Item C04BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: April 16, 2003 Division: Public Works
Bulk Item: Yes X No
Department: Facilities Maintenance
AGENDA ITEM WORDING: Approval to renew lease agreement for an additional 1-year term with
Tropical Sailboats, Inc. to operate and maintain a concession for beach chairs and umbrella rentals at
Higgs Beach at the same rate of Two -Hundred and Fifty -Five Dollars ($255.00) per month, or Ten
Percent (10%), whichever is greater.
ITEM BACKGROUND: On July 14, 2003, the above -referenced lease will expire. Mr. Russ Gregory,
President of Tropical Sailboats, Inc. is requesting to exercise his option to renew this lease for the first
of (2) 1-year additional periods.
PREVIOUS RELEVANT BOCC ACTION: At their June 19, 2002 meeting, the Board gave
approval to enter into a new lease with Tropical Sailboats, Inc. to operate and maintain the concession
for an amount of $255.00 per month or 10% of the monthly gross, whichever is greater. On October 16,
2002, approval was awarded to accept proposal from Tropical Sailboats, Inc. to purchase beach chairs
and umbrellas that were abandoned on Higgs Beach by the previous contract holder, Douglas R. Baetz.
CONTRACT/AGREEMENT CHANGES: New lease effective July 15, 2003, and expiring on June
14, 2004.
STAFF RECOMMENDATIONS: Approval as stated above.
TOTAL COST: N/A BUDGETED: Yes N/A No
COST TO COUNTY: N/A SOURCE OF FUNDS:Revenue-producing
REVENUE PRODUCING: Yes X No AMOUNT PER MONTH_ $255 or 10%
whichever is eater
APPROVED BY: County Atty — OMB/Purchasing Risk Management
DIVISION DIRECTOR APPROVAL:
Dent Pierce, Director, Public Works
DOCUMENTATION: Included X To Follow
Not Required
DISPOSITION: AGENDA ITEM #
MONROE COUNTY BOARD OF COUNTY COMMISSIONERS
CONTRACT SUMMARY
IContract with: Tropical Sailboats,Inc
July 15, 2003
June 14, 2004
Contract Purpose/Description:
Renewal of lease agreement to operate and maintain a concession on Higgs Beach for
the se of rent' beach chairs and umbrellas to the ubl s
c.
Contract Manager: _ Miguel Carbonell 4385 Facilities Maint./Parks & Rec.#4
(Name) (Ext.) (Department/Stop #)
Contract #
Effective Date:
Expiration Date:
for BOCC meeting on April 16, 2003 Agenda Deadline: April 2, 2003
CONTRACT COSTS
Total Dollar Value of Contract: $ Revenue Current Year Portion: $ 1275.00
Budgeted? Yes❑ No ❑ Account Codes: 01-362001-SG-
Grant: $ _
County Match: $ ADDITIONAL COSTS
-
Estimated Ongoing Costs: $ ADDITIONAL
For:
Tot included in dollar value above) (eg maintenance, utilities, janitorial, salaries, etc.)
CONTRACT REVIEW
Changes
D
R
O
C4
Cc
OMB Form Revised 2/27/01 MCP #2
`1ut
03
MAR 7?003
RENEWAL AGREEMENT
Tropical Sailboats, Inc.
Beach chairs and umbrellas rental
Higgs Beach
This Renewal Agreement is made and entered into this April 16, 2003, between the
COUNTY OF MONROE and Tropical Sailboats, Inc. in order to renew the Lease
Agreement between the parties dated June 19, 2002, copies incorporated hereto for
reference, as follows:
1. To amend Article 2. to expire July 14, 2003.
2. In accordance with Article 2. of the June 19, 2002 original Lease Agreement, the
Lessee exercises the option to renew for the first of two (2) one-year periods.
3. The term of the renewed Lease Agreement will commence on July 1, 2003 and
terminate on June 30, 2004.
4. Rental remains during the term of this renewed Lease Agreement the sum of two
hundred fifty five ($255.00) dollars per month or ten percent (10%) of the total
monthly gross, whichever is greater, payable on or before the 15th. day of each
month following the month for which payment is due.
In all other respects, the original agreement between the parties dated June 19, 2002,
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) BOARD OF COUNTY COMMISSIONERS
Attest: DANNY L. KOLHAGE, CLERK OF MONROE COUNTY, FLORIDA
By:
Deputy Clerk
Witness
Witness
By:
Tropical Sailboats, Inc..
By:
.PIPROVE_ AS TO FOR
M' L SUFFICE
NNE A. H ON
SECTION THREE
LEASE AGREEMENT
THIS LEASE is made and entered into on the 19th day of June, 2002, by
and between MONROE COUNTY, a political subdivision of the State of Florida
hereinafter referred to as "Lessor", and Tropical Sailboats Inc , hereinafter referred to
as "Lessee", whose address is 1414 Von Phister St. Kev West FL $3040, which
expression shall include the heirs, executors, administrators and assigns of the Lessee
when the context so admits.
WHEREAS, the Lessor desires to grant to Lessee a non-exclusive right to
maintain and operate a concession on the beach for the purpose of renting beach
chairs and umbrellas to the public; and
WHEREAS, the Lessor and Lessee desire, in connection with said operations,
to provide for the leasing by Lessor to Lessee of certain space at Clarence S. Higgs
Memorial Beach;
NOW, THEREFORE, in consideration of the mutual covenants, promises and
Premises herein contained, the parties hereto agree as follows:
1 • PREMISES: The Lessor of these premises leases unto the Lessee a
portion of Clarence S. Higgs Memorial Befich, Key West, Florida as evidenced by area
marked "Premises" on the attached drawing marked Exhibit "A", which is attached
hereto and made a part hereof.
2. TERM: This agreement is for a renewal term of ONE (1) year,
commencing July 15. 2002 and expiring on June 14 2003, unless earlier terminated
Pursuant to provisions of this agreement or operation of law. Additionally, the Lessee
may exercise an option to renew this lease for TWO (2) ADDITIONAL ONE-YEAR
PERIODS, CONTINGENT UPON APPROVAL and with written consent of the Board of
County Commissioners, by giving Lessor written notice of their intention to exercise
said option within sixty (60) days previous to the expiration of the current Lease
Agreement.
3. RENTAL AND FEES: In return for the privilege of using the designated
portion of Clarence S. Higgs Memorial Beach, Lessee will make monthly payments of
rent to Lessor equal to 10% of its total gross proceeds or 255.00 per month,
whichever is greater. Payment shall be made on or before the fifteenth day of each
month following the month for which payment is due. Payments should be directed to
the Monroe County Finance Department at P.O. Box 1980, Key West, FL 33040
4. ACCOUNTING PROCEDURES: Lessee shall follow Generally Accepted
Accounting procedures in accounting for the revenues and expenses of the
concession. Lessee agrees that it will make available to Lessor, a full complete book of
accounts and other records pertaining to the sales and expenses on the leased space.
The Lessor, acting through its Finance Director or other authorized representative, shall
upon reasonable notice, have the right to inspect and audit said records. Said records
shall be retained by Lessee for at least three years following termination of this
agreement.
5. OTHER DEVELOPMENT: Lessor reserves the right to further develop
or improve Clarence S. Higgs Memorial Beach as it sees fit, regardless of the desires or
views of the Lessee.
6. LESSEE'S OBLIGATION: Lessee covenants and agrees:
(a) To pay the Lessor the rent at the times and in the manner
provided for by this lease.
(b) To continue to maintain current City and County Occupational
Licenses, as required, during the period of the lease.
(c) That Lessee's concession will not interfere with beach cleaning.
(d) Lessee will conduct its operations in a business like manner at all
times, and will keep the leased premises free of trash and will pick up, on a daily basis,
the trash and debris left in the area of the concession by the public.
(e) All rental equipment will be maintained in good working condition.
(fl To make no improper or unlawful or offensive use of said
premises, and to permit the Lessor or its agents to inspect the
„r
leased premises at all reasonable times for the purpose of
viewing the condition thereof.
7. LESSOR'S OBLIGATIONS: Lessor covenants and agrees:
(a) Lessee shall be permitted to use a portable rental stand or
maintain a booth 6x8 feet for operation of the concession only if Lessee obtains, prior
to placement or erection, written approval from Lessor's Director of Public Works for the
structure to be so placed or erected. Lessor's Director shall consider nearby structures,
beach access, public safety, and usefulness for concession purposes in determining
whether to permit ,the structure to be placed or erected on the premises. Upon
termination of this lease, or an extension hereof, Lessee shall remove said structure
and return the premises to the condition at the beginning of the lease term. Should
Lessee fail to remove the structure within thirty (30) days of lease termination, Lessor
shall have the right to remove said structure and charge Lessee for the costs of
removal, or to retain said structure for its own use.
(b) Lessor is the lawful owner of the property demised hereby, that it
has lawful possession thereof, and has good and lawful authority to execute this lease;
and
(c) Throughout the term hereof Lessee may have, hold and enjoy
peaceful and uninterrupted possession of the premises and rights herein leased and
granted, subject to performance by Lessor of its obligations herein.
8. INDEMNIFICATION/HOLD HARMLESS/INSURANCE:
(a) The Lessee agrees to indemnify and hold the Lessor free and
harmless from any and all claims, suits, loss or damage, or injury to persons or property
(including property owned by Lessor) and any other losses, damages, and expenses,
including attorney's fees, which arise out of, in connection with, or by reason of the
Lessee utilizing the property governed by the lease agreement. The extent of liability is
in no way limited to, reduced, or lessened by the insurance requirements contained
elsewhere within this agreement.
(b) The Lessee shall procure and maintain Commercial General
Liability -Coverage must include:
(1) $500,000 combined single limit
(2) Additional Insured - Monroe County Board of County
Commissioners is to specifically be included as an additional
insured and Certificate Holder.
9. NON-DISCRIMINATION: Lessee shall furnish all services authorized
under this agreement on a fair, equal and non-discriminatory basis to all persons or
users thereof, charging fair, reasonable, and non-discriminatory prices for all items
which it is permitted to sell or render under this agreement.
10. TERMINATION: Either party may terminate this lease, with or without
cause, upon giving the other party written notice of termination at least sixty (60) days
prior to the effective date of termination.
11. ASSIGNMENT AND SUBLETTING: Lessee shall not assign or sublet
this agreement without prior written consent of Lessor,, nor permit any transfer by
operation of law of Lessee's interest. All terms of this Agreement shall bind any
assignees or subleases.
12. OTHER USE: Lessee shall not use or permit the use of the demised
premises or any part thereof for any purpose or use other than as authorized by this
agreement.
13. NOTICES: Any notice of communication from either party to the other
pursuant to this agreement is sufficiently given or communicated if sent by Certified
Mail, with proper postage fees prepaid, addressed to the party for whom intended, at
the following address:
For Lessor: Monroe County Public Works Division
Facilities Maintenance Department
3583 South Roosevelt Boulevard
Key West, Florida 33040
Lessee: Tropical Sailboats, Inc.
1414 Von Phister Street
Key West, FL. 33040
or to such other address as the party being given such notice shall from time to time
designate to the other by notice given in accordance herewith.
IN WITNESS WHEREOF, the parties have caused these presents to be
executed by their respective officer or representative thereunto duly authorized, the day
and year first above written
By.
7
NY L. KOLHAGE, CLERK
Clerk
ss
Witness
MONROE COUNTY BOARD OF
COUNTY C MMISSIONERS
By
Ma .or
APPROVED AS TO FOR Y
AN4SUZAN
E
ON