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Home My WebLink AboutR-92-0039J-92-66 1/9/92 �) `� 39 RESOLUTION NO. A RESOLUTION, WITH ATTACHMENT, AUTHORIZING THE CITY MANAGER TO EXECUTE AGREEMENTS, INCLUDING ONE IN SUBSTANTIALLY THE FORM ATTACHED, BETWEEN THE CITY OF MIAMI AND MCI TELECOMMUNICATIONS CORPORATION ("MCI"), FOR AN ECONOMIC DEVELOPMENT INCENTIVES PROGRAM TO ENCOURAGE AND FACILITATE ESTABLISHMENT OF A MCI RELAY SERVICE CENTER IN DOWNTOWN MIAMI; PROVIDING FUNDING FOR SAID PROGRAM IN AN AMOUNT NOT TO EXCEED $500,000, TO BE PROVIDED FROM COMMUNITY DEVELOPMENT BLOCK GRANTS, EXISTING TAX INCREMENT DISTRICTS, AND IN -KIND CITY SERVICES; PROVIDING FOR EMPLOYMENT PREFERENCE FOR QUALIFIED CITY RESIDENTS; FURTHER, PROVIDING AN ADDITIONAL ECONOMIC INCENTIVE FOR MCI LOCATING SAID REGIONAL OFFICE IN DOWNTOWN MIAMI BY AGREEING TO A PAYMENT PLAN FOR RETIRING OUTSTANDING FEES OWED THE CITY BY MCI; AND INCORPORATING ALL OTHER POINTS OF AGREEMENT REACHED BY MCI AND THE CITY COMMISSION AT THE CITY COMMISSION'S MEETING OF JANUARY 9, 1992; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Miami City Commission is desirous of promoting economic development activities within the City of Miami ("City") to create jobs for city residents; and WHEREAS, MCI Telecommunications Corporation ("MCI") has been awarded a state contract to operate a telecommunications relay services center for the hearing and speech impaired; and WHEREAS, MCI (and its subsidiaries) has expressed its intention to locate within Downtown Miami a telecommunications relay facility for the State of Florida to service the hearing ATTAW�� ti UU 4 CITY COMMSION ME IMIG OF, „ J AN 9 1992 92--- 39, WOwr106 "I. r. - ! and speech impaired ("Center"), which initially is to employ 250-300 employees, with the potential for expansion to over 1,000 s employees; and WHEREAS, the economic benefit to the City from the Center in i payroll alone has been calculated at approximately $4.5 million to $4.75 million per year; and WHEREAS, additional economic benefits would accrue to the City from the Center far exceeding fees currently owed the City by MCI pursuant to Ordinance No. 10438; and WHEREAS, MCI's location to Downtown Miami will be dependent on the expansion of existing telecommunication lines and other infrastructure improvements; and WHEREAS, other cities within the State of Florida have the jl necessary infrastructure or have offered incentives of up to 't $500,000 for MCI to locate the Center in their communities; and -j WHEREAS, the local economic need for such a new facility is emphasized by the fact that the City of Miami and Dade County have suffered the loss of over 30,000 jobs during 1991, and currently have an unemployment rate exceeding 9%; and WHEREAS, Community Development Block Grant Funds provided to the City.by the federal government and funds generated by the Southeast Overtown/Park West Tax Increment District and the Omni Tax Increment District may be available to assist in the I provision of the necessary infrastructure to enhance the economic viability of the City's offer; t NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: t 99.. 39 .y -2- 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 enter into agreements ("Agreement") with MCI, including the one in substantially the form attached hereto, for an economic development incentives program ("Incentives Program") based on and incorporating MCI 's conditional agreement to locate within Downtown Miami a Telecommunication Relay Services Center for the hearing and speech impaired. Said authorization is based on representations by MCI that it intends to create within the downtown Miami area a minimum of 250-300 initial new jobs, with the potential for expansion to over 1,000 total jobs, all of i which would be directly related to the Center. Section 3. The value of said Incentives Program shall —� not exceed five hundred thousand dollars ($500,000) in value and shall be limited to eligible activities permissible under the —i Community Development Block Grant Program and/or Tax Increment i i District and/or other incentives that can be properly provided. Section 4. As a condition of said Incentive Program, MCI shall inter alia also agree to a program to give preferential allocation of jobs to qualified city residents, shall comply with Section 18-11 of the City Code (Ordinance No. 10032) pertaining to "First -Source Hiring," and shall enlist the assistance of the City, CDC's, Tools for Change, CAMACOL, and other appropriate agencies to facilitate the subject recruitment program. -3-��- 39 i Section 5. Said Incentives Program shall be for the duration of the initial Contract between the State and MCI, provided, however, that if MCI shall cease to operate' the facility in the City of Miami during the duration of said agreement, then MCI shall be liable for reimbursing the City a proportionate amount. Section 6. It is understood that MCI has agreed that it is obligated to pay the City of Miami outstanding fees required by Ordinance No. 10438 as a condition precedent to initiation of the Incentive Program. Section 7. The Agreement provided for herein shall provide, inter alia, for compliance by MCI with Ordinance No. 10438 and, as a further incentive to MCI's contributing to the City's fiscal development by locating the Center in downtown Miami, shall provide that the City shall accept, as payment in lieu of Ordinance No. 10438's fees currently owed to the City by MCI, said new Center and the substantial number of new jobs created, and the additional positive economic impact the Center would have on the City and its residents. As additional recompense due pursuant to Ordinance No. 10438 MCI shall tender and the City shall accept $210,000 in telephone service provided by MCI or $50,000 in cash and $40,000 in in -kind services for 4 years. Section 8. All additional provisions agreed to by the City Commission and MCI at the City Commission's meeting of January 9, 1992, are hereby incorporated herein by reference and shall be made a part of the subject Agreement. Section 9. This Resolution shall become effective immediately upon its adoption. PASSED AND ADOPTED this 9th day of January , 1992. Y Z—J1WVIER L ATT MAT Y HIRAI CITY CLERK PREPARED AND APPROVED BY: A./ 4;,2. .11140 L E. MAXWE IEF ASSIST T CITY ATTORNEY APPROVED AS TO FORM AND CORRECTNESS: . W114N JPNsS, III CITY ATTOfiMY JEM/db/rcl/M2743 UAREZ,"MAYOR AGE EMF,NT THIS AGREEMENT is entered into this 23'1- may of January, 1992, by and between the CITY OF MIAMI, FLORIDA, a municipal ' corporation of the State of Florida, with an address for the purposes of this Agreement at 3500 Pan American Drive, Miami, Florida 33133 ("City") and MCI TELECOMMUNICATIONS CORPORATION, a Delaware corporation, with an address for the purposes of this Agreement at 2400 N. Glenville Drive, Richardson, Texas 75082- 4381 ("MCI"). For purposes of this Agreement, MCI includes all subsidiaries, including without limitation Western Union ATS, Inc. j WHEREAS, the Miami City Commission is desirous of promoting economic development activities within the City of Miami to i create jobs for City residents; and WHEREAS, MCI has been awarded a state contract which includes two (2) one (1)-year extension options for a maximum I; term of five (5) years and a minimum term of three (3) years (the "Contract") to operate a telecommunications' relay services center for the hearing and speech impaired ("the Center"), which MCI agrees shall be the only center for the hearing impaired operated by MCI in Florida; and WHEREAS, MCI has expressed its intention that the Downtown Miami area telecommunications' relay facility will initially employ 250-300 workers, with the potential for expansion to over 1,0OO employees; and WHEREAS, the economic benefit to the City from the Center in payroll alone has been calculated at approximately $4.5 million to $4.75 million per year; and 39 WHEREAS, additional economic benefits would accrue to the City from the location of the Center in the Downtown Miami area; and WHEREAS, MCI's location in Downtown Miami will be dependent on the expansion of existing telecommunication lines and other infrastructure improvements; and WHEREAS, other cities within the State of Florida have the �S necessary infrastructure or have offered incentives of up to r $500,000 for MCI to locate the Center in their communities; and WHEREAS, the local economic need for such a new facility is emphasized by the fact that the City of Miami and Dade County have suffered the loss of over 30,000 jobs during 1991 and �i currently have an unemployment rate exceeding 9%; and WHEREAS, Community Development Block Grant Funds ("CDBG") provided to the City by the federal government and funds generated by the Southeast Overtown/Park West Tax Increment �l District and the Omni Tax Increment District ("TID's") may be available to assist in the provision of the necessary i j infrastructure to enhance the economic viability of the City's offer; NOW,. THEREFORE, in -consideration of the mutual covenants in this Agreement and the mutual forbearance of litigation, the City and MCI hereby agree as follows: Section 1.. The recitals and findings contained in the Preamble to this Agreement are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section. f Section 2. Based upon the passage and adoption on January 91 1992 of the Resolution and of the Emergency Ordinance attached hereto as Exhibits A and B, MCI hereby agrees that it ehall i establish the Center in Downtown Miami. Section 3. MCI hereby agrees that it shall open the Center on or before July 1, 1992, and that it intends to create within _ the Downtown Miami area a minimum of 250-300 initial new jobs, all of which would be directly related to the Center. Section 4. The City of Miami shall reimburse MCI up to $500,000 for eligible activities permissible under the CDBG Program and/or TID's that can be legally provided, as part of an - I incentive program (the "Incentives Program") based upon MCI's commitment as stated in Section 3 hereof. Such activities shall include, without limitation if legally permissible under CDBG or TID's, the installation of fiber optic cable, telecommunication radio equipment and associated wiring. The Incentives Program shall be solely related to the Center. In the event the eligible activities contemplated under the Incentives Program cannot be fully funded by CDBG or TID programs, the City hereby agrees to use its best efforts to seek alternative funding sources which, if available, would not.affect the City's general fund. Section 5. MCI also agrees to give preferential allocation of jobs to qualified City residents, shall comply with Section 18-11 of the City Code pertaining to "First -Source Hiring", and shall use its best efforts to coordinate such recruitment's through the City with the assistance of entities such as CDC's, Tools for Change, CAMACOL, and other appropriate agencies to facilitate the subject recruitment programs. W -3- t Section 6. The incentives to be provided pursuant to the Incentives Program shall be distributed to MCI in accordance with r a separate agreement to be entered into by the parties hereto within 60 days of the date hereof ("the Incentives Agreement"). The Incentives Agreement shall comply with all the regulations governing CDBG and/or TID's financing for the duration of the Contract and no disbursements of any kind shall be made by the City to MCI until after the execution of the Incentives Agreement. However, in the event that MCI shall cease to operate the Center in Downtown Miami during the duration of the Contract, then MCI shall be liable for reimbursing to the City a pro rata share of any dollars provided to MCI as the result of the Incentives Program. Such pro rata share is to be determined by dividing the number of years of the term of the Contract by the number of dollars provided by City to MCI pursuant to the Incentives Program. Section 7. MCI hereby agrees that it shall pay the City all the outstanding amounts which the City claims MCI owes to the City, pursuant to Ordinance 10438, which the parties hereto agree amount to $210,000. This amount will be paid to the City as follows: (a) The City shall use its best efforts to convert all long distance and operator assisted long distance telephone service to MCI for a four (4) year period no later than thirty (30) days after it becomes permissible for the City to do so under existing long distance contracts without incurring penalties. MCI -4- 92-- 39 shall give a credit to the City in the amount. of $52,500 annually for the next- four (4) consecutive years, said credit to be applied against MCI's invoices* to the City. MCI agrees to provide long distance rates to the City substantially consistent with the lowest rates currently provided by MCI to any municipalities of equivalent size as the City; said rates in any event are to be substantially less than existing rates i charged to the City by SUNCOM and AT&T. (b) If the City is legally unable to. convert to MCI during the term of this Agreement, MCI shall pay the City $50,000 in cash within thirty (30) days from the date of the Incentives Agreement and shall further provide $40,000 to the City annually for four (4) years in the form of in -kind goods and services with the first such annual payment due thirty (30) days from the date of the Incentives Agreement. The City and MCI shall use best efforts to mutually agree on the best uses of such goods and services, but if a good faith agreement cannot be reached, the decision of the City shall be final. In.all instances, the in -kind goods and services shall be used to further an exclusively public purpose. (c) If the City is legally unable to initially convert to MCI, but can legally do so at a later date before the expiration of the four (4) year period described in paragraph (a) above, it shall convert to -5- 39 MCI no later than thirty (30) days after it becomes permissible for the City to do so under existing long distance contracts without incurring penalties. In' that event, any monies (or goods and services) previously paid by MCI under paragraph (b) above shall be credited by the City against the $210,000 owed by MCI and the remainder owed to the City shall be paid to the City in the manner set forth in paragraph (a) above pro rata, but in no event shall the repayment period extend beyond the four (4) year period described in paragraph (a) above. Section 8. MCI represents and warrants that before March 81 1990, any fees or interest incurred under Ordinance 10438 by Western Union Corp., New Valley or Western Union Advanced Transmission System are not the responsibility of Western Union ATS, Inc., or MCI. Further the City may legally proceed in any manner against Western Union Corp., New Valley, Western Union Advanced Transmission System and/or its parents to collect all such amounts due and owing, but shall not name MCI, or any of its subsidiaries, in any lawsuits filed. This naming prohibition will not preclude any third party claim against MCI. Section 9. MCI shall use its best efforts to continue to operate the Center in Downtown Miami beyond the terms of the Contract consistent with MCI's business objectives and the terms of the Contract. IN WITNESS WHEREOF, the City and MCI have caused this Agreement to be executed by ROBERT L. GOLDSMITH, a duly authorized agent of MCI on the day and year first above written. CITY OF MIAMI, a municipal corporation of the State of ATTEST: Florida MATTY I 1 CESAR H. ODIO City Clerk City Manager Reviewed and Approved By: Approved as to Form and Correctness: SEGUNDO PEREZ Insurance Coordinator ATTEST: WB/sls/M320 1/14/92 -7- NN , II City At rney MCI TELECOMMUNICATI0NS CORPORATION, a Delaware corporation Y� R ERT ITH Vice President Southern Division 99- 39 MCI Telecommunicatior Corporation I — Southern Division MCI BuildingMCA (� O 100 South Fourth Street St. Louis, Missouri 63102 314 342 8100 1991 John C. Anderson President and C.E.O. The Beacon Council One World Trade Plaza Suite 2400 80 S.W. Eighth Street Miami, Florida 33130 Dear Mr. Anderson; December 27, 1991 Submitted into the public record in connec':io:n with item _ N A on i - C-1 - Si 2 Matt.y ll.t'_-d City Clerk Attached is a detailed summary of our current project to develop the Florida Telephone Relay Service for the State of Florida. Please take a moment to review this information, which provides some background on this activity along with some specific information regarding economic impact. In summary, here are some of the highlights: - MCI will hire 250 - 300 Communications Assistants immediately, with an approximate salary impact of $4.75 million per year. Management salaries will bring the total to over $5.0 million. Total impact at full staffing of 750 - 1000 Communications Assistants could exceed $20 million annually. Real estate leases represent an additional $.5 million annually with potential impact of up to $2.0 million per year in economic input to downtown Miami. Priority hiring to Miami residents and to minority and handicapped applicants will be a focus on all positions. An influx of new, high technology, "clean" jobs for downtown Miami, representing a major corporate commitment to the re -Vitalization of Miami. 92- 39 Page 2 LETTER TO JOHN C. ANDERSON Hopefully, this information is helpful to you in your assessment of the value that MCI could potentially bring to Miami.. We believe Miami is positioned for incredible prosperity in the coming decades. MCI looks forward to being a partner in that success. Sincerely, I Lew Wilks / Director, —� MCI Government Sales cc: Robert Goldsmith Jim Ahern 'tied into the puplic �ubml vv ith e�Ya ixi connections ' item of --- �j1rQ1 item r--r`'— Clexk city 92- 39 Submitted ifmlb the ubl P is record in c0l.11lection with item on MCI PROJECT INFORMATION Motty Hi.ai City Clerk Description of Project The Telecommunications Relay Service for the state of Florida will allow the 1,400,000 deaf, hearing impaired and speech impaired residents in Florida to use the telephone in the way that is equal to the hearing community. Also, not to be overlooked is the untapped potential of corporations and Florida companies to use the relay to incorporate the resoures in the deaf community, market their services directly to the deaf community, establish new products that will use this offering to provide a service, etc., as well as allowing the hearing people to communicate with the deaf community. The deaf/hearing impaired population in Florida is estimated to be in the top five in the United States. The national average is that 10% of the population is deaf or hearing impaired. Florida's deaf/hearing impaired population is slightly higher and growing at a much higher rate than the U.S. average. This can be attributed to Florida's retirement community and senior citizen population, as well as the fact that Florida is also increasing population at a rate higher than the national average. MCI is teaming with a non-profit company, D.E.A.F., Inc, which is a deaf controlled organization that currently provides relay and additional services for the deaf community of Minnesota. We feel that D.E.A.F. will provide the necessary awareness of unique deaf culture, language, training, relay personnel, outreach programs and input specific to the unique service requirements in Florida's deaf community. This involvement will insure that the service quality is the best in the country. MCI is the first large telecommunication company to team with a non-profit, deaf controlled, organization to provide relay service that incorporates the local deaf community in the operation of the relay service. With this unique approach, MCI has established a different approach that allows the community the center serves, the local deaf population, to be actively involved in THEIR center's operation. D.E.A.F., Inc. is a national organization that works toward the betterment of the deaf community. Status of Project On December 17, 1991, MCI received the Florida Public Service Commissions vote for the intent to award the contract for this service. MCI has subsequently been informed that all other parties have elected not to contest this award, thus we are in final contract negotiations with the state. This service must be operational by June 1, 1992, and site selection is the first critical element to be finalized. MCI is working with two Florida cities and local community groups to make sure that all components are met so that MCI can provide the best possible service and quality for this project. Employment Opportunities MCI is currently offering this service with our teaming partner, D.E.A.F., Inc, in Minnesota, which has a deaf population of approximately 400,000. This center employs over 150 full time equivalents to handle this need. The Florida center, due to the population, will require at least 300 full time employees at the 92— 3� 1 t t it outset and will grow to or r emp oymen oppoun ie of 500-600 people to handle JUST the Florida deaf community during the five year contract period. Initial employment will begin in the January timeframe with most of the Communications Assistants to be hired by April 1, 1992. The reason for this _— aggressive timeframe is the complexity of the training program; ASL, deaf culture, office technology, etc., as well as trying to provide "live" experiences before the service initiation date of June 1, 1992. Also, we would like to offer limited service for community awareness, public relations, _— marketing and give additional "selective" real training experience before the center opens full-time. In constructing the center MCI is also establishing this center to handle INTERstate relay services after the Federal Communications Corporation completes the process. By virtue of the American Disabilities Act the FCC has to complete this by July 1, 1993. MCI is projecting to have ONLY two INTERstate centers and the Florida Center will quite possibly be the center to handle the east coast traffic. This will increase the employment by 10-15%, or to about 700 employees. Another opportunity exists as MCI bids on other state contracts in the United States. There are a very limited amount of states that can justify the cost of putting a center in their state, due to the local population. As of today, there are over 17 states that have to bid this service by July 1, 1993 and there are also several states that are completing their irmfhlit&Z)7tn�dliaErg)tgifining on rebidding the service. This opportunity could easily take the employment opportunity to 1000-1500 employees. record in connection with _ item tly'\_ on 1-1 - 5'Z-- MCI has made strong commitments to recruit qualified handicapped and"atty Hirai. disabled applicants in addition to hearing/speech impaired individudCLidyfQePkL positions. Also if MCI locates in Miami, due to the enormous help and assistance offered by the city, DDA and other local civic groups, MCI would make every effort to hire as many qualified applicants as possible from within the City of Miami. Another area where MCI would concentrate their efforts would be with the dislocated Workers in Miami. The needs of these local individuals, the need for the city to provide a viable work environment and job opportunities, along with this project providing a service based, high technology service that will offer good income and career opportunities, will meet all the needs that are necessary for EVERYONE in the Miami area to benefit. Wage Information MCI will be looking at offering hourly wages of $7.50-$9.00 per hour for the communication assistants. At the opening of the center there will be around 225-250 of these positions. The supervisor positions will be a paid a rate of 10-25% higher than the communications assistants. There will be several management positions and technical jobs as well. These positions will have yearly salaries beginning at $35,000 and the senior manager's salary will exceed $50,000 easily. This project will have a tremendous financial impact on Miami's economic development when you factor in the reciprocal spill over of the income in the community. Additional compensation will be paid to local trainers, counselors, consultants, etc., which will be required on an ongoing basis during the contract term. Real Estate MCI currently operates the following facilities in the Miami area: Sales office; Currently MCI has a sales office located in Coral Gables with over 50 employees in 22,000 square feet. MCI has a major switching center and 92- 39 INTERNATIONAL GATEWAY loca)d in the Sunshine State Itiwustrial Park in Hialeah. This center employs approximately 25 operations and technical staff. Also MCI has an Operations terminal in downtown Miami in the One Biscayne Building, which has 10,000 square feet and employs five. Western Union ATS, a wholly owned subsidiary of MCI, also has a terminal and office in downtown Miami occupying 10,000 square feet and 10-15 employees. The Telecommunications Relay Center will require at least 20,000-25,000 square feet at the beginning of the project. Based upon the growth projections, this will increase to approximately 50,000-60,000 square feet to service ONLY the needs of the Florida contract requirements and the INTERstate needs to be mandated by the FCC by July 1, 1993. If MCI uses the Florida center to offer this service to other states, as mentioned above, the center could easily occupy up to 100,000 squre feet or more. Additional Benefits Additional benefits to the area would include the use of local schools and services, such as Miami Dade Community College and The University of Miami, to provide recruitment, training, counseling, etc. A final note to make mention of, and one of the most important, would be that MCI, the second largest telecommunications company in the world, with revenues of over Eight Billion dollars, and a fortune 300 service company, will be making a strong commitment to YOUR community. With this committment, we would want to establish MCI as a civic partner to help foster economic activity for the city, become active in civic needs and issues where our resources could be utilized. Miami is positioning itself as a city leading the way to international economic development and the international connection to the United States. In providing this service, MCI, a company that offers communication services world wide, which has established a reputation of leadership in providing state of the art technology in global telecommunication services, along with the tenacity to break new ground. In working with corporations, cities and world leaders to form relationships that build upon the need of the future to communicate on a international basis, can help position Miami as the international communication center of the Florida...The Southeast... The U.S .... The World. Hopefully this project will become one that both Miami and MCI can leverage to build a unique relationship that will solve issues that we all face and can create a better communication vehicle for both of us to prosper. Final Note If this project is located in downtown Miami, MCI would become one of the top _five employers in the area at the begining of the project. With the inherent growth of the center, MCI could become the top employer in downtown Miami and one of the biggest companies in terms of real estate usage in the area. Submitted into the public record in connection With item /J I"' - on i - ci -- R .-a-- . Matty Hirai City Clerk 92-- 39 11 MCI TELEPHONE RELAY SERVICE FOR FLORIDA'S HEARING IMPAIRED The Economic Impact from Wages and Office Rental Prepared by: John B. Cordrey, Ph.D. Vice President, Research and Economics THE BEACON COUNCIL December 30, 1991 Submit -Led into the public record in connection with item A____ on / ^ 2 - q 2- Matty Hirai City Clerk 92- 39 V., ECONOMIC IMPACT FROM MCI PROJECT YEAR 1 Total Jobs 292 Total Wages $ 4.6 million Total Income $ 10.2 million YEAR 2 Total Jobs 396 Total Wages $ 7.8 million Total Income $ 15.6 million YEAR 5 Total Jobs 853 Total Wages $ 15.6 million Total Income $ 35.2 million Submitted into the public record in connection with item �JA' on ! - q%---'?Z-- Blatty Hirai City Clerk 92- 39 The following economic impact on the local Miami economy is based upon two MCI expenditures: labor and office rental. The calculations were derived from data provided by MCI (see Appendix). YEAR 1 UNIT Employment (jobs) Direct Salaries (mils. $) Office Rent (mils. $) Total Income (mils. $) YEAR 2 Employment Direct Salaries Office Rent Total Income YEAR 5 Employment — Direct Salaries Office Rent - ` I Total Income DIRECT INDIRECT FROM FROM MCI MULTIPLIER EFFECT TOTAL 265 27 292 4.6 - 4.6 .5 - .5 5.1 5.1 10.2 (jobs) 360 36 396 (mils. $) 6.8 - 7.8 (mils. $) 1.0 - 1.0 (mils. $) 7.8 7.8 15.6 (jobs) 775 78 853 (mils. $) 15.6 - 15.6 (mils. $) 2.0 - 2.0 (mils. $) 17.6 17.6 35.2 Submitted into the public record in connection with item N A- on / 4 -- 4 --)'- IVlatty Hirai City Clerk 92-- 39 ECONOMIC IMPACT: MCI PROJECT ETployment Year 1:265 Employees NUMBER HOURLY RATE ANNUAL PAYROLL Communications Asst. 225 $ 7.50 $ 3,510,000 Supervisors 25 9.00 468,000 Middle Management 10 16.83 350,000 Senior Management 5 24.04 250,000 TOTAL DIRECT JOBS 265 $ 4,578,000 Office Rental:_ Year 1 $ 500,000 Employee and Office Rental Expenditures Total Direct & Indirect Jobs: Year 1 Assuming a low employment multiplier of 0.1, then indirect jobs would be: Assuming a conservative income multiplier of 2.0, then income could be: $ 5,078,000 292 27 $ 10,156,000 t Submitted into the public record in connection with item ;i Matty Hirai . 9 2City Ciqx- Employment Year 2: East Coast Centers NUMBER HOURLY RATE ANNUAL PAYROLL Communications Asst. 300 $ 8.00 $ 4,992,000 Supervisors 30 9.50 592,800 Middle Management 20 16.83 700,000 Senior Management 10 24.04 500,000 TOTAL DIRECT JOBS 360 $ 6,784,800 Office Rental: Year li 2 $ 1,000,000 Employee and Office Rental Expenditures $ 7,784,800 Total Direct & Indirect Jobs (0.1 multiplier) 396 Total Income from Direct Expenditures (2,0 income multiplier) $ 15,569,600 i I t �l is Submitted �.nto the pu, with xecoxd in connection item_--�---°n Matty Huai City Clerk ;1 92-- 39 LA Employment Year 5 NUMBER Communications Asst. 650 Supervisors 65 Middle Management 40 Senior Management 20 TOTAL DIRECT JOBS 775 Office Rental: Year 5 HOURLY RATE $ 8.50 10.00 19.23 28.84 Employee and Office Rental Expenditures Total Direct & Indirect Jobs (0.1 multiplier) Total Income from Direct Expenditures (2,0 income multiplier) ANNUAL PAYROLL $ 11,492,000 1,352,000 1,600,000 1,200,000 $ 15,644,000 $ 2,000,000 $ 17,644,000 853 $ 35,288,000 Submitted into the public record in connection with item N A- on I - Matty Hirai City Clerk 92-M 39 ;'"°E�� '°� CAMRA DE COMERCIO LATINA E LOS ESTADOS UNIDOS A CAMACOL r Latin Chamber of Commerce of U.S.A. J� De covlcl 11-110* JUNTA DE GOBIERNO 1991 - 1993 PRESIDENTE DE HONOR Horatio Aguirre Manuel Balado PRESIDENTS Luis Sabines VICE-PRESIDENTS Elpidio Ndriez William Alexander January 6, 1992 Anthony C. Rivas Adalverto Ruiz Mario Pestonit A. Armando Alexandre Honorable Xavier Suarez Mario o. Guti6rrez Mayor City of Miami SE(3WARIO 3500 Pan American Drive Manuel Vega VICE-SECRETARIO Miami, Florida 33133 Elmer L.eyva Virgilio P6rcz TESORERO Orlando Naranjo VICE-TESOREROS Dear Mayor Suarez: Angel Fandiifo Jorge Khuly CAMACOL met with the executives of MCI Telecommunications DIRECTOR DE REL.ACIONES Corporation today for an update on their evaluation of Jay RII�ORES guez a new location in the City of Miami. VICE-DIRECTORES RELACIONES EX ERIORES Due to the economic impact and the potential for job Josh Elias Bello creation# CAMACOL stands ready to work closely with MCI Dal IRECTORES to fulfill their commitment to hire qualified Fernando Rodriguez employees, including the Hispanic population in the Eliseo (Tito) Riera G6mez City of Miami area. Fausto Diaz Oliver Carlos M. De La Cruz Jr. Mayra Trinchet Roberto M Rodriguez Sergio Campos erely, Augusto R. L.edesma Frederick V. Perry Alberto Calil Rafael Garcia -Toledo Jay Rodriguez Radt He Director Amaury Zuriarrain Ruben Burke Bert de Atmas Ergo I. Gonz[lez Ana L Obreg6n JR : as EX: PRESIDENTES EliseoRientG6mez Submitted into Gilberto Almeyda the public Manuel Balado record in Rogelio Barrios COnl-lectlo,n Eloy B. Gonzalez ASESOR HIPO ECARIO with Rein Al Abel Holtz on �/ �q —01 ASESOR ECONOMICO "-�` . Carlos J. Arboleya ATCtty ASESORES L.EGAL.ES Rafil A. Cossio del Pino Hir Q1 Cl tY Clerk Luciano Isla Maya Trinchet MAMING ADDRESS P.O. BOX 350824, MIAMI. FLA. 33135 ASEso;z M. Freixao P>18I.t i s s Josh MAIN OFFICE: 1417 W FLAGLER ST., MIAMI, FLA. 33135 PHONE. (305) 642-3870 * TELEX: 153601 CAMACOL, * FAX- (305) 642-0653 92- 3.9 p .rraw�l� ! January 3, 1992 r BOARD OF DIRECTORS Mayor Xavier Suarez omen Cityof Miami Garth Reeves. Sr. - President f Dr. Roy Phillips I' Secretary . Howard V. Gory Treaueer M•mbsrs Cornellus E. Allen Verbert C. Anderson Rene D. Beal Rev. Vrtor T. Curry Georges T. Daniel Frank Dawkins Clarence W. Ewell T. Witold Fail Ronald E. Frazier Antonla W. Gary George E. Hepburn. Jr. Antonio Junior George F. Knox, Esq. Jesse J. McCrary. Jr. Esq. Senator Cottle P. Meek Dr. Rudolph Molse Dr. Leo Monroe Kaaren Johnson -Street Elaine H. Black.' Executive Director 3500 Pan American Drive Miami, Florida 33133-0708 Dear Mayor Suarez: Tools For Change, Black Economic Development Coalition, Inc. recently met with MCI Telecommunications Corporation to review their plans to evaluate the City of Miami for a major new location. Based on the parameters of their proposal and the potential for significant job creation, we fully support the location of the Deaf Relay Service Center within the City of Miami and will work closely with MCI to fulfill their expressed commitment to maximize the potential to hire qualified Black employees from the City of Miami area. We look forward to assisting your efforts to bring this significant project to our community. Thank you. Sincerely, G C . - Reeves President GCR/ah cc:. City Commissioners Submitted into the public record in connection with item on I 42, Matty Hirai City Clerk - TOOLS FOR CHANGE 39 BLACKECONOM/C DEVELOPMENT COALITION, INC. 92 w 6255 8934 Facsimile: (305) 751-1619 N.W. 7th Avenue • Miaml, FL 33150 • Telephone: (305) 751 • w � .�, .,.. NA WBO National Association of Women Business Owners Greater Miami Chapter - 334 Minorca Avenue, Suite 100 - Coral Gables, FL 33134 • (305) 444-4437 PRESIDENT Sandra H. Adams AMINT, Ina VICE PRESIDENT Sande L Kaskel Kaskel & Associates, Ina SECRETARY Gail Starr Star Fine Arts TREASURER Linda Pollack OPS, Inc, IMMEDIATE PAST PRESIDENT Harriett I. Fox H. Fvx Associates, ina COMMITTEE CHAIRS AWARDS & APPOINTMENTS Pat Blanco Healthcare Risk Control BY-LAWS Sue Ann Conyers World Flowers, Ina CORPORATE RELATIONS & NATIONAL BOARD REPRESENTATIVE Judith G. Friedman HSA, Ina FUND RAISING Emily England Huntington Equipment Leasing GOVERNMENT AFFAIRS Michelle A. Pivar Law offices of Michelle A. Pivar Donna Ballman Law Offices of Donna Ballman HOSPITALITY Ann Travis, LUTCF Travis Agency, Inc INTERNATIONAL Kiki McShane Corporate Transitions, Ina MEMBERSHIP Reica Sherman Beauty Concepts, Ina Rose Stephanik Al Shuh & Associates NEWSLETTER EDITOR Betty Krysowaty office Mates 5, ina PuBuc RELATIONS Anne B. Freedman Speak Out, Ina TRAINING & DEVELOPMENT Patricia M. Adams ADVID Productions January 6, 1992 Honorable Xavier Suarez, Board of Commissioners, City of Miami 3500 Pan American Drive Miami, Florida 33133 Mayor of City of Miami City of Miami Dear Mayor Xavier Suarez and Commissioners: In a recent meeting with the Team Miami Task Force and MCI Communications, we discussed the establishment of the Telephone Relay Services for the hearing impaired in Florida. MCI has indicated a commitment to hiring qualified minority and handicapped individuals from the City of Miami area. The initial phase represents up to 300 new jobs with an estimated economic impact of $5 million per year. The loss of jobs in downtown Miami due to the closing of Centrust and Southeast Financial as well as the loss of Eastern Airlines and Pan Am, means that the City should welcome and encourage business opportunities to our area. Bringing MCI to downtown Miami will be a step toward revitalizing our local economy. MCI has the potential for becoming one of the largest employers within the City of Miami. Many women owned, minority owned and small businesses have been adversely affected by the demise of the large corporations and we believe that it is time that the City make a responsible commitment to attract companies like MCI Communications to this area. Sincer ly, ndra L. Adams President Miami Chapter Submitt--d into the public record in connection with item on Ratty Hirai STATE OF FLORIDA DEPARTMENT OF LABOR AND EMPLOYMENTSECURITY Division of Vocational Rehabilitation District X1 Program Office 401 N.W. 2nd Avenue —Suite d S-221 Miami, Florida 33128 305-377-5I60 — Suncom 452-5160 January 2, 1992 Mr. Thad Adams Beacon Council 80 S.W. 8th Street Miami, FL 33130 Dear Mr. Adams: As part of our commitment to be a resource to the employers of the City of Miami, the Division of Vocational Rehabilitition is looking toward establishing creative partnerships. In such a partnership, Vocational Rehablitation along with MCI have a shared mission to _ assist Miami citizens with disablities in securing and maintaining employment suited to individual abilities and goals. We strongly support MCI's location in the City of Miami and offer our commitment to work together to assure new opportunities and resources for MCI and Miami's citizens with disabilities. Sincerely, Linda Parnell District Director LP Submitted into the public record in connection with item h/ A- on J-f- ct Matty Hirai City Clerk 92-- 39 5455 S.W. Eighth S Suite 255 Miami. Florida 33134 Voice: 444-2266 TOO: 444-2211 D E A January 6, 1992 F The Honorable Xavier Suarez, Mayor City of Miami 3500 Pan American Drive Miami FL 33133 S Dear Mayor Suarez: E I am writing to support and encourage any possibility of working with MCI Telecommunications in their efforts to R locate our statewide Telecommunications Relay Service Center in Miami. As a severely hard of hearing citizen, mother of a deaf college student and activist within the V Miami Deaf Community, I am thrilled at the thought of having this landmark service headquartered in the city I love so much. MCI would open hundreds of jobs in our area and bring C tremendous opportunities for advancement to developing young deaf professionals. MCI has already demonstrated E a commitment to service and community involvement which would clearly tell us that this is the calibre of S business leadership that we want and need in Miami. I hope that you and your Commission will value this opportunity to bring new jobs and new community business leadership to Miami when we need it most. It would open B doors to employment and advancement for deaf and hard of hearing citizens and spread favorable regard for Miami U throughout Florida. I appreciate your time and consideration and hope to see R MCI located here as soon as possible. E ince ely, A Submitted into the public U record in connection with S TILSON WATSON IV A- on /- L7 EXECUTIVE DIRECTOR item._----- McLtty Hilai City Clerk I 92- ;fig E METRO-DAOE DEPARTMENT OF HUMAN RESOURCES United Way AFFILIATED AGENCY of Dade County Subunit tc d into the: pii)1)1; N �'L l �G N V.4`e- 2 _ er—Z'd record in r,:,-- _-.;.c with item Malty :Hirai City Clerk 1✓ ' "``� `` .ca- � G'�"�C�eKLid liri.U2e i-M-- le�— U 'Ij 92- 39 CITY OF MIAMI, FLORIDA 32 INTER -OFFICE MEMORANDUM TO. Honorable Mayor and Members DATE '� j�91 FILE of the City Commission N J' SUBJECT KPMG' s Findings and Recommendations for Disparity Study FROM � REFERENCES Cesar H. Odi City Manager ENCLOSURES. Attached for your review and discussion is the Disparity Study completed by KPMG Peat Marwick (KPMG), analyzing the availability and utilization of minority/women owned businesses in the City's procurement process, in light of the Supreme Court's Cro_son decision. KPMG reviewed data on City expenditures for a five- year period, collected economic census data, conducted surveys of area business enterprises and held public hearings to gather all information relevant to the study period. The Executive Summary in section 1 outlines the history of the City's minority procurement efforts, details the methodology KPMG used in the study, and records the findings and recommendations. The results suggest that the City needs to amend the existing minority/women business procurement program to reflect the findings in the study. Mr. Aaron Estis of KPMG will appear to present the findings and recommendations in the study and to respond to any concerns expressed by the City Commission. Attachment: Disparity Study Discus l o ri 92- 39.1