HomeMy WebLinkAboutR-86-0390J86-428
RESOLUTION NO. 8 •-
A RESOLUTION AUTHORIZING THE CITY MANAGER
TO UTILIZE HEREIN DESIGNATED SOURCES OF
FUNDING FOR THE PURPOSE OF PAYING THE
REQUIRED AMOUNT INTO THE REGISTRY OF THE
COURT OR IN AN INTEREST BEARING ACCOUNT IN
CONNECTION WITH THE CASE OF DADE COUNTY V.
WILLIAM B. SAWYER ET AL., GIRCU11
CONDEMNATION
PROCEEDINGS OF PROPERTY NEEDED FOR THE
OVERTOWN URBAN INITIATIVES PROJECT; FURTHER
AUTHORIZING THE CITY MANAGER TO SET ASIDE
ALL FUNDS NEEDED TO COMPLY WITH SETTLEMENTS
MADE IN SAID PROCEEDINGS AND TO SATISFY THE
JUDGMENT RENDERED IN SAID LITIGATION IN THE
EVENT THAT THE CITY ATTORNEY DETERMINES
THAT AN APPEAL BE FILED IN SAID LITIGATION.
BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI,
FLORIDA;
Section 1. The City Manager is hereby authorized to _
utilize the below designated sources of funding for the purpose
of paying the required amount into the Registry of the Court or
in an interest bearing account in connection with the case of =
Dade County v. William B. Sawyer et al, Circuit Court Case No.
84-2236, involving condemnation proceedings of property needed
for the Overtown Urban Initiatives Project:
Remaining balance of 1976 G.O. Housing ........
$1,200,000
Bonds allocated to S.E. Overtown/Park
West Capital Redevelopment Project for
land acquisition.
Miami Sports & Exhibition Authority..........
$1,000,000
• acquisition assistance for Block 44
Balance of Section 108 Loan ..................
$2,200,000
Approved CDBG funds (7th Year) ......
$ 200,000
! Unencumbered 1976 G.O. Housing ...............
$ 912,500
Bond Funds.
Section 2. The City Manager is also hereby authorized
to set
aside all funds needed to comply with settlements
made in said
proceedings and to satisfy the judgment rendered in said
litigation
in the event that the City Attorney determines that an appeal be
CITY COMMISSION
filed in said litigation. MEETING OF
MAY 00
WASOW]
PASSED AND ADOPTED this 22nd day of MAY 1986.
AT S
MAYM
PREPARED AND APPROVED BY:
APPROVV &� TO FORM AND CORRECTNESS:
U.,V%Alla-l.r , ,
CITY OF MIAMI. FLORIDA
INTER -OFFICE MEMORANDUM
TO: Honorable Mayor and Members
of the City Commission
DATE: MAY 15 1986
COURT SETTLEMENT OVERTOWN _
SUBJECT: URBAN INITIATIVE PROJECT
REFERENCES:
FROM:
Cesar H. Odio City Commission
City Manager AT ENCLOSURES: Agenda May 22nd
It is recommended that the City
Commission approve the attached
resolution authorizing the City
Manager to utilize herein designated
sources of funding for the purpose of
paying the required amount into- the
registry of the court in connection
with the case of Dade County V.
William B. Sawyer Et Al Circuit
our ase - ', — involving
condemnation proceedings of property
needed for the Overtown Urban
further
Initiatives Project;
authorizing the City Manager to set
aside all funds needed to satisfy the
judgment rendered in said litigation
in the event that the City Attorney
determines that an appeal be S filed
i n
said litigation. it
further
recommended that City Commission
approve the attached Emergency
Ordinance appropriating an additional
$4,108,400 (mast of which has been
previously allocated by resolution to
the S.E. Overtown/Park West
Redevelopment Project) to cover the
increase cost of land acquired for
this project.
• •1
Honorable Mayor and Members
of the City Commission
Page 2
On May 13, 1986 a verdict was received in Sthe4
i rcui tThi s Court in the
was
Case of Dade County vs. Sawyer (Case No.
filed in 1984 and involved the taking of 33 parcels in the Overtown
Area. The City of Miami is liable for 85% of all cost overruns in
this project. Both Resolution 83-108, which approved the Overtown
Urban Initiative Grant Application, and Resolution 82-940, which
authorized the approval of the Intergovernmental Cooperation
Agreement for the Overtown Urban Initiative Project, call for the
City to provide 85% of the local match and further require that the
City pay to the County 85% of any funds which the grantee is required
to pay from non-federal sources. Dade County retained full
responsibility for land acquisition. Dade County was the grant
recipient and required the City to assume this liability prior to
their acceptance of this Grant. The County was able to negotiate
settlements on only 10 of the parcels prior to con There ion;wer21
an
additional 11 parcels were settled during litigation.
parcels involved in the final Court settlement. The City of Miami is
liable for an estimated $5,7 million in additional costs based -on the
ury ver
The offers of purchase made to the property owners in the Overtown
Urban Initiative Area were based on appraisals prepared by Roger
Budney, M.A.I., Moses Florence, Mark Quinlivan, M.A.I Pat Mellerson
and Norman Kurferst, M.A.I., with review provideb who. have been
M.A.I. These are all well qualified local appraisers
Appraised values utilized ranged from approximately in its acquisition
per tsgn programs.
Appra
Table A).
The Overtown Urban Initiative Grant was for $6,770,670 matched by
$1.69 million from the City of Miami, Dade County and the State of
Florida. The Order of Taking for the property occurred in September
1984 and the court hearing for value was held between April 21-May
12, 1986.
The County entered
was the Court proceedings
sufficientwith
forbalance
70% increase Min
Grant of $2.3 million which
value, far in excess of typical jury verdicts.
86--390:
--- -- ------
11
Land Area
sq. ft.
Parcel/Owner
7,500
01-02(Gilc01
01-0300st)1 7,500
DI-04(Stone) 30,000
O1-06(Symonettel2 7,500
02-31(SYmonette) 22,500
02-06(Yon 2ampt13
1.500
02-t3g(Post)4 7,500
02-15(Post) 7,500
02-16(Mttcheil) 1,500
03-02(Post) S60250
03-03(Post)S 15.000
03-04(Post) 3,750
7,500
03-OS(Post)
7.500
03-06(Post)
3,750
03-07(Post)
t 30,000
04-01(Schuss)er)
04-02(Schusslerl 1,500,
04-03(Rose) 7,500
04-05(Sweeting) 5,000
4.1 2.500
04-06(Blumenthal)
04-07(ma Ida)
AVERAGES
TABLE A
County's
ApDrlasal Ve
54 $8 $6 S
$4 S8 $7 S
$4 S8, $7
$4 $8 $7
$8 $7+ $9
$5 $7 $S
$S •$8 $S
$4 $7 $4
$4 $7 S5
$4 $7+ $7
$4 $7+ $7
$4 S7 $7
56 $7 $6
•S6 $7 $7
:36 $7 $7
$4 $9 $10
$6 $8 $9
$6 $8 $9
56 SS $6
$6 38 $7
rOlcc
20
20
$30
$25
$25
$18
S18
$18
$20
$30
$30
$30
$30
$30
$30
$38
$38
$28
$30
$30
7,500 $6 SB $6 $30
$5.0 $7 58 $7 $27
1 Purchased 6/82 for $2 per sq. ft-
2 Purchased 1/82 for $1.93 per sq- ft-
3 Purchased 6/81 for $3.60 per sq• ft.
4 Purchased 4/81 for S2.80 per sq• ft.
5 Purchased 12/82 for 53.37 per sq- ft.
U
Defendant's
ADor
0 • $40
t0 $40
30 $40
25 $40
;20 $30
;IS $30
S18 $30
$20 $30
$20 $30
$37 $40
$37 $40
$37 S40
S37 $40
$37 $40
$37 $40
S42 • 345
$42 S45
$30 $45
$30 $45
es0 $45
$20
$25
$35
$35
$25
$25
$25
$35
$35
$45
$45
$45
$45
345
$45
$45
S45
$35
$35
$35
S30 345 S45
;28,76 53S-90 S36 66
TABLE 9
County'I
A raisal
Verdict
Defendant's A ratsal
5187,500
Parcel/Owner Land
Area
$60.000
$150,000
$150,000
$300.000
$187.500
01-02 6tico
7.500
$60.000
$150, 000
S150,000
$300.000
$1,050,000
01-03 Post/T
7,500,
$240.000
$900.000
5900.000
$1.200.000
$262,500
01-04 Stone
30 ,000
$60.000
$187,500
$18795,00
S300,000
$562,500
01.06 Symonette
7500
$562.500
S450,000'
$675,000
02-01 Sywonette
22,500
$165,000
$135.000
$112.500
$225,000
$187,500
a
02-01 Yon ZatteGPt
7,500
S52.500
$136,000
$135.000
3225,000
S187,500
02-08 Post
7,500
$60.000
$135,000
$150,000
$225,000
$262.500
02-15 Post/Y
7,500
S52.500
S300,000
$300,000
f450,000
5525.000
02.15 Mitchell
15,000
$105.000
52$5
S2,Z50,000
$2.531.300
03-02 Post/Y
56,250
$513,800
$1,687.500
$450.000
5,050
5555.000
$6,000,000
S675,000
15.000
$112.500
$168,800
03-03 Post/>'
$26,300
5112,500
;138,750
$337.500.
03-04 Post/T
.03-05
3.750
$87.000
5225,000
5277,500
$300.000
$337.S00
Post/T
7,500
552.500
$225.000
;277,500
$300,000
t168,800
03-06 Post/T
7,500
$26.300
$112,500
3138,750
51.350.000
03-07 Post/Y
3.750
;362,000
$1.140. 000
$1,260,000
$1.350,000
$337,500
04-01 Schuessler
30.000
560,000
;285.000
$315,000
i337.500
$262,500
04-02 Schuessler
7.500
$60,000
$210,000
$225,000
5337.500
$175,000
04-03 Rose
7,500
$40.000
$150.000
5150,000
$225.000
$87,500
04-05 Sweating
5,000
520,000
$75,000
$75,000
$112,500
$337.500
04-06 Bernstein
2.500
$225.000
. SZ2S,000
$337.500
04-01 Maid&
7,500
$60.000 .
I
Honorable Mayor and Members
of the City Commission
Page 3
The former property owners had 3 appraisals prepared by appraisers
from North and Central Florida. The average valuation ranged from
$28.76 per sq. ft. to $36.66 per sq. ft. compared to the $7 appraisal
utilized by Dade County 27r court square aote abtotalles A veBdictTof
jury verdict averaged $ P the
$7 , 552, 500 ( note Table C).This month on then four additional onal times award
1� a granted
appraisal. Interest of
back to the date of taking (20 months) must be paid. This amount
comes to $1,055,420. Legal fees and court costs are
estUnderdFlorida
of the settlement amount for a cost of $1,9 million.
law, the condemning body
liableiforable
85% ofal 1 thesee additionaland
expenses
court
costs. The City will be
for an approximate total of $2,5 million.
TABLE C
CONDEMNATION AWARD --REAL PROPERTY*
MONIES REQUIRED
Verdict $7,552,500
Less UMTA Deposit $2,275,400
BALANCE DUE $5,277,100
Less UMTA Balance $1,500,000
REMAINING BALANCE DUE $3,771,000
COUNTY PORTION $ 565,650
(15%)
POTENTIAL CITY LIABILITY $3,205,350
(85%)
*Additional costs for interest and legal fees not included
n
Honorable Mayor and Members
of the City Commission
Page 4
The projected liability of the
f City
under this award is approximately
$5.7 million inclusive of all
This award is extremely excessive and far beyond values in the area.
Prior to our acquisition, private sales in the area ranged from $4-$6
per sq. ft. and previous public acquisition through condemnation in
this area ranged from $6-$10 per sq. ft. Table D denotes recent
for ic
private sales in the area that
occurred
ccurr dfromtar $1193sto $5.55bper
acquisition were announced.
sq, ft. Jury awards on theirs aatwol tothreeyear, perioded from 225% owith9no
above the purchase price with These awards represent
improvements made to the property.
astronomical appreciation in property - far in excess of actual real
estate trends. In adjacent Park
West, appreciation
has baveragld Data
a year based on a study prepared
Information Systems Incorporated.
We have requested that Dade County initiate a Motion for New Trial
and the City is investigatingwishfDade led, County
the City isealiablel foty r 85%
for
filing an appeal. If an appeal
of additional interest costs (if not reduced) and legal fees.
Parcel
Number Owner
01-03 Post/Y
01-06 Symonette
02-06 Yon Zampt
02-08
Post/Y
02-15
Post/Y
03-04
Post/Y
Table D
JURY AWARDS FOR PROPERTIES PURCHASED UNDER
THREAT OF CONDEMNATION
(BASED ON 10/84 LAND VALUES)
Date
Purchased
6/82
1/82
6/81
4/81
4/81
12 /82
Amount Paid
$15,000 ($2 per sq. ft.)
$14,500 ($1.93 per sq. ft.)
$27,000 ($5.55 per sq. ft.)
$60,000 ($2.80 per sq. ft.)
$52,500 ($2.80 per sq. ft.)
Verdict
$150,000
$187,500
$135,000
$135,000
$135,000
$50,000 ($3.33 per sq. ft.) $112,500
Increased
1,000%
1,293%
500%
225%
257%
225%
.1 4
Honorable Mayor and Members
of the City Commission
Page 5
It should be noted that the City as directly Overtown/ParkdPWeste Pr ject ition area
for 4.4 blocks in the Southeast
during the last year and has been
able to the designatede the acqui putionrchase
na areaof
all but 4 of the 29 parcels has
The City initiated and fully to Attachment controlled acquisition
F1 on da olawm al 1
come in under budget. (no
condemnation under the auspisetates Fl thata Sthe utCountyar ehahnadnld
andlde edthe
Dade County which necesThe
condemnation of property f r community
oo u ontyof redevelopment
deVelo mentparcel s efor the
City has initiated the co on May 9th.
Arena, and the County took possession of the property
One of the acquisitions will be funded fully by the Mi Miami Sports &
Exhibition Authority (57-B) and it will be requested that the
Authority cover all additional cattthehat may request bof i the amioSportse&
44-E. Quick take was initiated
Exhibition Authority in order b to
thet the Miami Sports development
Authority. schedule for
the Arena provided to the y Y
In order to cover the jury award, it is recommended that the
following sources of funds
l setted aside until nt the thenr in appealhprocess
event
of an appeal that these funds be
is completed:
f 1976 G.O. Housing ................31,200,000
1. Remaining balance o
Bonds allocated for land acquisition in S.E.
Overtown/Park West. Reuse of parcels for which
funds will be assigned will be restricted to
rental housing under the provisions of the City
Program.
of Miami Affordable Rental Housing
2. Miami Sports & Exhibition Block Authority
........ $1,000,000
acquisition assistance provided
($874,000 already remitted).
3. Balance of Section 108Lo .....................$2,200,000
a
funds not encumbered, application
being amended
tentative approval obtained by HUD Regional
Office.
4. Approved CDBG funds (7th Year) .West.land.acquisition. $200,000
allocated for S.E. 0vertown/Park
S. Unencumbered 1976 G.O. Housing Bond
red Si Funds
..gram.(.... $912,500
originally allocated
balance of approximately $3.5 million remains).
TOTAL
$5,712,500
86-390. -
Honorable Mayor and Members
of the City Commission
Page 6
All but $912,500 in funding punding sources already
allocated to the S.E. Overtownlark West Project.
This proposed funding package illallow ill si oi forntly Phase Ipact the S.E.
Redevelopment
Overtown/Park West Project but w
to move forth. These impacts will include:
The
the postponement ci 1 it a fromuthetion of Park West Camillus
i s essential to
removal of this fa Y was
upgrade the image of the area dateAn d then City mhas not purchase
received a
property in June of 185
written response.
s on
the postponement of the �omuletedothefremainingtwo aacqnt uisitilon of
Block 25. (The City has p
the block 25; development of this site is not scheduled for at
least 3 years)•
the postponement of the acquisition i tthe east thehistoric
det of cN�.Wri 2nd Theatre
and adjacent properties 9
d 9th Streets (Block 36). These parcels are
between N•W• 8th and
purchased by the City and are all
adjacent to property p
vacant. Over 50% of the site was cleared after the 1980 civil
disturbances.
the elimination if the potential uti utilization zati ong of reprogramming
fof the inancing
Housing Bonds proposal forApplication for
for Phase I developers. Werecludeare submitting
theneeaA
dfoDrsubordinate local
the June round which may p
financing.
1 interest costs for
will necessitate the City to cover the a"" --
the HUD Section 108 loan for fromstimathe t1 oan ed 393di re� tlyer potenti al
1987 and
1988. Original funding was
funding sources will be from
the Tax Increment Trust Fund or from
13th and 14th Year CDBG funds.
Interim financing for the paymenttof hroughi theward pr a temporarily
funded from Community Development
m.
It is recommended that the attached Resolution and Emergency
Ordinance be approved.
CHO/MDS/es
Attachments
86-39 V
i
Z
—390
.,W
BLOCK 24
j Southeast Overtown/Park West
Redevelopment Project Acquisition Cost
Settlement Price � j,� Damlition Fit. ��oell�neo`� �m''
�� 9bta1 �� �
Ebroal C�'s tie Sq. Fbg• Lod �3 Fixtre
tb,.
�•� SL,O00 2,S1t3 $•718,a68
22,500 $360,000 :VE5,O0O $33,750 �'�
24-Alex fh�i
115 *141,615
0 0 �� �'� 13,0Oo 0
2� B SAS � 7,50O 1?A,O00 .
460,000600
,� �,� .�,� 1,55/,754 19,3g7
5,000 �,� 6,� $1,624,520
24,C J. P C0
� 100O `�60'�
J. Vella
3,000 � �,�
29-0 ice, � �' M `�•� 2J,O0O 1.400 27, 500 528,9�
30,000 7,482 $577,722
24-F: tic A 3O,150 4B219OO 0 0 26,620 509,02O
�,Opp 18,490 38,350 773,840 20,O0O
25,000 �' � � �, M
�F' A � �,� 98D,00O
R IlgdY
�� 2 2DO $16,660 $4,454.311
4
14
i I ICI ill l it II � __
Southeast Overtown/Park West
Redevelopment Project Acquisition Cost
ISettldment
Price
Ibnxl prom's Poe
.Ft.
land Bldg Fixt�
B3=
'mt31
ice.
37- A AM lbdvuarria
3, 750
$52, 000 MAD
�5M
, 6,500
�87,020
37-B Miagi C3E1
17,750
2B1,000 %,000
13,9331
21,500
415,493
37-C Ft A Bann
26,250
420,000 99,720
29,321
28,486
577, 527
37-D Icuis lavers
15,000
240,E 145,000
4,6W
21,750
411'430
37-E gpm2dk 9
94,154
1,510,000 655,200
87,979
162,721
2,415,900
37-F
37-G Sxm NmisUry
37-H Hmur3 Haffim
7,500
IM1000 5,000
28,900
8,750
1Fi2,650
37 I RWim
13,900
220,000 130,000
8,31B
2J,000
378,318
W1RL
177,904 $2,M,000 $1,158,9M $173,711 $269,707
$4,448,338
BLOCK 37
d pmplitial
1»- Pb at�l
la 19d1R
`1�t11
l�lnastun fit• cmtiLn
�
2,700
2,500
3,652
96,E
0
0
101000
4,143
439,636
10,000
25,000
L3,677
651,925
10,000
15,220
20,E
15
456,665
66
2,545,965
�,000
0
17'�
66
17,065
0
25,000
65
25,000
194, M
0
23,344
7,000
1, L39
91000
2D,000
11.5
417,433
10,000
$B5,9B5
$ ,500
$22,936
$4,858,759
$155,000
I �I I�Ii��II�VI
Settlement Price
Southeast Overtown/Park West
Redevelopment Project Acquisition Chart
IMF
parcel
Q t�r's Nwe
94. Fbg.
Ia7d
Bldg F]xt=
coos
......- --
Db.
44.E Diaz K Elisa
6,750
$135,000
$1,750
V,218
W,250
$153,218
$184,000
44-8
Rom/ F.,I a G3]]a
6,750
1M,000
1,000
0
8,550
$lB, 550
0
Diaz
22,500
3ED,000
15,000
21,215
23,500
$416,715
10,000
44-C
vicbx
22,50D
360,030
20,000
29,065
3D,500
$619,565
44.D
Rpria11iote1
44-E
Art CMft
37,800
59,OOD
1,0D,000
0
0
85,000
I$1,105,000
J45
,�
ode
7,000
127,500
9D,0�p
3c7,Or76
13,375
267,%1162,3DD
44•G
rhamd 1�e Missirn
$2,122,500 $3D7,750
$94,5, $167,175
$2,691,999
li.
$14,812
$6,000
$3,563
0
0
0
1,00D
21,000
65
0
40,000
2,862
0
45,000
65
0
2,000
65
0
12,00D
65
$15,812
$126,00D
$6,685
BLOCK 44
$361,593
$129, 550
$448, 78D
W,427
$12o•065
$1,107,065
$600,966
$3,575,446
it JIIIhJil
4�
SUMHARY SHEET
Southeast Overtown/Park West
Redevelopment Project Acquistion Cost
Total MaBtim &Pa-d8d Fw=tim EM. Da"itim E6t.
Fixwre Bxw
ELM( Fbg. BId3
N06
44 162,300 $Z 122,500 $117,750 ,$94,574 $167,175 $2,691,999 $15,812 $M,960 $126,000 �,Effi $3,575,446
25 97,150 $304,8M $274,700 $B,940 �52,150 $W,590 �21,836 $334,550 $35,500 $M,258 $1,110,734
37 177,904 $2,896IO00 $111581923 $173,711 $269,7(17 $4,448,338 $L95,000 *L95, 000 !P7,500 $21,552 $4,190,063
22D $93,EU7 $35,000 $152,200 :A6,EOD $4,454,311
18D,30D $ZRQ,40D �%2,000 �841
Mr— $239,825 $239,825
FM $401,2W P62,9M $13,5M, 379