HomeMy WebLinkAboutR-99-0655J-99-746
9/1/99
RESOLUTION NO.
A RESOLUTION, WITH ATTACHMENT(S) OF THE MIAMI
CITY COMMISSION APPROVING THE PROCUREMENT OF
APPRAISAL SERVICES FROM THE REPUBLIC
APPRAISAL COMPANY, FOR THE APPRAISAL OF
NINETEEN (19) MULTIFAMILY RENTAL APARTMENT
BUILDINGS LOCATED IN THE NEIGHBORHOODS OF
ALLAPATTAH, LITTLE HAVANA, MODEL CITY AND
OVERTOWN; ALLOCATING FUNDS IN AN AMOUNT NOT
TO EXCEED $12,000; ALLOCATING FUNDS FROM THE
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM TO
DEFRAY THE COST OF SECURING SAID APPRAISAL
REPORTS FOR THE DEPARTMENT OF COMMUNITY
DEVELOPMENT, ACCOUNT CODE
NOS. 113010.590323.220, 198004.639005.220 AND
799234.459116.220.
WHEREAS, the U.S. Department of Housing and Urban
Development's District Office of the Inspector General, in its
audit report dated March 26, 1998, cited weaknesses in the City's
loan collection procedures, and recommended a strategy to
aggressively pursue legal actions against all delinquent loan
accounts under the City's Multifamily Rehabilitation Loan
Programs; and
WHEREAS, as part of the City's corrective action plan
related to this finding, it is necessary for the Department of
Community Development to ascertain the existing conditions of the
subject multifamily apartment buildings which have been
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5EP 2 1 1999
Resolution ,No.
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identified in the audit report, in addition to determining the
fair market value of each of the subject properties; and
WHEREAS, the inspection and appraisal of subject properties
is required to determine whether foreclosure against a delinquent
borrower is appropriate; and
WHEREAS, in June of 1998, through Resolution No. 98-586, the
City Commission authorized and directed the City Manager to
engage the services of appraisal firms to perform undated
appraisals of each of the multifamily apartment buildings
identified in the audit report to determine the fair market value
of each of the subject properties for the purpose of assisting
the City in its efforts to reach a negotiated settlement with the
developers of said properties with defaulted city loans or to
institute foreclosure proceedings against appropriate parties;
and
WHEREAS, the Office of Asset Management solicited proposals
from twenty-six (26) appraisal firms for the purpose of
performing appraisals pursuant to Resolution No. 98-586; and
WHEREAS, based on the City's bid solicitation, proposals
were received from seven (7) appraisal firms for the appraisal of
twenty-seven (27) multifamily apartment buildings; and
WHEREAS, the bid proposal submitted by the Republic
Appraisal Company represents the lowest responsive bid received
by the City for the appraisal of twenty-one (21) multifamily
2 - r
j apartment buildings at a cost not to exceed $13,100; and
WHEREAS, two of the properties to be appraised have been
deleted from the original list, therefore, it is recommended that
Republic Appraisal Company, the lowest responsive bidder, be
retained for the appraisal of the nineteen (19) multifamily
apartment buildings, attached hereto, at a cost not to exceed
$12,000; and
WHEREAS, funds are available from Community Development
Block Grant Account Nos. 113010.590323.220, 198004.639005.220 and
799234.459116.220, to defray the cost of securing the said
appraisal services;
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 procurement of appraisal services from
the Republic Appraisal Company, for the appraisal of nineteen
(19) multifamily rental apartment buildings located in the
neighborhoods of Allapattah, Little Havana, Model City and
Overtown, is hereby approved, in an amount not to exceed $12,000;
with funds therefor hereby allocated from Community Development
Block Grant Program funds, Account Nos. 113010.590323.220,
198004.639005.220 and 799234.459116.220.
Section 3. This Resolution shall become effective upon
its adoption and signature of the Mayor.'/
PASSED AND ADOPTED this 21st day of September , 1999.
+� JOE CAROLLO, MAYOR
In accordance with Miami Code Sec. 2-36, since the Mayor did not indicate approval of
this legislation by signing it in the designated place provided, said legisiatio^ ro7i
becomes effective with the elapse of ten (10) day from the date of Comm sicn V
rding same, without the May er ' ' eto.
10
ATTEST: site , City Clark
WALTER J. FOEMAN
CITY CLERK
APPZVEDASAG ORM AND CORRECTNESS :e,-
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it 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.
•
ATTACHMENT
LISTING OF MULTIFAMILY HOUSING PROJECTS TO RE
APPRAISED BY THE REPUBLIC APPRAISAL COMPANY
Job Number
ADDRESS
No. of Unit
Amount
98-25
541-51 N.E. 62nd Street
16
$ 800
98-26
1520-30 N.W. 10 Court
20
1,000
98-27
1755 N.W. 2n1 Court
12
600
98-28
1288 N.W. 401 Street
18
900
98-29
1043 N.W. 2nd Street
18
900
98-30
833 N.W. 4`' Avenue
11
550
98-31
542 N.W. 801 Street
1.5
750
98-36
100 N.W. 12`h Street
21
1,000
98-37
243 N.W. IO'h Street
8
$1,300
98-38
1720 N.W. I' Place
8
98-39
1760 N.W. V Place
10
-
98-40
1118 N.W. 1 s' Court
8
$ 800
98-41
472 N.W. 10" Street
8
-
98-43
348 N.W. Th Street
6
$ 300
98-44
1900 N.W. 2nd Court
12
600
98-45
244 N.W. 161h Street
12
600
98-46
119 N.W. 29"' Street
8
400
98-48
1700 N.W. 581" Street
12
600
98-49
102 S.W. 160' Street
18
900
Total
241
$12,000
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S9- 655
CITY OF MIAMI, FLORIDA 20
INTER -OFFICE MEMORANDUM
To: The Honorable Mayor and Members of
the City Commission
FROMDonald . WarshaN�% ""'�`''-`
City Manager
RECOMMENDATION:
DATE: ! 1^ ^ ^ - FILE:
SUBJECT: Resolution Approving Retention of
Republic Appraisal Company
REFERENCES: City Commission Agenda Item -
ENCLOSURES: Meeting of September 14, 1999
It is respectfully recommended that the City Commission adopt the attached resolution approving the
retention and procurement of appraisal services from The Republic Appraisal Company (a
Hispanic/Miami Dade County vendor), in connection with the appraisal of nineteen (19) multifamily
apartment buildings located in the neighborhoods of Allapattah, Little Havana, Model City and
Overtown.
It is further recommended that the City Commission allocate $12,000 from the Community
Development Block Grant Program to defray the cost of securing the said appraisal reports for the
Department of Community Development.
BACKGROUND:
In March of 1998, the U.S. Department of Housing and Urban Development's District Office of the
Inspector General, in its audit report dated March 26, 1998, cited weaknesses in the City's loan
collection procedures and recommended a strategy to aggressively pursue legal actions against all
delinquent loan accounts under the City's Multifamily Rehabilitation Loan Programs.
As part of the City's corrective action plan relative to this audit finding, the Department of Community
Development has determined that an inspection of the existing conditions and an appraisal of each of
the subject multifamily apartment buildings would be a valuable tool in assisting the Departments of
Community Development and Law in performing the appropriate project analysis required to
determine whether the institution of foreclosure proceedings against a delinquent borrower is the
appropriate remedy.
In June of 1998, through Resolution No. 98-586, the City Commission authorized and directed the City
Manager to engage the services of appraisal firms to perform updated appraisals of each of the
multifamily apartment buildings identified in the audit report.
VQ)— ' -r.
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The Office of Asset Management solicited proposals from twenty-six (26) appraisal firms for the
purpose of performing appraisals on the subject multifamily apartment buildings. Based on the City's
bid solicitation, proposals were received from seven (7) appraisal firms to perform appraisals on
twenty-seven (27) multifamily apartment buildings located in the neighborhoods of Allapattah, Little
Havana, Model City and Overtown. To date, two (2) of the seven (7) appraisal firms have been
selected to perform the required appraisals. The appraisal firm of J.B. Alhale and Associates has been
awarded the bid to perform the appraisal on two (2) properties at a cost of $2,400. Citywide Services,
Inc. has been awarded the bid to perform the appraisal on four (4) properties at a cost of $3,365.
The bid proposal submitted by the Republic Appraisal Company represents the lowest responsive bid
submitted by the seven (7) appraisal firms to the City for the appraisal of the remaining twenty-one
(21) multifamily apartment buildings at a cost of $13,100. Two (2) of the twenty-one (21) properties
which were to be appraised by the aforementioned firm have been deleted from the original list of the
twenty-seven (27) properties slated to be appraised. One of the subject properties was removed due to
the successful completion of a foreclosure suit by the first mortgage holder against the property owner.
The other property was removed due to the need to provide the Law Department with an appraisal of
the subject property in connection with the City's pending foreclosure suit against the property owner.
The appraisal on this property was assigned to another appraisal firm. Currently, the Department of
Community Development is requesting that the appraisal firm performs appraisals on only nineteen
(19) properties at this time. As a result, the bid proposal submitted by The Republic Appraisal
Company has been reduced from $13,100 to $12,000. Funding in the amount of $12,000 is available
from the Community Development Block Grant Program to defray the cost of securing the
aforementioned appraisal services.
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Attachment
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
TO: Donald H. Warshaw
City Manager
i
FROM : Gwendolyn C. Warren, Director
Department of Community Development
DATE: august 24, 1999 FILE:
SUBIECT : Resolution Approving Retention of
Republic Appraisal Company
REFERENCE!-aity Commission Meeting
ENCLOSURE§eptember 14, 1999
The Department of Community Development has verified with the Department of Budget that
$12,000 of Community Development Block Grant funds are available for FY 98-99, to cover the
cost of said appraisal reports. Account Code: 113010.590323.220 and Account Code:
198004.639005.220 and Account Code: 799234.459116.220.
BUDGETARY REVIEW AND APPROVAL:
Luie Brennan, lAr r 01 Department of Bu get
City of Miami
Management & Budget
Date ti
Hair 4.,co,AM/*
Anyountafi. � OoU,�is
available In amount number:
7e)923q.
Ctty of Miami
Management & Budget
Data F z ff
nme Woo t AM1 t�'
Amount of f 5. ,q3 is
available in account number:
l i3o(C. 59, 323. &3Yo . aao
Verified by: SIGNATURE
City of Miami
Malnagement & Bu.
Dabs 01= g 9
nms Y:cG .JA&
Amount of s E 9 is
avallabN Ir account number:
Ve' - '-Yr: SIGNATURE
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
TO: Donald H. Warshaw
City Manager
FROM: Gwendolyn C. Warren, Director
Department of Community Development
DATE: August 24, 1999 FILE:
SLIWECT . Resolution Approving Retention of
Republic Appraisal Company
REFERENCESC. ity Commission Meeting
ENCLUSUR :S eptember 14, 1999
The Department of Community Development has verified with the Department of Budget that
$12,000 of Community Development Block Grant funds are available for FY 98-99, to cover the
cost of said appraisal reports. Account Code: 113010.590323.220 and Account Code:
198004.639005.220 and Account Code: 799234.459116.220.
BUDGETARY REVIEW AND APPROVAL:
n
Luie Brennan, itegget
r
Department of Bu
City of Miami
Management & Budget
Data 8 z c
Tins. y._ C'o ...� AMA}
Ananntaf=po x ,is
available In eceaunt nundwr:
79 q 3q. 445 �i t lL� Wo, Z:z
City of Miami
Management & Budget
Date ,r Z ` f
Time �t:0" AMC
Amount of $ 5. 4a :5. ;Ro- to
available in account number:
t i3�iC, Syc323. (�3YG . aao
Verified by: SIGNATURE
City of Miami
Management IL Buy - - .
Date
Tim.,
0
Amwntaf$ 3, is
availabia Ir account number:
Ve - "-,,: S!GNATURIE
S9_ 655
J-98-289
5/18/98
RESOLUTION NO.9 S ' .586
A RESOLUTION AUTHORIZING AND DIRECTING THE
CITY MANAGER TO ENGAGE THE SERVICES OF A CIVIL
ENGINEERING FIRM TO PERFORM CONSTRUCTION COST
ANALYSES OF CDBG AND HOME PROGRAM FUNDED
MULTI -FAMILY REHABILITATION LOAN PROJECTS
IDENTIFIED BY THE U.S. DEPARTMENT OF HOUSING
AND URBAN DEVELOPMENT'S DISTRICT OFFICE OF THE
INSPECTOR GENERAL ("OIG") IN ITS AUDIT REPORT
DATED MARCH 26, 1998 CONCERNING THE CII'Y'S
MULTI -FAMILY REHABILITATION LOAN PROGRAMS
AND TO PERFORM CONSTRUCTION COST ANALYSES OF
ALL HOUSING PROJECTS WHICH ARE BEING
CONSIDERED FOR ROUSING FUNDING FROM THE CITY
THROUGH CDBG, HOME AND SHIP PROGRAMS;
AUTHORIZING AND DIRECTING THE CITY MANAGER TO
ENGAGE THE SERVICES OF APPRAISAL FIRM(S) TO
PERFORM UPDATED APPRAISALS OF EACH
MULTI -FAMILY PROJECT TO DETERMINE THE FAIR
MARKET VALUE OF SUCH PROJECTS TO ASSIST THE
CITY IN ITS EFFORTS TO REACH A NEGOTIATED
SETTI..EMENT WITH DEVELOPERS OF SAID PROJECTS
WITH DEFAULTED CITY LOANS AND/OR TO INSTITUTE
FORECLOSURE PROCEEDINGS AGAINST SAID
DEVELOPERS; PROVIDING THAT THE HEREIN
AUTHORIZATION TO ENGAGE SUCH PROFESSIONAL
SERVICES SHALL BE SUBJECT TO COMPLIANCE WITH
ALL REQUIREMENTS THAT MAY BE IMPOSED BY THE
CITY ATTORNEY, INCLUDIING, BUT NOT LUMTED TO,
THOSE PRESCRIBED BY APPLICABLE CITY CHARTER
AND CODE PROVISIONS; FURTHER AUTHORI7.IING AND
DIRECTING THE CITY MANAGER TO IDENTIFY FUNDING
TO DEFRAY THE COST FOR THE AFORPAMNTIONED
PROFESSIONAL SERVICES.
JUN Q 9 me
saftwom Na
98- 586
0
WHEREAS, in its Audit Report dated March 26, 1 "S of the City's Multi -family . •
Rehabilitation Loan Programs, the U.S. Department of Housing and Urban Development's Office
bf the inspector General ("OIG") cited several problems and concerns relative to the City's
housing loan portfolio; and
WHEREAS, in an effort to address the OIG's concerns with respect to the number of
defaulted loans in the City's loan portfolio, it is necessary that construction cost analyses and
appraisals of the subject multi -family projects be performed by a civil engineer and an appraiser,
respectively, and
%gWM.W, Is impsorio the rit1Pe nivall innnImili lindi:n yfifing Proceduresi
•
it is recommended that the civil engineer be retained to also perform construction cost analyses of
all housing projects which are being considered for funding through the CDBG, HOME and SHIP
Programs;
NOW, TIfREFORE, 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 hereby authorized' and directed to engage the services
of a civil engineering firm to (a) perform construction cost analyses of the CDBG and HOME
Pfogram Randal nwlti-family rohabilitation loan pmjKt~ ("Prgjcaj) to assist the City in
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
Chatter and Code provisions.
98- 586
e
addressing the problems and concerns relative to said Projects as cited by the Department of
Housing and Urban Development's District Office of the Inspector General (" OIG") in its Audit
Report dated March 26, 1998 and (b) perform construction cost analyses of all housing projects
which are being considered for funding by the City through the CDBG, HOME and SHIP
Programs.
Section 3. The City Manager is hereby authorized' and directed to engage: the services
of appraisal firm(s) to perform updated appraisals of each of the Projects to determine their fair
market value to assist the City in its efforts to reach a negotiated settlement with the developers of
said Projects with defaulted City loans andlor to institute foreclosure proceedings against said
i
developers.
Section 4. The City Manager is further authorized and directed to identify funding to
deft'ay the cost for the aforementioned professional services.
Section 5. This Resolution shall become effective immediately upon its adoption.
PASSED AND ADOPTED this 9th day of June . 1998.
JOE CAROLLO, MAYOR
1h 80=dV48 With MWN Code Sec. 2-W, since the Mayor did nw Indicate eporovai of
0k 1109Mlaion by signing It In the designated place provided, said leg;;lebon n-.-i
b9cOnMe990de with tha slap" often (10) days f,. ;the date of Commiss!cn c,;:::;
ATTEST: aw"' WWW the Mayer axe 4,
v .
k
Waiter 4. F n, 8y t, 1wk
WALTER J. FOEMAN
CITY CLERK
2/ 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.
98- 586
A
PREPARED ANDAPPROVED
AND
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