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INDEX
MINUTES OF OMNI COMMUNITY REDEVELOPMENT AGENCY MEETING
December 16,1996
ITEM SUBJECT LEGISLATION PAGE
NO. NO.
1.
APPROVE MINUTES FROM OCTOBER 28,
DISCUSSION
2-3
1996 MEETING.
12/16/96
2.
APPROVE AMENDED / RESTATED
OMNI/CRA 96-
3-5
ADDENDUM II TO OMNI REDEVELOPMENT
11
PLAN AS PRESENTED.
12/16/96
3.
DISCUSS MANAGEMENT OF COMMUNITY
DISCUSSION
5-9
REDEVELOPMENT AGENCY -- RETURN
12/16/96
MANAGEMENT UNDER CITY MANAGER'S
ADMINISTRATION -- SOLICIT MORE
COMMUNITY PARTICIPATION --
DISCUSSION.
4.
AUTHORIZE SALE OF MARGARET BROWN
OMNI/CRA 96-
10-12
APARTMENTS (269 N.W. 8 STREET) TO
12
BAME DEVELOPMENT CORPORATION OF
12/16/96
SOUTH FLORIDA -- CONTINUE TO USE SAID
PROPERTY AS LOW INCOME RENTAL
HOUSING FOR AREA RESIDENTS.
5.
AUTHORIZE SALE OF BLOCKS 25 & 36
OMNI/CRA 97-
13-19
BETWEEN N.W. 8 & 10 STREETS AND N.W. 1
13
& 2 AVENUES TO ST. JOHN'S COMMUNITY
12/16/96
DEVELOPMENT CORP. AND RELATED
HOUSING OF FLORIDA INC. -- FOR
DEVELOPMENT OF TOWNHOMES SUBJECT
TO TWO APPRAISALS.
6.
DISCUSS / DEFER CONSIDERATION OF AG7
OMNI/CRA 96-
19-22
(PROPOSED PROFESSIONAL SERVICES
14
AGREEMENT WITH NATIONAL
12/16/96
DEVELOPMENT COUNCIL, INC. -- FOR
STIMULATING ECONOMIC & HOUSING
DEVELOPMENT -- FURTHER, REQUEST CITY
ADMINISTRATION TO RESEARCH WHETHER
SIMILAR JOB CAN BE DONE UTILIZING IN
HOUSE TALENT, IF NOT ABLE TO, RETURN
ITEM FOR CONSIDERATION AT NEXT CRA
MEETING
a
7.
AUTHORIZE OBTAINING APPRAISAL
OMNI/CRA 96-
22-23
SERVICES FOR CRA OWNED PROPERTY AT
15
75 N.W. 8 STREET ( ARENA TOWERS )--
12/16/96
FROM QUINLIVAN APPRAISERS AT $2,000
COST.
8.
INDICATED APPROVAL: 1 / 21 / 97 OMNI CRA
DISCUSSION
24
AND 2 / 18 / 97 SOUTHEAST OVERTOWN
12/16/96
CRA MEETINGS,
9.
ESTABLISH 14 MEMBER ADVISORY
OMNI/CRA 96-
24-33
COMMITTEE FOR COMMUNITY
16
REDEVELOPMENT AGENCY -- FURTHER,
12/16/96
APPOINT TO SERVE IN SAME: ELEANOR
KLUGER / FRED JOSEPH / JORGE ESPINEL /
PETER HOUSEWORTH / BARRY
CUNNINGHAM / PATRICIA CARBONELL /
ROLAND HOWELL / CAROL ANN TAYLOR /
STANLEY KRIEGER / LIETE LOPEZ / OLGA
GUILARTE / RON CANTWELL / JOHN
HARALAMBIDES / PHILLIP YAFFA.
10.
APPROVE ADDENDUM II OF OMNI
M 96-937
33-34
REDEVELOPMENT PLAN
12/16/96
MINUTES OF OMNI COMMUNITY REDEVELOPMENT AGENCY
MEETING OF THE
BOARD MEMBERS OF MIAMI, FLORIDA
On the 16th day of December, 1996, the City Commission of Miami, Florida, met at its
OMNI Community Redevelopment Agency meeting place in the
The meeting was called to order at 7:09 p.m. by Board Member Tomas Regalado with
the following board members were found to be present:
Board Member Wifredo Gort
Board Member Tomas Regalado
Board Member J.L. Plummer, Jr.
ALSO PRESENT:
Herb Bailey, Executive Director
Robert Friedman, CRA Attorney
Maria J. Argudin, Assistant City Clerk
ABSENT:
Board Member Joe Carollo
Board Member Humberto Hernandez
Walter J. Foeman, City Clerk
COMMENTS MADE PRIOR TO MEETING:
Board Member Plummer: Our meeting is being recorded, Mr. Bailey. The thing that keeps
reoccurring and never happens is in reference to an Advisory Committee. We spoke about it at
the last meeting, and the last meeting, and the last meeting. And, I thought we were going to
appoint at the last meeting and then there's nothing on this agenda about it. And I guess my
question is, when?
Mr. Herb Bailey (Executive Director): An advisory committee?
Board Member Plummer: Well, what would you call it? An advisory committee, a local
neighborhood committee, ten people. What was the terminology?
Mr. Fred Joseph: Yes, that was the basic name of it. The Advisory Board, you asked to be
seated and...
Board Member Plummer: All right, you've got a different terminology...
Mr. Joseph: ... and Mrs. Kluger. Eleanor is on her way. And she did have, selected ten names.
And...
Board Member Plummer: Well, but see, it's not on the agenda.
1 December 16, 1.996
Mr. Joseph: I am sorry. That maybe, but I thought she would have gotten something to Mr.
Bailey by now. But we do have the ten people, so I am sure she will present it tonight.
i
Board Member Regalado: We must also, J.L., we had on the agenda last meeting the new
chairmanship of the CRA (Community Redevelopment Agency). And since we did not have any
appointments, so I guess that we didn't take that issue. So we will on the 19th, I guess.
Board Member Plummer: That's fine.
Mr. Joseph: There she is.
Board Member Plummer: Well, just hold. If we're going to discuss the item, my question was
simply because it's not on the agenda, is the reason I was asking the question.
Mr. Bailey: We can normally take it up under "other."
Board Member Plummer: OK. It will be item number ten, with the title of "Other."
Ms. Eleanor Kluger: Great. I'd like that.
Board Member Plummer: It is a catch all.
Board Member Plummer: You've got an extra copy of the "so called" ten people?
Mr. Bailey: Yes.
Ms. Kluger: Yes, sir.
Board Member Plummer: Can I see.it, please?
Ms. Kluger: Can we go ahead with the meeting?
Board Member Plummer: No, we don't have a quorum. We can't go ahead with the meeting.
Mr. Joseph: Here we go, we've got a quorum. We've got a quorum.
NOTE FOR THE RECORD: At this point, 7:09 p.m., Board
Member Gort enters t e CRA (Community Redevelopment
Agency) meeting.
- -------------------------------------------------------------------------------------------------------------
1. APPROVE MINUTES FROM OCTOBER 28, 1996 MEETING.
Board Member Tomas Regalado: Well, now that Commissioner Gort is here, he is going to lead
us in the pledge of allegiance.
Board Member Plummer: Vice Chairman, I move the approval of the minutes of October 28th
and November 18th, if they are available.
2 December 16, 1996
Maria J. Argudin (Assistant City Clerk): No, I am sorry, we're only going to do October 28th.
Board Member Plummer: I so move.
Board Member Wifredo Gort: Second.
Board Member Regalado: OK, there is a motion by Board Member Plummer, second by Board
Member Gort. All in favor, say "aye."
The Board Members (Collectively): Aye.
-------------------------------
APPROVE AMENDED / RESTATED ADDENDUM II TO OMNI
REDEVELOPMENT PLAN AS PRESENTED.
----------------------------------------------------------------------------------------------------------------
Board Member Regalado: There was an important issue in the last meeting and Commissioner
Gort took the task of getting together with Dade County officials. So, he will have a report for
you in regards to this issue that has been dragged for so many years. So, Commissioner Gort.
Board Member Gort: Thank you. We had a meeting with the Assistant City Manager in charge
of the Director of Finance. And my understanding is, the differences that we had were based on
some of the opinions from our attorney and their attorneys. And my understanding is, they came
up with a solution and we need to take this... There are some changes that need to be done and
I'll let Herb explain it, go over it.
Mr. Herb Bailey (Executive Director): We made all of the changes and the most important
changes was to change the item that said one million dollars ($1,000,000) in the amendment, to
one point four three ($1,400,300) to equal the same amount that was in the interiocal agreement.
There were some other little items that were not too significant, but we made those changes
anyway. For instance, the People Mover stop has been built and we have some reference and
documents that it was one of the items that was going to be completed. Just mostly grammatical
adjustments. The County's Attorney and our attorney and staff, we've all agreed to these
changes and we have a document that we think, in fact we know, will pass. All we need is to
have your approval tonight. The most significant one was to get the money to agree, that was
what was holding up most of everything else.
Board Member Plummer: And they fully understand that the revenue problem is still a problem?
Mr. Bailey: Yes, yes.
Board Member Plummer: And just for the record. Regardless of the amount of money that is in
fact collected in any 12 month period, it's the maximum that they can receive and it will not
exceed a million two ($1,200,000)?
Mr. Robert Friedman (Community Redevelopment Agency-CRA Attorney): That's correct.
Mr. Bailey: One million four ($1,400,000).
Board Member Plummer: One million four ($1,000,000).
Mr. Bailey: One million four three ($1,400,300), yes.
3 December 16, 1996
i
Board Member Plummer: And it's not accumulative over a period of years, each year stands on
its own?
Mr. Bailey: It's not accumulative over a period of years, no.
Board Member Plummer: OK. Now, are they ready to sign as soon as we agree?
Board Member Gort: They're ready, as soon as we agree. As a matter of fact, one of the reasons
we're doing it today in front of the Commission. So it is my understanding that they can vote on
which meeting?
Board Member Plummer: They have until tomorrow.
Mr. Friedman: They have a meeting tomorrow.
Board Member Gort: ... They have until tomorrow's meeting, eh?
Mr. Friedman: I think that...
Board Member Gort: First reading I think it's going to be...
Mr. Friedman: I think that's Friday.
Board Member Gort: First reading, I think, is going to be tomorrow.
Mr. Friedman: I think that's tomorrow.
Board Member Gort: That's why we expedited this whole thing. If there aren't any more
questions, I'll make the motion to approve.
Board Member Plummer: Second.
Board Member Regalado: OK, there's a motion by Commissioner Gort, and a second by
Commissioner Plummer. All in favor say "aye."
The Board Members (Collectively): Aye.
The following motion was introduced by Board Member Gort, who moved its adoption:
OMNI/CRA NO.96-11
A MOTION TO APPROVE THE AMENDED AND RESTATED ADDENDUM II TO
THE OMNI REDEVELOPMENT PLAN AS PRESENTED AND MADE A PART OF
THE RECORD ON THIS MEETING DATE.
4 December 16, 1996
Upon being seconded by Board Member Plummer, the motion was passed and adopted
by the following vote:
AYES: Board Member Tomas Regalado
Board Member J.L. Plummer, Jr.
Board Member Wifredo Gort
NAYS: None.
ABSENT: Board Member Joe Carollo
Board Member Humberto Hernandez
----------------------------------------------------------------------------------------------------------------
3. DISCUSS MANAGEMENT OF COMMUNITY REDEVELOPMENT
AGENCY -- RETURN MANAGEMENT UNDER CITY MANAGER'S
ADMINISTRATION -- SOLICIT MORE COMMUNITY PARTICIPATION --
DISCUSSION.
Board Member Plummer: Going back to item number three, which we jumped over. The
management of the CRA (Community Redevelopment Agency).
Board Member Regalado: Right.
Board Member Plummer: Just for what it's worth. In talking with the, well I can't him interim
City Manager, but Merrett Stierheim and the new City Manager both have indicated that they
would like to consider bringing the CRA back under the Manager. So I'm merely just putting
that on the record. Whether or not it will actually occur or not, there seems to be some savings
made if in fact it happens. But I just thought that we ought to at least put it on the record that it's
a possibility.
Board Member Regalado: You're very right and I remembered that in the regular Commission
meeting, you asked Mr. Bailey if he had already paid for the rent in the Dupont Plaza Building.
And I think you did Mr. Bailey right? You did pay for until July.
Mr. Bailey: August.
Board Member Regalado: August. So...
Board Member Plummer: It's just for informational purpose.
Board Member Regalado: Right.
Board Member Gort: Mr. Chairman, at this time what I'd like to ask is. I'd like to get like a, if I
ask every change that they requested it. I would like to see the pros and cons of whatever
change. If, what are the pros that are going under the management, and what are the pros that
are staying the way that it is right now. I'd like to get that information in order to make my
decision.
[At this point, 7:15 p.m., Board Member Carollo arrived.]
5 December 16, 1996
Board Member Plummer: Absolutely, absolutely.
Board Member Regalado: Absolutely, absolutely. Anybody here up for discussion on this issue,
or?
Board Member Plummer: Mr. Vice Chairman, it was not in any way to discuss the issue. It was
a matter of informational purposes only. For the purposes of letting everyone know what is
possibly going on. And before whatever takes place, of course it would come before the City
Commission and before the CRA as to whether or not it would be a reality.
Board Member Regalado: Yeah, absolutely. But still if we need to get some input from the
community, we can do it in these meetings too.
Board Member Plummer: Sure.
Board Member Regalado: OK.
Mr. Fred Joseph: Can we ask a question on the CRA?
Ms. Eleanor Kluger: The interlocai.
Mr. Joseph: As far as the interlocal agreement, do you know whether or not this needs another
reading? And if so, is this contract going to be two over confident?
Board Member Gort: My understanding is, the reason we expedited it, is so you would be able
to get the funds this year. And it would have to go into two readings. The first reading
hopefully would have to be tomorrow, the second reading... I don't recall.
Board Member Plummer: The first reading will be in January.
Board Member Gort: The first meeting in January will be the second reading.
Ms. Kluger: It's not December 30th, every year?
Board Member Plummer: No, it does not.
Ms. Kluger: So we still could get our funding?
Board Member Gort: Yes, ma'am. That was my understanding in the agreement we have with
them.
Ms. Kluger: Thank you.
Board Member Gort: And that's the reason why they expedited it and they put it the way they
did.
Board Member Regalado: Any...
Board Member Gort: Item five.
Board Member Regalado: ... more discussion...
Ms. Kluger: Well...
6 December 16, 1996
Board Member Regalado: ... from the management of Community Redevelopment Agency,
CRA.
Ms. Kluger: Well, it's a new proposal to go before the Manager, and none of us have heard
anything about it. So, maybe you all could explain it a little more to our constituents here.
Board Member Gort: Well, that's what I asked Herb to do. That's what he did a while ago.
Herb, do you want to go over it again, please?
Ms. Kluger: No, no, no. Not the interlocal.
Board Member Gort: Oh, OK.
Ms. Kluger: We're talking now about switching the CRA Board to Ed Marquez. He would be
head of... Is that what you're talking about?
Board Member Plummer. Yeah, well, that's... yeah.
Ms. Kluger: That's what I am understanding and I'm...
Board Member Plummer: No, that's what he...
Ms. Kluger: This is something completely different than what we've had for the past year and a
half or two years. How long has this Board been meeting?
Board Member Plummer: Two years.
Mr. Bailey: The CRA Board will always be and has always been the Miami City Commission.
That cannot change. They will always have the responsibility of making decisions as to what
happens in these two redevelopment districts. I think what the discussion is, as it relates to
reorganization of staff for administrative purposes. As you know, the City is going through
some adjustments, and it has been suggested that maybe there might be some savings if the
activity was combined and it was part of the administration. I think Board Member Gort has
asked for some pros and cons and justifications for that. But the City Commission will always
be the CRA Board.
Board Member Gort: Mainly, the question that I asked is... I am fairly new at this. Part of this
that I find out when I've got to get with the County individuals who is the... In the original
contract that we had, our local agreement was the provision that we were going to have the
downtown people mover. Now we have it. So some of those changes had to be done. What I'd
like to see since I was not here in the past, what are the pros and cons under the different
management and that's where we will get a chance to discuss it, when we have all the
documentation in front of us.
Board Member Plummer: I think just for what it was worth department, there was, not a
proposal, but there was an idea that it could be a very cost saving factor. That was the only thing
that I heard.
Ms. Kluger: We of the community don't know exactly what the costs are. We did get a 23
percent reduction that you were going to give. It seems that costing for just facilities was
somewhere around three hundred and ninety thousand dollars ($390,000) a year. It did not
include the staff salaries, and so therefore it could be way more than that. I don't know what
your staff consists of in order to run a CRA Net Office but we have yourself, we have Mrs.
[Nell, we have Judy. I don't know... we have all these people here. You know maybe you could
tell us what we're going to be saving by changing this.
7 December 16, 1996
;C)
Board Member Carollo: They are getting paid by the City members here, but that is a good
question. I'd like to hear from Mr. Bailey what staff we have and how much we're paying
because I am at a loss sometimes.
Ms. Kluger: I never seem to find that kind of information in any of the papers that I ever receive
on any boards.
Board Member Plummer: It was in the budget. The last meeting we had the budget.
Mr. Bailey: We had it in the budget and we have some minute. Our modified budget with
reductions, substantial reductions to the City Manager. I would just like to say in terms of
savings, unless there is something that I am missing, I don't know what saving there would be as
it relates to switching the two City Managers. It's always been under the City Manager until we
had the confrontation with the County that was accusing the City of not holding board meetings,
or CRA Board meetings in the community. There is no difference. I get paid by the City. I still
have a City title. I have three, four other, five other staff people. I have Cassandra Joyce, my
secretary and I have a coordinator for the Overtown Advisory Board. And I have one person
who works on code enforcement. Not really code enforcement but monitoring the code
problems in Overtown. We reduced our budget by 23 percent. We reduced the amount we get
from the General Fund and from the City by 42 percent. So we've already enacted whatever the
savings that were required by other City departments and by our own department, that we
exceeded what other City departments have done. We have six people on the staff. Six people.
Of those six people, we have three people that function with the development side and carry on
all the functions of OMNI and Overtown. We have one person that does the coordinating with
the community group in Overtown. We have one person that we sort of keep monitoring all our
vacant lots to keep them clean, that's our staff.
Board Member Regalado: Mariano.
Mr. Mariano Cruz: Yes, I have a question. It is about money. How much money is the CRA
this year, asking from the CDBG (Community Development Block Grant)?
Mr. Bailey: One hundred and fifty thousand dollars ($150,000).
Mr. Cruz: One hundred and fifty thousand dollars ($150,000).
Mr. Bailey: That's all we get.
Mr. Cruz: That all... And last year, that was the same amount?
Mr. Bailey: Last year, the same amount.
Mr. Cruz: OK. Just for administration?
Mr. Bailey: Goes for administration.
Mr. Cruz: OK, just that.
Mr. Donald Benjamin: There is a couple of things. The first one doesn't have to do so much
with money. But since the CRA started meeting locally, there has been a great deal more
interaction between the community and what's going on. Previously when the Commission, not
the CRA, we never knew too much, and were not able to participate as actively as we have been
during the past months. The second item I am curious about. When there was a transfer of
8 December 16, 1996
assets from the City to the CRA, is that going to change and will that make a difference in how
we do things?
Board Member Plummer: We don't know.
Board Member Gort: That's why I asked. I'd like to see the pros and cons of the move as it
stands right now and what it will be if it was to be changed.
Mr. Bailey: Well, let me just say that the assets still belong to the City of Miami. All we do is
bank it for development and hope that we can turn those properties into a more viable asset in
terms of tax producing, as it relates to the City and some places where development has not
taken place. The CRA is the City of Miami. We're just as much as the City of Miami as the
City Clerk's Office, the City Attorney's Office, Offstreet Parking. And every decision that is
made with those assets is made by the City Commission, which sits as the CRA, which is
something that was required by the County and the statutes. It just has a different designation
because of the state statutes as it relates to the taxing and spending of monies. We're still the
City of Miami and it's all the City's assets.
Mr. Benjamin: I have one more question. I understand somewhere along the, in the ordinance
or whatever, there is a possible, a requirement that there could be non -City Commission people
placed on the CRA. Is that a fact, and is that a possibility?
Mr. Bailey: The ordinance that the County passed states that the City Commission has to be the
CRA. Any changes in that would require County approval. The CRA can appoint advisory
board members but in a decision as it relates to the CRA, will have to be made the City
Commission which sits as the CRA. Unless the County changes that, we have to abide by that.
Board Member Plummer: I think the bottom line is, or anything we change in any way, it would
have to be hearings here and at the City Commission.
Board Member Regalado: OK.
Ms. Kluger: I have before me, this comes from Tallahassee and it talks about what is the CRA.
And one of the things that the Community Redevelopment Act calls for, is a private sector
involvement to the maximum extent possible. To coordinate public and private sector initiatives
and successfully revitalize communities which would otherwise further decline. This is the
reason that we are presenting our names this evening. And in the past, I don't feel that we have
had maximum community involvement. In fact we've had minimum community involvement.
And if we are to abide by the laws that were set down of the CRA, this comes from Tallahassee.
Then I would think that we need to have the community more involved, and we're here to help
you, not to, and to help the City. Not to deter anything.
Board Member Regalado: Thank you. Any other comments on this issue?
Board Member Plummer: That's about it.
9 December 16, 1996
---------------------------------------------------------•------------------------------------------------------
4. AUTHORIZE SALE OF MARGARET BROWN APARTMENTS (269 N.W. 8
STREET) TO BAME DEVELOPMENT CORPORATION OF SOUTH
FLORIDA -- CONTINUE TO USE SAID PROPERTY AS LOW INCOME
RENTAL HOUSING FOR AREA RESIDENTS.
board Member Regalado: OK. Number five. It's something that...
Mr. Fred Bailey (Executive Director): We have a request from Greater Bethel to acquire and
use one of the properties for which we control. We bought an apartment building. I think it's,
how many units do it have?
Board Member Gort: Nine.
Mr. Bailey: Nine units which is sitting next door to Greater Bethel's church. We were
recommending that we be permitted to sell this property to Greater Bethel for their use at a price
equivalent to what we paid for it. And tonight, Reverend White is here to explain his need for
the property. At the last meeting, it was suggested that we defer this until someone from Greater
Bethel could come and explain it.
Board Member Regalado: John.
Reverend John White: Commissioner, Mr. Mayor. To live at Greater Bethel almost 16 hours a
day and to walk out our door or church at night, late at night and see some of the undesirable
stuff that goes on next door in that building. We feel that we ought to be the person in the
property to be able to manage that as well as to try to upgrade it and to enhance that whole block,
between 2nd Avenue and 3rd Avenue, 8th and 9th Street. As you know, Bethel Church is 100
years old as the City. We don't plan to leave. We've been there for 100 years so we plan on
staying there. And as a result of that, we would like to be the owner of that property to develop
it. There some other programs eventually, I think the church needs to expand. Presently the
ministries of church have outgrown, the existing facilities we've you know. We've done so
many exceptional things in that area that we don't even have room to do some of the things that
we need to do for the community. We have no intent to displace anybody. We have no intent to
put the people out, to create a problem. We want to be supportive. But there's an undesirable
element that surrounds that building constantly. And some of the stuff that we see as we enter,
we just want to make the community a safe environment for everybody. And I feel like the best
entity to control that property is the Bethel Church. And we're willing to, as our letter stated, to
work with the City and the CRA to try and acquire it. We have long-term, had an interest in that
building. We still maintain that interest and we would like for you to grant us permission to
purchase it.
Board Member Plummer: Are you aware Reverend, of the policy of the City Commission, and if
you do, in fact, purchase that property, that you will be giving a stipend to the City annually in
lieu of... for maintenance? In other words, it's coming off the tax rolls, once we give it to the
church. Or we sell it to the church.
Reverend White: I need it. You can donate it, we...
Board Member Plummer: OK. The point very simple is...
10 December 16, 1996
Board Member Gort: He took that fast, huh?
Board Member Plummer: ... we will be looking for an annual contribution for municipal
services we will be providing.
Reverend White: I, we. I don't think we have a problem with that, Mr. Plummer. We want to
make sure that...
Board Member Plummer: I just want to make sure you are aware of it.
Reverend White: We're aware of that. We want to make sure we do our part as a community, to
try to help make that community a better community.
Board Member Plummer: Has the property been appraised?
Mr. Bailey: We were proposing to sell it to him for the same price that we paid. I think that
would be a fair price.
Board Member Plummer: Well, that's not. I have no problem with that. But doesn't the
requirement say that you have to have two appraisals? How can we disperse property without
having the appraisals? I thought that was required.
Mr. Bailey: The CRA can, but...
Mr. Friedman: The CRA can.
Mr. Bailey: The CRA, yeah, we can do that.
Board Member Gort: That's why you create a CRA, to try to expedite things.
Board Member Plummer: OK.
Board Member Regalado: OK.
Board Member Gort: So move.
Board Member Regalado: Anybody, any other comments.
Board Member Plummer: I'll second the motion but I'd like to know how much are we getting
for the property.
Mr. Erdal Donmez: The City's cost back in 1991, was one hundred and eighteen thousand
dollars ($118,000). It's a nine units, very small apartment complex.
Board Member Plummer: So that's what they're offering?
Mr. Donmez: Well, we're going to get appraisals anyway. But we made it clear that we would
like to cover minimum our cost, if the appraisal is higher, it's higher. But the minimum is, it is
our cost.
Board Member Plummer: You having two appraisals?
Mr. Donmez: One appraisal. Unless you instruct two appraisals.
11
December 16, 1996
Board Member Plummer: You can't do friendly taking on one appraisal, Hey, look. If you
don't have to, and it's going to a church and it's for housing, I really have no problem.
Board Member Gort: Don't do it.
Board Member Plummer: My only question was, does... is it required? That was my question.
Mr. Donmez: No.
Board Member Plummer: OK. I second the motion.
Board Member Regalado: OK, there's a motion, a second. And all in favor say "aye."
The Board Members (Collectively): Aye.
The following motion was introduced by Board Member Gort, who moved its adoption:
OMNI/CRA NO. 96-12
A MOTION AUTHORIZING AND DIRECTING THE EXECUTIVE DIRECTOR OF
THE COMMUNITY REDEVELOPMENT AGENCY (CRA), NAMELY MR.
HERBERT BAILEY, TO SELL MARGARET BROWN APARTMENTS LOCATED
AT 269 N.W. 8TH STREET TO BAME DEVELOPMENT CORPORATION OF
SOUTH FLORIDA A NONPROFIT COMMUNITY DEVELOPMENT
CORPORATION OF THE GREATER BETHEL AME CHURCH, TO CONTINUE TO
UTILIZE SAID PROPERTY AS LOW INCOME RENTAL HOUSING FOR AREA
RESIDENTS.
Upon being seconded by Board Member Plummer, the motion was passed and adopted
by the following vote:
AYES: Board Member Tomas Regalado
Board Member J.L. Plummer, Jr.
Board Member Wifredo Gort
Board Member Joe Carollo
NAYS: None.
ABSENT: Board Member Humberto Hernandez
Board Member Regalado: OK. The next issue is the agreement with St. John. You... Yes.
Reverend White: Thank you.
Board Member Regalado: No, thank you. Thank you.
Reverend White: I have a meeting at the church. I just want to inform my trustees that you got
the fees to waiver.
12 December 16, 1996
------------- --------------------------------------------------------------------------------------------------
5. AUTHORIZE SALE OF BLOCKS 25 & 36 BETWEEN N.W.8 & 10 STREETS
AND N.W.1 & 2 AVENUES TO ST. JOHN'S COMMUNITY DEVELOPMENT
CORP. AND RELATED HOUSING OF FLORIDA INC. -- FOR
DEVELOPMENT OF TOWNHOMES SUBJECT TO TWO APPRAISSALS.
Mr. Erdal Donmez: The CRA (Community Redevelopment Agency) Board accepted the
proposal submitted by St. John CDC and the related housing company on October 28th. And
also the staff was instructed to come back with a development agreement. The original proposal
contemplated a long term lease between the developer and the CRA. Looking at the experience
you know, we've had in the district, we felt that if you could sell the property instead of leasing
it, on a longer term basis it would make the transaction simplier and marketing of this unit will
become a lot more easier. The projected feasibility contemplates a land value of about three
hundred plus thousand dollars ($300,000). And we negotiated fair market value of the property
for four hundred and eighty thousand dollars ($480,000). That really simply translates to five
thousand dollars ($5,000) per unit cost for each in a townhouse. That will be 96 townhouses
times five thousand dollars ($5,000) per unit land cost. The City is going to be holding a
mortgage of four hundred and eighty thousand dollars ($480,000). And we will collect five
thousand dollars ($5,000) from each unit sale. Additionally, there will be a five percent
mortgage interest accrued on a yearly basis and it's not due until the fourth year, which is the
time when this project is supposed to be completed. If the developer meets the deadlines and has
no other defaults with the project, financially or nonfinancially, And there will be no repayment
of the interest, of the five thousand .($5,000), we're talking about. We renegotiated this lease
pretty much in the last week and week before. And the reason, you know, we're pushing for it,
the CDC is going to apply for a seven hundred thousand dollars ($700,000) construction loan
from the state which will become a second mortgage after that. And the deadline for the
application is the end of the month. In order to participate in the application process, the CDC
has to have a title for the property. We put several stipulations in the agreement. In case they
can't perform, what happens? If there's no ground breaking in the first year, should the property
reverse back to the City? If the project goes on the way but it is not completed, then the CRA
will take over and whatever units unsold, we will sell it and we will only five 50 percent of
proceeds to the developer. The undevelopment would revert back to the City. This is an
agreement with the CDC (Community Development Corporation), which is a nonprofit entity.
And the purpose of it was, the state's homeownership funding program is open to only those.
The development agreement is with St. John's CDC as well as the realty and the housing
company. And they have within, you know, among themselves a joint participation agreement.
We have all the documents - the purchase and sale agreement, the development agreement, the
promissory note and the mortgage. We apologize that we didn't get a chance to present those to
you, you know, until tonight but they weren't ready until this afternoon. I will be happy to
answer you know, any questions you may have and also the attorney Bob Smith who is from
Holland and Knight (phonetic) who drafted the documents. He'll be answering your questions if
you have any.
Board Member Plummer: Does this come off the tax rolls?
Mr. Donmez: No, sir.
Board Member Gort: No.
Board Member Plummer: It stays on the tax rolls?
13 December 16, 1996
Board Member Gort: Yeah.
Mr. Donmez: Stays on the tax rolls. That's also one of the purposes of selling it outright.
Board Member Gort: Increases the tax rolls.
Mr. Donmez: ... and we can start collecting taxes. Yeah.
Board Member Plummer: That's what I want to make sure.
Board Member Gort: It will increase the tax rolls.
Mr. Donmez: That's correct.
Board Member Plummer: Are we the first mortgage holders?
Mr. Donmez: Always. And our mortgage is going to be superior to all mortgages, all loans.
Board Member Plummer: And is there a drop dead date for development?
Mr. Donmez: The developer has to break the ground.
Board Member Plummer: That's not my question. Is he got to be completed with all of the units
by a certain date?
Mr. Donmez: Four years.
Board Member Plummer: He must be completed with that?
Mr. Donmez: That's correct.
Board Member Plummer: In any event he does not develop it, would revert back to the City?
Mr. Donmez: That's correct.
Board Member Plummer: At no cost?
Mr. Donmez: That's correct. In fact, not only no cost, but whatever is outstanding, you know,
we will collect on the mortgage.
Board Member Plummer: And has this property been appraised?
Mr. Donmez: No. Again, this is the fair market value situation. You have the right to dispose
the property at that price. This is...
Board Member Plummer: Yeah, I fully understand that, OK. But I'll tell you something, in the
City Commission it's required that any surplus property has to have two appraisals of which
you're aware of.
Board Member Carollo: It's a beyond City Commission rule, it is state law.
Board Member Plummer: Well, and I've got to be honest with you. I would like to see in the
future that no sale or otherwise property from the CRA without at least two appraisals. I have no
idea what this property is worth. I am not a Realtor. The lots I sell are very small, OK.
14 December 16, 1996
Board Member Gort: Very high priced too.
Board Member Plummer: But what I am saying to you is. I have no idea whether you're telling
me that this is a real great deal. Or this might be a bad deal and the only way I am going to
know is through an appraisal.
Mr. Donmez: I understand, sir.
Board Member Gort: Well, let me ask you a question. The figure three hundred and fifty
thousand ($350,000), where did you get that from?
Mr. Donmez: The original RFP we put out, contemplated long term lease. And the project
feasibility included land lease and payments...
Board Member Gort: Right.
Mr. Donmez: ... for each units.
Board Member Gort: But didn't you do that based on an appraisal?
Mr. Donmez: That was done based on the survey of the properties, you know, around. And
principally to Poinciana Village Condominiums.
Board Member Plummer: Well, I tell you. The state has a concept and I would want to attach it
to this agreement. It's called "Friendly Taking" all right. You get two appraisals divide them by
two and you can maximum them up to ten percent beyond that. Other than that, I just really. I
think it's wrong to sit here and not know whether or not we're making a good deal.
Mr. Herb Bailey (Executive Director): I would like to respond to that. Now, first of all these
properties we already own. We took them under that famous condemnation process that cost us
five million dollars ($5,000,000), in excess of what we had budgeted and the County did were
from up the monies. And let's talk about the deal. Under the redevelopment districts, the
statutes permit community redevelopment areas to take certain flexibilities and take certain
liberties because the primary objective is to improve the area. To put something there that
otherwise would not be there. To use whatever resources you have to attract investors and
developers that otherwise would not go there. And then under the definition of the way we
interpret, even in the City Charter "fair market value" does not necessarily mean economics. It
means what the fair market value would be to accomplish a certain result at a certain location.
In terms of the "good deal," we're getting 96 houses in Overtown that normally wouldn't happen
for the next ten or 15 years by any means. Five thousand dollars per buildable lot in Overtown is
a good price. I don't know many people who would come in off the street and buy a lot in
Overtown for five thousand dollars ($5,000). So, in terms of what it is we're trying to
accomplish as a redevelopment district, it doesn't exactly measure up to what happens in the
private sector on a property basis if we were on Claughton Island or some other location. We
will. We can appraise the properties. And in many cases, it was stated even under some City
dispositions, even after you get the appraisal, the fair market value will be considered through
something other than economics.
Board Member Plummer: Mr. Bailey, that's all well and good. But I'll never know, and I am
not accusing in this particular case, and don't let it be inferred. Whether or not big profits are
going in the developer's pocket. And I don't know that, OK? And all I am saying to you is, I'll
never know without appraisals.
15 December 16, 1996
Mr. Bailey: Well, we will know. In fact if we would have gone through the projections of the
proposal, these buildings, townhouses are for homeownership. We know what the price is. We
know what they're going to the market for. We know what there have to be in order get the
other types of benefits available there. And you know something, we've had five developers in
Overtown and everyone went broke. I guess at one time it might be a good precedent to have
somebody make a profit. Maybe we can get more people to come. But if we look at these
numbers, in terms of what the units are going to cost to build, what they're going to sell for,
throwing in the cost of land, there is not that much profit. And we can share that with you. Plus
we have those projections already.
Board Member Carollo: Mr. Bailey, none of us here is wanting to be disagreeable for the sake of
being disagreeable. We trust what you're saying is correct but you know these are different
times. We're no longer going to play ever again by the rules of the past. And we have a
complete obligation to all of Miami that no one can ever point a finger and say that we did
something irresponsible or that we took any action that anyone could point a finger and try to
allege that we tried to show any kind of favoritism or did not follow what the normal guidelines
should have been. Therefore, I am one vote on this Board that's inclined to ask for the
appraisals. I don't think an appraisal should take that long. I think that in a matter of two to four
weeks, we can clearly get two appraisals then. And I don't think that delaying this for no more
than four weeks would do any great harm.
Mr. Bailey: In terms of getting the application into the state to apply for the seven hundred and
eighty thousand dollars ($780,000), it doesn't prohibit us from getting you the appraisals. We
will like to see an approval so we can at least apply for the state funds.
[At this point, 7:40 p.m., Board Member Hernandez entered the meeting]
Board Member Plummer: I have no problem with that?
Mr. Bailey: But we will get you the appraisals, we'll be more than happy to...
Board Member Carollo: Yeah, subject to the appraisals.
Board Member Gort: ... subject to the...
Board Member Plummer: Absolutely.
Mr. Bailey: All right, that will be fine.
Board Member Plummer: Absolutely.
Mr. Bailey: OK.
Board Member Plummer: I'll second the motion.
Board Member Regalado: OK, there is a motion and seconded. Everyone in favor say "aye."
16 December 16, 1996
"'
The following motion was introduced by Board Member Gort, who moved its adoption:
OMNI/CRA NO. 96-13
A MOTION AUTHORIZING THE EXECUTIVE DIRECTOR OF THE COMMUNITY
REDEVELOPMENT AGENCY (CRA), NAMELY MR. HERBERT BAILEY, TO
SELL BLOCKS NO. 25 AND 36, LOCATED BETWEEN N.W. 8 AND 10 STREETS
AND N.W. 1 AND 2 AVENUES TO ST. JOHN'S COMMUNITY DEVELOPMENT
CORPORATION AND RELATED HOUSING OF FLORIDA INC., FOR
DEVELOPMENT OF 96 TOWNHOMES ON SAID PROPERTY; SUBJECT TO TWO
APPRAISALS BEING DONE ON SAID PROPERTIES TO ENSURE THAT THE
CRA GETS A FAIR MARKET VALUE FOR SUCH PROPERTY.
Upon being seconded by Board Member Plummer, the motion was passed and adopted
by the following vote:
AYES: Board Member Tomas Regalado
Board Member J.L. Plummer, Jr.
Board Member Wifredo Gort
Board Member Joe Carollo
Board Member Humberto Hernandez
NAYS: None.
ABSENT: None.
Board Member Plummer: Mr. Bailey, if you would just for the record. Now, in eight, in number
eight, you're going out and getting appraisals. What makes that different from these others?
Mr. Bailey: Let's see what it's for.
Mr. Donmez: I am sorry, Commissioner.
Board Member Plummer: In item number eight, selection of an appraiser...
Mr. Bailey: Now..
Board Member Plummer: ... for the appraisal of CRA owned land located at 75 Northwest 8th
Street. Why are you getting appraisals there, but you feel that it is not necessary elsewhere?
Mr. Donmez: That particular property is the underlying land where the Arena Towers
Apartments are located.
Mr. Bailey: Yeah. And the reason we are doing that, as you know the Arena Towers have been
in foreclosure and the buyers are asking whether or not if they buy the apartments, can they buy
the underlying land.
Board Member Plummer: Yeah.
Mr. Bailey: And so we said, well, it's a possibility but we have to find out how much it's worth.
We have a lease on that. We get lease payments, not that much. In fact the next lease payment
is only twenty-seven hundred dollars ($2,700). We think that we put the land back on the tax
roll and then get a fair market value for it, it will greatly improve our cash position and also the
tax position. So, that's why we're getting that appraisal and that deferred from the last meeting.
17 December 16, 1996
W
Board Member Plummer: OK.
Mr. Donald Benjamin: Gentlemen and members. On behalf of St. John's CDC, I would like to
thank you for that vote. We certainly are not unwilling to participate in having an appraisal
made and we certainly look forward to working with you on that, and thank you very much.
Board Member Regalado: Thank you. Mariano.
Mr. Mariano Cruz: Yes. I'll be talking after the St. John's CDC because I hade my hand raised
and I don't have any comments back up material here. But the only thing I'd like to know, what
is the role of Related Housing on this endeavor?
Mr. Benjamin: They are the developer and partnership with St. John's.
Mr. Cruz: Rental or buyer, seller?
Mr. Benjamin: Buyer, it's for sale. We do no rentals, no.
Mr. Cruz: You know, because I know Related Housing, they start in Allapattah to build the
Civic Towers and the Alexander, all that. And beside, the only thing they pay tax there... but I
haven't seen Jorge Perez or anything, going back there sponsoring a park for children like other
developers do. Roberto Riva is sponsoring in the inner City. I mean, I think they owe. They
make money off the City and the poor places. They should go back to the places there at least,
besides say I pay taxes or do something else. Sponsor a league there in Curtis Park beside, like
other developer are doing. And I referred that to Jorge Perez I called him many times, and he
never called me back. And he's started in Allapattah, and we're helping a lot to start. But, now
he's too big to go back there to Allapattah.
Board Member Regalado: Thank you.
Ms. Eleanor Kluger: Commissioners, I have a request, that you could inform us a little bit more,
the community, of what is actually going on. When I buy property, I usually know the square
footage of a lot, we just don't call it a lot. We also, know the dollar value per square foot or
whatever you're putting on it. So that we in the community understand what you're talking
about. Is the lot going for five hundred dollars ($500) per square foot, or fifty dollars ($50) a
square foot? You know, give us a little bit more detail so that we understand. Are we getting a
good deal, not getting a good deal? The other thing is, what is going to be the use of this, once
these people get the property. We could...
Mr. Bailey: It's homeownership development. We will build houses in Overtown, where people
will own them. Townhouses. And there will be...
Ms. Kluger: Only the poor can buy these, or are they open to anybody, or...?
Mr. Bailey: They're open to the market.
Ms. Kluger: Market, thank you. But also, you know you're talking about five thousand dollars
($5,000) a lot. What is a lot?
Mr. Bailey: Per billable, per billable lot. A lot is 5,000 square feet. That's minimum
requirements under the City Code.
Ms. Kluger: OK, thank you.
18 December 16, 1996
Board Member Regalado: Thank you.
----------------------------------------------------------------------------------------------------------------
6. DISCUSS / DEFER CONSIDERATION OF AG7 (PROPOSED
PROFESSIONAL SERVICES AGREEMENT WITH NATIONAL
DEVELOPMENT COUNCIL, INC. -- FOR STIMULATING ECONOMIC &
HOUSING DEVELOPMENT -- FURTHER, REQUEST CITY
ADMINISTRATION TO RESEARCH WHETHER SIMILAR JOB CAN BE
DONE UTILIZING IN HOUSE TALENT, IF NOT ABLE TO, RETURN ITEM
FOR CONSIDERATION AT NEXT CRA MEETING.
----------------------------------------------------------------------------------------------------------------
Board Member Regalado: The next item is one we discussed on the November 18th meeting.
And it has to do with the renewal of professionals services agreement with the National
Development Council. And if I remember, it had something to do with fifty thousand dollars
($50,000) for an advisor on how to get HUD (Department of Housing and Urban Development)
grants. Is that correct?
Mr. Fred Bailey: That is correct. The National Development Council has been a consultant to
the CRA (Community Redevelopment Agency), the CD (Community Development) and
Development and has been very instrumental in getting most of the... I would say not most, but
all of the 108 applications that we had presented to Washington moved in an expeditious way,
and we got them all approved. They represent to us an intelligence that has a national experience
that may bring a lot of things to us that because we're here all the time, we don't exactly become
exposed to. We have three consultants. We have eliminated all but one as a part of our cut. We
would like to keep the National Development Council. Their experiences are invaluable to us.
Especially now that they have begun to help us in economical development activities. We are
part of a national fund which has been able to fund two economical development programs in
Overtown. But for them we will not have the ability to do that. So we will like to keep them.
Board Member Plummer: How much?
Mr. Bailey: Fifty thousand dollars ($50,000).
Board Member Plummer: The only thing I would like to add is, that I would like to see a
monthly report on what they're doing for that money.
Mr. Bailey: In fact, we have a report of their activities included with this package. We will let
you have a report.
Board Member Plummer: Monthly.
Mr. Bailey: They make one, yes.
Board Member Regalado: I said the other day. I asked in the other meeting if we don't have
qualified people within the City of Miami to do that kind of search in Washington. I think we do
because we have very qualified officials in our Housing Department. We have a large Housing
Department in Dade County that I guess, because of the crisis, or so they say, they can help us.
So, I still think that we have the means of getting those grants without paying fifty thousand
dollars ($50,000) to that council. But that's what I think and the will of the board could be
different. Fred.
19 December 16, 1996
Mr. Fred Joseph: I appreciate all the professional help we can get. And I realize that what we
need are a lot of activity from outsiders. I hope that this CRA Board, at least on the OMNI, and
the Overtown area stays in touch with these professionals to the degree that when they go and do
these master studies as Jonathan Barnett did, and they take it totally out of the concept of the
area where they have done it, who's going to keep a check on 'em? That's what bothers me.
Like this Jonathan Barnett came in here. He's a wonderful man, knows his business. But an
entity that was paying him, he's moved completely from this little jewel here that we all thought
was going to happen with the Performing Arts and now the Arena and this wonderful Overtown
Advisory Board and OMNI Advisory Board and everything else. He even backed down to the
Miami River. He's backed down to the pearl. He's backed down to the nice, clean area. He
wants to talk about everything but this area, again. And it disturbs me when you talk about fifty
thousand ($50,000) for this guy. Or that organization or some organization in Washington that's
going to give us an insight. We don't need a lot of insight. Us investors right here, we have
insight. We're living it. We're living it. We come home to it every day. And we come home to
the garbage and the trash. So we need you as our spokespeople, watch our area.
Mr. Bailey: I'll like to put this in context. I understand the study that went on and the County
hired Mr. Barnett, we didn't. Our consultants are implementation consultants. We don't need
studies, we know what you lack. I don't need to pay someone to come in to tell me what we
think we ought to do. When we bring our consultants in, we work on a task to get it to
completion. And that's what happens with us. The one consultant that we have, the National
Development Council has completed many tasks. But for them we, because of our short staff,
and because... and not to be indifference to Commissioner Regalado, we do have a lot of
qualified people in the City. But we perform City tasks, jobs that are required to be performed
based on what the City's program is at the time. There are things that go on in this country,
especially when it comes to the area of financing and housing, because we're too busy
performing, not too busy, but we're busy performing the job that we have to perform, outside
expertise sometimes shows a different light. And in many of those situations, in many of them
we've got activity in this City that but for them, we would not have perhaps gotten it as fast.
Especially or homeownership zone application. I think we've got the best one that was
presented in the country. And I feel very positive that we are going to get the grant. We've
gotten letters from our legislative people, who have been supporting us. That homeownership
zone application was put together by our staff and with the help of the consultant who has a
direct line into the working people in Washington. Not the politician, but the people who do the
work to give us the type of advise that we need so when we put something together, we have it
correct. So we don't do studies. When we bring our consultants in, we sit down to the table and
we get the job done, we finish and get the results and we move to the next thing.
Board Member Regalado: Thank you. I still think that the City of Miami is entitled to get some
help from Senators Graham, Mack, Congressman Meek, Ms. Diaz-Balart, Ileana Ross. And they
have very qualified people in Washington. They know the corners and the know the places in
Washington. I said that in the last meeting, and I say that today because we're still... I
remember that J.L. said that we don't know if we're going to have a budget to budget the fifty
thousand dollars ($50,000). And I guess, still we don't know. So this is why I said well, as an
alternative, we can seek help from the aides to the two Florida Senators, even the Governor's
staff who are very knowledgeable on getting funds from HUD. As a matter of fact the Mayors
Conference also has a department that is instrumental in getting grants. So I still say the same. I
am sorry that these people are really good but it's not they're not qualified. Is that you're talking
about fifty thousand dollars ($50,000).
Board Member Plummer: What do you want to do?
20 December 16, 1996
Board Member Gort: My understanding is, you have to understand that Washington is a
different ball game. And probably the County and the state have people to do similar things for
them.
Mr. Bailey: We too. We have a bunch of lobbyists.
Board Member Gort: I mean we have the lobbyists and all that. Although you have your
senators...
Mr. Bailey:
Board Member Gort: ... and you have all those people to help you. Sometimes you need the
individual who can push the thing to the bureaucrats, they can stop anything they want to. But
I'd like to see in the contract if they could be dropped for lack of performance. I'd like to see
like J. L. says a monthly report on what they're doing. And I'd like to see what they have
accomplished in the past. We're paying fifty thousand ($50,000), but how much are they
producing for the fifty thousand ($50,000)?
Mr. Bailey: It's in your package, Commissioner, and it's right here. We were prepared for that,
it's a page and a half. We document everything that they do and it's a matter of record that we
can produce it. Not only that, we can take you to it and feel it and touch it. We do have support
from the...
Board Member Plummer: Well, let's move off a dead center. I'll move that this item be
deferred and ask that the City Administration, whether they feel capable of doing this for the
CRA in-house. And if not, come back and we'll approve it at the next meeting. Let's get off
dead center.
Board Member Carollo: Yes, that's a good motion. I'll second it.
Board Member Regalado: OK, there's a motion, there's a second. All in favor say "aye."
The Commission (Collectively): Aye.
The following motion was introduced by Board Member Plummer, who moved its adoption:
OMNI/CRA NO. 96-14
A MOTION TO DEFER CONSIDERATION OF AGENDA ITEM 7 (PROPOSED
PROFESSIONAL SERVICES AGREEMENT WITH THE COMMUNITY
REDEVELOPMENT AGENCY AND THE NATIONAL DEVELOPMENT COUNCIL,
INC. FOR STIMULATING ECONOMIC AND HOUSING DEVELOPMENT IN
ORDER TO CREATE NEW JOBS, EXPAND THE TAX BASE AND REDEVELOP
CERTAIN AREAS); FURTHER REQUESTING THE CITY ADMINISTRATION TO
REPORT TO THE CRA AS TO ITS CAPABILITY TO STIMULATE ECONOMIC
AND HOUSING DEVELOPMENT IN ORDER TO CREATE NEW JOBS, EXPAND
THE TAX BASE AND REDEVELOP SOUTHEAST OVERTOWN/PARK WEST
AND OMNI AREAS IN-HOUSE; FURTHER STIPULATING THAT IF THE
ADMINISTRATION DOES NOT FEEL CAPABLE OF PERFORMING SAID TASK,
TO BRING THIS ISSUE BACK FOR CONSIDERATION AT THE NEXT CRA
MEETING.
21 December 16, 1996
Upon being seconded by Board Member Carollo, the motion was passed and adopted by
the following vote:
AYES: Board Member Tomas Regalado
Board Member J.L. Plummer, Jr.
Board Member Humberto Hernandez
Board Member Wifredo Gort
Board Member Joe Carollo
NAYS: None.
ABSENT: None.
----------------------------------------------------------------------------------------------------------------
7. AUTHORIZE OBTAINING APPRAISAL SERVICES FOR CRA OWNED
PROPERTY AT 75 N.W. 8 STREET ( ARENA TOWERS )-- FROM
QUINLIVAN APPRAISERS AT $2,000 COST.
----------------------------------------------------------------------------------------------------------------
Board Member Regalado: We have selection of an appraiser.
Board Member Plummer: Mr. Bailey, I am concerned on that. And I don't understand. You
have three appraisers and the third one is more than double the first one. Now are they all, I
mean do they understand that they are appraising the same piece of property?
Mr. Erdal Donmez: Same piece of property, Commissioner. And I think it is just a price
determined by how much work they have. He told me that he's very busy, he's got a lot of work.
So he was...
Board Member Plummer: But did you go out and try to find somebody else?
Mr. Herb Bailey (Executive Director): He's the one you told us to look at.
Board Member Plummer: No, no. I am saying the one I told you to look at is the middle figure,
that's three thousand ($3,000). That's the inner City man.
Mr. Donmez: Until the time he submits his bids, we don't really know how much he was going
to, you know, charge. But from the previous experience, you know these appraisers work with
the City and their fees were the most reasonable.
Board Member Plummer: Well, you know the difference between two appraisers, one is two
thousand ($2,000) and the other is forty-eight fifty ($4,850) and it's the same piece of property.
Mr. Donmez: OK, one other thing Commissioner. The first one...
Board Member Plummer: Do we have to have two?
Mr. Donmez: No, just one.
22
December 16, 1996
Board Member Plummer: Then I'll... I hate to do this, but a thousand dollars ($1,000) is a
thousand dollars ($1,000). I'll move the two thousand dollars ($2,000) appraiser. I would have
preferred the man that's in the City but he's a thousand ($1,000) higher.
Mr. Donmez: And I'd just like to make you know, one other comment. The first appraiser also
did some work in the area, you know, recently. So he already has the data and he doesn't have
to spend as much time, so his price is that.
Board Member Plummer: Unfortunately, he sees fit not to pay his taxes in this City, OK. But
he's a thousand dollars cheaper, so that's the way I think we ought to go.
Board Member Carollo: There's a motion.
Board Member Plummer: Yes, sir.
Board Member Carollo: There's a second.
Board Member Regalado: All those in favor say "aye."
The Commission (Collectively): Aye.
The following motion was introduced by Board Member Plummer, who moved its adoption:
OMNI/CRA NO. 96-15
` A MOTION AUTHORIZING THE EXECUTIVE DIRECTOR OF THE COMMUNITY
REDEVELOPMENT AGENCY (CRA), NAMELY MR. HERBERT BAILEY, TO
OBTAIN APPRAISAL SERVICES FOR THE CRA OWNED PROPERTY LOCATED
AT 75 N.W. 8 STREET (ARENA TOWERS APARTMENTS) FROM QUINLIVAN
APPRAISERS AT A COST OF $2,000 FOR SAME.
Upon being seconded by Board Member Hernandez, the motion was passed and adopted
by the following vote:
AYES: Board Member Tomas Regalado
Board Member Humberto Hernandez
Board Member J.L. Plummer, Jr.
Board Member Wifredo Gort
Board Member Joe Carollo
NAYS: None.
ABSENT: None.
23
December 16, 1996
----------------------------------------------------------------------------------------------------------------
8. INDICATED APPROVAL: 1 / 21 / 97 OMNI CRA AND 2 / 18 / 97
SOUTHEAST OVERTOWN CRA MEETINGS,
Board Member Gort: In the upcoming board meetings January 21st. We've had two meetings in
here. I think we should do that at the Arena. Change it around.
Board Member Plummer: Well, they have February 18th is scheduled for the Arena.
Board Member Gort: Right.
Board Member Plummer: OK, we...
Board Member Carollo: Well, we might not be able to depending on what is going on...
Board Member Gort: OK. That's right.
Board Member Plummer: Yeah.
Board Member Carollo: So, I would leave it like this. I am sure... Let me rephrase that. Have
we checked with the Arena, that February 18th will be OK.
Mr. Bailey: We've checked.
Board Member Plummer: It really makes no difference.
Mr. Bailey: We always check with them prior to us making a schedule. And they've indicated
that this date would be appropriate, will be OK.
----------------------------------------------------------------------------------------------------------------
9. ESTABLISH 14 MEMBER ADVISORY COMMITTEE FOR COMMUNITY
REDEVELOPMENT AGENCY -- FURTHER, APPOINT TO SERVE IN
SAME: ELEANOR KLUGER / FRED JOSEPH / JORGE ESPINEL / PETER
HOUSEWORTH / BARRY CUNNINGHAM / PATRICIA CARBONELL /
ROLAND HOWELL / CAROL ANN TAYLOR / STANLEY KRIEGER / LIETE
LOPEZ / OLGA GUILARTE / RON CANTWELL / JOHN HARALAMBIDES /
PHILLIP YAFFA.
Board Member Plummer: Other. On this advisory board of ten people, was this advertised?
Mr. Herb Bailey (Executive Director): Yes, this meeting uas advertised.
Board Member Plummer: I am sorry.
Mr. Bailey: Yes, this meeting was advertised.
Board Member Plummer: No, no. Not this meeting. Was it advertised for people of the public?
24 December 16, 1996
Board Member Regalado: No, no it wasn't. J.L., what happened I guess. We were given this
list the last meeting and...
Board Member Gort: Do you recall, we asked them to have a public meeting, and they did. And
my understanding is they got the information out and asked people if they were willing to serve
in here to come forward. And they 14 names in here. And we made a commitment to select ten
people from these names.
Board Member Plummer: All right. For the record, how was the word gotten out? Was it
through advertising? Was it through hand bill distribution? For the record, so if somebody
comes in here and six months from today and said "well, you know I didn't know and I would
have liked to have been. And if I had known about it." The question is, for the record how was
the word got out to the people of the area that if they were interested they could submit their
name?
Mr. Eleanor Kluger: Okay, I'll answer that. We divided it up into three sections. All right, the
condominiums which are the Grand which participate here. The Plaza Venetia which is the other
condominium, which we have many dwellers, condominium owners, land owners. We made
sure that we only picked people that were in the tax increment. We did not pick anybody from
the Venetians or anywhere else or anybody who was not a property owner. We got on the
telephone and called people that were able to help us. We tried to pick people and we asked
everyone that we knew if they were lawyers. If they were realty people. If they were bankers, if
they were people who were knowledgeable to help us in this endeavor to make the City better.
Now, we had... You had asked us to get a board together. We amongst us, which is the Omni
Venetia, Inc., which is a 501C, not for profit group, instituted this in getting out the word to the
neighbors. I personally called most of the business owners in the neighborhood and asked who
would like to be on the board and who was willing to serve. And we tried to pick again, people
who knew a little bit more about land and maybe not about hamburgers or filling stations or
something like that. People that were more knowledgeable in land deals. And things that the
CRA is in. So we also make... The reason we want to give you 14 names is because these are all
very high up people in their profession. They are very busy. And of course their first alignment
is to their own business. And we can't guarantee that at every meeting, these ten people are
going to show up. And so we thought that the ten people that did show up would have the voting
power. Instead of having ten only, and in this community you know very well, that you're lucky
if five show up. So could have had even 15 on that. What we tried to do is evenly distribute it
amongst the business people throughout this area. And the condominium dwellers. And I don't
think I have had any people come and tell me that they are unhappy with it. A few more people
would like to be on the list, maybe most of them were not in real estate or any of the areas, law
or anything that we thought we needed for the group. So we could not have everybody and we
left it up to the presidents of the condominiums and people that knew the people in the area.
And that's the way we decided.
Board Member Plummer: Two of the names were not in the area. One lives on Key Biscayne.
Ms. Kluger: They own property in the area.
Board Member Plummer: They are a property owner within the area.
Ms. Kluger: Within the area.
Board Member Plummer: And one lives on Southwest 3rd Avenue, Haralambides. H-A-R-A-L-
A-M-B-I-D-E-S. First name John.
Ms. Kluger: Yes, he owns property on Biscayne Boulevard, 1210 I believe it is or 1220, that he
has interest in that particular building.
25 December 16, 1996
Board Member Plummer: OK. And there were other people who expressed an interest, that the
names are not here?
Ms. Kluger: Right. One or two. z
Board Member Plummer: And may I have those names?
Ms. Kluger: Someone has... Mr. Rudnick was here last week and asked to be on it.
Board Member Plummer: Rudnick?
Ms. Kulger: Uh-huh. R-U-D-N-I-C-K. And I don't recall...
Board Member Plummer: Why was the name not put into here? Into this list.
Ms. Kluger: Because I had already presented you with the 14 names. And you had already said
that you were going to pick only ten from those anyway so... If you want to add that name,
you're quite welcome to.
Board Member Plummer: I don't know Mr. Rudnick from...
Ms. Kluger: Neither do I.
Board Member Plummer: Who are the other names?
Ms. Kluger: That was the only one that I can recall right off. I added the four, so after the ten
and then that was all that had asked.
Board Member Plummer: May I ask by the showing of hands, how many of those people are
here this evening?
Ms. Kluger: I did not request...
Board Member Plummer: So, there's three.
Ms. Kluger: Normally, I fax everybody but because I was so disheartened with your answer to
me last week. I didn't...
Board Member Plummer: My answer?
Ms. Kluger: Yes, your answer Commissioner Plummer.
Board Member Plummer: My answer to you was to take...
Ms. Kluger: Was that when I presented the fourteen names that you asked me for. You said that
you could pick maybe two. OK.
Board Member Plummer: No, I said I would pick two.
Ms. Kluger: Fine, but that was disheartening and upsetting to the 12 other people that
volunteered. Now, these people are people that earn a lot of money and want to help. I don't
think you understand that we have no other alternative idea in our head. It's not a profit thing.
This was something we wanted to do from our heart to help this community. And for you to
26 December 16, 1996
reject 12 of the people was very upsetting to me. In fact, it left me speechless. I would have
thought you would have said hey, you really picked a lot of great people here on that list, and
they want to help. We are only an advisory board, what do you have to do to get on an advisory
board to help the Commission, to help the neighborhood?
Board Member Plummer: I am sorry that you misunderstood me. Because my intent in the
thrust of what I was saying was in fact to make sure that all people had the ability that if they
wished to be considered, that they would have that opportunity. And that's why I said what I did
in the previous meeting.
Ms. Kluger: How many objections did you get from this list, many?
Board Member Plummer: None.
Ms. Kluger: Oh. So neither did we.
Board Member Plummer: But I am saying is, I thought that I had asked at the last meeting that it
be advertised so that people could not say that they were locked out of the process. That's all I
am saying. Now, I have my two. I am ready to appoint my two as I was before.
Ms. Kluger: Well we would have liked you to accept the fourteen, so that we wouldn't have five
people to show up.
Board Member Gort: Excuse me. You need to understand that there are certain procedures that
need to be followed.
Board Member Plummer: That's correct.
Board Member Gort: Each one of us will name two, and you will get your ten.
Board Member Plummer: That it.
Board Member Gort: That's what you requested for. It isn't...
Ms. Kluger: That's what you set the guidelines for. That isn't what we requested for. You set
the guidelines for ten, and I am telling you that Phil Yaffa may be out of town, OK. Stanley
Kreiger is out of town often. My bank's Vice President is out of town many times. These are
people that can help this community. I don't know if you realize it but today I closed my
business, 85 jobs in this area are gone. No more. Eighty-five jobs of people that we employed
from Edgewater, from all of this neighborhood, that took about 15 minutes to get here. We now
take them out to the Palmetto, and we have joined the County. After 35 years that's very
upsetting to me. And the reason is, we did it, because this area is so depressed that we have to
live in it everyday. That we are frightened to go out to the car even. That we have to protect
ourselves. What a difference it is out there, it is so beautiful and so nice. Our doors are wide
open. If we let the door open in this place, every box would be gone or boxes would be gone.
We have people coming in with long knives. I mean what kind of business do you want us to
have here? We're trying to help you and you're being very obstinate about it. I am sorry to get
upset, but I had a very nasty letter for you today, because of the meeting last week. Mayor
Carollo, you were not here. But I don't think that this board was very nice at all to this
community who has worked very hard. Who has provided you with this room. Who has
provided you with... I have faxed people, I have spent three hours or more each time of these
meetings faxing people to come here. I did not do it this time because I was disgusted with all of
this. We have worked almost two years. You have promised us lighting. We have been
promised lots of things, we have gotten nothing. Including the interlocal, not signed the last time
27 December 16, 1996
I was here. I appreciate Commissioner Gort's efforts in getting that signed for us. But that's the
first thing we've gotten in this time. And if you want to go take a walk around this area and see
that we are locked up in these condos, and locked up in our car. We can't walk the streets.
When is it an emergency? When do we get some relief?
Mr. Bailey: Ah...
Board Member Carollo: Fred, hold on for a second. Why can't we accept all 14 names they're
giving us instead of choosing ten?
Board Member Plummer: Fine with me. I have no problem with that.
Board Member Carollo: OK, I'll make a motion that we accept all 14 names.
Ms. Kluger: Good.
Board Member Carollo: I have no problem with that
Board Member Hernandez: I second it.
Board Member Regalado: There is a motion by Board Member Carollo, seconded by Board
Member Hernandez. All in favor, say "aye."
The Commission (Collectively): Aye.
i
' The following motion was introduced by Board Member Carollo, who moved its adoption:
f MOTION NO.96-16
A MOTION A 14 MEMBER ADVISORY COMMITTEE TO THE COMMUNITY
j REDEVELOPMENT AGENCY; FURTHER APPOINTING THE FOLLOWING
INDIVIDUALS TO SERVE AS MEMBERS OF SAME: ELEANOR KLUGER, FRED
JOSEPH, JORGE ESPINEL, PETER HOUSEWORTH, BARRY CUNNINGHAM,
PATRICIA CARBONELL, ROLAND HOWELL, CAROL ANN TAYLOR, STANLEY
KRIEGER, LIETE LOPEZ, OLGA GUILARTE, RON CANTWELL, JOHN
HARALAMBIDES AND PHILLIP YAFFA.
{
i Upon being seconded by Board Member Hernandez, the motion was passed and adopted
by the following vote:
AYES. Board Member J. L. Plummer, Jr.
Board Member Wifredo Gort
1
Board Member Humberto Hernandez
Board Member Tomas Regalado
Board Member Joe Carollo
NAYS: None.
ABSENT: None.
Board Member Plummer: Under discussion. Under the new rules of the City Commission...
Board Member Carollo: One year.
28 December 16, 1996
Board Member Plummer:... we're not bound by here. Would it be until October 1st... the year?
Board Member Carollo: Yeah. Bert, I think we should be bound by it. Go with a year, that's
the guidelines that we try to establish.
Board Member Plummer: I agree.
Board Member Regalado: So, the list has been approved by this Board.
Mr. Fred Joseph : Commissioners and CRA chairs. Let me explain what had transpired. We
had to ask how many people were not on the list, that wnated to be. I had at least 200 people that
I tried to get on and shook their head and said, "No thank you, Mr. Joseph. No, thank you,
Eleanor Kluger." So, we did try. We tried everybody, every segment. Now, Mrs. Kluger did
speak about some of the affluent, but no. I went to every side of Biscayne Boulevard, every side
of Miami Avenue. I had some very fine people over there tell me they don't even know why
we're doing this. So, I keep saying we're doing it because we love this City. She loves this
City. She's not moving herself. She's just moving her business. She is going to stay here and
fight with us. But, we need your help.
Board Member Plummer: Fred, just for the record let me. Let me make sure that you understand
where I was coming from. There are many boards in the City of Miami that we are mandated
and must advertise so that it can never be said that anybody has been locked out of the process.
That was the only reason I asked at the last meetings had it been advertised? What had been
done if anything, in way to the people of the entire district. So that they could not come back at
a later time, and say "hey, I would have loved too, but I didn't know." The Zoning Board,
Planning Board, all those boards we are mandated and must advertise before we make
appointments. So I am just saying...
Mr. Joseph: We understand.
Board Member Plummer: ... that's where it was coming from.
Mr. Joseph: Thank you. Thank you, Commissioner Plummer. The only thing that I could tell
you is, that we understand that. But we're just very new at forming any decision type of board
or if we are one. We know where we're going to go with it but we hope it is just to advise you.
That's all. Thank you.
Board Member Gort: Fred, to be honest, I would like to make a statement. This area has been
deteriorating for a long time and I think one of the things that we're doing is trying to bring it
back. And I think you have seen some changes that have taken place.
Mr. Joseph: Yes.
Board Member Gort: We're not going to see it overnight. This process and Phil has been here.
Phil has been here for a long time and he knows this has been going on for 15 years. You cannot
turn this around in five years or two years. It takes all of us working together.
Mr. Joseph: That's right.
Board Member Gort: And we're going to do it. We've got certain plans that are being
implemented. It is not as fast as we would like to see it done.
Mr. Joseph: I know.
29 December 16, 1996
Board Member Gort: Look at the interlocal agreement, how long it has taken to get it across.
Unfortunately, when you work with bureaucrats, it's a problem.
Mr. Joseph: I know, but you go home... And you've got to understand, we come home and we
tax ourselves to better our area and they won't spend the money that we taxed ourselves, you
know.
Board Member Gort: Well, hopefully you will be getting it. Right. You're right.
Mr. Joseph: So, I mean if your wife, if she's found out you spent a dollar for that sidewalk and
it's cracked, she's going to want to know why you didn't get it fixed. And that's what our
problem is. No lights. The derelicts, the filth and trash on the Expressway entrance and exit
ramps. The roads with holes in 'em, you know. So that's what we're talking about.
Board Member Gort: Uh-huh. You're right.
Board Member Carollo: Well, Fred, at least let me give you some good news before the holiday
season comes to an end and we won't see you here until January. In January, I am going to
introduce some ordinances that I think will give us the powers that we do not presently have to
be able to take care of a lot of the problems that you see. Not all of them but at least we will be
able to take out of the streets a lot of the panhandlers, the window washers, the drug addicts,
alcoholics, people with mental problems that are out in the streets. And I won't call them
homeless because for the most part the bulk of the real homeless have accepted to go to shelters
that we have. But those that you see just lying all over the place panhandling, making this area
in particular, but many areas of Miami a real ugly scene and not the kind of place that we want to
have, where people are urinating in the middle of the street and worst. We will be able to take
care of that where either they are going to accept to go to shelters and to get the help that they
need or they'll have a one way ticket to jail. And I know that we have supposedly been under
federal intervention, and I say supposedly. Because I don't agree with the interpretation that our
Law Department or administration gave to Judge King's orders. But with what we're going to
be presenting, these have been ordinances that have been approved in other cities, that have had
the full endorsement of the American Civil Liberty's Union. And that I am sure we will be able
to use here fully, to start cleaning the streets. But at least that will give the police until, where
we could do something about part of the problem that we have. And that'll be a start so...
Mr. Joseph: I appreciate it and our residents here, the constituents of the Grand will appreciate
because you know, women alone... Men cannot go out at night in over, in a park next door or
walk our streets.
Board Member Carollo: Well...
Mr. Joseph: So, we do look to...
Board member Carollo: ... that's part of what we're going to include in the ordinance, that by a
certain time no one can be sleeping in the park or can be washing their clothes in the park and
many other things.
Mr. Joseph: Thank you.
Board Member Regalado: In fact, I would urge you to... Now that you have this advisory board
to press the City government in order that when we get the funds approved by the voters to have
concessions and different remodeling in parks, you will get some funds for next door. That park,
it's a very nice park. I've seen Saturday afternoon people playing soccer but...
30 December 16, 1996
W,
Mr. Joseph: The County bond did give us the money.
Board Member Regalado: Yes.
Mr. Joseph: We voted in this area for that money.
Board Member Regalado: OK.
Mr. Joseph: About four hundred thousand dollars ($400,000) is supposed to come for this park.
We've got cricket, soccer, everything going on over there.
Board Member Regalado: But other than that the soccer...
Mr. Joseph: I didn't mean to interrupt you.
Board Member Regalado: No, I am sorry. Other than the soccer, you have a problem in that
park. I've gone with my small son here to try to exercise him and he can't do it. And this was
on a late afternoon because there were some people, some gangs.
Mr. Joseph: Yes.
Board Member Regalado: And some people that was threatening everybody that was there. It
was on a weekday, and I hope that if we remodel that park, that we can get some lights. And the
sidewalk is not too good.
Mr. Joseph: Yes, yes. Thank you.
Board Member Regalado: People fall there.
Mr. Joseph: Thank you.
Board Member Plummer: They are the City.
Board Member Gort: Yeah.
Board Member Regalado: So next meeting is... It's done.
Board Member Gort: Moved to the next meeting...
Board Member Regalado: OK.
Board Member Plummer: We've got a City Commission meeting Thursday?
Board Member Carollo: We do. It's a workshop and regular Commission meeting.
Board Member Gort: At ten o'clock right?
Board Member Carollo: Nine a.m. Well, we did it that way... It's going to be short but...
Board Member Gort: Sure.
Board Member Carollo: But just in case we needed to handle certain things...
Board Member Plummer: OK, fine.
31 December 16, 1996
a4t
Board Member Regalado: Is it nine o'clock or ten o'clock?
Board Member Plummer: Ten o'clock.
Board Member Gort: Ten o'clock.
Board Member Carollo: It probably was ten o'clock, I forgot. You're right.
Board Member Plummer: Yeah. Ten o'clock.
Board Member Gort: Ten o'clock, OK.
Board Member Carollo: Good night.
Mr. Bailey: So he it.
THERE BEING NO FURTHER BUSINESS TO COME BEFORE THE CITY
COMMISSION, THE MEETING WAS ADJOURNED AT 8:15 P.M.
ATTEST:
Walter J. Foeman
CITY CLERK
Josephine M. Argudin
ASSISTANT CITY CLERK
JOE CAROLLO
MAYOR
(SEAL)
32
December 16, 1996