HomeMy WebLinkAboutR-89-0831RESOLUTION NO. 89-~831
A RESOLUTION AUTHORIZING THE
TRANSFER OF FUNDS IN THE AMOUNT OF
$350,000 TO THE DOWNTOWN DEVELOPMENT
AUTHORITY FROM THE GENERAL FUND AS
AN ADVANCE PAYMENT OF AD VALOREM
PROCEEDS TO BE REPAID OUT OF AD
VALOREM TAXES TO BE RECEIVED FROM
DADE COUNTY BY THE CITY OF MIAMI ON
BEHALF OF THE DOWNTOWN DEVELOPMENT
AUTHORITY BEFORE THE END OF THE
1989-1990 FISCAL YEAR, WITH INTEREST
TO BE PAID TO THE CITY AT THE RATE
OF 6% PER ANNUM.
WHEREAS, the City of Miami receives from Dade County the ad
valorem taxes levied by the City Commission under the authority
of Section 14-34 of the City Code and collected by Dade County
on behalf of the Downtown Development Authority (DDA); and
WHEREAS, the Downtown Development Authority is in need of a
temporary transfer of funds in the amount of $350,000 until its
ad valorem taxes are collected and disbursed by the City upon
receipt of said tax revenues; and
WHEREAS, it is anticipated that ad valorem taxes for the
Downtown Development Authority will amount to $1,493,555 in
fiscal year 1989-1990;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
CITY OF MIAMI, FLORIDA:
Section 1. The transfer of $350,000 in funds to the
Downtown Development Authority from the General Fund as an
advance payment of ad valorem tax proceeds is hereby authorized
with said sum to be repaid before the end of the 1989-1990
fiscal year out of ad valorem taxes received from Dade County by
the City on behalf of the Downtown Development Authority with
interest to be paid to the City at the rate of 6% per annum.
Section 2. $100,000 of the above amount b-hall be made
available to DDA immediately to cover FY'89 revenue shortfalls.
CITY COMMISSION
MEETING Ogy
SEP 14pp1989
SOLUTION No.
MARKS:
�'p
CITY OF MIAM1. FLORIDA
INTER -OFFICE MEMORANDUM
To: The Honorable Mayor and
Members of the City Commission
FROM: Cesar Odi
City Manag
Recommendation
DATE: 8 E P 1 1989
FILE:
susjEcttesolution Authorizing
Transfer of Funds to the
Downtown Development
REFERENCE$ h o r i t y
ENCLOSURES:
It is recommended that the attached resolution be adopted by the City
Commission authorizing the transfer of funds in the amount of
$350,000 to the Downtown Development Authority from the General Fund,
as an advance payment of ad valorem tax proceeds. Said funds are to
be repaid out of ad valorem taxes to be received by the City on
behalf of the Downtown Development Authority from Dade County during
fiscal year 1989-1990. The advance will be repaid at an interest
rate of 6% per annum by the Downtown Development Authority.
$100,000 of the requested advance should be maide available to the
DDA immediately to cover FY'89 tax revenue shortfalls resulting from
$79,500 in cancelled taxes and $150,000 in unpaid taxes.
Background
The City of Miami receives from Dade County, on behalf of the
Downtown Development Authority, ad valorem taxes assessed by the City
Commission under the authority of Section 14-34 of the City Code. In
FY190 these tax revenues are estimated to be approximately
$1,493,555.
The Downtown Development Authority is in need of a temporary transfer
of funds in the amount of $350,000 to*be used as follows:
1. $100,00 is needed immediately to cover FY'89 tax
revenue shortfalls.
2. $250,000 to cover FY190 operating expenses until
DDA s ad valorem taxes are collected and disbursed by
the City. This disbursement generally begins in mid -
December.
Upon approval by the City Commission, the City of Miami will transfer
funds in the amount of $350,000 from the General Fund as an advance
payment of ad valorem tax proceeds, with the said sum to be repaid at
an interest rate of 6% before the end of fiscal year 1989-90 out of
DDA ad valorem tax proceeds, which are collected by the City.
Section 14-39(b)t9) of the Code authorizes DDA to borrow
short term basis and Lets the maximum interest rate to be
6x,
funds on a
charged at
52
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