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HomeMy WebLinkAboutItem #15 - Discussion ItemDEPARTfEN-OF OFF SMET PARKING REVENUE SUMMARY ADOPTED AMENDED RE STO DESCRIPTION 1988-89 1988-89 198940 Garage Revenues $2,552,935 $2,159,750 $ 2,347,803 Lot Revenues 4,172,932 4,091,446 4,507,455 On -Street Revenues 2,037,861 2,041,390 2,301,950 Rentals 14,457 34,340 72,340 Towing 73,500 60,800 62,800 Other Revenues 9,306 96,562 100178 Management Fees 148,079 136,600 144,390 Administration Fees 470,849 413,330 461,471 $9,479,919 $9,034,218 $ 9,908,387 Investment Income 200,000 385,000 275,000 Other Income 22,000 13,770 8,260 DOSP TOTAL $9,701,919 $9,432,988 $10,191,647 GARAGES 4-5-6 AND OLYMPIA BUILDING/GUSMAN CENTER REVENUE SUMMARY DESCRIPTION ADOPTED AMENDED REQUESTED 1988-89 1988-89 1989-90 World Trade Center Garage 4 $ 2,083,550 $2,029,300 $ 2,190,450 Downtown Government Center Garage 5 743,050 792,150 864,740 Bayside Garage 6 2,282,578 - 2,253,885 Olympia Building/Gunman Center 895,950 735,767 978,739 Garage 4-5-6-0/G TOTAL 0 $ 6,005,128 - $ 6,287,814 Miami Parking System Revenues $15,485,047 $16,196,201 Miami Parking System Total $15,707,047 - $16,479,461 (Including DOSP Investment Income) r ..I 10-_ DEPARTMENT OF OFF -STREW T PWING Y 89 j00 FUNCTIONAL CHART t iCTIONS POSITIONS COST ' I . EXECUTIVE 1 $ 150, 891 2 A. BOARD AND COMMISSION RELATIONS 1 93,391 2 S. COMMUNITY RELATIONS 1 105,591 2 C. LEGALjTECHNICAL 257.541 4 TOTAL EXECUTIVE 3 $ 607,414 10 II. FINANCE 1 $ 160,509 2 A. PLANNING AND DEVELOPMENT 2 151,904 2 B. MANAGEMENT INFORMATION — PROCUREMENT 4 310,704 5 C. FINANCE 2 134,009 2 a) DATA ENTRY 7 226,459 3 b) ACCOUNTING 9 343.559 6 TOTAL FINANCE 25 1,327,144 20 — III. OPERATIONS 1 $ 141,940 2 = A. EMPLOYEE AND CUSTOMER RELATIONS 5 214,702 3 B. ON -STREET OPERATIONS 1 50,000 1 a) ENFORCEMENT 16 326,049 6 b) MAINTENANCE & COLLECTIONS 9 200,802 3 C. OFF-STREET OPERATIONS 1 147,440 2 a) DESIGN & CONSTRUCTION 1 145,958 2 b) PREVENTIVE MAINTENANCE 11 231,265 3 c) OPERATIONS 2 141,640 2 _ 1. GARAGES (1-2-3) 16 734,413 12 2. SURFACE LOTS 23 2,152,276 34 TOTAL OPERATIONS 76 4,486,485 70 TOTAL DEPARTMENT 104 $6,421,043 100 TOTAL INTEREST EXPENSE $1,620,509 TOTAL AMORTIZATION EXPENSE 2,040,146 TOTAL NET INCOME 109,951 TOTAL EXPENSE PLUS NET INCOME $10,191,649 �. M a MUM MT iil. WORLD ARM GB MIt OWN 4 io 620i 510. V. DOY1MM, G0V MMNT CRN'i'RR CAR= 3 : Vt. BAYSIbE GARAGE d* 26 Vli, OLYWIA BUILDING/GUSMAN IMNTER GAUGES 4=5-6 AND 0iG .TOTAL 48 $1,973,543 100 *Calendar Year Januarys 1990 to December 31, 1990 -x — +?r �� io - 4_ } 0 i DEPARTMENTAL BUDGET AND POSITION SUMMARY AMENDED AMENDED ADOPTED AMENDED REQUESTED 1986-87 1987-88 1988-89 1988-89 1989-90 Personnel Services $2,487,239 $2,569,032 $ 2,982,848 $2,896,390 $ 3,032,852 Operating Expenses 2,307,805 2,851,273 3,725,085 3,529,741 3,388,191 Total Operating Exp . $4, 795, 044 $5, 420, 305 $ 6,707,933 $6, 426,131 $ 6,421,043 Amortization Expense 1,161, 320 1,160,176 1,798,253 1,798,253 2,040,146 Interest Expense 1,328,161 1,408,150 1,641,069 1,641,069 1,620,509 Net DOSP Income 571,317 461,312 7,021 (582,465) 109,951 Total Expense $9, 865 453 Plus Net Income $7,855,842 $8,449,943 $10,154,276 $ (582,465) $10,191,649 Positions 103.9 99.8 RESTRICTED ASSET ACCOUNTS: Interest 268,684 737,880 Principal - 324,089 Reserve 1,517,233 10541,218 Renewal 200,000 200,000 Acquisition - - - $1,985,917 $2,803,187 GARAGES 4-5-6 AND OLYMPIA/GUSMAN FUND: Garage 4 Garage 5 Garage 6 G/O Fund CAPITAL OUTLAY: DOSP Reserve Previous Borrowings New Borrowings 106.8 106.8 735,856 735,856 350,725 350,725 1,572,506 1,572,506 200,000 200,000 1.038.864 1.038.864 $ 3,897,951 $3,897,951 6461507 644,972 706,710 774,381 276,974 276,849 356,685 347,629 586,656 744,371 782,574 809,222 827,745 828,121 895.951 858.420 $2,337,882 $2,494,313 $ 2,741,920 $2,789,652 104.2 1,223,356 370,000 1,620,509 200,000 $ 30413,865 820,510 388,920 785,374 978.739 $ 20973,543 2,169,700 3,333,000 2,406,000 2,406,000 1,340,000 970,000 970,000 - 2,000,000 3,400,000 6,500,000 6,500,000 - $4,166,700 $6,733,000 $ 9,876,000 $9,876,000 $ 1,340,000 U JOHN J. MULVENA EKecurwe Director July 26, 1989 Dear Honorable Mayor and Members of the City Commission: Fiscal Year 88/89 and the upcoming Fiscal Year 89/90 are years of continued evolution for the Department of Off -Street Parking. This evolution has not only been in terms of growth with approximately 4,500 new spaces added during the current fiscal year resulting in approximately 23,430 spaces under management, but also in terms of implementation of the goals and objectives of the Off -Street Parking Board and the City Commission as embodied in the Five Year Strategic and Financial Operations Plan. The implementation strntegy includes a willingness to work cooperatively with the private sector to provide parking (Coconut Grove Playhouse Project, State Plaza/Miami Arena Project, Latin Quarter Specialty Center, Arena Parking Program, Bayfront Park Garage, Little Haiti Shopping Center) and a transition from the concept of. the Department being responsible solely for parking to an awareness that parking Is an integral component of the balanced transportation system and the overall community development process. The proposed Fiscal Year 89/90 Budget (Attachment 1) Is formulated to provide not only the resources necessary to continue with existing commitments, but to strengthen the financial base of the Department in anticipation of the continued requests from the City of Miami to provide additional parking facilities. The public policy issues which surround rate adjustments and installation of new parking meters in the current environment are addressed in the budget proposal which includes some surface lot and garage rate adjustments, new meters and standardized meter rates to be approved by the City Commission after exhaustive public input processes. To implement existing commitments and to support the community development goals of the City of Miami, the Department capital budget for Fiscal Year 88/89 through Fiscal Year 93/94 includes the following major components: o Miami Arena Parking ($2,400,000 - 4,500 spaces). o Coconut Grove Playhouse Garage ($7,350,000 - 500 spaces). o Municipal Garage No. 2 Expansion ($3,700,000 - 277 spaces). o Municipal Garage No. 1 Property Acquisition ($1,500,000). o Latin Quarter Specialty Center Property Acquisition ($1,200,000). Should the capital projects included in the Five Year Strategic and Financial Operations Plan be completed during the next five years, the total number of spaces under management by the Department will increase to 26,100 from the 23,430 spaces projected to be operational during the current fiscal year. This increase reflects an expansion of approximately 15,725 spaces (60 percent) during a ten year period. Of utmost significance is that this growth was achieved without taxpayer support, with substantial monies being earned for the City of Miami General Fund and with improved bond ratings. Department of Off Street Parking • 190 N.E. Third Street • Miami, Florida 33132 • Tel: 305-373-6789 • Fax: 305-371-9451 Revenues Fiscal Year 89/90 revenues for the "Department" portion of the budget are projected to increase to $9,908,387 from $9,034,218. In addition, projected revenues for Fiscal Year 89/90 for the World Trade Center garage ($2,190,450), Downtown Government Center garage ($864,740), the Baysi.de garage ($2,253,885) and the Gunman and Olympia Enterprise Fund ($978,739) will result in total revenues of $16,196,201 for Fiscal Year 89/90, a (400 percent) increase over the same ten year time period. Major factors in the increase for the "Department" revenues are: o Improved meter revenues ($260,560) due to enhanced security procedures and standardized rates. o Improved surface lot and garage revenues ($604,062) due to standardized rates and projected increase in utilization. Expenses Expenses are budgeted in three major categories. The first is 'Operating Expenses" which are those operating costs clearly attributable to a particular operation. This category of expense is recommended to decrease to $6,421,043 in Fiscal Year 89/90 from $6,426,131 for Fiscal Year 88/89. The major difference between Fiscal Year 88/89 and Fiscal Year 89/90 are: o Increased pension contribution, insurance and group insurance contribution. o Decreased overtime, landscaping, security guards (add parking attendants), entertainment, travel, training, dues, subscriptions and consultants. o Continue Fiscal Year 88/89 payroll for executive, managerial and supervisory staff. The second major category of expenses is "Debt Service." The Fiscal Year 89/90 service requirement is comprised of the following: o Series 1986 $1,127,453 o Subordinated Series 1986 120,000 o Subordinated Series 1988 191,000 o Subordinated Series 1988 84,600 o Coconut Grove Financing 487,500 $2,010,553 o Amortization of Bond Issuance Cost 97,456 o Principle Reduction Series 1986 370,000 $2,478,009 The projected maximum debt service requirement per the Five Year Strategic and Financial Operations Plan will be $2,800,000 in Fiscal Year 91/92. The third category of expense is "Depreciation, Amortization of Leasehold Improvements, and other Non -Operating Expense." Depreciation and Amortization will increase to $2,040,146 during Fiscal Year. 89/90 from $1,798,253 in Fiscal 2 Year 88/89. The increase is due predominantly to the construction of surface lots, the addition of the Revenue Control System and the Financial Management System and the new Coin Counting Equipment. "Other Non -Operating Expenses" include amortization of bond discount/issuance costs and interest. The bond/issuance amortization expense is projected to be $97,456 for Fiscal Year 89/90. Expenses of this nature are reflected in the private sector to reduce income tax. In the public sector these expenses are reflected for improved accounting. Of the $3,545,822 allocated for depreciation, amortization and other non -operating expenses, $1,620,509 is interest expense. The balance is depreciation, amortization of bond issuance costs and amortization of leasehold improvements for managed facilities. Net Revenues and Debt Capacity Coverage The modified net revenues from operations projected for Fiscal Year 88/89 are $3,006,857 which is $12,871 more than the amount included in the budget -Street Parking Board on May 25, 1988. approved by the Off The proposed Fiscal Year 89/90 Budget includes net revenues available for debt service of $3,770,604. If the net revenues available for debt service are achieved, debt capacity coverage including subordinated debt will be slightly higher than the Fiscal Year 88/89 1.33 debt capacity coverage. Debt capacity coverage for Fiscal Year 91/92 is calculated to be 1.54. Achieving this level of debt capacity coverage is most important if the Department is to maintain its "A" bond ratings with Moody's and Standard and Poor's and pursue the capital improvement program recommended with this budget. Concerns Regarding Unmet Funding Needs Pursuant to the discussions of the Finance Committee, it is recommended that the proposed Fiscal Year 89/90 Budget be presented to the City Commission along with the "new rate adjustment" format as a companion item. Contribution to the City of Miami During Fiscal Year 89/90, the activities of the Department of Off -Street Parking will result in the increase, transfer or direct receipt of $2,036,000 by the City of Miami General Fund. Parking ticket revenue of approximately $1,000,000 will be derived from approximately 175,000 tickets issued by the Department of Off -Street Parking at no expense to the City with related $353,000 enforcement costs to the Department. The earnings of the Bayside garage are shared equally by the City of Miami and the Rouse Company. The amount available for distribution to the City is projected to be $640,000 during Fiscal Year 89/90. The operational profits of the Centrust and Government Center garages are projected to increase during Fiscal Year 89/90 thereby reducing the need for subsidy by the City of Miami. Five Year Strategic and Financial Operations Plan In connection with our budget process, we are submitting for your review and approval the Department of Off -Street Parking Five Year Strategic and Financial Operational Plan (1989-1993). This plan is built around the Department's financial capabilities and capacities and the desire of the Board to maintain a 1.5 debt capacity ratio and a $1.5 million reserve fund. In calculating the amount of money necessary to undertake the stated projects in the Five Year Strategic and Financial Operations Plan, additional revenue and reduced expenditures are necessary to enable the Board and City Commission to follow their Five Year Strategic and Financial Operations Plan. 3 0) 12 The Department's Capital Improvements Program for the Five Year Strategic and Financial Operations Plan (1989-1993) includes $20,491,000 of capital expenditures of which $11,470,000 will be financed and $9,021,000 will be cash flowed from reserves. The following is a summary of the Capital Expenditures Program: o Downtown Area o Overtown/Park West o Coconut Grove Playhouse o Little Havana o Other FRAM $ 6,267,000 1,540,000 7,300,000 1,405,000 3,979,000 Summary The current year and next year reflect continued growth for the Department of Off -Street Parking. Construction will be initiated for two new surface lots. The Coconut Grove Playhouse mixed -use project (500 spaces) will begin in Fiscal Year 89/90. Net revenue available for debt service is projected to be $3,770,604 for Fiscal Year 89/90 from $3,006,857 during Fiscal Year 88/89. When depreciation, amortization and debt service are included in the analysis, "net income" will be $109,951 in Fiscal Year 89/90 from a loss of ($582,465) in Fiscal Year 88/89. The Fiscal Year 89/90 projected net revenues will provide sufficient funds in connection with available reserves to continue development of a capital _ program which is designed solely to meet existing commitments. Based upon the "floors and ceilings" capital project implementation process developed by the Finance Committee, sufficient date is available to inform the City Commission of the need for new revenue sources at the appropriate time. The second year with the Department as Executive Director has been extremely exciting and challenging. I am particularly appreciative of the input to the budget from our dedicated staff which is now too broad to list individually. Specific appreciation is given to the Executive Committee and the accounting and secretarial staff for their many hours of work on this budget. It is also most important to thank all Department employees for their dedication and hard work and the Off -Street Parking Board, especially the Finance Committee, for their support and willingness to sacrifice their available private time for such a worthwhile public purpose. Respectfully submitted, John J. Hulvena Executive Director Department of Off -Street Parking Att. n PERFORMANCE INDICATORS I. EXECUTIVE Minutes, Financial Statements, Board packages and Commission packages readied and on time for eleven (11) consecutive regular Board and Commission meetings, Special Board meetings, and Finance Committee meetings. * Net income above FY 87/88 adopted budget. - $126, 706 revenue increase above FY 87/88 adopted budget. - $329, 629 expense reduction below FY 87/88 adopted budget. - $496, 680 net income increase above FY 87/88 adopted budget. * Net income below FY 88/89 adopted budget. - $393,185 revenue reduction below FY 88/89 adopted budget. - $281,882 expense reduction below FY 86/89 adopted budget. - ($589,486) net income decrease below FY 68/89 adopted budget. * Historical firsts for Gusman Center for the Performing Arts: - Largest individual State Grant ($740,000) for FY 88/89 followed by $700,000 for FY 89/90. - Largest and earliest advanced ticket sales for a Gusman Center produced season 775 for FY 88/89 followed by an estimated 800 for FY 89/90. City of Miami managed Garages all improved their net income from the previous years. - World Trade Center Garage from FY 86/87 $560, 202 to FY 87/88 $683,835 to FY 88/89 estimated $853,986. - Government Center Garage from FY 86/87 $258,852 to FY 87/88 $435,871 to FY 88/89 estimated $441,231. - Bayside Garage from calendar year 1987 $779, 450 to calendar year 1988 $1,139,230 to calendar year 1989 estimated $1,461,817. * Eight senior management personnel replaced: - Deputy Director. - Assistant Director for Management Information Systems. - Assistant Director for Administrative Services. - Managing Director for Gusman Center. - Assistant Director for Marketing and Community Relations. - Assistant Director for On -Street Operations. - Construction Supervisor. - Executive Secretary V] Ninety-five percent (95%) minority participation system -wide and eighty-four percent (84%) minority participation in senior management positions. Despite one (1) Charter Amendment passed to enable the City Attorney to become the Department of Off -Street Parking Council and one (1) Charter Amendment which failed to expand the Department of Off -Street Parking Board, improved relationships with the City Commission, City Manager and City departments: - Worked through meter moratorium and removal proposals with the Department's systematic incremental meter removal program. - City Commission approved the Five Year Strategic and Financial Operations Plan in principle. - City Commission approved 6 percent (6%) increase in operating revenue in the Fiscal Year 88/89 Rate Ordinance. - City Commission approved Fiscal Year 88/89 Budgets for the Department of Off -Street Parking, Gusman Center and Olympia Building, World Trade Center and Downtown Government Center Garages (earliest Commission approval since 1985) . City Commission approved two (2) Off -Street Parking Board appointments (Dianne Saulney Smith and Arthur Hertz) in FY 87/88, two (2) additional Board appointments (Leslie Pantin and Eduardo Padron) in FY 88/89 and a new appointment to replace the late Leslie Pantin (Wifredo Gort) . Conducted twenty-four (24) neighborhood Parking Advisory Committee meetings in Coconut Grove, Biscayne Boulevard, Downtown Miami, Little Havana and Allapattah. Also attended Overtown Advisory Board on a regular basis. II. FINANCE Implemented new Financial Management System equipped with accounts receivable, accounts payable, payroll and general ledger. * Maintained and improved computerized garage revenue control system. Developed and implemented new procurement procedures with improved inventory controls, and increased minority vender participation. Supervised purchasing of all equipment and materials required by the Department. Prepared and presented monthly financial statements and Board reports for the DOSP (prepared separate statements for G&O Enterprise Fund, Municipal Garage 4, Municipal Garage 5 and Municipal/Rouse Garage 6) . * Prepared 1988 Annual Report (receiving 3rd GFOA certificate) . Monitored all contracts and agreements involving the parking facilities managed by DOSP to insure timely collection and compliance. * Performed daily audit of garage/lot cashier reports for each of the 10 attendant facilities and meter collection activities. • Issued customer refunds where warranted. • Prepared 1989/90 Budget requests for DOSP (in addition to G&O, Municipal Garage ##4, and Municipal Garage ##5) and monitored current budgets for compliance. • Prepared timely regulatory tax and audit forms including State sales tax, Federal employee tax, wage and earning statements, etc. * Prepared and updated annual 5 year Strategic and Financial Operations Plan outlining current and projected capital expenditures, projected schedule and funding source. * Continued to implement Department's role in 5 year Capital Plan projects Including Arena Parking Program, Coconut Grove Playhouse Project, Latin Quarter Specialty Center and Infrastructure Improvements (including required public hearings, design work, negotiations, bids, etc.) Designed and successfully implemented Student Cashiers of Overtown Program (SCOOP) in conjunction with Overtown Advisory Board and Dade County Schools. Prepared all feasibility studies and pro formas to determine debt service capacity compliance. Completed two financings through Barnett Bank for the Arena Parking Program, the Blate land purchase and the Latin Quarter land purchase (for a total of $3.5 million) and one $6.5 million loan from Florida League of Cities/First Municipal Loan Council's pooled loan program for the Coconut Grove Playhouse Garage. III . OPERATIONS Maintained in-house personnel management function including recruitment, salary and benefits administration, training, evaluations for Department of 132 full-time and 23 part-time employees with 95_% of work force consisting of minorities or women (also provided this function to G&O, Garage No. 4, Garage No. 5 and Bayside Garage No. 6) . Handled customer inquiries and concerns through new customer service program, also prepared initial outline for marketing component to inform potential customers of services available. Performed annual review, renewal, and coordination of property and liability insurance and inquiries for all facilities and equipment operated by the Department. 1 Implemented self -funded health insurance package for employees and dependents as effective cost -containment program while not sacrificing benefit package. * Revised ticketing/towing procedures to better serve the general public. * Improved meter collection revenue control procedures and simplified rate structure. Developed improved meter removal/addition procedures which involve Increased public input and review resulting in 522 new meters and the removal of 158 meters in FY 88/89. * Reconfigured the 5th floor of Municipal Garage No. 5 to serve as secured police storage facility. * Supervised the ongoing operation and maintenance of 62 Lots and six (6) Garages. * Issued 175,000 citations for Illegal parking or expired meters resulting in $1,040,000 of potential revenues for City ($0 for DOSP, $520,000 for County) in FY 87/88. * Designed and constructed seven (7) new Lots resulting in excess of 1,750 new spaces for the Arena Area Parking Program. • Designed two (2) Lots scheduled for construction during FY 89/90. * Installed new video security and lighting systems at Municipal Garage No. 1. * Developed and implemented operations procedures for Arena (Special Event) Parking Program which was utilized by more than 150,900 vehicles during August 88 - August 89. * Six projects completed by October 1, 1988. - S.W. 17th Avenue surface lots. - Burle Marx/Biscayne Boulevard Study. - Garage No. 3 Office Expansion. Garage No. 5 Police Auto Storage. - Arena Parking Program. - Lot No. 3 Re -Use. * Seven projects readied for finance and design phases. - Gusman Center Redevelopment. - Convention and Visitors Bureau Information Center - Lot 19. - Bayfront Park Garage. - Grand Avenue and Douglas Road Project. - Miami Arena/State Plaza Project. - Latin Quarter Specialty Center. - Coconut Grove Playhouse Project. V1 4 DESCRIPTION a The Department, also known as the Miami Parking System, was created in 1955 by a Special Act of the Florida State Legislature. The Department's enabling legislation was incorporated into the City of Miami Charter in 1968. As a _ semi -autonomous agency of the City of Miami, the Department receives no property tax support. During its 34 year history, the Department has been a supported solely by the revenues generated through its operation. The Department is governed by the five member Off -Street Parking Board (the "Board") . The Board has the powers, duties, and responsibilities customarily vested in the board of directors of a private corporation and exercises supervisory control over the operations of the off-street and on -street parking facilities of the City. The Miami City Commission retains the final authority for the approval of the Department's annual budget and rate structure, the confirmation of appointments to the Board, and the issuance of parking revenue bonds. As a component unit of the City of Miami, the financial statements of the Department are incorporated as an enterprise fund into the City of Miami's Comprehensive Annual Financial Report. As of September 30, 1988, the Department managed approximately 21,430 spaces, including six garages, 62 surface lots, and 8,921 on -street meters. The Department provides parking for over 68,000 vehicles daily. The Department operates facilities which it owns, as well as facilities owned by other governmental units, non-profit entities, and public/private sector joint ventures. In addition to on -street and off-street parking operations, the Department shares responsibility with the City of Miami Police Department for the ticketing and towing of illegally parked vehicles. The Department also share responsibility with Metropolitan Dade County for enforcement of parking regulations. Although the Department participates in these enforcement and regulatory responsibilities, the Department receives no parking fine revenue. All parking fine revenue generated within the City of Miami is collected by the Metropolitan Dade County Clerk of the Circuit and County Courts, and is allocated to the City of Miami (66.67 percent) and Metropolitan Dade County (33.33 percent) . During FY 87/88, Department traffic management enforcement efforts generated approximately $1,040,000 in parking fine revenue for the City of Miami and $520,000 for Metropolitan Dade County. The Department manages, under separate management agreements, the operation of the Downtown Government Center Garage and the CenTrust Tower -Knight Center Garage for the City, as well as the Bayside Parking Garage for the Bayside Center Limited Partnership. Under the terms of the agreements, the Department receives a management fee based on a percentage of gross revenues for each garage, which is recorded as revenue from management and administrative fees on the Department's financial statements. Because all ownership rights and ultimate financial responsibility for these operations are held by the City and the Bayside Partnership, respectively, these operations are excluded from the Department's reporting entity. A unique non -parking related responsibility of the Department is the management of the historic 1,700 seat Gusman Center for the Performing Arts and the Olympia Office Building owned by the City of Miami. The Gusman Center/Olympla Building Complex was donated to the City of Miami in 1975 by Its benefactor, Maurice Gusman, with the stipulation that the facility be managed by the Department. The City of Miami provides deficit funding, if necessary, to operate the facility. The operation of the complex is accounted for as a separate enterprise fund of the City of Miami. The Department of Off -Street Parking has experienced rapid change both in terms of operational responsibilities and its role in the community development process. The Department's traditional role of meeting the parking needs of the City of Miami has been expanded to include fostering an awareness of parking as an integral component of a balanced transportation system (public and vehicular) and the community development process. The Department's expanded role in community involvement is demonstrated in various parking -related projects geared at neighborhood beautification and economic development which continue in FY 88/89, as well as continued participation on civic and governmental committees. The Department's continued role in community involvement is demonstrated as follows: ' The Department is involved in a Tri-Party Agreement with the State of Florida and a private developer to construct a multi -purpose facility which will include a new 400-seat mini -theatre, expanded production, rehearsal and educational areas, 30,000 square feet of retail and restaurant space, and a 500-space garage on a parcel of land surrounding the Coconut Grove Playhouse. The complex will be carefully integrated to complement the existing Playhouse. The Department will be responsible for the construction of the garage component estimated to cost $7.1 million including land acquisition. The entire development is expected to cost $11 million. * The Department has purchased two properties In the Latin Quarter (for $1.2 million) to be used as public parking in conjunction with the proposed Latin Quarter Specialty Center. The Latin Quarter Specialty Center Is a public/private joint venture initiated by the City of Miami which will serve as a landmark and catalyst to commercial revitalization In the Latin Quarter. The Center will be a vibrant and festive assortment of small specialty retail stores, restaurants, and public plazas which incorporate and reflect a uniquely Latin theme in both design and merchandising. The Project is expected to serve as a future model for public/private ventures in the development and financing of mixed -use projects involving retail, housing, parking, and other uses. * The Department began working with the Greater Miami Convention and Visitors Bureau in Summer 1988 to develop a Miami Visitor Service Center In one of the Department's parking lots in the median of Biscayne Boulevard. Construction will begin during FY 89/90 and will serve International as well as local visitors. 0 A unique non -parking related responsibility of the Department is the management of the historic 1,700 seat Gusman Center for the Performing Arts and the Olympia Office Building owned by the City of Miami. The Gusman Center/Olympia Building Complex was donated to the City of Miami in 1975 by Its benefactor, Maurice Gusman, with the stipulation that the facility be managed by the Department. The City of Miami provides deficit funding, if necessary, to operate the facility. The operation of the complex is accounted for as a separate enterprise fund of the City of Miami. The Department of Off -Street Parking has experienced rapid change both in terms of operational responsibilities and its role in the community development process. The Department's traditional role of meeting the parking needs of the City of Miami has been expanded to include fostering an awareness of parking as an integral component of a balanced transportation system (public and vehicular) and the community development process. The Department's expanded role in community involvement is demonstrated in various parking -related projects geared at neighborhood beautification and economic development which continue in F`t' 88/89, as well as continued participation on civic and governmental committees. The Department's continued role in community involvement is demonstrated as follows: The Department is involved in a Tri-Party Agreement with the State of Florida and a private developer to construct a multi -purpose facility which will include a new 400-seat mini -theatre, expanded production, rehearsal and educational areas, 30,000 square feet of retail and restaurant space, and a 500-space garage on a parcel of land surrounding the Coconut Grove Playhouse. The complex will be carefully integrated to complement the existing Playhouse. The Department will be responsible for the construction of the garage component estimated to cost $7.1 million including land acquisition. The entire development is expected to cost $11 million. The Department has purchased two properties in the Latin Quarter (for $1.2 million) to be used as public parking in conjunction with the proposed Latin Quarter Specialty Center. The Latin Quarter Specialty Center is a public/private joint venture initiated by the City of Miami which will serve as a landmark and catalyst to commercial revitalization in the Latin Quarter. The Center will be a vibrant and festive assortment of small specialty retail stores, restaurants, and public plazas which incorporate and reflect a uniquely Latin theme in both design and merchandising. The Project is expected to serve as a future model for public/private ventures in the development and financing of mixed -use projects involving retail, housing, parking, and other uses. The Department began working with the Greater Miami Convention and Visitors Bureau in Summer 1988 to develop a Miami Visitor Service Center in one of the Department's parking lots in the median of Biscayne Boulevard. Construction will begin during FY 89/90 and will serve International as well as local visitors. 4 4 In the Fall of 1988, the Department completed construction of 1,750 new public parking spaces to serve the general public and the Miami Arena. The Department now manages 2,750 spaces surrounding the Arena by means of an innovative employment program. SCOOP, short for the Student Cashiers of Overtown Program, is a pilot employment program — for Overtown youth developed by the Overtown Advisory Board, the Department of Off -Street, and Dade County Public Schools. The program utilizes these students as full-time cashiers in the Department's parking lots serving the Arena. All of the students reside in Overtown, are well -paid, receive valuable work experience, and can compete for scholarship monies for college. Currently, twelve students are employed In the program. The Department continues ii s participation in neighborhood advisory committees which provide a vehicle for citizen participation in the Department's decision -making process. The Board and Department staff continue participating in civic and governmental committees to share resources and provide input on decisions which impact on the area's transportation needs and the City of Miami community development process. The Board and staff continue to support the Friends and Founders of Gusman, a non-profit organization which provides a vehicle for private citizens and corporations to support the preservation and enhancement of Gusman Center for the Performing Arts. With the assistance of the Board and the Department, the Florida Legislature awarded $740,000 in restoration grants for the theatre during FY 88/89 and $700,000 in FY 89/90. The Five Year Strategic and Financial Operations Plan outlines activities which Include operation and/or construction of a number of major projects, which will Increase the number of parking spaces managed by the Department to over 24,000 and increase its bonded debt to $31.8 million by the end of Fiscal Year 1993. The Department debt service coverage ratio is projected to be 1.54 (Senior and Subordinated Bonds combined) when the Five Year Capital Program has been fully implemented. Some of the major capital projects under consideration include: COST SPACES Coconut Grove Playhouse Garage Project $7,100.000 500 Municipal Garage No.2 _ Expansion $4,000,000 277 The Department has projected a total capital budget of $20.5 million for the five years ended September 30, 1993. The Department anticipates that the parking related components of these capital projects will be funded from future debt proceeds of approximately $10.5 million and retained earnings from operations. 4 4 In the Fall of 1988, the Department completed construction of 1,750 new public parking spaces to serve the general public and the Miami Arena. The Department now manages 2,750 spaces surrounding the Arena by means of an innovative employment program. SCOOP, short for the Student Cashiers of Overtown Program, is a pilot employment program for Overtown youth developed by the Overtown Advisory Board, the Department of Off -Street, and Dade County Public Schools. The program utilizes these students as full-time cashiers in the Department's parking lots serving the Arena. All of the students reside in Overtown, are well -paid, receive valuable work experience, and can compete for scholarship monies for college. Currently, twelve students are employed In the program. The Department continues its participation in neighborhood advisory committees which provide a vehicle for citizen participation in the Department's decision -making process. The Board and Department staff continue participating in civic and governmental committees to share resources and provide input on decisions which impact on the area's transportation needs and the City of Miami community development process. The Board and staff continue to support the Friends and Founders of Gusman, a non-profit organization which provides a vehicle for private citizens and corporations to support the preservation and enhancement of Gusman Center for the Performing Arts. With the assistance of the Board and the Department, the Florida Legislature awarded $740, 000 in restoration grants for the theatre during FY 88/89 and $700,000 in FY 89/90. The Five Year Strategic and Financial Operations Plan outlines activities which Include operation and/or construction of a number of major projects, which will Increase the number of parking spaces managed by the Department to over 24,000 and increase its bonded debt to $31.8 million by the end of Fiscal Year 1993. The Department debt service coverage ratio is projected to be 1.54 (Senior and Subordinated Bonds combined) when the Five Year Capital Program has been fully implemented. Some of the major capital projects under consideration include: COST SPACES Coconut Grove Playhouse Garage Project $7,100.000 500 Municipal Garage No.2 Expansion $4,000,000 277 The Department has projected a total capital budget of $20.5 million for the five years ended September 30, 1993. The Department anticipates that the parking related components of these capital projects will be funded from future debt proceeds of approximately $10.5 million and retained earnings from operations. SELECTED OBJECTIVES Increase gross operating revenues $100,000 over the projected $9,908,387 for FY 89/90 Department of Off -Street Parking budget. * Hold operating expenses $100,000 below the projected $6,426,131 for FY 89/90 Department of Off -Street Parking budget. * Continue the ongoing preventive maintenance of the system at a cost not to exceed $1.12 million for FY 89/90. * Increase debt capacity coverage from 1.26 in FY 88/89 to 1.33 in FY 89/90. * Increase net revenues by 5% over the projected net revenues for FY 89/90 budgets for: - World Trade Center (Garage #4) - Government Center (Garage #5) - Bayside (Garage #6) - Olympia Bullding/Gusman Center Enterprise Fund Increase utilization of all 23,430 parking spaces within the Miami Parking System through aggressive marketing and adjusting/standardizing rate structures. Increase black minority vendor participation by 25% of existing contractual services. Maintain SCOOP (Student Cashiers of Overtown Program) by replacing six graduating students (all six of which received financial assistance from the Department's SCOOP Scholarship Fund) . Expand permanent part-time employees list by six new employees in order to reduce overtime expenses. * Complete construction: - Flagler Street/Camacol Surface Lot - Riverside Park/Theater Marti Parking Project * Begin construction: - Coconut Grove Playhouse Project * Continue renovation and restoration: - Gusman Center for the Performing Arts - Olympia Office Building * Ready for financing and design phase with the City of Miami. Grand Avenue and Douglas Road Project Miami Arena/State Plaza Project Latin Quarter Specialty Center Lot No. 3 Re -use (Little Haiti Shopping Center) Convention and Visitors $ureau Information Center * Complete sale and closing: Municipal Lot No. 3 (Little Haiti Shopping Center) * Rent - Blate Warehouse (adjacent to Municipal Garage No. 1) - Olympia Office Building (office space) - Municipal Lot 11, 12, 13, 14, 15, 16, 17 - Municipal Lot No. 63 - N.E. 2nd Avenue/N.E. 2nd Street (People Mover Station Surface Lot) in conjunction with Metro -Dade County. BUDGET HIGHLIGHTS Increase gross revenue by $874,169 over FY 88/89 modified budget as stipulated in City Commission Proviso for accepting FY 88/89 Five Year Strategic and Financial Operations Plan. • Decrease operating expenses by $5,088. * Increase utilization of 23,430 parking spaces through aggressive marketing and adjusting/standardizing meter and surface lot rates. * Continue sale and rental of underutilized facilities and properties. * Moratorium on any new parking projects not already included in 1989-1993 Five Year Strategic and Financial Operations Plan. * Increase debt capacity coverage from 1.33 in FY 89/90 to 1.54 in FY 91/92 by initiating no new major projects in the next two years and meeting projected utilization rates for current 23,430 parking spaces in FY 89/90 and projected 24,250 parking spaces in FY 91/92. Total ftecutive Positions - 3 Gbsts - $607,414 Executive Secretary Executive Director I Executive Assistant For Community Relations Total Finance Positions - 25 LDirector Of Tbtal Operations Positions - 76 Director of Costs - $1, 327,144 Finance ODsts - $4, 486, 485 Operations Asst Director Asst. Director Director Management Asst. Managing Director Asst. Special Director Planning for Information Director Customer Director I Construction and Development finance Systems and Gusman and Center Employee On -Street Operations Maintenance and Procurement Relations Operations Positions-2 Positions-18 Positions-4 N/A $151,904 $7049'024 $310,704 Positions-5 Positions-26 Positions-44 $214,702 $576,857 $3,552,982