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Item J2 J.2 County of Monroe P W ;� w 1rJ� BOARD OF COUNTY COMMISSIONERS r,�� Mayor Craig Cates,District 1 The Florida Keys Mayor Pro Tem Holly Merrill Raschein,District 5 y Michelle Lincoln,District 2 James K.Scholl,District 3 Ij David Rice,District 4 County Commission Meeting March 22, 2023 Agenda Item Number: J.2 Agenda Item Summary #11820 BULK ITEM: Yes DEPARTMENT: Airports TIME APPROXIMATE: STAFF CONTACT: Richard Strickland(305) 809-5200 N/A AGENDA ITEM WORDING: Approval of a Sponsorship Contract with Race World Offshore, LLC in the amount of $7,500.00 for the Key West International Airport to sponsor the Inaugural Race World Offshore 7-Mile Offshore Grand Prix powerboat races in Marathon, Florida, under Airport promotional sponsorships Resolution No. 123-2021. ITEM BACKGROUND: The Airport wishes to promote goodwill toward the County and the Airport and sponsor the Inaugural Race World Offshore 7-Mile Offshore Grand Prix Powerboat Races being held in Marathon, Florida April 28-30, 2023. The Airport's logo and sponsorship will reach at least 7,500 views via banners being displayed in key areas, on the raceworld.com website, social media, email blasts, and the in-person and livestream broadcast. PREVIOUS RELEVANT BOCC ACTION: Approval of Airport promotional sponsorship agreements with Race World Offshore on October 20, 2021, and August 17, 2022. Approval of Airport promotional sponsorship Resolution No. 123-2021 on March 17, 2021. CONTRACT/AGREEMENT CHANGES: new contract STAFF RECOMMENDATION: Approval DOCUMENTATION: 7 Mile Offshore Grand Prix Marathon Sponsorship Contract Resolution 123-2021 FINANCIAL IMPACT: Effective Date: Expiration Date: Packet Pg. 2644 J.2 Total Dollar Value of Contract: $7,500.00 Total Cost to County: -0- Current Year Portion: $7,500.00 Budgeted: Yes Source of Funds: Airport Operating Fund 404 CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: If yes, amount: Grant: County Match: Insurance Required: no Additional Details: 03/22/23 404-63201 - KEY WEST AIRPORT ADMIN $7,500.00 REVIEWED BY: Beth Leto Completed 03/01/2023 10:44 AM Richard Strickland Completed 03/01/2023 5:45 PM Pedro Mercado Completed 03/02/2023 8:58 AM Purchasing Completed 03/02/2023 9:10 AM Budget and Finance Completed 03/02/2023 10:27 AM Brian Bradley Completed 03/02/2023 11:05 AM Lindsey Ballard Completed 03/06/2023 10:30 AM Board of County Commissioners Pending 03/22/2023 9:00 AM Packet Pg. 2645 J.2.a SPONSORSHIP OPPORTUNMES 202-3, '', , itnlll�i�y pyuVu"" iil lil' I Y L is f , ,o i r 2- 0 w � U) 0 C, xi d is l ii i ?1V ,jal 0 $7,500 SPONSORSHIP PACK4GE This INCREDIBLE VALUE sponsorship includes hospitality, signage, on-site marketing and more...The PLATINUM SPONSOR Package ." c14 includes the following: , 6 VIP Hospitality Passes VIP Pass gets you access to special events all weekend long t VIP Sunday 10.00-2:30 Breakfast&Lunch Buffet(cash bar) Ultimate VIP Experience-Limited capacity : r � ti tl�l � Vl�oo ar VIP Modern furnishings, high tops, tables&seating Excellent site lines of Course, Race Start& Wet Pits ., ' , 0 W` Catered buffet breakfast&lunch menu ` U) Hospitality Cash Bar CL �5 Invitation to Opening Drivers Meeting r 1 rof>. 0 v Invitation to daily outermole awards and Sunday Awards Ceremony Company logo prominently displayed on the website Company logo displayed on marketing collateral � ` Company logo displayed on email blasts to large database Company name mention at select ceremonies&Livestream ' Option to provide giveaways/promotional items in VIP Gift bags Ja ' Meet the Drivers at schedule events Ov, br. 0 0 On-site Signage at Key Locations 3-3x5 Designed banners provided and displayed in key areas Website&Livestream-raceworldoffshore.com & FB Live Thousands of fans visit anal to raceworldoffshore.com&social media on a daily basis to check the latest information. vans will see sponsors on �l the website and regular email blasts.During the iivestream broadcast and awards our sponsors will get recognized. Contact: keywest@raceworldoffshore.com - 305-896-7955 •Visit- raceworldoffshore.com Packet Pg. 2646 J.2.a Sponsorship Contract CL 0 .2 2 SPONSOR Monroe County,Florida Key West International Airport Company/Organization: Contact Person: Richard Strickland 0 U) Executive Director of Airports a Position /job title: 0 CL Postal address: 3491 So Roosevelt Blvd. State: Florida to City: Key West 33040 0 Zip code: 3: Country: United States 0 Office Phone: 305.809.5210 Of Contact Name: Cell: 305.393.7742 Email Strickland-Richard@monroecounty-fl.gov C14 ElSPONSORSHIP CATEGORY w I Official Sponsor $10,000-$25,1100(Thousand US Dollars Only) 0 2 Diamond Sponsor $20.000(Twentv,Thousand US Dollars Onlv) U .2- .a 3 Platinum Sponsor X $7,300(Seven Thousand Five I[undyed US Dollars Only) 0 U) -1 Gold Sponsor $5.000(Five Thousand US Dollars Only) CL9= 0 5 Silver Sponsor $3,5GO(Thirty Five I ltnidred US Dollars Only) 0 6 Executive Sponsor J $2.500(Twenty Five I lundred US Dollars Only) 7 Conch Club Sponsor J $-),ON(Two Thousand US Dollars 01110 CL 0 2! 0 .a U) t1-- 0 E Packet Pg. 2647 J.2.a �C METHOD AND TIMING OF YOUR PAYMENTS Race World Offshore Payment Condition CL • I(Payinvipt tctri rapt are rpt met,the ORGANIZER sha 100%due on receipt of invoice within ll be vakiticki toc �wiy this con forthwith and all sums 10 business days paid by the Sponsor shall be forfeited. If applicable,FEE will be added at point of invoicin& Payment by Check Race World Offshore,LLC P.O.Box 2246 Key West,Florida 33045 0 Contact Information CL Larry Bleil-larrybleil@Dgmail.com 1-305-800-RACE Ext 1 Declaration:The duly authorized signatory,acting for and on behalf of the Sponsor company,hereby declares that she/ he acknowledges and accepts the regulations as set out in this form and agrees to comply with the provisions herein contained. c14 Notes U 0 U i� 0 i) a 0 CL 0 �U FOR FURTHER DETAILS CONTACT ' 0 i) .. i� A Race World Offshore Contact Information Larry Bleil -Iarrybleilca)gm ail.com E 1-305-800-RACE Packet Pg. 2648 J.2.a 0 ADVERTISING&SPONSORSHIP CONTRACT BETWEEN Ori the one hand Race World 011s)ore, LLC the Inaugural RWO 7-Mlle Offshore Grand Prix (hereafter called "the ORGANIZER"), tesponsibie for the organization and running of the offallore Event. And on the other hand, the SPONSOR,representedln this act as I "f l.EowIIs stated In Section A hopin,and declaring to have Ruin lql al capacity to sign this contract, f:DIECf.ARAI WNS ORGANIZER Is responsible for hosting and organizing the Inaugural RW0 7-Mlle Offshore Grand Prix that will take place In Marathon, Florida In April 2023,(hereafter,"the Project"). 0 1. Thar SPONSOR,within Its sponsorship and patronage Kttvities.Is Interested In collaborating with the ORGANIZER H. By virtue of that previously declared,both parties mutually recognlse their full capacity and powers to sign this advertising and sponsomlilp contract. which Is subject to the following: LO'1''f Ol:p f S 1. PURPOSE: ByvlrIuc of Ilie ptesent conlracl,the ORGANIZER is comm it led to provide adveitIOntyrnwkelinglprumollun services in l)enefil of Ilse SPONSOR asoesullxYl In the I hit dart We t her claIter,and the SPONSOR Is conlmll led Iu swInsorllie prolmI wilit the payment of ill(,spwmomIiip lee lit the second articlo hereafter.. 0 If. SPON50RSHIP FEE: r= 0 The SPONSOR underlakn to settle with the ORGANIZER the amount of US Dollars as referred in'Secliun Win lavorol the ORGANIZER This ainlount will be settled by means of a check to Ihr ORGANIZER of whkh the beneficiay is as menlltmed in'Seclxun C'herein to C' III,A01'ER'rISIN(UAI.,U(Krl'IN(IH'ROPIO'1'10N RICH I'S: I'lo n the 11111111r'lll 11111 prBa°,�6lo�omkj,0 Lmtco tail cllea'allll kilml it,Iclin0a.&limt,1,=Valmilara"af lot Illy slmll ioide l'ormillel'.I lls 006ANIZE,R ill cnI1 milted k1§ 'low n pulf.g.11anl',llc:p1,1111nic twovlllflip+01Y IMAM millill[hrlll's lir.dI'll-lell1I41u 11kill]'1`011 fluV-111d duling.dl 11w i,lq%lratiuu, otl gmllrllil11 oju v'Ind u;r•p hlmlml pha,c,,hl,llwam,i4 a 111FC41144n td dldl haand,louutaaany n.nnc aml lLogo un lily jwlooed hnkllnlc%,pwlk's'ed4tog=.ularkenognaod on.au}'tiIllct IIrtonIN005 limn Is l4aadl,lanl nr ealnal ha cd,alsowr%rill the potic,a.matnlydimv mill time Icim"'N dellsuaaldl fs,,nhnI till the SPONSOR. a,nleoktia,and In g,oii,m pa,k 1Fa 1+are:lw,n 0 for 161,cmilract. I he G'0NS(;1)t,will wild Ills nik'alid(laud.vd.lkir Ihr u,r all then Ingo If nccdcnl,In Hit-ORtdAN1011, whom hill re,istA the linn1.11 and � rpa,',l" pcah(1n,lh•ItllwSPON1'OU Gr1I11111.alld,lit Il-Ka111111 I ltrh htl;ualld wlllllalll title.llrp,elldlllg 4111 ltv€pk„'bCtpinsl&4f a11111g w illl ill lick'br and,and I41g11k,the logo will Inc vkl.bK*I In,liv ili'l'illimi Ilutgo 9ining the%.line.Calk• AD wmminncnil III SPONSOR will(.tide twill ckpft WWII,mil a ell%mill1c,lion.Slluluol''1111,lklmll111r• e I he SPOWA)R,will prermmclnnenl Iiom ORGANIZER.I,entitled In announcr Anil pu6h,h 11101 p.uurlpaLlnn in the pulled hylllnr own maul+ (714 IV.ORGANIZATION ANI)UEVI7.01'M1II N'r0f'1'114:PR01fCT: ORGANIZER willmilinvelhcpinpcdbyilsuwalmean,,al"I11- Illslhcre,pun,lhllily ill 1he4line 01(GANI%NRwilldr ,,Ir Ill the pngeclalllnuneuand:n1n1a1rual >- ic,aurcc,11mi are n(ce„,n),k-r Injhlliug ollttt live,,and will meet all rxpol,c,and coal hlrt l lnl fill the�anlc. V. col-YRIGlll'Or'1'1 Ill SPONSOR: Mine lit the 11almmil,ollhl%11i"Lillcnuu'arl,ullrudrl aimu.uxnu„umnlnyrsrlghlorlulclkcln.111nvurl,hlpnlduSl'ONSUR l„ 1'I.UUItA'1'10Nt 0 I he prc•,n11 cllllllarl will ra111r 1111u elicit till the 41%(11 IH slgnatlur mill will n1a1n1aul It.vanduy, nulil the=lull dAlr,.the Ikclnratlral lirml Name i,due h1 he U cundudcxf,a,I,expn•, imdedatalloukillhl,conlrarl CL Ncvellhcle.,,If Im Ili)trawn the rare eveul ha,1I1-1❑11101LI xl kill 11141 dale,thl,cuulrarl will nl.dnlaul tl,valldlly until the rill lit ag olhclal aal.ol'the pnak•cl 1'I Lk1.SOLUI'10N: hiding the sandtly nl till%cuulracl,it either ill the pal licJnr.k'llc,uue uI ulolcul Ihnl uhtigalion,,the ulhel Ill ay clxluw hclwrcn.lcul.unhng lugdcnlcwaunu rn 0 '011cincnt ill the c,lnll.10,wtlh Indeulully In1 rlanlit;c"Ind lalyulrul of Inlelc,l,In tenth caw,. II'IinlurieulalnncIra"llikeilhclpally1%mlahlc Ill mcclw•1lhlhclnlhhgAliau,,,ucha,nrldllcl,hurlhallCl,Ck andunpr,lrllheln Ill JLI111,I1i111dJ111f with tile 0 cundlllnu,and 6,lcs,en wiln4llle alfecled 11.111)will Ile exrmlunl whllc.och a cumhlgemc, lad,and Al uhllyalion,wIll Ik Ir e,lahhdlcd Ig1un the conclu,lnn ill the CL 41111C 0 IX. CANCELLATION In the event of cancellatlon or termination of Oils ParlklpatOn Contract by the SPONSOR,the SPONSOR shall pay to the ORGANIZER cancellation charges at the following rates: 1. Cancellation more than 90 days before the film day of the event •50%of contract price 2. Cancellal Ion 60 to 90 days before the first day of the event-75%of contract price CIL 3. Cancellation less than 60 days before the first day of the event- 1WK.of contract price X. APPLICABLE LAWAND JURISDICTION: r0 This contract Is governed by State of Florida Law.Both parts Intervene with express renunciation toanlyjurlsdktlon that could correspond to thenl.lo l" submit the controversies that might arise concerning the Interpretation or fulfilment of this contract,to thejurlsdictlon and competence of the courts 0 and pertalnlllg to Florida.And In proof of conformlly of all that proceeds,both parllas'sign INS contract In duplicate and to one sole effect and on the 0 date Indicated below. rA a I 0 5ignalurc Siondlule Richard Strickland Name Name: Richard Strickland Approval Date Exec.Dir.of Airports BOCC I"osilion Ip,zka:� I osilion: p I.olv 0 13 2 2 2 3 Hard; Plate: Key West,Florida Packet Pg. 2649 J.2.b RESOLUTION NO. 123 —2021 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA DELEGATING AUTHORITY TO THE DIRECTOR OF AIRPORTS AND APPROVING THE USE OF KEY WEST INTERNATIONAL AIRPORT ENTERPRISE REVENUE FUNDS TO BE USED FOR PROMOTIONAL SPONSORSHIPS. WHEREAS, Florida Statute 331.20 grants to the Board of County Commissioners the right,power,and authority to publicize, advertise,and promote the activities of its airport in order to make known the advantages, facilities, resources, products, attractions, and attributes of its airport; and WHEREAS, the Department of Transportation, Federal Aviation Administration has promulgated the Policies and Procedures Concerning the Use of Airport Revenue in the Federal Register at 64 Fed. Reg. 7696, February 16, 1999, and 0 CL WHEREAS, the Policies and Procedures Concerning the Use of Airport Revenues lists the permitted uses of airport revenue and includes, among other things, the full costs of activities o - -&,ected towards promoting public and industry awareness of airport facilities and services; and WHEREAS, Key West International Airport has sponsored community organizations cN and community events from Key West High School to the Naval Air Station Key West Air Show to the Wounded Warrior Ride; and T- c14 WHEREAS,community involvement and community outreach through paid sponsorships of community organizations help effectuate the purposes of F.S. 331.20 and promotes and engenders goodwill toward the airport and the county; and 0 WHEREAS, the board desires to set forth a policy permitting the use of airport enterprise revenue funds to support community promotional sponsorships; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA: Section 1. The Monroe County BOCC (The Board) desires to establish a positive relationship with the community and Key West International Airport. Section 2. The Board finds that promotional sponsorships which raise the goodwill toward the county by making known the advantages, facilities, resources, products, attractions, 1 Packet Pg. 2650 J.2.b and attributes of the Key West International Airport and/or the Florida Keys Marathon International Airport serve a public purpose. Section 3. In furtherance of this resolution, the Board incorporates the rationale set forth in the memo attached as Exhibit A as if fully set forth herein. Section 2. The Board hereby delegates to the Director of Airports the authority to publicize, advertise, and promote the activities of its airports; to make known the advantages, facilities,resources,products, attractions, and attributes of its airport;to create a favorable climate of opinion concerning its airport and to cooperate with other agencies, public and private, to accomplish these purposes. Section 4. Expenditure thresholds shall be based on the level of anticipated community outreach(community exposure). "Community exposure" shall be defined as the total number of individuals the outreach activity is estimated to reach. The Board hereby authorizes sponsorship expenditures to publicize, advertise, and promote the activities of its airport in the following amounts: CL Rate of Community Maximum Director Expense Exposure Up to 5,000 people $5,000.00 5,001 to 10,000 people $10,000.00 Greater than 10,000 $19,999.99 CN PASSED AND ACCEPTED by the Board of County Commissioners of Monroe County, CN Florida, at a meeting of said Board held on the 17th day of March, 2021. 3 . CN w -ten Mayor Michelle Coldiron yE5in w Mayor Pro Tern David Rice Commissioner Craig Cates _ U) 67, Commissioner Eddie Martinez Yew w �s Commissioner Mike Forster Yes w r r" '# L "._ .,�`� BOARD OF COUNTY COMMISSIONERS IN MADOK, Clerk OF MONRO Byq By As Deputy Cleric Mayor Michelle Coldiron NRQ FAB EY2 P AS NTY ATTORNEY Date 3/2/21 Packet Pg. 2651 J.2.b EXHIBIT A Ivey West International Airport. 3441 South Roosevelt Boulevard Key West,Florida 33040 AIRPORT MEMO C From: Erick D'Leon,Asst. Director of Airports To: Richard Strickland; Beth Leto Date: October 30, 2020 0 Re: Airport Promotion and Community Relations U) a 0 CL en Introduction The Key West International Airport is a substantial component of the Key West community and offers the island's most significant economic engine with a combined annual economic output totaling$856 million.As the Airport continues to exhibit rapid growth trends in every aspect of its operation, it is CN imperative for the Airport to maintain a positive relationship within its small island community.This is accomplished by strategic community outreach efforts to ensure that all citizens are aware of the Airport and express a favorable opinion of the Airport's successful future.Although generally intangible, maintaining a community relationship that promotes a positive airport outlook ensures that the Airport Q can continue to prosper efficiently and effectively within the physical and sociological limitations of N operating on an island. 0 Background 0 The Federal Aviation Administration(FAA)deems that public use airport's expenditure of funds for the promotion of an airport and marketing of airport services are legitimate costs of an airport's operation. ; Additionally,the FAA entrusts airport management to assure that the level of expenditures for such —purpnses be reasonable in relation to the airport's specific financial situation. c� Airport funds may be used to support community activities,or community organizations, if the expenditures are directly and substantially related to the operation of the airport. In addition,the policy provides explicitly that where the amount of the Contribution is minimal,the airport operator may consider the"directly and substantially related to air transportation"standard to be met if the contribution has the intangible benefit of enhancing the airport's acceptance in local communities impacted by the airport. Packet Pg. 2652 J.2.b As a point of reference,the Key West international Airport,like many other commercial airports, through a combination of Federal,State,and Airport generated funds,maintains a federally mandated Noise Insulation Program (NIP)for eligible family residences.The NIP has expended substantial funding to lessen the impact,and associated burden,of aircraft noise to single family homes and multi-family condominium facilities in Key West by way of noise insulation efforts.The multi-year program creates a cohesive environment in which the Airport and its numerous operations are an accepted part of the community's daily function. Community Relations CL Recently the Airport announced plans to pursue a major capital improvement plan combining millions of dollars in development to completely overhaul the manner in which the Airport operates.The improvements,developed to meet air service demand, include a new terminal concourse and significant roadway improvements to streamline and improve the passenger experience. I- However,as the Airport continues to make significant strides in air service development,which supports the community's tourism based economy,the island of Key West is home to only twenty five thousand permanent residents. In a small town community,such as Key West,the importance of a grass roots effort to establish a positive community relationship cannot be overstated.That relationship is fostered o C through strategic efforts that focus on hosting community events, public outreach presentations,key CL marketing efforts,and the encouragement of constant feedback from the community through ad-hoc LO committees and other public forums. The Airport has historically selected the neighboring Key West High School Athletics Department as a recipient of an annual sponsorship.The sponsorship offers tangible and intangible benefits to the operation of the Airport.While the relationship benefits are intangible,the tangible benefits of hometown marketing are of incredible value to the Airport and a critical focus to all promotional marketing efforts. The local community is vital to the future success of the airport. Utilizing simple marketing efforts such N as banner advertisements and other key signage, local event programs and print media,and radio N advertisements are all part of a larger effort to continually keep the local community involved with the N Airport.Therefore,the participation with local groups such as the Key West High School Athletics Dept., 0 a local non-profit youth athletics dance association,or a wounded warriors ride,the effort ensures the Airport maintains a positive position within the growth and daily life of the community that supports the 0 Airport's operation. State and Federal Guidance As-prevrausly stated,the FAA offers clear guidance on haw revenues used for promotional/marketing efforts,and revenues used for donations to charitable/community service organizations are classified as permitted uses.The guidance can be found in Federal Register/Vol.64,Pgs. 7696-7723,Polity and Procedures Concerning the Use of Airport Revenue. Additionally. Florida Statute 331.20 empowers the BDCC to expend funds to publicize and promote the airport and its related facilities, and to create a favorable climate of opinion in the interest of promoting and engendering goodwill toward its airport. Packet Pg. 2653 J.2.b Policy Request We request to clarify that promotional,marketing,and community outreach efforts in addition to charitable donations are,as defined by existing state and federal guidelines, part of the Airport's normal operating expenses. Included in those expenses,the Airport will focus on the following categories to pursue effective community relations: Membership: industry, Economic Development, &Other Associations Partnership: Education, Military,&Other Agencies Sponsorship: Youth Development,Tourism,Economic Development,Government Relations, Community,Leadership, Diversity& Inclusion As with all other operational expenses,as these expenses are defined by the FAA,the Airport Director will be provided with the same liberties that are afforded with tither aspects of the daily duties associated with the operation of the Airports. However,due to the nature of procurement for event specific memberships, partnerships,or sponsorships,as they may occur, it is not feasible to adhere to U) standard County procurement policies for multiple price quotes. In these cases,the Airport Director will CL adhere to the Monroe County Purchasing Policy guidelines for purchasing authority with relation to the LO purchasing levels for total dollar amount requested. 0 Additionally, as defined by the FAA, airport management will assure to the BOCC that the total amount of expenditures for such purposes would be reasonable in relation to the airport's specific financial situation.The specific level of director approved expenditures will be based on the level of exposure the expense will provide. For example, if the expenditure will offer a small amount of exposure, up to five cN thousand people,for the airport,the expense will be limited to five thousand dollars. If the expense will >` offer a medium amount of exposure,five thousand to ten thousand people,the expense will be limited to ten thousand dollars. If the expense is expected to offer the Airport a significant amount of exposure, Q greater than ten thousand people,such as with major events, partnerships,or marketing campaigns for air service,the expense will be limited to nineteen thousand nine hundred ninety nine dollars and ninety N nine cents;see below chart. 0 0 U) [2Rate of Exposure Maximum Director Expense o 5,000 people $5,pp0Op to 10,000 people $10,000.00ter than 10,000 $19,999.99 Additionally,significant exposure expenses over the Director's procurement authority will abide by the policies and procedures already outlined within the County's purchasing policy,with regard to County Manager approval and/or BOCC approval. Packet Pg. 2654