HomeMy WebLinkAboutR-87-0896Aft, o
J-87-913
10/14/87
RESOLUTION NO. 87~89
A RESOLUTION AUTHORIZING THE CITY MANAGER TO
UTILIZE ONE HUNDRED FIFTY THOUSAND DOLLARS
($180,000) FROM THE SECOND (2ND) ROUND
FUNDING OF THE ALLOCATED SEVEN HUNDRED THIRTY
THOUSAND DOLLARS ($730,000) ALLOCATED FROM
THE THIRTEENTH (13TH) YEAR COMMUNITY
DEVELOPMENT BLOCK GRANT FUNDS FOR THE PURPOSE
OF EXECUTING AN AGREEMENT, IN A FORM
ACCEPTABLE TO THE CITY ATTORNEY, AND IN
ACCORDANCE WITH THE GUIDELINES SET FORTH WITH
THE NORTHEAST MIAMI CHAMBER OF COMMERCE,
INC., FOR THE PURPOSE OF COMPLETING THE
CONSTRUCTION AND RENOVATION OF THE GARDEN
COVE SHOPPING CENTER PROJECT.
WHEREAS, the City Commission is committed to economic
development and the expansion of Trade and Commerce; and
WHEREAS, Resolution No. 87-411, adopted May 14, 1987,
allocated funding for an Economic Development/Physical
Improvement Funding Pool, with said funds being directed from the
Thirteenth (13th) Year Community Development Block Grant in the
amount of Seven Hundred Thirty Thousand Dollars ($730,000); and
WHEREAS, said Pool Funds are divided and made available in
two rounds and funding for this round will be taken from the
second (2nd) round allocation amount of Three Hundred Sixty -Five
Thousand Dollars ($385,000) thereby leaving Two Hundred Fifteen
Thousand Dollars ($215,000) [$365.000 - $150.000 - $215,0001
available for the second (2nd) round of funding via the Economic
Development/Physioal Improvement Project Pool Fund; and
WHEREAS, Fifth Thousand Dollars ($50,000) of the herein loan
will be used to pay off Barnett Bank who will release its first
lien position and One Hundred Thousand Dollars (i100.000) will be
spent to complete the rehabilitation of the subject building;
NOW. THEREFORE. BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
CITY COMMISSION
MEETING OF
OCT 02 1987
No No. 97-896-1
Section 1. The City Manager is hereby authorized to
negotiate and execute a contractual agreement with the following
community based organization for the amount specified for the
purpose of completing the construction and renovation of the
Garden Cove Shopping Center Project, in accordance with the
conditional requirements and terms set forth with funds
appropriated in the Thirteenth (13th) Year Community Development
Block Grant and allocated for the Economic Development/Physical
Improvement Project Fund:
ORGANIZATION: NORTHEAST MIAMI CHAMBER OF COMMERCE, INC. (NEMCC)
AMOUNT: $150,000
TERM: The City's loan commitment will be valid for one
(1) year, commencing from date of execution. The
loan amount is One Hundred Fifty Thousand Dollars
($150,000) at three percent (3%), with the entire
balance of principal and interest due and payable
at the end of one (1) year.
Section 2. One Hundred Fifty Thousand Dollars ($150,000) of
Thirteenth (13th) Year Community Development Block Grant Funds
are hereby allocated to Northeast Miami Chamber of Commerce,
Ina. (NEMCC), as provided by Resolution No. 87-411, for the
purpose of completing the construction and renovation of the
Garden Cove Shopping Center Project.
Section 3. The City Manager is hereby authorized to enter
into an agreement, in a form acceptable to the City Attorney,
with NEMCC for a period of one (1) year.
Section 4. One Hundred Fifty Thousand Dollars (S150,00O)
will be taken from the second (2nd) round of funding as allocated
for the Economic Development/Physical Improvement Project Pool
Fund; these funds will be repaid in full upon NEMCC receiving a
loan from the State of Florida for said Project, or at the end of
the contract year whichever comes first.
Seotion S. The City shall take a first mortgage position on
said property as a result of its herein loan.
PASSED AND ADOPTED this 22nd day of
XAVIER L.
AT S :
AftTTY HIRAI
CITY CLERK
COMMUNI DEVELOPMENT REVIEW AND APPROVAL:
FkAN& CAS ANEDA, DIRECTOR
DEPARTMENT OF COMMUNITY DEVELOPMENT
FINANCE,DEPARTMENT REVIEW AND APPROVAL:
9)w
CA ARCIA, DIRECTOR
DEPARTHENT OF FINANCE
MANAGEMENT & BUDGET REVIEW AND APPROVAL:
Ai,/
MANOHAR SII DIRECTOR
DEPARTMENT 0 AGEMENT BUDGET
PREPARED AND APPROVED BY:
ROBERT F. CLARK
CHIEF DEPUTY CITY ATTORNEY
RFC:rb:M540
1857.
Z, MAYOR
6S TO FORM AND
SS:
AJWWd6" ". &~WY
CITY ATTORNEY
34
CITY OF MIAMI. FLOPIDA
INTER -OFFICE MEMORANDUM
TO. Honorable Mayor and Members
of the City Commission
FROM: Cesar H. Odio
City Manager 60
RECOMMENDATION:
DATE: 0 C = r 31987 FILE:
Approval of Contract Agreement
SUBJECT with Northeast Miami Chamber of
Commerce, Inc.
REFERENCES:
ENCLOSURES:
It is respectfully recommended that the City Commission adopt the
attached resolution authorizing the execution of a contract
agreement, in a form acceptable to the City Attorney, between the
Northeast Miami Chamber of Commerce, Inc. (NEMCC) and the City of
Miami for the purpose of completing the construction and
renovation of the Garden Cove Shopping Center project thereby
allocating an additional one hundred fifty thousand dollars
($150,000) for said project in accordance with the terms and
conditions as set forth herein.
BACKGROUND:
The Department of Community Development has analyzed the need to
execute a contract agreement, in a form acceptable to the City
Attorney, with NEMCC for the purpose of providing an additional
one hundred fifty thousand dollars ($150,000) to said
organization, for the completion of the Garden Cove Shopping
Center Project. These emergency funds, will be in the form of a
short term loan for a period not exceeding one (1) year.
Due to unforeseen problems relating to the infrastructure of the
building, NEMCC has incurred additional cost overruns that has
affected its cash flow and ability to secure lease agreements
with potential tenants.
Fifty thousand dollars ($50,000) of this loan will be used to pay
off an existing loan from Barnett Bank. Barnett Bank will
release its first lien position. One hundred thousand dollars
($100,000) will be spent to complete the rehabilitation of the
building.
Projects funded through the Economic Development/Physical
Improvesent Pool Fund normally are solicited and awarded on a
competitive fasts as recommended and approved by the project pool
committee and the City Commission, respectfully.
3�_J
r
Honorable Mayor and tiembers
of the City Commission
Page 2
We are recommending that the one hundred fifty thousand dollars
be borrowed from the second (2nd) round of the Thirteenth (13th)
Year Economic,. Development/Physical Improvement Pool Fund. The
funds were approved via Resolution No. 87-411 by borrowing funds
from the second (2nd) round this will enable us to continue
accepting and awarding project proposals without an interruption
in funding availability. The allocation of said funds will allow
the City to take a first mortgage position on said property.
Presently, the City is in a third (3rd) mortgage position with
Miami Capital Development, Inc. (KCDI) and Barnett Bank in first
(1st) and second (2nd) position, respectively.
NEMCC has also requested funding in the amount of one hundred
fifty thousand dollars ($150,000) from the State of Florida's
Department of Community Affairs. Funding from the State is
expected, however, to -date, a formal commitment had not yet been
received.
In order to keep this project moving forward, these emergency
funds will allow work to progress thereby enabling NEMCC to meet
its anticipated completion date in a timely manner.
The term of the City's loan will be: one hundred fifty thousand
dollars ($150,000) at three percent (3%) ($150,000 @ 3%)
interest, non -amortization, principal and interest due and
payable one (1) year from contract execution date with no
prepayment penalty.
Once NEMCC receives funding from the State, the City's funds will
be repaid immediately. If however, NEMCC does not receive said
funding, the City will, at the end of one (1) year refinance its
loan.
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