintenance and repair issues at the historic building, but the rent reduction served to offset the Tenant’s costs associated with providing enhanced services. In addition to lowering annual rent from $50,860 to $30,000 per year, the Amendment eliminated MDGLCC’s obligation to pay building operating expenses and building insurance as additional rent and eliminated annual three (3%) percent rent escalations. At the same time, MDGLCC expanded operating hours from five to seven days/week, adding staff members and additional public services.

MDGLCC is a nonprofit, 501(c)(3) organization comprising over 1,200 members and 600 businesses. MDGLCC has requested an early extension of its current lease, generally under the same terms and conditions, including fixed rent without annual increases. MDGLCC’s nonprofit status, and significant contributions to the community, contributed to the City’s renegotiation of lower rent in 2013.  MDGLCC has demonstrated a strong commitment to the building and to the community, and has made improvements to the space that have resulted in an attractive, functional office. The Tenant’s use of the premises as a chamber of commerce and visitor center provides a free public amenity while promoting diversity, tourism, and local commercial interests. 

MDGLCC has added several additional services since the lease was amended in 2013.  Some noteworthy additions include SAFESPACE location, trans Safespace LOCATION, GoGayMiami.com, Smart Recovery (Weekly), Crystal Meth Anonymous (Weekly), Tango (Weekly), Yoga (Weekly), HIV/AIDS/STD Testing (Daily) and the Holigay Toy Drive.  A complete list of the programming and public services provided to the community is attached hereto as Attachment A (Programming and Public Services).

The proposed Lease Agreement, which contains basic terms and conditions generally consistent with the existing Lease, with an enhanced schedule of public services, is attached hereto as Attachment B (Draft Lease Agreement):

Basic Lease Terms

Tenant:  MDGLCC Foundation, Inc., d/b/a Miami-Dade Gay & Lesbian Chamber of Commerce

Demised Premises:  2,543 SF on north side of 1^st Floor of Historic City Hall, 1130 Washington Avenue

Use:  Office and retail space, including LGBT visitor center

Term:  Three (3) years, commencing April 1, 2019 and ending on March 31, 2022

Renewal Options:  Two (2) additional three (3) year renewal terms, subject to the City Manager’s approval

Rent:  $30,000 per year ($2,500 per month)

Days/Hours:  Monday – Friday 9 AM – 7 PM, Weekends 11 AM – 4 PM

Utilities:  Tenant is solely responsible for all utilities including electric, janitorial, internet, and telephone.

Maintenance and Repairs:  Tenant is responsible for day-to-day maintenance and repairs, whereas the City is responsible for maintenance of the roof, building exterior, all heating/ventilation/air conditioning (HVAC) equipment servicing the Demised Premises, the structural electrical and plumbing (other than plumbing surrounding any sink(s) and/or toilet(s) within the Demised Premises), the common areas, and the chilled water supply system.

Finance & Citywide Projects Committee

This matter was presented at the September 14, 2018 FCWPC meeting.  The FCWPC recommended in favor of extending the lease between the City and MDGLCC Foundation, Inc., d/b/a Miami-Dade Gay & Lesbian Chamber of Commerce.