Miamidade Plans To Sell Rights To Countys Beverage Vending
Written by Frank Norton on June 20, 2002
By Frank Norton
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Miami-Dade County is launching a marketing program to sell exclusive beverage-vending rights to a corporate sponsor.
How and when are still to be determined.
The plan, hatched by the Miami-Dade Office of Performance Improvement as part of an effort to increase county revenues, won narrow approval Tuesday from commissioners.
Kevin Lynskey, assistant director of performance improvement who helped write the proposal, said the plan enables the county to tap additional revenues from exclusivity and machine-placement fees on top of percentages of gross earnings.
The county now has contracts with five beverage vendors, which together generate a return of about $360,000. An exclusivity fee alone would generate millions of dollars a year, Mr. Lynskey said.
The annual budget earmarked for his department, with a mission to increase efficiency and effectiveness of county operations, is about $1.36 million.
Though commissioners voted 6-5 to grant the county the option to bid out marketable assets, the terms of the beverage vending contract will later be determined by the county.
The commission deferred an accompanying proposal to hire the Cleveland-based Superlative Group to negotiate and consult the sponsorship-vending deal after attorney Simon Ferrow with Greenberg Traurig argued against the measure.
Assistant County Manager George Burgess, who sat in on the commission’s review, said certain board members were concerned with the way the consulting contract was written. He said commissioners were particularly concerned that Superlative would retain an ongoing percentage of proceeds from the naming and machine-placement fees being designed to build the county’s, not a consultant’s, revenue structure.
"We’re going to revisit that issue make sure our compensation is worked out appropriately," Mr. Burgess said, adding that the consulting proposal will come back to the commission after July 9.