HomeMy WebLinkAboutM-90-0307Donald F. Benjamin, AICP
INTERIM PRESIDENT
Ann-Marie.Adker
INTERIM VICE-PRESIDENT
lacqui Colver
SECRETARY
Wilhelmina Jennings
FINANCIAL SECRETARY
Cleomie Bloomfield
TREASL.RER
MEMBERS
Patricia Braynon
Ernestine Allen
George Knox
Robert Kalinsky
Dr. William Perry
Bernice Sawyer
i.,lliam haw ver
March 21, 1990
Mr. Cesar H. Odio
The City Manager
City of Miami, City Hall
3500 Pan American Drive
P.O. Box 330708
Miami, Florida 33233-3078
Dear Mr. Manager:
The Overtown Advisory Board would like to appear
before the City of Miami Commission to present the
attached Resolution from the Overtown Advisory
Board requesting that the City of Miami increase
by $8 million dollars, the proposal to raise $22
million dollars in Community Development Bonds for
the development of the rest of Overtown outside of
the Southeast Overtown/Park West Project area.
\nnie �m,,h Sincerely,
"nary] Turiel -
''I��l�
' )hn E. Ah.te yi r l
=i
Donald F. Benjamin
Interim President
Enclosures:
_ Copy of Letter to Mayor
Resolutions
a
407 N.W. 5th Street, Miami, FL 33128
i
THE OVERTOWN ADVISORY BOARD, INC.
A RESOLUTION TAX INCRE KEff FINABCM
$8,O00,00O.0O Connsanity Redevelopment Revenue Bonds
for the development of ALL of OVERTOWN
WHEREAS: the City of Miami proposes to raise $22,000,000.00 Community
Redevelopment Revenue Bonds for the Southeast Overtown Park West
Project through the Tax Increment Financing mechanism established for
Overtown and,
WHEREAS: the City of Miami has previously raised more than $5,000,000.00 for the
same project through similar Community Redevelopment Revenue Bonds for
Overtown and,
WHEREAS: the rent of $300,000.00 or more from the Miami Arena is revenue
accruing to the City of Miami from the Tax Increment Financing
mechanism for Overtown and,
WHEREAS: none of these funds have been used for the direct benefit of Overtown
, and,
WHEREAS: the City of Miami now proposes to raise $22,000,000.00 for paying off
a loan of more than $5,000,000.00 from USH[TD and for acquiring seven
more parcels of land in the Southeast Overtown Park West Project area
and,
7
90-0 307
page 2 - OAB Resolution
WHERFAS: none of the $22,000,000.00 is designated for use in the development of
the truly slum and blighted areas of Overtown and,
i
• f
WHEREAS. the slum and blighted conditions Overtown are the reason for o
raising these funds through Tax Increment Financing and,
WHEREAS: the slum and blighted conditions still exist in Overtown and,
WHEREAS: no meaningful efforts have been made recently to prepare a development
action plan for ALL of Overtown and,
WHEREAS: no mechanism has been set up for the development of such a plan and for
its implementation with an effective timetable and an estimated capital
development budget;
BE IT RESOLVED that the Overtown Advisory Board, Inc. request the City of Miami
to increase the projected Community Redevelopment Revenue Bond
financing from $22,000,000.00 to $30,000,000.00 and to deposit the
additional $8,000,000.00 into a fund to be known as the Overtown
Development Fund and,
BE IT FURTHER RESOLVED that this fund be used for the preparation of a detailed
development action plan and program for ALL of Overtown and for the
implementation of any start-up projects resulting from the plan and,
MUM
page 3 — OAB Resolution
BE IT FURTHER RESOLVED: that the Overtown Advisory Board, Inc. be designated as
the Trustees for this fund to advise the City of Miami regarding the
use of the fund and to make appropriate recommendations to the City of
Miami regarding development projects and activities for which the fund
may be used and,
BE IT FURTHER RESOLVED that the Overtown Advisory Board, Inc. and the City of
Miami immediately set in motion the establishment of an Overtown
Development Agency that would be responsible for the overall
development of ALL of Overtown and that it would be so authorized by
the City of Miami and Metropolitan Dade County.
Adopted by the Overtown Advisory Board, Inc. on S March, 1990.
Donald F. Benjamin,
President (Interim)
Jacqui Coyler,
Secretary
��r
Donald F. Beni"n, AICP
INTERIM PRESIVENT
Ann -Marie AAker
INTERIM via-imDENr
lacqui CA4W
SECRETARY
Will"imim lenwnp
FINANCIAL SECRETARY
Cleon" Bloomfield
TREASURER
MEMBERS
Patricia Braynnn
Erustitve Allen
Caorse Knox
Robert Kaliroky
Dr. Willism Perry
service Sawyer
Willam Sawyer
Annie SrnM
Leonard Turkel
Rev. John F. White
March 12th, 1990
The Honorable Xavier L. Suarez
Mayor
City of Miami, City Hall
3500 Pan American Drive
PO Box 33078
Miami, FL 33233-3078
Dear Mr. Mayor,
Every time the Overtown Advisory Board, Inc. raises- its concerns
about Tax Increment Financing and the fact that it does nothing for
Overtown, the Assistant City Manager for Development always makes
the point that by lax the tax benefit does not provide for Overtowa
but only for the Southeast Overtown Park West Project area. It
appears that in order to get this matter settled.and to ensure that
substantial benefits accrue to the development of Overtown it may be
necessary to have a court of law decide.
In the memo of February 27, 1990 to you and the City Commissioners
from the City Manager reference the City Commission meeting of
March 8, 1990 dealing with the subject - Southeast Overtown/Park
West Tax Increment Bond Issue, Series 1990, the City Commission is
asked to adopt a resolution for acquisition for development
purposes of certain properties in Southeast Overtown Park West and
to authorize $22,000,000.00 in Community Redevelopment Revenue
Bonds, Series 1990 to repay a loan made to the City by U.S. HUD and
to finance the cost of the acquisition.
In SECTION 2 (Findings and Determinations) of the Resolution,
paragraphs B and C describe the slum and blighted conditions in
Overtown - not -just Southeast Overtown Park West.
B. The existence of one or more slum or blighted areas in the
City, specifically the Southeast Overtown/Paris West Redevelopment
area ("Overtown") imposes as undue and oppressive burden upon the
government and citizens of the City, which if not reduced or
eliminated will adversely affect the ability of the City to provide
local government services to its citizens and will seriously
undermine and damage the public health, safety and welfare.
page 1 of 5
4.07 N.W. 5th Street, Miami, FL 33128 ��
page 2 - OAB Letter to Mayor - 03/12/90
C. The deterioration and blight in Overtown are such that they
cannot be remedied solely by private efforts. There is no economic
incentive; logistical problems such as acquisition of various tracts
of real estate from several owners effectively deter any potential
private developers. Such developers, with governmental assistance
`could be, have been, and are willing investors in the redevelopment
of Overtown. Therefore the problems of deterioration and blight are
such that can be most effectively remedied by the participation of
government in a redevelopment program.
Paragraph D refers to a redevelopment plan for Overtown which was
approved on December 7, 1982 which the OAB would like to see u'dated
and revised in order to provide for meaningful development actions
for all of Overtown.
D. Dade County (the "County") has approved:
on December A, 1982,
a redevelopment plan for Overtown (the "Plan") and has provided for
an interlocal cooperative agreement between the County and -the City.
dated as of !larch 31. 1983, as amended (the "Interlocal Cooperation
Agreement") delegating redevelopment powers to the City,Comaission
of the City, providing for the creation of a redevelopaint trust
fund by the City and the deposit of tax increment revenues therein
and providing for the issuance of bonds, notes and other obligations
secured by such revenues in accordance with certain conditions set
forth in the Interlocal Cooperation Agreement. Pursuant to the
ZZ Interlocal Cooperation Agreement, the City has provided for the
creation of the redevelopment trust fund (the "Redevelopment Trust
Fund") and the funding and administration thereof.
Paragraph E, F and J describe the benefits for the City of Miami if
rehabilitation and redevelopment of Overtown Would take place.
E. The rehabilitation and redevelopment of Overtown is
necessary in the interest of the public health, safety, morals and
welfare of the City,: and in order to carry out such rehabilitation
and redevelopment it is necessary and appropriate for the City
Commission to be a Community Redevelopment Agency ("CIW) under
page 2 of 5
��
11 i
page 3 - OAB Letter to Mayor - 03/12/90
Part III of Chapter 163, Florida Statutes (the "Redevelopment
Act"). The Interlocal Cooperation Agreement in effect recognized
the City Commission as the CRA under the Redevelopment Act.
F. The City has determined that the redevelopment of Overtown
will require the acquisition of certain lands within Overtown (the
"Lands'), as more particularly described on Exhibit "A" hereto, for
redevelopment purposes, and the City acting as the CRA under its
delegated redevelopment powers has already begun a program of
acquiring such Lands.
J. Redevelopment of Overtown will add to employment in the City
both by creating employment opportunities for persons in the
construction industry in the City and by the creation of new jobs
by merchants, entrepreneurs and other commercial ventures who after
the redevelopment of the area will be willing to locate their
basines*3e3 in Overtown. Redevelopment will also contribute to the
stability of family life in the City by providing affordable houslag
to lower income residents.
The other paragraphs, including g and L, discuss the authorization
and utilization of proposed bond dollars.
I. The City, under the terms of the Interlocal. Cooperation
Agreement, is authorized to issue bonds or other obligations
=_ payable from tax increment revenues deposited in the Redevelopment
Trust Fund which funds are to be pledged to repayment of bonds,
—_ notes or other obligations secured by such revenues (the tax
increment revenues deposited in the Redevelopment Trust Fund, the
rental revenue derived by the City under the 'Land Lease Agreement
dated October 10, 1986 between the City, the Miami Sports and
Exhibition Authority and Decoma Miami Associates, Ltd. and any
other source of revenues which may be irrevocably pledged by the
City for the payment of the 1990 Bonds (as hereinafter defined)
prior to the issuance of the 1990 Bonds are hereinafter referred to
as the "Pledged Revenues").
L. The acquisition of the Other Lands and the repayment of the
HUD Loan through the issuance of not to exceed $22,000,000 in
aggregate principal atiount of the City's community Redevelopment
Revenue Bonds, Series 1990 (the "1990 Bonds"), the principal of,
premium, if any, with respect to and interest on which shall be
payable solely from the Pledged Revenues, will serve proper and
sufficient public purposes by aiding in the eradication of slum and
blighted conditions and revitalizing, of Overtown.
page 3 of 5
90-0307
page 4 - OAB Letter to Mayor - 03/12/90
I hope that you and the City Commissioners take the OAB's concern
very seriously. Any time a request is made for funds for a project
in Overtown the response is always "there is no money." Yet the
evidence is clear that the bad socio-economic and physical
environmental conditions in Overtown are used to cause millions of
dollars to be obtained by the City of Miami. However, these same
dollars are utilized in other project areas and not in Overtown to
correct the conditions which have been vividly described,
ascertained, determined and declared in order to attract the
dollars.
The experience has been the same with the Metro Miami Action Plan.
Overtown has never received one penny from MMAP funds. It was
because of what happened in Overtown that MMAP was able to receive
much of its funding.
The Overtown Advisory Board, Inc. is determined that this
negligence must stop. In our recent presentation to the City
Commission we discussed the whole concept of Tax Increment
Financing and Overtown and we emphasized the need for, a major
development action plan for Overtowa. We suggested the utilization
of tax increment financing and other bond issue innovations for the
financing of the proposed developments.
It is interesting to
note that Mr.
Marty Fine
has made a similar
proposal to use tax
increment financing for
the development of
downtown Miami. The
Greater Miami
Chamber of
Commerce New World
Center Action Committee has already
discussed his proposal and some
wheels may be already
in motion for
the downtown
development.
Tax Increment Financing is absolutely necessary for Overtown. We
MUST use it. But tax increment financing without the major
development action plan is pointless. The City of Miami has an
obligation to take the leadership and get Metropolitan Dade County,
the State of Florida and the Federal Government involved in a very
determined and meaningful way to use tax increment financing and
other bonding innovations for the renewal, revitalization,
rehabilitation and redevelopment of ALL of Overtown.
OVERTOWN is DOWNPOWN MIAMI!
page 4 of 5
page 5 - OAB Letter to Mayor - 03/12/90
I urge you, Mr. Mayor, ACT NOWT
Most spect£ully,
Donald F. Benjamin, AICP
Interim President
cc: City Commissioners
City Manager
County Commissioners
State Senator Jack Gordon
Representative Jeff Reaves
Representative Al Gutman
DFB/nvc
page 5 of 5
� t �
u
Donald F. Benjamin, AICP
INTERIM PRESIDENT
Ann -Mane Adker
INTERIM VICE-PRFSIDENT
i
lacqui Colyer
SECRETARY
Wilheimina Jennings
FINANCIAL SECRETARY
Cleomie Bloomfield
TREASURER
MEMBERS
Patricia Braynon
Ernestine Allen
George Knox
Robert Kahnsky
Or William Perry
Bernice Sawyer
1A.11,am Sawyer
Annie Smith
Leonard Turkel
Rev. lohn F. White
March 21, 1990
Mr. Cesar H. Odio
The City Manager
City of Miami, City Hall
3500 Pan American Drive
P.O. Box 330708
Miami, Florida 33233-3073
Dear Mr. Manager:
The Overtown Advisory Board would like to appear
before the City of Miami Commission to present the
attached Resolution from the Overtown Advisory
Board requesting that the City of Miami increase
by $8 million dollars, the proposal to raise $22
million dollars in Community Development Bonds for
the development of the rest of Overtown outside of
the Southeast Overtown/Park West Protect area.
Sincerely,
Donald F. Benjamin
Interim President
Enclosures:
Copy of Letter to Mayor
Resolutions
*,07 K"'� ;th Street, Mi,r,^: ;l. 33129
9V30">
Donald F. Benjamin. AICP
INTERIM PRESIDENT
Ann -Mane Adker
INTERIM %ICE -PRESIDENT
}acqui Colver
SECRETARY
Wilheimina Jennings
FINANCIAL SECRETARY
Clenmie Bloomfield
TREASURER
MEMBERS
Patricia Braynon
Ernestine Allen
George Knox
Robert Kalinskv
Dr. William Perry
Bernice Sawyer
V%,IGam Sawyer
Annie Smith
Leonard 'Turkel
Rev. John F. White
March 21, 1990
Mr. Cesar H. Odio
The City Manager
City of Miami, City Hall
3500 Pan American Drive
P.O. Box 330708
Miami, Florida 33233-3078
Dear Mr. Manager:
The Overtown Advisory Board would like to appear
before the City of Miami Commission to present the
attached Resolution from the Overtown Advisory
Board requesting that the City of Miami increase
by $8 million dollars, the proposal to raise $22
million dollars in Community Development Bonds for
the development of the rest of Overtown outside of
the Southeast Overtown/Park West Project area.
Sincerely,
Donald F. Benjamin
Interim President
Enclosures:
Copy of Letter to Mayor
Resolutions
i
'.07 (,..'A' Sift Str- ''nrnl, fl "1 I L.l ; - ( !