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Miami-Dade
Legislative Item File Number: 261157 |
Printable PDF Format
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| File Number: 261157 | File Type: Resolution | Status: In Committee | ||||||
| Version: 0 | Reference: | Control: Pending Department Assignment | ||||||
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| Requester: Strategic Procurement | Cost: | Final Action: | ||||||
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| Sunset Provision: No | Effective Date: | Expiration Date: | ||||||
| Registered Lobbyist: | None Listed |
Legislative History |
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| Acting Body | Date | Agenda Item | Action | Sent To | Due Date | Returned | Pass/Fail |
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| County Attorney | 6/25/2026 | Assigned | David M. Murray | 6/25/2026 | |||
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| Carladenise Edwards | 6/24/2026 | Assigned | Office of Agenda Coordination | ||||
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| Office of Agenda Coordination | 6/24/2026 | Assigned | County Attorney | 9/1/2026 | |||
| REPORT: | SPD - CAO Assignment: None - no sponsor - pending July cmte - Attachment: Lease - item has 215 | ||||||
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| Legislative Text |
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TITLE RESOLUTION APPROVING AWARD OF A COMPETITIVE REVENUE-GENERATING CONTRACT, CONTRACT NO. EVN0028376, CONCOURSE K CONCESSION PROGRAM AT MIAMI INTERNATIONAL AIRPORT, TO OTG MIA VENTURE, LLC WITH PROJECTED REVENUE OF $62,200,000.00 FOR AN INITIAL 11-YEAR TERM AND ONE, ONE-YEAR OPTION TO RENEW FOR MIAMI-DADE AVIATION DEPARTMENT; AND AUTHORIZING THE COUNTY MAYOR OR COUNTY MAYOR�S DESIGNEE TO EXECUTE THE AGREEMENT AND TO EXERCISE ALL PROVISIONS OF THE CONTRACT, INCLUDING ANY CANCELLATION, RENEWAL, OR EXTENSIONS, PURSUANT TO SECTION 2-8.1(B) OF THE CODE OF MIAMI-DADE COUNTY, FLORIDA AND IMPLEMENTING ORDER 3- 38 BODY WHEREAS, this Board desires to accomplish the purposes outlined in the accompanying memorandum, a copy of which is incorporated herein by reference, NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that: Section 1. This Board authorizes award of a competitive revenue-generating contract, Contract No. EVN0028376, Concourse K Concession Program at Miami International Airport, in substantially the form attached and made a part hereof, to OTG MIA Venture, LLC with projected revenue of $62,200,000.00 for an initial 11-year term and one, one-year option to renew for the Mami-Dade Aviation Department. Section 2. This Board authorizes the County Mayor or County Mayor�s designee to execute the agreement and exercise all provisions of the contract, including any cancellation, renewal, or extensions, pursuant to section 2-8.1 of the Code of Miami-Dade County, Florida and Implementing Order 3-38, except that the County Mayor or County Mayor's designee shall not approve any changes in concession concepts from those specified on pages 75-125 of the OTG Proposal (The Miami Experience by OTG), or from any proposed subcontractor for which OTG included a Letter of Intent in its proposal, without the prior approval of this Board. HEADER Date: To: Honorable Chairman Anthony Rodriguez and Members, Board of County Commissioners From: Daniella Levine Cava Mayor Subject: Recommendation to Award a Contract for a Lease and Concession Agreement for Concourse K Concession Program at Miami International Airport STAFF RECOMMENDATION Executive Summary This item is for the award of a revenue-generating lease and concession agreement for the development and management of high-quality, reasonably priced specialty retail and food and beverage concessions within the upcoming Concourse K at Miami International Airport (MIA) for the Miami-Dade Aviation Department (MDAD). The contract provides for the development and management of 17 retail and food and beverage concession spaces encompassing approximately 19,073 square feet in the upcoming Concourse K and is projected to generate approximately $62,200,000 in revenues to MDAD over the term of the agreement. This item directly advances MDAD�s vision for the reimagined and revitalized Concession Program in Concourse K which is one of a forward-thinking, multi-purpose, aesthetically vibrant, culturally relevant and experiential collection of retail and dining touchpoints, building upon the award-winning and critically acclaimed concessions program in the South Terminal. Furthermore, this item supports MIA�s Modernization in Action initiative by advancing the airport�s comprehensive effort to modernize terminal amenities, elevate the passenger experience, and strengthen non-aeronautical revenue streams as part of its long-term Future-Ready transformation. The Concessionaire will be expected to develop the awarded spaces by providing financing, design, leasing, tenant coordination, construction and property management of the concession locations. Approval of this item enhances MIA�s role as a leading global gateway by aligning customer experience enhancements with strategic revenue generation, while reinforcing MDAD�s commitment to delivering modern, dynamic, and passenger-focused concessions. Recommendation It is recommended that the Board of County Commissioners (Board) approve a competitive contract award, Contract No. EVN0028376, Concourse K Concession Program at Miami International Airport, to OTG MIA Venture, LLC with projected revenue of $62,200,000 for an initial 11-year term, consisting of two years for construction and nine years for operations, and one, one-year option to renew for MDAD. Background A Request for Proposals was issued under full and open competition on August 5, 2025. On the closing date of November 17, 2025, the County received four proposals, including two from local firms. Upon reviewing the proposals received, staff identified potential responsiveness issues and requested a legal opinion. On December 22, 2025, the County Attorney�s Office (CAO) deemed three proposals non-responsive, as they all failed to submit a revenue proposal. Two evaluation meetings were held for the responsive proposal on January 9, 2026 and January 21, 2026, including an oral presentation. Negotiations commenced on February 27, 2026, and concluded on May 5, 2026, resulting in refinements to contract terms after several rounds of discussion with the vendor. Significant effort was dedicated to ensuring that contract provisions addressed uncertainties associated with the long lead time before the concourse opens in 2030 while ensuring that the overall agreement remained consistent with MIA�s standard concession lease agreement standards. A copy of the Coordinator�s Report is attached. MIA�s capital improvement project encompasses many projects that will expand, modernize and construct new terminals, concourses, tamps, runways, parking structures, restrooms and a hotel at MIA. The expansion of the existing South Terminal will include the construction of a new Concourse K which will include new concession spaces which are expected to be available by 2030, subject to the existing construction schedule. This contract provides for the development of 17 concession spaces in Concourse K including financing, design, leasing, tenant coordination, construction and property management of the facilities. These 17 spaces shall consist of 11 food and beverage concessions and 6 retail concessions. The Concessionaire shall manage all aspects of the Concessions Program including, but not limited to, lease administration, performance monitoring and compliance, daily operations, financial reporting, rent collection, and customer experience in order to meet the objectives of the Concourse K concession program. These objectives include maximizing terminal space to enhance customer experience and generate non-airline revenue and to meet and exceed current and future passenger expectations; designing and developing concession locations that are cohesive and congruent to MIA�s updated design; planning, developing, and implementing high-quality, innovative, customer focused concessions operations; establishing a balanced mix of local, regional, national, and international brands that reflect Miami-Dade�s cultural identity; and ensuring strong performance in meeting these goals. Scope MIA is located within District 6, which is represented by Commissioner Natalie Milian Orbis; however, the impact of this item is countywide in nature. Fiscal Impact/Funding Source There is an estimated positive fiscal impact to the County for the initial 11-year term of $55,800,000. Should the County choose to exercise, at its sole discretion, the one, one-year option to renew, the estimated cumulative value will be $62,200,000. The projected revenue is based on the vendor providing a percentage fee of 18% for alcohol sales and 12% and 14% for all other retail and food and beverage sales, respectively. Department Projected Revenue Funding Source Budgeted MDAD $62,200,000 Revenue Generating FY 2025-26 Adopted Budget, Volume 3, Page 203 Contractual Services Total $62,200,000 Track Record/Monitor Marie Williams of the Strategic Procurement Department (SPD) is the Procurement Contracting Manager. Delegated Authority If this item is approved, the County Mayor or County Mayor�s designee will have the authority to execute the agreement and exercise all provisions of the contract, including any cancellation, renewal, or extensions, pursuant to Section 2-8.1 of the County Code and Implementing Order 3-38. Vendor Recommended for Award Pursuant to Resolution No. R-477-18, the highest-ranked proposer is recommended in accordance with the method of award per the solicitation and is non-local. Vendor outreach efforts included contacting vendors identified through market research, posting the draft solicitation on the County�s Future Solicitation website for vendors to preview and highlighting the solicitation during MDAD�s Minority Affairs Division�s How to Do Business with MIA/MDAD event. Vendor Principal Address Local Address Number of Employee Residents Principal 1) Miami-Dade 2) Percentage* OTG MIA Venture, LLC^ 352 Park Avenue 10th Floor New York, NY None 0 Christopher J. Redd 0% *Provided pursuant to Resolution No. R-1011-15. Percentage of employee residents is the percentage of vendor�s employees who reside in Miami-Dade County as compared to the vendor�s total workforce. ^The joint venture partnership is comprised of OTG Concessions Management (50%) and KFIT F&B Holdings II, LLC (50%). Vendors Not Recommended for Award Vendor Local Address Reason for Not Recommending Blue Mountain Coffee House No Deemed non-responsive by the CAO (opinion attached) Cheeseburger Baby Sobe, Inc. DBA Cheese Burger Baby Yes Munz Co-MitbahLab- Mr.Edd.CocktailCeviche Gourmet, LLC Yes Due Diligence Pursuant to Resolution No. R-187-12, due diligence was conducted in accordance with SPD�s Procurement Guidelines to determine vendor responsibility, including verifying corporate status and that there are no performance and compliance issues through various vendor responsibility lists and a keyword internet search. The lists that were referenced included convicted vendors, debarred vendors, delinquent contractors, suspended vendors, and federal excluded parties. There were no adverse findings relating to vendor responsibility. Pursuant to Resolution No. R-252-25, this type of lease and concession agreement is not a good candidate for piggybacking opportunities as the MIA Concession Program has requirements that are specific to MIA and the County is seeking concessions that are specifically tailored to the upcoming Concourse K. Applicability of Ordinances and Contract Measures � The two percent User Access Program does not apply. � The Small Business Enterprise Selection Factor and Local Preference do not apply. � The Living Wage Ordinance applies. Attachment ___________________ Roy Coley Deputy Mayor |
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