HomeMy WebLinkAboutItem #44 - Discussion Item70
Carlos Gimenez
City Manager
=aorvi
Tomas Regala
Commissioner
0 &ISTRICT 4
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUI COMMISSIONER REGALADO
00 °� _ ''9 Psl 3: 29,
DATE - September 27, 2000 FILE
SUBJECT
Discussion Item
REFERENCES:
ENCLOSURES:
Please place the following item on the agenda of the City Commission meeting to be held
on October 12, 2000.
1) Discussion about the Economic Development Committee
Cc: Agenda Office
n
•
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
TO : Honorable Mayor and
Members of the City Commission
FRO401mas
�
Regalar
Commissioner
DATE : October 12, 2000
SUBJECT : Economic. Dev Committee
Issues
REFERENCES:
ENCLOSURES:
FILE
I would like to share some of my thoughts with you, my colleagues, on development
issues within the City of Miami. I am concerned that we have reached a critical point in a
number of areas related to economic development including the development of
waterfront properties as well as other properties, the creation of recurring revenue, and
seeking much needed private sector expertise on future development projects.
Two recent developments highlight the importance of these concerns. In this Monday's
Herald, October 91h, I read about the latest developments on Watson Island. I commend
City Staff for their hard work on attempting to create recurring revenue but. was alarmed
to read about what appeared to be a unified development plan to the best of my
knowledge has not been shared with this Commission. The second item, Grove Harbour,
was pulled from the October 12, 2000 City Commission Agenda at the last moment. Both
issues could have a critical impact on the future economic development of the city.
Each and everyone of us was elected to represent the people of Miami, yet without timely
and accurate information we cannot be asked to make informed policy decisions that
impact the lives and futures of our citizens, our neighborhoods, and the overall economic
viability of the City of Miami.
During today's October 12' Commission meeting and the October 26" Commission
meeting I to ask the City Manager a number of questions regarding Watson Island, Grove
Harbour, and other economic development related issues. I offer the following for your
review:
Watson Island:
(1) A request of the City Manager to explain why the Port of Miami walked away
from the negotiating table.
(2) Was the Mayor briefed that the Port of Miami walked away from the negotiating
table?
(3) At any time during negotiations with the Port of Miami, was the Mayor involved?
(4) If the Mayor was involved, what was his level of involvement?
=0wrej
(5) After the Port of Miami walked away from the negotiating table was there any
effort to inform the City Commission?
(6) It would appear there is a new process, the City Manager shares his plans of
development with the Miami Herald prior to sharing them with the City of Miami
Commission. If this is the case, I would like an explanation.
(7) I will request that the City Manager provide the preliminary designs referred to in
the October 91h, 2000 Miami Herald for viewing by the City Commission.
(8) Does the city currently posses a projected timeline for all of the Watson Island
projects mentioned in the October 9th, 2000 Miami Herald article?
(9) How far along is the city in negotiations with the Children's Museum? Heliport?
Mega -yacht marina? Hotel?
Grove Harbour:
(1) Explanation from the City Staff regarding the City's maximum exposure each
year as it pertains to the Bay Bottom Lease, if there is exposure.
(2) When does the City expect to begin collecting lease payments from Grove
Harbour?
(3) How much does the City expect to collect each year in lease payments from the
Grove Harbour project?
(4) How would these lease payments compare to similar projects on City waterfront
properties.
General Economic Development Issues:
(1) Watson Island is an example of multiple projects, ranging from a marina and a
hotel to parking garage and a heliport. This would seem to be the time to seek
outside assistance and private sector expertise specific to the individual
projects being discussed. My recollection tells me when we sold the land to
the County (where the new American Airlines Arena is), that we had a private
sector expert negotiate and consummate that entire transaction and we at the
end 100% of what we had asked for at the beginning. The evidence of prudent
waterfront development is visible across the country, and it is our
responsibility to seek out those who can do the same here in Miami.
(2) We must acknowledge that although we seek to develop sources of recurring
revenue we must begin to establish some form of objective criteria. We cannot ask
for top dollar return on one development while accepting bottom dollar on
another. We must all me mindful of entering deals such as Grove Harbour that
requires no firm commitment from the developer or Parrot Jungle that gives up 18
acres of prime waterfront property for $400,000 per year against five percent of a
yet unknown gross.
(3) What are the City's obligations in the event a Parrot Jungle failure and we have
approved the same obligations to other waterfront developments.
(4) I will ask the City Manager by the next Commission Meeting to provide a written
report of the current top ten net revenue -generating leases with the City. We must
keep in mind that the City has leases that generate large amounts of revenue
(Bayside Marketplace is an example) but once we subtract City Services like
police and others we are left with the net revenue.
(5) I will also check on the status of prior requests made to the City Manager on the
following issues:
(1) Written copy of City of Miami incline regarding sequencing of the
ship terminals, heliport, and parking lot structure.
(2) Written copy of the last City of Miami staff memorandum to the Port
.of Miami outlining the City's position.
(3) Request that the Port of Miami cruise industry data on projected
growth or decline in cruise industry in Miami, South Florida, and
Florida as a whole.
I look forward to discussing these issues and any related issues that may arise during
today's October 12`h Commission meeting and the October 26 Commission meeting.