HomeMy WebLinkAboutR-99-0559J-99-574
7/2/99
RESOLUTION NO. 9 9- 559
A RESOLUTION OF THE MIAMI CITY COMMISSION
RESCINDING RESOLUTION NO. 98-1211, ADOPTED
DECEMBER 8, 1998, WHICH ALLOCATED $320,000 IN
HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS
(HOPWA) PROGRAM FUNDING TO THE PROPOSED
EVERGLADES . CENTER APARTMENTS PROJECT;
AUTHORIZING AND DIRECTING THE CITY MANAGER TO
ALLOCATE $320,000 IN FY 1998-99 HOME
INVESTMENT PARTNERSHIP (HOME) PROGRAM FUNDS
TO THE EVERGLADES CENTER APARTMENTS PROJECT,
CONSISTING OF 42 UNITS, TO BE LOCATED IN THE
DOWNTOWN TARGET AREA AT 282 NORTHEAST 2ND
STREET, MIAMI, FLORIDA, BY EVERGLADES CENTER
APARTMENTS PARTNERSHIP; AUTHORIZING THE CITY
MANAGER TO SUBMIT AN AMENDMENT TO THE CITY OF
MIAMI'S 1998 ANNUAL ACTION PLAN TO THE
U.S. DEPARTMENT OF HOUSING AND URBAN
DEVELOPMENT FOR THE.ALLOCATION OF SAID FUNDS,
AND TO EXECUTE THE NECESSARY DOCUMENTS, IN A
FORM ACCEPTABLE TO THE CITY ATTORNEY, FOR
SAID PURPOSE.
WHEREAS, in April 1997, the City of Miami's Housing Loan
Committee approved financial assistance to Everglades Center
Apartment Partnership (the ''Partnership"), which consists of the
Downtown Realty Investment Corporation and Kapustin Corporation,
the sponsor of the proposed 42 unit Everglades Center Apartment
Project, which involves the conversion/rehabilitation of a
commercial property into residential housing reuse located at 282
J U L 2 7 1999
Resolution No.
99- 559
Northeast 2nd Street, Miami, Florida; and
WHEREAS, approximately $629,580 in HOME Investment
Partnership Program funds and $200,000 in Community Development
Block Grant Program funds have been previously allocated by the
City of Miami for said purpose; and
WHEREAS, in November 1997, a loan closing was held by the
Department of Community Development, and the Partnership
commenced the process of pulling building permits for the
proposed project; and
WHEREAS, at that time, the Department of Building and Zoning
required certain changes to the conversion/rehabilitation plans
which have resulted in substantial increases in the cost of the
project, creating an approximate short fall in the amount of
$400,000; and
WHEREAS, at the December 8, 1998, City Commission meeting,
through Resolution No. 98-1211, the City Commission authorized
the City Manager to allocate $320,000 in Housing Opportunities
for Persons With AIDS (HOPWA) Program funds to the Everglades
Center Apartments Partnership, in connection with the proposed
project; and
WHEREAS, it has been determined that the HOPWA Program funds
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can only be made available to a not -for -profit entity, and that
the Program regulations preclude for -profit entities from
receiving HOPWA funding; and
WHEREAS, it is recommended that the City Commission
authorize the allocation of funding from the City's FY 1998-1999
HOME Program funds in the amount of $320,000 for the development
of the Everglades Center Apartments Project, and authorize the
City Manager to submit an amendment to the City of Miami's 1998
Annual Action Plan for the allocation of said funds and execute
the necessary documents;
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. Resolution No. 98-1211, adopted by the City
Commission on December 8, 1998, is hereby rescinded.
Section 3. The City Manager is hereby authorized to
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g-_ 5�-9.
allocate funding from the City's FY 1998-1999 HOME Investment
Partnership (HOME) Program, in the amount of $320,000 for the
development of the Everglades Center Apartment Project,
consisting of 42 units, to be located in the Downtown Target Area
at 282 Northeast 2nd Street, Miami, Florida, by Everglades Center
Apartments Partnership.
Section 4. The City Manager is hereby authorized" to
submit an amendment to the City of Miami's 1998 Annual Action
Plan to the U.S. Department of Housing and Urban Development for
the allocation of said funds, and to execute the necessary
documents, in a form acceptable to the City Attorney, for said
purpose.
Section 5. This Resolution shall become effective
�i The herein authorization is further subject to compliance with
all requirements that may be imposed by the City Attorney,
including but. not limited to those prescribed by applicable City
Charter and Code provisions.
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immediately upon its adoption and signature of the Mayor.2/
PASSED AND ADOPTED this 27th day of July , 1999.
JOE CAROLLO, MAYOR
in accordance with Miami Code Sec. 2-36, since the Mayor did not indicate app f of
this legislation by signing it in the designated place provided, said iegislation now
becomes effective with the elapse often (10) da from the to of Cororrri= n zC00't
regarding same, without the Mayor rc' a o.
ATTEST: •
Wt;,p0RW111Fn, Cfty Cledc
WALTER J. FOEMAN
CITY CLERK
RRECTNESS t
W3574:RCL
zi If the Mayor does not sign this Resolution, it shall become
effective at the end of ten calendar days from the date it was
passed and adopted. If the Mayor vetoes this Resolution, it
shall become effective immediately upon override of the veto by
the City Commission.
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99-- 559
The Honorable Mayor and Members
of the City Commission
Donald H. Warshaw
City Manager
RECOMMENDATION:
P �6
J U N 2 11999
Resolution Allocating $320,000 in
HOME Program Funds
Everglades Center Apartments
City Commission Agenda Item
July 13, 1999
It is respectfully recommended that the City Commission adopt the attached Resolution rescinding
Resolution No. 98-1211 adopted December 8, 1998, and directing the City Manager to allocate
$320,000 in FY 1998-99 HOME Investment Partnership Program (HOME Program) funds to the
Everglades Center Apartments Partnership, sponsor of the proposed 42 unit Everglades Center
Apartment Project, planned in the Downtown target area.
The attached resolution further directs the City Manager to submit an amendment to the City's Annual
Action Plan for approval by the U.S. Department of Housing and Urban Development for the
allocation of the said HOME Program funds.
BACKGROUND:
In November of 1997, a loan closing was held by the Department of Community Development and the
Everglades Center Apartments Partnership (The "Partnership"), which consists of the Downtown
Realty Investment Corporation and Kapustin Corporation, the sponsor of the proposed 42 unit
Everglades Center Apartments Project. Six Hundred Twenty Nine Thousand Five Hundred Eighty
Dollars in HOME Investment Partnership Program funds and Two Hundred Thousand Dollars in
Community Development Block Grant Program funds were made available by the City, in connection
with conversion/rehabilitation of a commercial property into residential housing reuse. The first floor
of the three (3) story building, located at 282 Northeast 2"d Avenue, will continue to be used for
commercial/retail activities. The second and third floors will be converted from commercial use into
forty-two (42) residential apartments, consisting of efficiencies and one (1) bedroom units for
occupancy by low and moderate income individuals.
During the process of the property owner pulling building permits through the Department of Building
and Zoning, the cost of the project increased substantially due to a number of changes required by the
Department of Building and Zoning.
99- 559
r
Based on City staff's analysis of the modification to the plans which were required, the proposed
project experienced an increase of approximately $400,000. In an attempt to move the proposed
project forward in December, of 1998, the City Commission, through Resolution No. 98-1211,
authorized the City Manager to allocate $320,000 in Housing Opportunities for Persons With AIDS
(HOPWA) Program to the proposed project.
During the contract preparation phase, it was determined that the Everglades Center Apartments
Partnership did not have a not -for -profit entity in place which would allow the City to make the
HOPWA Program funds available to the Partnership. In accordance with federal regulations governing
the HOPWA Program, program funds can only be made available to a not -for -profit corporation for the
provision of housing and/or housing related services to persons living with HIV/AIDS.
In order to change the project's funding source, pursuant to Resolution No.98-1211, it is recommended
that the City Commission direct the City Manager to allocate $320,000 in FY 1998-99 HOME
Investment Partnership Program funds to the Everglades Center Apartments Partnership, in connection
with the aforementioned project. In addition, the attached resolution also rescinds Resolution No. 98-
1211, which allocated $320,000 in HOPWA Program funding to the project.
In an effort to provide affordable housing opportunities to forty-two (42) low and moderate income
individuals 'in the Downtown, City Commission approval of the attached resolution is recommended.
DHWJ�9/G /JBH/mb
Enclosure
<Shared/Memosmb-MemoResoEvergladesCenterAparts>
2
0
J-98-1239
12/8/98
RESOLUTION NO. 9 S — I ') 1
A RESOLUTION AUTHORIZING THE CITY MANAGER TO
ALLOCATE FUNDS FROM THE FY 1998-1999 HOUSING
OPPORTUNITIES FOR PERSONS WITH AIDS ("HOPWA")
PROGRAM, IN THE AMOUNT OF $320,000, FOR THE
DEVELOPMENT OF THE EVERGLADES CENTER
APARTMENT PROJECT, CONSISTING OF 42 UNITS, TO
BE LOCATED IN THE DOWNTOWN TARGET AREA AT 282
NORTHEAST 2ND STREET, MIAMI, FLORIDA, BY
EVERGLADES CENTER APARTMENTS PARTNERSHIP;
AUTHORIZING THE CITY MANAGER TO SUBMIT AN
AMENDMENT TO THE CITY OF MIAMI' S 1998 ANNUAL
ACTION PLAN TO THE U.S. DEPARTMENT OF HOUSING
AND URBAN DEVELOPMENT FOR THE REALLOCATION OF
SAID FUNDS, AND TO EXECUTE THE NECESSARY
DOCUMENTS, IN A FORM ACCEPTABLE TO THE CITY
ATTORNEY, FOR SAID PURPOSE.
WHEREAS, in April 1997, the City of Miami's Housing Loan
Committee approved financial assistance to Everglades Center
Apartment Partnership (the "Partnership"), which consists of the
Downtown Realty Investment Corporation and Kapustin Corporation,
the sponsor of the proposed 42 unit Everglades Center Apartment
Project, which involves the conversion/rehabilitation into
residential housing reuse of a commercial property located at
282 Northeast 2nd Street, Miami, Florida; and
WHEREAS, approximately $629,580 in HOME Investment
Partnership Program funds and $200,000 in Community Development
00�
0 , 0
Block Grant Program funds have been allocated by the City of
Miami for said purpose; and
WHEREAS, in November 1997, a loan closing was held by the
Department of Community Development, and the Partnership
commenced the process of pulling building permits; and
WHEREAS, the Department of Building and Zoning required
certain changes to the conversion/rehabilitation plans which has
resulted in substantial increases in the, cost of the project,
creating an approximate short fall in the amount of $400,000; and
WHEREAS, the Partnership is seeking an additional $320,000
in City financial assistance to move forward with the proposed
project; and
WHEREAS, it is recommended that the City Commission
authorize the allocation of funding from the City's FY 1998-1999
HOPWA Program funds, in the amount of $320,000 for the
development of the Everglades Center Apartment Project and
authorize the City Manager to submit an amendment to the City of
Miami's 1998 Annual Action Plan for the reallocation of said
funds and execute the necessary documents;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
99- 559
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E
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 hereby authorized to
allocate funding from the City's FY 1998-1999 Housing
Opportunities for Persons with Aids ("HOPWA"), in the amount of
$320,000 for the development of the -Everglades Center Apartment
Project, consisting of 42 units, to be located in the Downtown
Target Area at 282 Northeast 2nd Street, Miami, Florida, by
Everglades Center Apartments Partnership.
Section 3. The City Manager is hereby authorizedl/ to
submit an amendment to the City of Miami's 1998 Annual Action
Plan to the U.S. Department Of Housing And Urban Development for
the reallocation of said funds, and to execute the necessary
documents, in a form acceptable to the City Attorney, for said
1� The herein authorization is further subject to compliance with all
requirements that may be imposed by the City Attorney, including but not
limited to those prescribed by applicable City Charter and Code'
provisions.
99- 559
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purpose.
Section 4. This Resolution shall become effective
immediately upon its adoption and signature of the Mayor.Z/
PASSED AND ADOPTED this sth day of DPnRMbPr , 1998.
JOE CAROLLO, MAYOR
In awordanoe with Miami Code Sec. 2-36, since the Mayor did not indicate aporovat of
tiles bgislation by signing it In the designated place provided, said legistat o:. --)^ .
betmo effective with the elapse of xW
ys from the date of Ccmmissicn act?c!4
same, without the Mayor eveto.
ATTEST: F69man. City Ciark
WALTER LT. FOffiMAN
CITY CLERK
NESS:U
2� If the Mayor does not sign this Resolution, it shall become effective at
the end of ten calendar days from the date it was passed and adopted.
If the Mayor vetoes this Resolution, it shall become effective
immediately upon override of the veto by the City Commission.
99 559