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Home My WebLink AboutR-01-0633J-01-565 7/10/01 RESOLUTION NO. 01 833 A RESOLUTION OF THE MIAMI CITY COMMISSION APPROVING, ADOPTING AND ESTABLISHING A POLICY THAT SETS TIME LIMITS FOR MULTI-YEAR CONTRACTS FOR BRICK AND MORTAR PROJECTS LASTING NO LESS THAN TWO (2) YEARS OR LONGER THAN THREE (3) YEARS. WHEREAS, over the past year, the Administration has initiated actions to address the concerns of the U.S. Department of Housing and Urban Development regarding the timely expenditure of federal funds; and WHEREAS, over the past year, the City Commission approved the reprogramming of dormant Community Development Block Grant funds for Capital Improvement Projects ("CIP") and established a policy that CTP funds must be directed to eligible projects Lhat can be completed during the year of the actual award; and WHEREAS, it is important that the City continues to implement strategies to ensure the timely expenditure of federal funds and minimize any potential loss of these funds due to recapture by the federal government; and cm UMON X89TWO or J U t. 1 R 2001 A. NO. 01- 833 • WHEREAS, it is necessary to establish a policy regarding contract terms for multi-year projects funded for brick and mortar development activities, to be carried out by private developers, that also inhibit the City's attempt to fully rectify the timeliness issue; and WHEREAS, brick and mortar projects historically require significant time for financing, permitting requirements, construction activities and other developmental constraints before development may actually take place. NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section. Section 2. The City Manager is directed to implement a policy that establishes time limits for multi-year contracts for brick and mortar projects lasting no less than two (2) years or no longer than three (3) years. Section 3. It is further directed that the policy, that will be established and implemented, shall require the City Manager to prepare and present legislation, for City Commission consideration, to reprogram funds not expended by the end of the three (3) year contract term. Page 2 of 3 u i- 633 MWEV • • Section 4. This Resolution shall become effective immediately upon adoption and signature of the Mayor'. PASSED AND ADOPTED this loth day of July , 2001. JOE CAROLLO, MAYOR 1" 000 an" with Miami Cnde $(x:. 2,16, since the Mayor dict not indicate Approval of this iogfslaUon by uiuttln ht tare 110801ated NOW provi od, Enid 103islation now kteCONM dfft Olive wlUl the nWpae of for, (10) days frrwn ttw dale Of comn*w1On action regarding eamo. without Ute jvlayor exorcising a vote. ATTEST: WaltgG J. roeman; City Clark- WALTER lerkWALTER J. FOFMAN CITY CLERK APPROVED AS TO FORM AND CORRECTNESS: RO LARELLO ATTORNEY 05448:db:BSBSS:ELF 1/ if the Mayor does not sign this Resolution, it shall become effective at the end of ton (10) calendar days ti-otn the data it was passed and adopted. if the Mayor votoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission. Page 3 of 3 01 — 633 sttustssas_ 0 CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM To Honorable Mayor and DATE Members of the City Commission FROM nez City Manager RECOMMENDATION: suaAcT REFERENCES. ENCLOSURES JUN 2 6 "^i11 FILE Policy to Create Time Limits for Multi -Year Brick and Mortar Projects City Commission Agenda Julv 10, 2001 It is respectfully recommended that the City Commission adopt the attached Resolution establishing a policy that establishes time limits for multi-year brick and mortar project contracts for no less than two (2) years or no longer than three (3) years. BACKGROUND: Over the past year, the Administration has initiated actions to address the concerns of the U.S. Housing and Urban Development (HUD) regarding the timely expenditure of federal funds. On the national level, HUD has prioritized the timeliness issue as one of its major concerns. In accordance with federal requirements, a grantee must have no more than 1.5 fiscal years of available funding in its Community Development Block Grant (CDBG) line of credit. As a result of the Administration's actions, the City of Miami has significantly increased its spending patterns and is on target to meet the 1.5 fiscal year line of credit requirement. Nevertheless, it is important that the City continues to implement strategies to ensure the timely expenditure of federal funds and minimize any potential loss of these funds due to recapture by the federal government. As you are aware, over the last year the City Commission approved the reprogramming of dormant CDBG funds for Capital Improvement Projects (CIP) and established a policy that CIP funds must be directed to eligible projects that can be completed during the actual year of the award. The Administration recommends that the City Commission also establish a policy regarding those multi-year projects funded for brick and mortar development activities to be carried out by private developers. These dormant development projects also inhibit the City's attempt to fully rectify this issue. As you are aware, the brick and mortar projects historically require significant time before development may actually take place due to financing, permitting requirements, construction activities and , other developmental constraints. 01- 633 1=1811IM- To a certain extent, the Administration has addressed these issues through the establishment of a tighter Request for Proposal process. This process requires that: • Potential developers have site control of projects to be developed • Adequate financing has been identified to complete the project • The ability to commence construction within six (6) months Despite these controls, these major development projects typically require multi-year activities. In an effort to further improve the City's ability to meet federal timeliness requirements, it is recommended that the City Commission establish a policy that establishes time limits for multi-year brick and mortar project contracts for no less than two (2) years or no longer than three (3) years. It is further recommended that, if funds have not been expended by the end of the three (3) year contract term, the Administration will prepare legislation for City Commission consideration to reprogram these funds to other eligible activities. Establishment of this policy will maximize the use of available federal funds for immediate development initiatives and will positively impact the City of Miami in the timely expenditure of CDBG, HOME and HOPWA funds. For your information, the attached chart provides an overview of the brick and mortar projects currently underway that have been approved for funding by either the City Commission or the Housing and Commercial Loan Committee. It is recommended that the City Commission adopt the proposed Resolution establishing a policy that creates time limits for multi-year brick and mortar project contracts for no less than two (2) years or no longer than three (3) years. Pr DB/GCW/DF 01- 633 ffff� City of Miami Department of Community Development Brick and Mortar Projects !HetiPMIWNNM DdeAppwM us # Sawoe FWWW Drawn Bala 1 2 GAME / New Hope tlmbNn GAIN / Teopeata Kndl Apts (Hsp-M97) -- 523/96 - — ----1113196 714 817 HOME $ 800,000.00 S 516,39.67 S 283,600.33 H01YE $ 1,125,000.00 $ 1,110,041.71 S 14,968.29 3 Everglades Parywow 1218198 906193_8 CDBG"WE 1,290,870.00 $ 794,29623 $ 496,573.77 4 5 East Little Havena / l.alin Quaiier(lieg4399) Rayon del Sol 0*40) 324198 1219197 -- 907 937 COBG/SHlP — _$ $ 2, 600,000.00 $ 5.695.55 $ 2,594,304.45 HOME HOME $ S 1.025,000.00 --504.450.00 $ S _ 468,774.77 S S 1,_025,000.00 35,675.23 6 ABDA / Ralph Plaza I (H M99)_ 5/11100 969 7 Abbe COC / Pueblo del Sot ?/15101 - 979 _ HOME S 500,000.00 $ - S 500,000.00 8 We Haiti ' Aetocia6orr l t3anyan 6129!40 980 HOME —A HOME S 360,000.00 400,000.00 $ $ -_ _- -- $ $ _ 360,000.00 400,000.00 9 HatM for 2115101 1106 10 sar4ran Towrrironres sp 2115101 1109 HOME $ 500,000.00 $ S 50,000. . 11 New Century 2121101 1110 HOME HOME -- $ S 400,000.00 150,0(0.00 $ S - $_ $ 400,000.00 150,000.00 12 Codec, Im. / PariWa XIV (H* M00) 221101 1111 13 14 Abiles CDC (Hs �DD) East Utle Havana! Casa Grande II _ 2121101 2121101 1112 1122 HOME $ 593,246.00 $ - $ 59V48.00 HOME $ .609.0012 S 2,023,609.00 O N ob W W Page 1 of 1 Totals: S 12,272,177.00 2.8%.207.931$ 9,376,9w.07 • NOTICE OF PUBLIC HEARING ON COMMUNITY DEVELOPMENT ISSUES AND THE PROPOSED FY 2001 ACTION PLAN FOR THE USE OF HUD GRANT FUNDS BY THE CITY OF MIAMI r _ �untr tlnt 1r� Funding recommendations for the City of Miami Community Development Block Grata (CDBG) Program, Housing Opportunities for Persons With AIDS (HOPWA) Program and the Emergency Shelter Grant (ESG) Program will be considered and approved Pursuant to the Department of Housing and Urban Development 24 CFR Part 91, et al, it is required that the City of Miami submit its Annual 2001-2002 Action Plan to the U.S. Department of Housing and Urban Development 1H11111. The City of Miami has completed a series of Public Hearings in each City Commission District to solicit community input and participation in the development of the proposed Annual Action Plan. The final Public Hearing to discuss and approve funding recommendations for FY'2000-2001 activities for the aforementioned HUD grant programs and other Community Development issues will be held: Tuesday, July 10, 2001 at 8:55 A.M. City of Miami Commission Chamber 3500 Pan American Drive Miami, Florida The Agenda for the Special Meeting is as follows: 1. Discussion and proposed resolution to establish a policy on the rollover of Hinds for multi-year contracts for construction related brick and mortar projects. 2. Discussion and proposed resolution to establish a policy that establishes time limits for multi-year brick and mortar project contracts for no less than two (2) years or no longer than three (3) years. 3. Discussion and proposed resolution approving the City of Miami Public Housing Plan. 4. Second reading of Ordinance creating the Model City Homeownership Trust. S. Discussion and proposed resolution appointing the following six (6) individuals as members to the Model City Homeownership Trust Shalley Jones, George Knox, Lucia Dougherty, Hector Brito, Patrick Range and Linda Haskins. 6. Update on the Model City Homeownership Pilot project. 7. Discussion and proposed resolution ratifying the purchase of computer training at a cost of 55,133 to implement the mortgage servicing system software. pl- 633 0 9 S. Discussion and proposed resolution ratifying the retention of the Stanley G. Tate Management Company to provide management services relating to the Ideal Rehab foreclosure property. 9. Discussion and proposed resolution extending the construction and completion date for the Rafael Hernandez Housing and Economic Development Corporation to complete its affordable housing project. 10. Discussion and proposed legislation amending previously adopted resolutions to properly reflect the legal name of the joint venture developer of 15-21 now single family homes planned for development on scattered city -owned parcels located in the Edison -Little River Community Revitalization District: further authorizing the City Manager to approve and reimburse Banyan Townhomes, L.L.C. and Habitat for Humanity of Greater Miami, Inc. for eligible predevelopment and/or project related costs incurred since January 27, 2000 relating to the development of affordable housing units in the Edison Little River and Overtown neighborhoods. 11. Discussion and proposed legislation allocating $50,000 to CAMACOL for administrative costs to assist businesses in the Little Havana Community Revitalization District. 12. Discussion and proposed resolution allocating $50,000 to implement a Special Economic Development Initiative to assist businesses on S.W. 8 Street between S.W. 4 and 19 Avenues in the Little Havana Community Revitalization District. 13. Discussion and proposed emergency ordinance establishing a Special Revenue Fund and authorizing the City Manager to accept the 2001 Welfare Transition Program Grant from the South Florida Employment and Training Consortium. 14. Discussion and proposed emergency ordinance establishing four Special Revenue Funds and authorizing the City Manager to accept the 27"' Year Entitlement grants from U.S. HUD for the Community Development Block Grant, HOME, HOPWA and Emergency Shelter Grant Programs. 15. Discussion and proposed emergency ordinance allocating 27"' Year Entitlement grants from U.S. HUD for the Community Development Block Grant, HOPWA and Emergency Shelter Grant Programs. The Administration will present the following funding recommendation: Proposed Use of 513.148,000 of Community Development Bloch Cxpant (CDBG) Funds and 5450.000 of Program Income from the Commercial Loan Program Economic Development Funding Allapattah Business Development Authority, Inc $150,000 Catholic Charities Pierre Toussaint Haitian Center 150,000 Coconut Grove Pilot Project 50,000 Downtown Miami Partnership 150,000 Edgewater Economic Development Corporation 100,000 Human Services Coalition of Dade County 100,000 Latin Chamber of Commerce (CAMACOL) 200,000 Neighbors and Neighbors Association 150,000 Overtown Pilot Project 50,000 Rafael Hernandez Housing & Economic Development 150,000 Small Business Opportunity Center 250,000 Women's Business Development Center 50,000 Word of Life Community Development Corp. 100,000 Commercial Fa;ade Improvements 450.000 Total for Economic Development Activities 32,085,000 01- 633 Allapattah Business Development Authority, Inc. $ 75,000 BANE Development Corporation of South Florida 82.762 CODEC. Inc. 225,000 East Little Havana Community Development Corp. 225,000 Greater Miami Neighborhoods 75,000 Haven Economic Development Corporation 50,000 Habitat for Humanity of Greater Miami 75,000 Jewish Family Services SS,000 Jubilee Community Development Corp, 107.238 Little Haiti Housing Association 75,000 Miami Dade Community Development, Inc. 50,000 Model Housing Cooperative 50,000 Vision to Victory 105.000 Total for Housing Activities 5112501000 Historic Preservation 19,000 City of Miami retired Police Officers Community $327,100 Benevolent Association 75,000 Total for Historic Preservation Activities S 327,100 Public Services Action Community Center $325,000 Allapattah Elderly Meals Program 350,000 Aspim of Florida, Inc. 55,500 Association for the Development 54,085 Of the Exceptional Boys and Girls Club of Miami 20,000 Catholic Chanties/Centro Hispano 30,000 Catholic Charities/Centro Mater Child Care 74,000 Catholic Charities/Centro Mater Child Care 42.750 Teen Outreach Catholic Charities/Emergency Services 19,000 Catholic Charities/Notre Dame Childcare 45,000 Catholic Charities/Sagrada Familia 75,000 Catholic Charities/Services for the Elderly 28,500 Center for Haitian Studies (Food Voucher Program) 66,500 Center for Information and Orientation (Child Abuse 66,500 Project) Children's Psychiatric Center 20,000 Coconut Grove Cares 100.000 Columbian American Service Association 25,000 Deaf Services Bureau 30,000 De Hostos Senior Center 240.000 Dominican American National Foundation 25,000 Dr. Rafael Penalver Clinic 50,000 Fifty Five Years and Up 25.000 First United Methodist Church Hot Meals 21,000 HAITIAN American Foundation 75,000 Hispanic Coalition 30,000 KIDCO Childcare 1001000 ffiffaffam 01- 633 0 Liberty City Optimist Club 47,500 Lions Home for the Blind 80,000 Little Havana Activities Center/Oderly Meals 260,000 Little Havana Activities Center/Pro Salud 65,000 Mental Health Association of Dade County/ 63,944 A Woman's Place Miami Behavioral Health Center 30,000 Miami Jewish Home and Hospital for the Aged/ 35,000 Douglas Gardens Southwest Social Services 125,000 The Alternative Program 75,000 Urgent, Inc. 25,000 Victim Services Center 25,000 YMCA of Greater Miami/Carver Branch 66,500 YMCA of Greater Miami/International Branch 50,000 Public Services Contingency Fund 51.723 Total for Public Service Activities 53,117,500 City Funded Activities Grant Administration (20%) $2,629,000 Section 108 Loan Guarantee Debt Service 111001000 Code Enforcement $1,000,000 CRA (baseline funding as per Interlocal Agreement) 479,900 Demolition 500,000 Lot Clearance 350,000 Parks and Recreation Dept. (Disabilities Program) -122,000 Parks and Recreation Dept. (Overtown Youth 47,500 Recreation Program in conjunction with Overtown Optimist Club) Little Haiti Job Creation Project 225,000 Planning Department — Establishment of 225,000 Comprehensive Historic Preservation Program Departments of Planning, Real Estate and Economic 140.000 Development, and Community Development - Preliminary planning study for proposed Little Havana Homeownership Project Total City Funded Activities $6,818,400 Zropmed Use of HOPWA Fypds - S10.269,000 Long Term Housing Miami Dade Housing Agency $3,051,930 City of Miami Dept. of Community Develop. 3.700,000 Douglas Gardens Community Mental 611,000 Health Center of Miami Beach Miami Dade Housing Agency Utilities Assistance Grant Administration 308,070 Agape Family Ministries 126,000 DAME Development Corporation of South Florida 18,300 Better Way of Miami 75,000 Center for Positive Connections 100,000 Greater Bethel AME Church 134,000 Greater Miami Community Service, Inc. 250,000 9 p1- 633 Lock Towns Community Mental Heft Center 124,700 Spanish American Basic Education & Rehabilitation 287.000 Sbelbourne Apartment Building, Inc. 103,000 Total HOPWA Funding Proposed Use Emeraenev Shelter Grant Funds $10,269,000 of City of Miami Homeless program -5418.000 $434,560 Program Administration 13.440 Total Emergency Shelter Grant $448,000 • Interested individuals are encouraged to attend the above Public Hearing. The Hearing site is accessible to the handicapped. Following the Public Hearing, the public review and comment period will run from July 11, 2001 through August 10, 2001. The City of Miami invites all interested parties to communicate their 0omwom regarding the proposed Action Plan in writing to: pi- 633