Item D18
BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: May 19.2004
Division:
Public Works
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Bulk Item: Yes -X- No
Department: Facilities Maintenance :r:-1<--J
AGENDA ITEM WORDING: Approval to increase rent for Conch Cruisers, Inc., Salute Restaurant,
Higgs Beach, in accordance to the Consumer Price Index (CPI) of 1.9% from $5230.71 per month to
$5330.09 per month ($99.38 per month additional).
ITEM BACKGROUND: On August 11, 2004, the second year of a two (2) five-year Lease
Agreement with Conch Cruisers, Inc. will expire. In accordance with the original Lease Agreement,
Article 4, the contract/agreement (lease) amount; may be adjusted annually in accordance with change
in the Consumer Price Index (CPI), National Index for Wage Earners and Clerical Workers, and shall be
based upon the annual average CPI computation from January 1 through December 31 of the previous
year.
PREVIOUS RELEVANT BOCC ACTION: On August 12, 1998, the Board approved as-year
Lease Agreement with Conch Cruisers, Inc. to operate the Higgs Beach Restaurant/concession. On July
17, 2002, the Board approved a Lease Amendment with Conch Cruisers, Inc. to provide Lessee the
option to renew the Lease for two additional five (5) year terms, to close the restaurant between
September 16 and October IS of each year, and revise Ord. 13.5-3 (2) (C), Higgs Beach Park
Regulations, in order to change restroom hours. On July 15,2003, the Board approved Renewal
Agreement to renew the Lease for the first of two (2) five-year terms; the first to commence on August
12, 2003, and terminate on August 11, 2008, and to increase the Lease amount in accordance to the
Consumer Price Index (CPI) by 2.4% from $5108.12 per month to $523Q.71 per month.
CONTRACT/AGREEMENT CHANGES: To increase the monthly rental in accordance to the
Consumer Price Index (CPI) of 1.9".10 from $5230.71 per month to $5330.09 per month ($99.38 per
month additional).
STAFF RECOMMENDATIONS: Approval as stated above.
TOTAL COST: N/A
BUDGETED: Yes N/A
COST TO COUNTY: N/A
SOURCE OF FUNDS: Revenue
REVENUE PRODUCING: Yes..x... No
Year $63.961.08
AMOUNT PER MONTH $5330.09
APPROVED BY: County Arty _
OMB/Purchas.~. ~..' kM.anagem.ent_
.-. Iii ']),,7/
~t Pierce, Director Public Works
DMSION DIRECTOR APPROVAL:
DOCUMENTATION:
Included X
To Follow Not Required_
AGENDAITEM#'D~ I)?
DISPosmON:
MONROE COUNTY BOARD OF COUNTY COMMISSIONERS
CONTRACT SUMMARY
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Contract with: Conch Cruisers, Inc Contract #_
Effective Date: August 11, 2QP4
Expiration Date: August 12, 2005
Contract PurposelDescription:
To increase monthly rental amount in accordance to annual average CPI of 1.9%
Contract Manager: Miguel Carbonell 4385 Facilities Maintenance #4
(Name) (Ext.) (Department/Stop #)
for BOCC meeting on 5/19/04 Agenda Deadline: 5/4/04
Total Dollar Value of Contract.
ent Year Portion: $ N/ A
Budgeted? YesO No 0
Grant: $
County Match: $
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ADDITIONAL COSTS
Estimated Ongoing Costs: $-"yr For:
ot included in dollar value above) ( . maintenance, utilities, 'anitorial, salaries, etc.)
CONTRACT REVIEW
Division Director
Changes
~,t:~. Needed
~9 YesONoO
IjI:PlIi YesD~
$ ~tyeslZl' Non
t/-/3-/)~ YesONoQ/
Date Out
Risk Management
O.M.B./Purcbasing
County Attorney
Comments:
~~ 46bcXt. e#vc:;, eP~
OMB Form Revised 2/27/01 MCP #2
CO"TRACTAMEtI>>IENT
Salute Restaurant at Higgs Beach
This Contract Amendment is made and entered into this May 19, 2004, between the
COUNTY OF MONROE and Conch Cruisers, Inc. in order to amend the ag(8ement
between the parties dated August 12,1998, as amended on July 17, 2002, and
Renewal Agreement dated July 15, 2003, copies incorporated hereto for reference, as
follows:
1. In accordance with Article 2. of the July 15, 2003 Renewal Agreement: "The Lease
amount shall increase by the Consumer Price Index (CPI), National Index for Wage
Earners and Clerical Workers, and shall be based upon the Annual Average CPI
computation from January 1 through December 31 of the previous year. The cPt
increase shall be calculated for each additional year for the five-year period.
2. Rent, therefore, payable to Monroe County, shall increase by 1.9% from $5230. 71
per month to $5330.09 per month ($99.38 per month additional).
In all other respects, the original agreement between the parties dated August 12, 1998,
as amended on July 17, 2002 and Renewal Agreement dated July 15, 2003, remains in
full force and effect.
IN WITNESS WHEREOF, the parties have hereunto set their hands and seat the day
and year first written above.
(Seal)
Attem: OANNYL.KOLHAGE,CLERKt
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY, FLORIDA
By:
By:
Deputy Clerk
Witness
By:
Witness
MOiIJR(;E COUNTY ATTORNEY
-~
~ UlANNE. HUTTON
,~ l\SSISTA~N~ATTORNEY
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.
RENEWAL AGREEMENT
(Salute' Restaurant at Higgs Beach)
This Renewal Agreement is made and entered into this July 15, 2003, between the
COUNTY OF MONROE and Conch Cruisers, Inc. in order to renew the Lease
Agreement between the parties dated August 12. 1998,as amended on July 17, 2002.
copies incorporated hereto for reference, as follows:
1. In accordance with Article 1. of the July 17. 2002 Lease Amendment, the Lessee
exercises the option to renew the leaseJor the first of two (2) five-year terms; the first
to commence on August 12. 2003, and 'terminate on August 11, 2008.
2. The Lease amount shall increase by the Consumer Price Index (CPI), National Index
for Wage Earners and Clerical Workers. and shall be based upon the Annual
Average CPI computation from January 1 through December 31 of the previous
year. The CPI increase shall be calculated for each additional year for the five-year
period.
3. Rent. therefore. payable to Monroe County shall increase by 2.4% from $5108.12
per month to $5230.71 per month.
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
BY:M~O.~\g~
Deputy Clerk
..c;-.:...c - d-u-?c?~~~
r Witness
~_k)
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY, FLORIDA
By: LPiU >n ~
Conch Cruisers, Inc.
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 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:
I. 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 am. 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.
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.~r~~~:C:JN WITNESS WHEREOF, the parties have hereunto set their hands and seal, the day and
I-(:o.(~/ -':':~' " ~'t'"TItten above.
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~<AtteSt: DANNY L. K<?LHAGE, CLERK
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~uty Clerk
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUJ'l!Y, FLORIDA
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By:
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CONCH CRUISERS, IN/'J (
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awn Parnnello, PreSident
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SECTION THREE
NEGOTIATED LEASE AGREEMENT
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TInS lease, ~tered into on the.l21h day of!J u~tJst 1998, by and between the BOARD OF
COUN1Y COMMISSIONERS, MONROE COUNTY. FLORIDA (Lessor) and ~
Cruisers Tnr. Sal Parrinello (Le$see), whose address is 1601 'Bahama Drive Key West.
Florida. 33040.
The parties to this lease hereby agree to the following:
1. nus lease evidences ~e grants, covenants and agreements mad~ between the panies with
reference to the following described premises and as Nrther identified in Exhibit "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
concCS$ion/restaurant, such as fumish food and beach conceSSlon
and provide janitorial serviees to tho public rost rooms inclusive of opening and closmg and
supplying paper products at Clarence S. Hips Memorial Beach and maintain all equipment
necessary for thll operation of these facilities.
2. The Lessor hereby grants to the Lessee the exclusive right and priVilege 0:' operating and
maintaining a full service conccssion/restaurant at Clarence S. Higgs Me~onal Beach,
Key West, Monroe COWlty, Florida, for a term of five (S) years, said conceSSion/restaurant
to be rocatad at the concrete building nOW situated upon said beach. and in as is condition,
Squarc:.footage allocations shall be limited to the interior and enclosed pallO area as
refercncad in Exhibit "A".
3. The Lessee may exercise an option to renew this lease for an additional five (S) years with
wrimm consent of the Boarl:l ofCoWlty Commissioners, by siving Lessor written notice of
their intention to exercise said option within sixty (60) days previouS to the expiration of
the original five (5) year tcnn.
4. The Lessee, in considerati~n of the foregoing rights and privileges, does hereby covenant
with the Lessor to pay rental fees as follows:
YJ>ar one (1 ): Monthly rent $4.583.33 (555,000.00 per year)
Xears tWO (2) thru flve (5l:. Monthly rent 54,910.00 (558,920.00 per )'car)
The contract/agreement (lease) amount agreed to herem may be adjustec a:Ulually in
accordance with change in the Conswner Price Index (CPI), Natlona; !~cex ior Wage
Earners and Clerical Workers, and shall.bc based upon the annual average CPI
computation from January 1 thr.ough December 31 of the previoUS year,
A. Upon execution oftliis lease and prior to the Lessor's delivery of the premises to
Lessee, Lessee shall deliver to the Lessor the swn of S~, ior the first
month's rent and dam&ge deposit of $SOO.OO and an irrevocable letter of credit
from a local bank i."1 the amoWlt of 54,910 for the last month's rent, Lessor shall
not be required to post bond securing said advance rent or.de'posit.
"
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B. The first month's renr, paid in advance, shall be for the mO:l!h of 'October.
l.22.ll. Ren! shall be due on. the fust day of each and c\'ery :nontn thereafter, rent
b~mg payable in advance during the tenn of this lease. Lessee may asswne
, occupancy as of AUfust 13.1998 for the pwpose ofcoordinanng demolition and .
renovation improvements, conditioned upon his full compliance with aU terms 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, ifan)', and all utility charges, including but not limited
to electric, water, sewer, and solid waste at said concession/restaurant, which
shall be a result of the operation of the facilities granted under thIS lease. The
Lessor reserves the right to tcnninatc this lease for non-paymen! of rent by the
Lessee for a period oftiftcen (IS) days or more.
5. In connection with the above demised properties, the Lessor covenants with the Lessee that
conditioned on Lessee's performance and observance of Lessee's covenants herein, Lessee
shall have quiet enjoyment and peaceable possession of the premIses curing the term of
this lease. In the event the county elects to maintau; andlor improve HS proper:les In the
viCinIty of the leasehold herein, either by neCeSSIl)', or bJr' chOIce. s;Jcn aCI!\'!:). WIll not be
considered as a breach of any covenant of this lease.
6. Lessee funher covenants and agrees as follows:
A. To keep open such concession/restaurant Monday-S.un~ay, Including holidays,
from 7:00AM-I 0:00PM, and shalJ not exceed the established beach hours in as
specified in Monroe COWlty Ordinance 13.5-3 (2)(E). . Public rest rooms shall
be opened at 7:00AM and closed at sunset, Monday-Sunday, Including holidays,
in accordance with Monroe County Ordinance 13.S-3(2)(C).
B. To furnish the necesslll)' equipment, furnishing and fixNres 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 termination of this lease agreement, with Lessor's consent. If Lessee fails to
remove said moveable equipment or furnishings within ten (10) days after
tennlnatioJ:l of this lease, said items shall then become the property of the
Lessor.
C Lessee shall provide full Janitorial services for the public rest rooms Inclusive of
prOViding all Jamtonal supplies and paper products. Jarmonal servIce frequency
shall be on a daily basis to ensure rest rooms are maintained clean and sanitar)'.
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
of this lease.
E. Lessee agrees to keep the leased premises in a safe, clean, and well-maintained
order at no expen~e to the Lessor. This provision is to be monitored by the
Director of Public Facilities Maintenance or his representative. .
F. Lessee agrees to operate his business in a business-like maMer.
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II is agreed by the parties hereto that Lessee may ciCCI to sub-lease or asSIgn I;;; lease
agreement only upon previous written consent of the Board of Co un!)' Commissioners for
Monroe County. The terms of this agreement shall be binding on Ihe he:~s. eXeC:l.llOrs.
admmismllo~s, sub-lessees and assigns of Lessee, which shall nOI oe :.!r.:e2So~ably
\l/ithheld.
8. It IS hereby covenanled, stipulated and agreed by and between the P2:'!::S' ::e~eto Ihal there
shall, during the said demised tcnn, bc no mechanic's liens upon the conceSSlotvrestauranl
or improvcments thereto; in case of any attempt to place a mechamc's i:e~ on premises,
the Lessee must payoff the same; and that if "efault in payment thereoi shall continue for
thmy (30) days after written notice, said Lessor shall have the right and pr:vilege, al itS
option, 10 payoff the same or any portion of the same, and the amoU:H so paId, Including
expenses. shall, althe option of the said Lessor, be so much addillo~a; ren: due from saId
7.
Lessee at the next renl due after such payment, with InlereSI atlhe ~ll:e es,ll:,i!sned b}' Ihe
Comptroller under Sec. 55.03, f.S., for the year In which the payme::: :le;ll;-::e overdue.
:-':olhmg I:: IhlS paragraph is 10 be read as a waIver or at;:~orizallo~ ~y :::e C ~:..::ty of :IS
constitutional and stanltory inununity and right:o have its propel'l)' free .:>! so;:: ::ens
1.t' j' .,.IM: "~~"'"t: " . ...._Jor'w
Alcoholic beverages may o:.orn Witlilii't'ne'eiJciosed restaurant and patIo o:aly. upon
)
9.
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acquisition and maintaining proper licenses from local, state, and federal agenclcs. No
carry-out sales of alcoholic beverages is pennincd. Salc:Ii and consumpllon oj alcoholic
beverages must cease by 10:30 P.M._ -'''''''';' .
."~44'.')ot>....~~.... .-..!f'r"",,' .. .I""~""~" , i
Entertainment may be provided only In the enclosed restauranl and pallO area. A.'lY
entertamment musI be acoustic soft backgrol.:l1d r::;';SIC ane! must c~ase ':!:. :: 30 P.Y!
Lessee shall be responsible (or and provide all licenses requlrec! by a:: ..-;;a:. state a:1o
federal agencies. Including Deparanen.t of Health.
It IS expressly covenanted between the parties hereto thaI the Lessee w::! ::01 :Jse, suffer
nor pennll any person to use in any manner whatSoever the slud demIsed property, nor any
portIon thereof. for pUrposes calculated to injure the reputation of the premises or of the
:1c:lghbonng property, nor for any purpose or usc in violallon of Ihe laws ot" the United
S:J:es ;-.:-f :::e Statc of Flonca. or oflhe ordinances of Monroc County. Fionda and thaI
:':e ;";:,;st:e ..\ :.. "eep .a:1c save :he Lessor forever har:nleS5 from an) ?e::J;~..:>r damage or
;::a~gcs :;'!:posed for any vlolallon oiany said laws, whcther occa510::e:: :-y :::giec: 0:"
Lessee, and that said Lessee will indemnify and save and keep hannless the Lessor agamst
and from any loss, COSI, damage and expense arising OUI of any aCCident or olher
occurrence, causing injury to any person or property whomsoever or whatSoever, and due
cilrectly or Indirectly to the use of the premises, or any p'art thereof, by Ihe Lessee.
i 3 It ;s :urtner agreed that In no case shall the Lessor herein be liable. under any express or
Irr.phed co\'enants 10 this lease agreement, for any damages whatsoever 10 the Lessee
t-eyond the rent reserved by the L<;ase agreemer:t accruing, for the aCI. or !:>reach of
covenaTit. ior which damages may be sought 10 be recovered againsl Sate Lessor, ane! that
10 the event said Lessee shall be ousted from the posseSSIon of saId prope:'"l)' by reason at"
any defecI 10 the ritle of said Lessor or said Lessor's authority to make IhlS'lease
agreement, said Lessee shall not be required to pay renl under this lease agreement while
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he IS so deprivea of the posS4SSion ofsaidpropeny, and thl>. Jd Lessor shall not IIICW" any
liability of such ousler. .
14 II IS further muruaUy covenanled and agrcod belWeen the parries hereto tlla: :'10 waiver oj a
brcach of any of the. covenmts of this Icase agreement shall be: constnled to be . waiver oj
any succceding breach ofthc same covenant.
S. The Lessee hercby covenmts md agrees that he, his agents, employecs or Olhcrwise shall
obscrvc and obey all lawful rules and rcgulations which may from time to lime dunng the
term hc:rcby promulgated md enforced by the Lessor al said beach.
Thc Lcssor reserves the right hercunder to enter upon thc premises at any reasonable time
dunng normal bcach hours for thc puzposc of inspecting said premises, and the Lessee
hereby agrees to keep the premises at all times in a clean and sanitary condlllon, and not to
mamtaln or keep upon said premises any propenies or equipment not used .:1 connection
'Vlth the operation of said business, unless authorized by the Lessor to co so
.) Thc Lessce agrees not to make any major alteranons to thc building locatce o~ sa:d
premlscs, withoul first obtaining writtcn conscnt of the Lessor to do so, '...1::;;?; Wl~: :'10: be
unreasonably withheld. Such alterations shall be based on plans approved by !::e DIrector
of Facilities Maintenmce md shall be subject to all City and County Code provlSlons
govc:ming constrUCtion. Lessee shall be responsible for obtaining any permIts requIred by
any governmental agency.
I The Lessee shall be responsible for maintaining the stnlcture. The Lessee WI!! keep the
premISes clean at all times and must meet all requirements for food ha.'lqimg as requIred
by the Monroe Couney Depamnent of Health. All sile improvements shali be pre.
approved by the Monroe: Couney Board ofCouney Conunissioners.
The Lessee shall be responsible for applying and obtaining all permits necessary by all
local. stale, and federal agencies.
Lcssce covenants and agrees to indcrMify md hold harmlcss Monroe Co:::::)' Board of
Couney CommISSIoners fi:om any and all claims for bodily injury (incluc!ll'lg dca:h).
pcrsonal Injury, and property damage (including propertY owned by Monroe Couney) and
any other losses, damages, and expenses (including attorney's fees) which arise out of, in
;o..:'Ie;::"1: ".::h. or by reason 0: the Lessee ulihzmg the propeny governed 0) thIS
.~zs~ ~e:::2: 2g-:eerr:e:1l. T:'le ex!e~: of /lability IS m no ....ay limited to. r.:c:,:;;.:c. O~ iessened
.::- !::e ::1s;,;:a:;ce reqUirements co:ltamed elsewhere wlt.hm tl-.1S agreeme:1:'
....il ?ropc!T) 0:- an>' kind that ma>' be on the premises du.'1:1g Ihe conmlua::.::e of thiS Lease
shall be at the sole risk of the Lessee, the Lessor shall not be liable to the Lessee or any
olher person for any inJUry, loss, or damage to property to any person on the premises.
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22. In the event that the demised premises, or the mo,v' part thereof are destr$lyed by fire,
storm. or any other casualty, the Lessor at its option may forthwith repair the damage to
such Sl:1Jcrure at its own cost and expense. . The rental thereon shall cease untl! the
complenon"of such repairs and the Lessor will immediately retU.'1c the pro rata parr of lLnY
rentals paid in advance by the Lessee prior to such destrUction. Should the ;>remlses be
onl, parr/y destroyed, so that the major part thereof is usable by the Lessee, then the rental
shall abate to the extent that the injured or damaged part bears to thc ""'!loie of such
premises and such injwy or damage shall be restorcd by the Lessor as speedily as is
practicable and upon the completion of such repairs, the full rental shall commence and the
Lease shall then continue the balance of the tenn.
23. All written noticcs pursuant to this lease shall be forwarded to the fo:lowmg addresses:
Lessor: Lessce:
Monroe Cowny Public Works Conch Cnmers, Inc.
Facilitics Maintenance Department Sal Parrinello
3583 South ROO$CveltBoulevard 1601 Bahama Dnve.
Key Wcst, Florida 33040 Key West, Flo~da 33040
24. If any dispute conceming this lease should arise between the Lcssor and :'cssce and w/'o.Jch
results m litigation. thc prevailing party shall be entitled to payment o:'::s n:as":1aoie
attorney's fces and costs associated with said litigation from thc los:::g pa::)
25. The Lessee will be responsible for all necessary Insurance coverage as mc!catcd on the
anached fonns identified as GIR, GL. Wel, VL. GLLIQ. AKP. and ail other requirements
found to be In the best interest of Monroe COWlt)'o as may be Imposed by the Monroe
maintained during the lease tenn. .
COWlty Risk Management Department. All insurance required coverages shall actively be
26. This lease shall be goveme? by the laws of the State of Florida. Ven:.;e i'or any dIsputeS
arising Wlder this agreement shall be in a court of competent Junsc;ct:on l:1 Monroe
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.!lii~ '.':
9 . ;~ W!-fEREOF, the parrIes hereto have caused these presents to ::>e executed as of the
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r=/, ~ir first above wntTen.
~"Y L KOUiAGE. CLERK
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COI.l"'~'. F!onda.
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