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Item C12 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: July 17. 2002 Division: Public Works Bulk Item: Yes X No Department: Facilities Maintenance AGENDA ITEM WORDING: Approval of a Lease Amendment with Conch Cruisers, Inc. concerning Salute Restaurant at Higgs Beach. ITEM BACKGROUND: The Lessee would like to renegotiate certain terms of the current lease agreement which expires on August 11, 2003. Prior to making additional improvements to the property, the Lessee would like extended the lease term for two (2) additional five-year periods; close the restaurant for three weeks each year in order to rest and make repairs; and have the County close the public restrooms at 11 :00 p.m., instead of sunset, in order to alleviate wear and tear on the restaurant restroom. PREVIOUS RELEVANT BOCC ACTION: None on this item. CONTRACT/AGREEMENT CHANGES: Add two (2) additional five-year-terms, allow Lessee to close the restaurant for three weeks each year (between September 16 and October 15), and for the County to close the public restrooms at 11 :00 p.m. instead of sunset each night. STAFF RECOMMENDATIONS: Approval as stated above, and approval to advertise a public hearing to amend Monroe County Code #13.5-3(2)(C) to revise the restroom closing at Higgs Beach at 11 :00 in lieu of sunset. TOTAL COST: N/A BUDGETED: Yes N/A No COST TO COUNTY: N/A REVENUE PRODUCING: Yes ~ No CURRENT AMOUNT PER MONTH $ 6 .204.57 APPROVED BY: County Atty. _ OMBlPurchasing _ Risk Management_ ITEM PREPARED BY: John W. King, Sr. Director, Lower~s Operations DIVISION DIRECTOR APPROVAL: ~ /-- Dent Pier , irector of Public Works ., DOCUMENTATION: Included x To Follow Not Required AGENDA ITEM # (I ~ DISPosmON: MONROE COUNTY BOARD OF COUNTY COMMISSIONERS CONTRACT SUMMARY Contract with: Conch Cruisers, Inc. Contract # Effective Date: July 17, 2002 Expiration Date: August 11, 2003 Contract purpose/Description: To amend the lease ofthe concession/restaurant located at the Clarence S. Higgs Memorial Beach, Key West, FL Contract Manager: Miguel Carbonell 4385 Parks & Rec. Coord. (Name) (Ext.) (Department/Stop #) for BOCC meeting on 07/17/02 Agenda Deadline: 07/02/02 CONTRACT COSTS Total Dollar Value of Contract: $ Revenue producing Budgeted? YesO No 0 Account Codes: Grant: $ County Match: $ Current Year Portion: $ - - - ---- - - - ---- - - - ---- - - - ---- ADDITIONAL COSTS Estimated Ongoing Costs: $_/yr For: (Not included in dollar value above) (eg. maintenance, utilities, janitorial, salaries, etc.) CONTRACT REVIEW Changes Date Out Date In Needed /. j A Revi~ ... I I Division Director 1 {'lID" Y esO NoD (yv (/~ 1 Cj '0 2- Risk Management YesO NoB""'4j,~ 0 ~hv O.M.B./Purchasing -, \5.\ OZ- YesO No~ ~ ' County Attorney '7/ g-f /I 2- YesO Nol6'" ~ Comments: OMS Form Revised 2/27/01 Mep #2 LEASE AMENDMENT (Salute' Restaurant at Higgs Beach.) THIS Amendment is made and entered into this 17th day of July 2002, between the COUNTY OF MONROE and SALUTE RESTAURANT in order to amend the Agreement dated August 12, 1998, (a copy of which is incorporated hereto by reference) as follows: 1. Revise paragraph 3 of the Lease to provide Lessee the option to renew the lease for two additional five (5) year terms; the first to commence, at Lessee's option, on August 12, 2003 (as presently provided in the lease); and the second term to commence, at Lessee's option, on August 12,2008. 2. Revise paragraph 6 (A) of the lease to provide: (1) Lessee shall be entitled to close the restaurant for three (3) weeks, between the dates September 16 and October 15 of each year; and (II) Public restrooms shall be opened at 7:00 a.m. and close at 11 :00 p.m., Monday- Sunday, including holidays, pending change in County Ordinance ff13. 5-3 (2) (C) . 3. In all other respects, the original agreement between the parties dated August 12, 1998, remains in full force and effect. IN WITNESS WHEREOF, the parties have hereunto set their hands and seal, the day and year first written above. (Seal) Attest: DANNY L. KOLHAGE, CLERK BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By: By: Deputy Clerk SALUTE' RESTAURANT Witness By: Witness Title fW <;U.A.N~~J~TTON ~.~ T>- _7;JNJ ~~- !-o. 0;" (. \'~,. \ , .~ 1" ,\,:', C,".}.,' ".' ".' , ...t ,;,,) "', SECTION THREE 1'o'EGOTIATED LEASE AGREEMEI'\T TillS lease, entered into on the 1l1h day of A U~lIst. 1998, by and between the BOA.RD OF COUNTY COM1vilSSIONERS, MONROE COUNTY. FLORIDA (Lessor) and ,Ww.c.b .cruisers. Ine.. Sal Parrinello (Lessee), whose address is J 601 Bahama Drive. Key West, Elorida.33040. The paILies to this lease hereby agree to the following: I, This lease evidences the grants, covenants and agreements mad~ between the paILies with reference to the following described premises and ~s further identified m Exhibll "A", Clarence S, Higgs Memorial Beach, Key West, Florida: includIng exclusive use of all existing facilities, restaurant, bath house, and storage areas, to have the exclusive right to provide and maintain a full servIce concession/restaurant, such as furnish food and beach concession and provide janitorial services to the public rest rooms inclusive of opening and closmg and supplymg paper products at Clarence S. Higgs Memorial Beach and maintain ail equipment necessary for the operation of these facilities, 2. Tho Lwor hereby grants to the Le"" tho oxelu,ivo right and pri"kgo 0; opo",.og and maintaining a fun service concession/restaurant at Clarence S. H;iggs Memorial Beach, Key West, Monroe County, Florida, for a term of five (5) years, said concession/restaurant to be located at the concrete building now situated upon said beach, and in as is condition. - Square footage allocations shall be limited to the interior and enclosed patio area as referenced in Exhibit "A". The Lessee may exercise an option to renew this lease for an additional five (5) years with 3, written consent of the Boar,d of County conunissioners, by giving Lessor written notice of their intention to exercise said option within sixty (60) days previous to the expiration of the original five (5) year term. 4, The Lessee, in consideration of the foregoing rights and privileges, does hereby covenant with the Lessor to pay rental fees as follows: year one (1)..;. Monthly rent $4,583.33 (S55,OOO.00 per year) )SJlLL(WO (2) thru five (5)..;. Monthly rent $4,910.00 (S58,920.00.per year) The contTactlagreement (lease) amount agreed to herein may be adjusted annually in accord;lJ)ce with change in the Consumer Pnce Index (CPI). Natlonal Index for Wage Eamers and Clerical Workers, and shall be based upon the annual average CPI compu\allOn from January 1 through December 3 J of the preV1oL:S year. A Upon executlon of this lease and pnor to the Lessor's dell very of the premIses to Lessee, Lessee shall deliver to the Lessor the sum of S5-083.33., for the fIrst month's rent and damage deposit of S500.00 and an irrevocabie letter of credit from a iocal barJ~ if! the amount of 54,910 for the last month'S rent. Lessor shall not be required to post bond securing said advance rent ordeposit. I, B Ifi." ~t;',l; The (~rsl nlllnln's rent, paid in advance, shail be lor the month of pctober. l22IL Rent shall be due on the first day of each and every month thereafter, rent (. 5, beJJ1g payabk 111 advance during the teml of (;.15 iease. Lessee: may assume occupancy as of August 13, 1 <)<)8 for the pUlVlise 01 coordinating demolltlon and renovation Improvements, conditioned upon hIS full compliance with all tenns of this lease, inclusive of insurance coverage effective as of said date, In addition to the foregoing rental payments, the Lessee covenants and agrees with the Lessor to pay State taxes, if any, and all utility charges, including but not limited to electric, water, sewer, and solid w~ste at saId concession/restaurant, which shall be a result of the operation of the facJlilles granted under this lease, The Lessor reserves the right to tenninate this lease for non-payment of rent by the Lessee for a period of fifteen (15) days or more. In connection with the above demised properties, the Lessor covenants with the Lessee that conditIOned on Lessee's perfonnance and observance of Lessee's covenants herein, Lessee shall have qUIet enjoyment and peaceable possession oj the prenllSes during the tenn of thIS iase. In the eyentthe county elects to maimal:, 11I,cior Improve ItS propertIes 1!1 the VICI!111Y oj the leasehold herein, either by neceSSity, or by chOIce, such actiYlt)' wJll not be conSIdered as a breach of any covenant of this lease, 6. Lessee further covenants and agrees as follows: A. To keep open such concession/restaurant Monday-Sunday, including holidays, from 7 :00.'\J,,1-1 0:00PM, and shall not exceed the established beach hours in as speCl fied m Monroe County Ordinance 13,5-3 (2)(E), , Public rest rooms shall be opened at 7:00AM and closed at sunset, Monday-Sunday, including holidays. 111 accordance WIth Monroe County Ordmance 13 .5-3(2)(C). B. To furnIsh the necessary eqUIpment, furnishing and fixtures needed to operate the concession/restaurant. All moveable equipment and furnishmgs shall remain the property of the Lessee and may be removed from the premises by Lessee at ' the tennmation of this lease agreement, with Lessor's consent: If Lessee fails to remove said moveable equipment or furnishings within ten (10) days after tennmation of this lease, said items shall then become the property of the Lessor. C Lrssee sh311 provlde rull pnitonal servIces for the pubilc rest rooms 1I1cluSlve of pro';:(!:ng all pnlturlal supplies and paper products, janItorial servIce frequency shall be on a dally baSIS to ensure rest rooms are ma1l1tained clean and sanllary. Rest rooms are to be inspected during the regular business day to ensure supplies are available and facility is clean and properly sanitized, D. Lessee shall maintain a City and County Occupational License during the period or this lease, E Lessee agrees to keep the leased premises in a safe, clean, and well-ma1l1tained order 3t no expense to the Lessor. 111is provision is to be monitored by the . Dlrector of Public Facilities Maintenance or his representative, r L.CSSl'l'.})'.: rc:: to operate hiS business In a buslness-'like manner. (,~. \,~ ~~'_.' i (" , ...'. I I: IS .!g:-eed by the parries hereto that Lessee may elect to sub-lease or ass:g:'. the lease Jbie:c::"c:n: only upo:: prcvious written consent ot :hc Board of Cour.:y CO:;::11:ssio:;ers ior \10:1~0C: Cot:!1ty, The termS ofthls agreement shail be bmding on tne r.e:~s, c:,.c.::u:or5, 3..:i::m1Is:,atOrs, sub-lessees and assigns of Lessee, whIch shall n.o' De l.r:rc<:s;,):,a~;y \\.'11 hhe I G s. ] r 1S hereby covenanted, stipulated and agreed by and between the parties hereto th3t there shail. dunng the said demised term, be no mechanic's hens upon the concesslOn,;restaurant or Improvements thereto; in case of any attempt to place 3 mechaniC's lien on premIses, the Lessee must P3Y off the same; and that if pef~]t in payment thereof shall cont1l1ue ior l!'\ll-ry (30) days after written notice, said Lessor shall have the right and pnvllege, at liS Opllon, 10 pay oif the same or any portion of the same, and the amourll so paid, mcludmg expenses, shall, Jtthe option of the said Lessor, be so much addino:1a! rent due from saId Lessee a1 :he: ::ext rent due after such payment, with mterest a: the ra:e estaolished by the Comptro::er \lnder Sec, 55,03, F,S" for the year m whIch the p3)'rr.enr oeca:;;e overdue ~oth::;g :n thiS paragraph is to be read as a waiver or authonzallon by r:1e Co;,;:;\) 0:- ::s constitullOna1 and statutory immunity and right to have its property free 01 S\.1':o i\er:s, 9, Alcohol1c beverages may be sold within the enclosed resta\lrant and palla onl)', upon acquiSltlOn and maintaining proper licenses from local, state, and federal agencies, No carry-out sales of alcoholic beverages is permitted, Sales and consumption of alcohol1c bever3gc:s must cease by 10:30 P.M, 10 [r;:e;.3::-,::1e:1t may be provided only in the e:;::!osec resta-.:ra::t and pa:ro area A.'1)' 1 \ L':SS':~ s[:ai! be responsible for and prOVide a1: ::~e:lses rcq'.llred ':J:, a:: ,0.:,,1, state ~:',d en:e:-:<J::,ment must be acousnc SOfl b3ckgrow;c: :"U5!': a;-,C must .;ca;e ':y :,)30 P\~ !-ecer~; ager.c:es, mciudmg Department of Hea:::;, \2 It :s expressly covenanted bet\veen the parties ~creto that the Lesse.: w::l :iot use, suiier nor permll an)' person to use in any manner whatsoever the said demIsed ?ropeny, nor any pOrtlon thereoi, for purposes calculated to injure the reputation of the premIses or of the nelghbonng property, nor for any purpose or use in VIolation of the laws of the Umted Sta:e" ,;:' of ~~lC State of Florida, or of the ordinances of Monroe County, Flonda and that ~':l' :.,:,,.::: 'x::: ;':ce? and save the Lessor forever harmless from an)' ?enal\)' or dar:1age or -:-.;=""e,: :'or any vlolallon of any sa:a :3\\ s, whet;-;er occasIOned :.y ncgiec: 01 :I:-,C ::0:'-, an\ :OS5, cost, damage and expense anSll1g OUI 01 any :ICCIOCr:t or olher Ll'ss':t' ::' ..: ;;:::: sa:d Lessee will indemn:fy and Sllve a:1d \(eep ~J:;n:esS lne Lc:ssor agalflSt occurrt!lCe, causmg mjury to any person or property whomsoever or whatsoever, and due directly or mdlrectly to the use of the premises, or any part thereof, by the Lessee, 13 It is !-u::<,er agreed that in no case shaJl the Lessor herein be liable, ur:der any express or lrr1piled covenants m this lease agreement, for any damages whatsoever to the Lessee L'eYC!lC tn.e rent reserved by the Lease agreeme:-.t accruing, for the a::l, or breach of '::O\C"2.:-,',, :'\)f ',l'h:::o damages may be sought to ':Je recovered against sa:e Lessor, alie lhat :r. :ilC e\cnt ;<,:0 Lessee shall be ousted from ::-,e ?oSSesslOn of sara ?fO?Cr:y ':J:: raso:; of ..:e:'cc; :~; :::e tide of saId Lessor or saId Lessor's authonty to rn:;,\(e th:s lease '. ". "'" \", ..,.n' """(:. ' :::',', ;"(':;::ncier \r.:s le:,';C: ::greenen: \l'liie {,,' , ' , , ~' "', ' h, " '0 d'pn vod of 1".~""'iOn of said prop'tty, ",d Ih" ,,;d L,ssor , ; i,\ ':nol ;n'ur "'y i!:lbliity of such O;JS,Cr. 15, 1: :~ :-~lr:!ler n~Vt::l:iv covenanted and agreed be'wce" "1" ",artl'es hereto 'h t - _ _ ,. u , t' ' a :10 W31\'e~ o! a III ca'::l l)!- ;.::1:, of :h: .:o\'cn3l1ts of this !ease agrecrne:1t shall be constrUed to be a W3!\'Cr of any suc.::eedmg breach of the same covenant. The Lessee hereby covenants and agrees that he, his age:1ts, employees or otherwlse shall observe and obey aJllawful rules and regulations which may from time to llme dunng th.e tenTI hereby promulgated and enforced by the Lessor at said beach. The Lessor reserves the right hereunder to enter upon the premises at any reasonable time dunng nOnTIal beach hours for the purpose of ins~ecting said premises, and the Lessee hereby agrees to keep the premises at all times in a dean and sanitary condition, and not to maintain or Kt::P upon saId premises any propc:-;les O~ eqL:pment not used In conr;e:::t1on \\'ltr. thc operatIOn or said busmess, unless authon::ec "::>y tne Lessor to co so 17, The Lessee agrees not to make any major aiteratior.s ;0 tne building located 0;; Sale premises, without first obtaining wrinen consent oi the Lessor to do so, whIch will !lOt bc unreasonably witlu1eld, Such alterations shall be based on plans approved by the Director oi Facil:l1es Mall1ten3nce and shall be subject to all City and County Code provlslons governing constrUction, Lessee shall be responsible for obtaining any pennits reqUired by j'; 16, any governmental agency, 18, The Lessee shall be responsible for maintaining the st;Ucrure, The Lessee will keep the premises clean at all times and must meet all requ:rer:1ents for food hap-cling as required by the Monroe County Department of Health, Ail sIte ir:1provements s::all be pre- approved by the Monroe County Board of County Conunissioners, 19. Tne Lessee shall be responsible for applying and obtaining all permits necessary by all local. Sl<!te, and iederal agencies, 20 L''''' co"'"'olS ,.d ,grw \0 ;nd,mnify ..d hold ",nnlo" Momo' Coenty Bwd of County CommisslOners fro'm any and all claims for bodily l!1Jury (includll'~g death), pmon,1 ;njury, ..d p"p,tty dam,g' (including p"p,tty owo,d by MontO< county)..d :ID) other losses, damages, and expenses (including anorney's fees) which arise out of, in .;0:1:;<:,'::,':11 w::h, or by reason of the Lessee uri1::lli;g the property governed by this :t::;t :t'~~:!; r:g,ecmc:rll, The extent of hability IS ::~ ;;0 \Va: limned 10, rccuced, or lessened _ ' !:;c ,:~:.,,:,':;;.C: :C,"lllfl':l;C::1lS co:)t:ll:lc:d dse\V!lCrc \....1:i11l11hIS 3greeme!~:' ;1121: 'x ;!! Ir.C sc)!c :-:SK or' the Lessee, the LesSL':' s:lail :10: De hable to tllC Lessee or allY :~:',-,y:':> ,,:' ,\:~:.. ~::l1lj :ha: may be on the p:'C::l1:SCS ot;~':::g the CO:1t:n\la~'::c oJf th:s Lease o:r.e:' ?C,SOr1 (or a:;:; :nj~f)', loss, or damage to Vope":' to any person on the premises, \"" ,>~ ' " In th""ent thot the '~emi"d p"nU'''. or the major p'" th"eof "e de ~~Y'd oy ,'m. SlOrm, or any other casualty, the Lessor at its option may forthwith repair the dalT,age to ,e;':J; sr:-ucture at Its own cost and expense, The rental thereon shal; ceast: ~;,:~! ::.e -:c)rnp:c:1on of such repairs and the Lessor will immediately refund the pro rata part 0: any n:nt3is paId in advance by the Lessee prior to such destrUcnon, Should the prem:ses be only p:l.rtly destroyed, so that the major part thereof is usable by the Lessee, ther. the rental shall abate to the extent that the injured or damaged part bears to the whole oi such premises and such injury or damage shall be restored by the Lessor as speedily as is pm"cabl< ",d upon th, ,ompletion of,u,h mp.icr. the full "ntal ,h,ll oommon" ,nd ,he Lease shall then contmue the balance of the tlrm, 23 AI! wntlen nOllces pursuant to this lease shall be lorwarded to the :'oi;ow~ng accrc5St:S: Lessor: Monroe County Public Works Faciliries Maintenance Department 3583 South Roosevelt Boulevard Key West, Florida 33040 Lessee: Conch Cruisers, Inc. Sal Parrinello 1601 Bahama Drive, Key West, Florida 330~0 '4 Ii ,ny d"pUl< ,on"min, till' I<"e ,hould an" b,,"'''" the Le"" ,n' Lor"e ,nd ",,",h I"uh' in litigotion, tli, p"v,iling p,rty ,h.ll be entitled to p,ymeM of '" ""0"'''' anomey's fees and costs associated with said litigation from the lOSing pa;'0' 2S The Lor'" ",,11 be I"pon'ibl< iOI ,11 n"e"'" insotan" ,ovota,e " me""e' 0n the. , n"hed ioon' idonti fied " GIR. GL. WC 1. \fL. GLUQ, ARP. ,nd , Jl oth" "quommen" ioune to b' m the b"t inl<m" of Monroe Cowny." m'Y be impo,d by the Mo",oe Co~"'Y Ri,k M,n,.,ment D'p,,""onl, All in'u,,"" mqui'" oo"e"g" ,h'!! ",ivoly be rnalntamed dUring the lease term, 26, Thi, I",e ,h,ll be gov,med by the 1,,,,, of the Sut< oiFlorid" Venue JOI ,"y d"put" ,o,in, un'" th" 'gmment ,h.ll be in , co"" of competent jUli,diction ,n "o",oe Cou;;ry, Flonda, KOLH.>\GE, CLERK -:7/~?'o- J~~ W\me .;:' 1Z , ... LEASE AMENDMENT. (Salute' Restaurant at HiW Beach.) THIS Amendmtmt is made and entered into this 17m day of July 2002, between the COUNTY OF MONROE and CONCH CRUISER'S INC. in order to amend the Agreement dated August 12, 1998, (a copy of which is incorporated hereto by reference) as follows: 1. Revise paragraph 3 of the Lease to provide Lessee the option to renew the lease for two additional five (5) year tenns; the first to commence, at Lessee's option, on Augm,t 12, 2003 (as presently provided in the lease); and the second tenn to conunence, at Lessee's option. on August 12, 2008. 2. Revise paragraph 6(A) of the lease to provide: (1) Lessee shall be entitled to close the restaumnt for three (3) weeks, between the dates September 16 and October 15 of each year; and (II) Public restrooms shall be opened at 7:00 a.m. and close at 11 :00 p.m., Monday - Sunday, including holidays, pending change in County Ordinance #13.5- 3 (2)(C). 3. In all other respects, the original agreement between the parties dated August 12, 1998, remains in full force and effect. IN WITNESS WHEREOF, the parties have hereunto set their hands and seal, the day and year first written above, (Seal) Attest: DANNY L. KOLHAG~. CLERK BOARD OF COUNTY COMMISSIONERS Of MONROE COUNTY, FLORIDA By; By: Deputy Clerk CONCH CRUISERS, INC. By: Dawn ParrineUo, President t--\~ C(tv~ s~d)