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HomeMy WebLinkAboutM-86-0585(�l Alicami, �Yljaril �I L 0 i E XAVIER L. SUAREZ MAYOR June 26, 1986 Mr. Sergio Pereira Metropolitan Dade County Manager 111 N. W. 1st. Street. Miami, FL 33128 Dear Sergio: P.O. Box 330708 MIAM1. FLOP10A 33233-0708 305 - 579 - 6010 At its meeting of June 26, 1986, the Miami City Commission determined that it is going to totally review the fees the City charges Dade County for rental properties as well as review various contracts that include funding formulas. I am enclosing a transcript of the proceedings of the meeting so that you can be prepared for the concerns the various members of the Commission expressed. That final review has been scheduled for Thursday, July 10, 1986. We are aware that the Dade County Acme Rule Charter mandates- that you submit your budget on or before July 15 of each year. In order to assure that you have made proper provisions in your FY '86-87 Budget, you are respectfully requested to appear at the City Commission's next regularly scheduled meeting -on Thursday, July 10,:1986. As an accommodation to your schedule at this hectic time of the year we will —be happy to set your appearance at a time that is convenient for you. Please call Alberto Ruder, Management Services Administrator, at 579-6639 to set the time. Yer truly your Xavier L. rez Mayor Encl. _. cc: Members of the City Commission Cesar H. Odio, City Manager Lucia Dougherty, City Attorney M0 T10N SE-5811S :wt �- - - - - - - - - - - - - - - - - - - - .....---------- ---------- DISCUSSION IN CONNECTION WITH PROPOSED RAISE OF RENTAL FEES 'r PAID BY THE COUNTY TO THE CITY (CONTINUED TO THE CITY COMMISSION MEETING OF JULY 10, 1986. ------------- ----------------------------------------------------------------- Mr. Plummer: 21. Mayor Suarez: Item 21, Commissioner Dawkins. Mr. Dawkins: Mr. Mayor and fellow Commissioners, I have here a memo that I received —did either of you get this? Mr. Plummer: I got it this morning. Mr. Dawkins: OK. All right, the...Dade County is unfairly charging us a bundle of money, and according to what I have gotten here, its about four items that we can raise the rent on if Dade County continues to be unreasonable. I would like to have the Administration prepare for me something to go before the County Commission with informing them that for leasing of Dorsey Park ... OK. All right. I will read here what the City Clerk brought back...I mean, the City Attorney. It says, "In response to your request ---she reviewed the agreements with the City ---the agreements and the comments are as follows: With regard to an agreement entered into February 5th between the City of Miami ... we don't have to worry about that one. Number two ... number three is one. that I think we can do. OK. "With regards to an .agreement entered into on March 19, 1981, between the City of Miami and the -County, for the leasing of the second floor • of the City of Miami Municipal Justice Building, they pay us one dollar per year and the Federal government for Refugee Assistance, give us six dollars a•;year." I would • like to -raise that to a million and a half a year. Mr. Plummer: That's the first one? Mr. Dawkins: _Yes, number three Mr. Plummer: _Number three? Mr. Dawkins: Yes, number three for the jail. And with the libraries that they are getting from us for a dollar a year... Ms. Dougherty: Those have fixed terms. Mr. Dawkins: Fixed terms? All right, Madam City Attorney, what about four, five, I mean? Ms. Dougherty: The ones that you have some leverage with... Mr. Dawkins: OK. Ms. Dougherty... is if you look on the resolution that's attached to that, we are on a month to month lease for Dorsey Park, Hadley Park and the jail facility. Mr. Dawkins: OK. And the Miami library system we can't touch? Ms. Dougherty: Correct. gl 1 June 26, 1986 t3fi75E C_ #` Ms. Dougherty. We ..ran t do anything about thieither. Mr. Dawkins: All right, then I would like to raise the jail to two million dollars a year, Dorsey Park to a hundred thousand, Manor Park to a hundred thousand and when it comes to the Port bridge, I would like to see us enter - into a percentage basis where Dade County will pay us a percentage of the gross tonnage that goes through that Port and comes over that bridge, instead of paying us one time. The Port Authority is an independent entity. It has nothing to do with Dade County taxes. it operates on its own. So, anything that we get from the Port does not hurt Dade County at all because it's an independent agency, and I think that for allowing them to bring a bridge over, for them to bring the tonnage from the Port that comes in on the ships, we should get a percentage of the total gross dollars that they make for that, and that would be my... Mr. Plummer: Let me give you another one. Mr. Dawkins: OK. Go ahead.. Mr. Odio: Beckham Hall, sir. Mr. Plummer: At this particular point, they are unrealistically paying us to provide them with fire and rescue protection. As I recall, the Chief told- me the other day that the amount of money does not even nearly cover what we have to keep... Mr. Odio: That's right. Mr. Plummer: ... in personnel and equipment just to make it available to them. I think their contract is what? Fifteen thousand a month? Mr. Odio: Yes, sir. ` Mr. Plummer: And in realistically, it should be in the neighborhood of a hundred thousand a month. Ms. Kennedy: I think that the name�of that tax is... - Mr. Dawkins: Raise that to a hundred thousand. Ms. Kennedy: I think that the name of that tax is highway robbery. I mean, I share your concerns for the City to get.a fair return irk its properties, but the City also profits from its seaport activities. You know, hotels in the City rent rooms to people who go -,out on cruises. The Port provides jobs for people. L The taxi drivers get them. I don't know. 1 Mayor Suarez: As long as we are all throwing items into this, a and this is not one that we can do anything about, but when I was 1 first sitting on this Commission, very soon afterwards, and in deference to the negotiations that had taken place by this Commission with the County Commission on the issue of the Water and Sewer Board, went along with the recommendation to be paid and to settle that lawsuit against the County for having taken basically, assets of the City of Miami worth any where from two hundred to four hundred million dollars, and I'went along with the settlement that paid us no more than two million dollars for refurbishment of the Orange Bowl, and I did that in deference to the County and in good faith, and here seven months later, I see the County coming around and asking us for an increase of ... what is it, almost two million dollars? -and I don't think that they have acted in good faith, and I will just throw that item in because this Commission could have spent weeks in debating whether that was a fair settlement of that lawsuit. Now, of course, I deferred also to Commissioner Plummer, I believe, who headed that Committee and that the, you know, the work that was done on it, but —and I never made an independent evaluation for gl 2 June 26, 1986 r.� t myself from my own legal standpoint, all pause we wanted to • have spirit of cooperation with the County, and here seven months later they turn around and they try to impose this huge increase on us, and I want to congratulate all the Commissioners that have been working to make the County aware of what we can do if we get into a...I don't want to say the word that comes to my mind, but a match of whatever. Mr. Dawkins: Well, Beckham Hall, Mr... Mayor Suarez: Resource match here. Mr. Dawkins: Mr. Mayor, Beckham Hall is another facility where they have a work release program run by the County, and they are getting that for a dollar a year. So, I would like, Mr. Mayor, to continue this until the July 10, 1986, meeting where I can come back with some figures that we can look at and some costs that should be submitted, and ... and Mr. Mayor, I'm not playing. I'm not into this for no argumentative or what have you. I am going through this to charge the County for this. I'm not trying to buffalo them or bully them into doing nothing,'you know. This is...I am really sincere about charging the County for these facilities. I mean, I'm not going through this exercise of futility, see. Now, maybe I'm the only vote up here that's in favor of that, I have no problems with that, but I don't want the press and nobody else to let the Commissioners think that I'm playing, because I'm not playing at all. Mayor Suarez: It sounds like you have got your figures down. Mr. Plummer: No, you are playing, you are playing hard ball. Mr. Dawkins: OK. Mayor Suarez: Yes. Mr. Dawkins: OK. So, I would like to continue it until the next meeting please, Mr. Mayor, so.j can come back with something that makes more sense. It • z .f Mayor Suarez: So, moved and seconded... ' Ms. Kennedy: uh huh, second it. Mayor Suarez:. Seconded, call the roll. Mr. Plummer: 'May I... Mayor Suarez:- Yes, Commissioner. Mr. Plummer: Under discussion, may I suggest that you as Mayor write a letter to the "cigar" in the County, informing him that these items are forthcoming and that he needs to keep them in consideration for his budget this year. Mr. Odio: Yep. Mayor Suarez: It will be drafted... Mr. Plummer: I think you should put -him on notice that that is what this Commission is working on, and that we fully intend for him to have the allocations in his budget for these facilities if he intends to use them. Mayor Suarez: And Madam City Clerk, I will add to that, with Commissioner Plummer's permission, the transcript of what has been stated so far on this particular issue, because ... I know, I don't know quickly you can get that. So, we will get the letter off in any event, but we will send that attachment forthwith so that they know how this Commission feels. gl 3 June 26, 1986 86 ' 58L Mr. Plummer: I would also invite them to the meeting on July 10th. -Mr. Dawkins: Yes, by all means. Mr. Plummer: I would invite, Sergio, to the meeting to come here and to be part of the discussions. He has nothing more to do in the County. Mayor Suarez: I want to thank Warren Butler for having volunteered to write that letter between now and this afternoon. I see him smiling over there. Someone from the City Manager's Office, if you would prepare a draft, I would appreciate it, and we will go over it and get it signed. Mr. - Plummer: Tell Sergio, we will send a limousine and a box of cigars. He will come. Mavor Suarez: OK. Please call the roll on the motion to continue discussion. The following motion was introduced by Commissioner Dawkins, who moved its adoption: MOTION NO. 86-505 A MOTION TO CONTINUE CONSIDERATION OF (a) INCREASE OF RENTAL FEES ON CITY PROPERTY LEASED TO THE COUNTY AND (b) IMPOSITION OF RENTAL FEE FOR PLACEMENT OF SEAPORT BRIDGE ON CIT`_' PROPERTY TO THE M2ETING OF JULY 10, 19806, FOR FURTHER INFORMATION. AL Upon being seconded by Commissioner Kennedy, t`:e motion was passea and adopted by the followi.*rc; vote - AYES :' Commissioner Joe Carolloi: ' Commissioner J. L.'Plummer, Jr. Commissioner Rosario Kennedy ?. Vice-Mavor Miller J. Dawkins Mavor Xavier L. Suarez NOES: Now . ABSENT: - None. gl 4 June 26, 1986 3 TO Miller J. Dawkins Vice Mayor Ws Lucia A. Dougherty FROM City Attorney CITY OF MIAMI, FLORIDA INTEROFFICE MEMORANDUM DATE June 25, 1986 FILE SUBJECT Solid Waste Disposal and Transfer Fee Increase, and Agreements between the City and Dade County REFERENCES: ENCLOSURES. in response to your request that I review the agreements that the City of Miami has with Dade Uounty, looking for potential increases in rent or for potential breach or default on the County's part, we have reviewed those agreements provided by the General Services Administration. The Agreements and our comments are as follows: I. With regard to an Agreement entered into on February 5, 1988, between the City of Miami and the Economic Opportunity Program, Inc., such lease calls for the leasing of Dorsey Park Facility for thirty (30) years on a month to month basis for the sum of $175.00 per month as fair monthly rental value constituting the rental fee. This Agreement can be terminated by either party with a thirty (30) day written notice of cancellation. On March 13, 1972, a Supplemental Agreement was entered into whereby the Dade County Community Action Agency requested to be substituted as lessee in lieu of the Economic Opportunity Program, Ina. The terms of the February 8, 1986 Agreement are binding in the Supplemental Agreement. As a result of the terms of this Agreement, it appears that the City can terminate this agreement without cause by giving the County thirty (30) days written notice of cancellation. i II. With regard to an Agreement entered into on June 3, 1966, between the City of Miami and Economic Opportunity Program, Inc. for the leasing a of Manor Park (Hadley Park) Facility, on a month to month basis, for the sum of $404.40 per month to be paid by the County as rent, this agreement can be terminated at will by either party with a thirty (30) day written notice of cancellation. On March 13, 1972, a Supplemental Agreement was entered into whereby the Dade. County Community Action Agency requested to be substituted as lessee in lieu of the Economic Opportunity 8f -5'851 Miller J. Dawkins Vice Mayor June 25, 1986 Page 2 Program, Inc. The terms of the June 3, 1968 Agreement are binding in the Supplemental Agreement.As a result of the terms of this Agreement, it appears that the City can terminate this agreement without cause by giving the County thirty (30) days written notice of cancellation. III. With regard to an Agreement entered into on March 19, 1981, between the City of Miami and the County for the leasing of the second floor of the City of Miami Municipal Justice Building, formerly called the City Jail located at 1145 N.W. filth Street, for a rental fee of $1.00 per annum and in the event the County can seek funds for reimbursement from the State or Federal governments for refugee assistance than a sum per year equal to six dollars ($8.00) per square foot for the space occupied. The term of the Agreement is for two (2) years and the extension of the use of this facility by the County is permitted on a month to month basis upon mutual consent of both parties and is cancellable by either party upon thirty (30) days written notice. IV. With regard to November 1, 1971, Dade County, the of the following corporate limits a- known as the City an Agreement entered into on between the City of Miami and Agreement calls for the leasing libraries which are within the of the City of Miami and are of Miami Library System: 1. Allapattah Library 2. Coconut Grove Library 3. Dixie Park Library 4. Edison Center Library 5. Grapeland Heights Library 6. Lemon City Library 7. Little River Library 9. Shenandoah Library 10. West Flagler Library The term of this lease is for a period of thirty (30) years commencing on November 1, 1971 and terminating on October 31, 2001, and the parties have the right to mutually agree for an extension of this lease on such terms and conditions as are deemed appropriate. The rent provision on this 8E---58 1 Miller J. Dawkins Vice Mayor June 25, 1986 Page 3 lease is that the County shall pay the City a yearly rental of One Dollar ($1.00), the first payment to be made by the County to the City shall be on November 1, 1971, and on the same date each year thereafter. In accordance with the provisions of Chapter 71-240, Laws of Florida 1971, after the second year of this lease, the rental shall be payable only from funds arising from sources other than ad valorem taxation. As a result of the terms of this lease, it appears that the lease will be in existence until October 31, 2001, and will possibly be extended upon mutual consent of the parties. V. With regard to an Agreement entered into on April 28, 1976, between the City of Miami and the County, the Agreement calls for the leasing of property to be used and occupied as a Solid Waste +` Transfer Station and for no other purposes or uses whatsoever for a period of thirty (30) years. The _ lease is to begin running on August 20, 1978 and - will terminate on August 20, 2006. The total rent due on this lease is One dollar ($1.00). The terms for this lease shall become null and void in the event that the leased premises ceases to be used as a Solid Waste Transfer Station and surrender of the premises shall be within thirty ` (30) days after receiving written notice that said lease is null and void. - VI. With regard to an Agreement between the City and Dade County dated August 23, 1984 for the Seaport Bridge, and amendment thereto executed on the same date, this Agreement does not provide the City with any rental payments. When the Port Bridge is built, the City has agreed to sell an easement to t the County for the lands necessary for the bridge footing. The value of the land will be determined at the time of the construction of the bridge and } o will be established on an appraisal basis pursuant to a formula for selection of arbitrators, which ` is provided for in the Agreement. The Agreement ` is fully executed by both parties. VII. With regard to an Agreement between the City and Dade County dated December 20, 1983, and Amendment No. 1 to that Agreement dated October 2, 1985, for 86-5585. Miller J. Dawkins June 25, 1986 Vice Mayor Page 4 provision of Fire, Rescue and Inspection Services at the Port of Miami, the City has agreed to provide Fire, Rescue and Fire Inspection Services at the Port of Miami for approximately $250,000 compensation per year through October 15, 1987. Currently there is an Amendment to the Agreement being prepared for Commission review whereby the City would provide Building Inspection and Permitting services at the Port of Miami and receive all permitting fees. There may be a possible default on the part of the County with regard to the Fire Services in the purchase of insurance to protect against any liability which may be incurred by the City in providing the contracted services. Therefore, unless Dade County is in default of its obligations under these agreements and fails to oure such defaults, the City may not terminate or unilaterally change the conditions of these leases. Exceptions of the above are the leases involving the Dorsey Park Facility which is a thirty (30) year lease on a month to month basis and is cancellable without cause on thirty (30) days written notice; the Manor Park (Hadley Park) Facility which is a thirty (30) year lease on a month to month basis and cancellable without cause on thirty (30) days _ written notice and the City Jail facility which is now a month to month tenancy. Accordingly, we have prepared the attached resolution for your consideration terminating such agreements. LAD:JJC:bss:M002 861-585' CITY OF MIAMI. FLORIDA INTER -OFFICE MEMORANDUM _ Mr. Cesar Cdio j�8� �:}?; ! i_) �!� ��: �1� June u, 198G ° City Manager 'X cILE Miller J. Dawkins FROM Vice -Mayor Metro Dade' s Apparent. SU9JEC- Insensitiveness to City of Miami's Commission Request REFERENCES For Parity ENCLOSURES. I read the attached letter from the County Manager. Please put on the agenda for June 26, 1986 City Commission Meeting, a discussion of raising rental on property Dade County leases from the City of Miami. Additionally, include how we can demand a rental fee for allowing the proposed Seaport Bridge to set down on City's property. Rental fee should be a percentage of the annual seaport receipt. By copy of this letter to the City Attorney, I am asking that her office draft the appropriate ordinances or resolutions necessary to do the above. rig blp cc: Honorable Mayor City Commission Members t 0 s 86-585