Loading...
HomeMy WebLinkAboutR-85-0191:_;0 ', J-85-62 RESOLUTION NO. 5645*%ft A RESOLUTION APPOINTING CERTAIN , INDIVIDUALS AS MEMBERS OF A CITIZENS ADVISORY COMMITTEE TO ASSIST THE ADMINISTRATION IN DEVELOPING CITY-WIDE POLICY FOR AN AFFORDABLE HOUSING TRUST FUND AND FURTHER DIRECTING THE CITY MANAGER TO PREPARE WITH THE ADVISORY COMMITTEE ASSISTANCE, RECOMMENDATIONS FOR APPLYING CITYWIDE, AN AFFORDABLE HOUSING TRUST FUND CONCEPT. WHEREAS, the City Commission on June 15, 1983, amended the ` SPI-5 ordinance (M-83-548) to include an affordable housing bonus to support the development of moderate cost in the City of Miami; ' and t 3 WHEREAS, in a June 7, 1984, memorandum from Mayor Ferre, a request was made to extend consideration of the affordable housing trust fund to citywide applicability; and WHEREAS, the impacts of applying housing trust fund requirements to commercial and office development citywide are extensive and complex therequiring an in-depth review of potential policy options; and WHEREAS, certain individuals engaged in private sector _l business, development and civic activities can provide informed review and comment to the administration and City Commission on affordable housing policy citywide; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The following individuals are appointed to a Citizens' Select Committee on City-wide Affordable Housing Trust Fund policy and are hereby charged with assisting the Administration in formulating recommendations to the City Commission as to appropriate and necessary policies for implementing City-wide the concept of an affordable housing trust fund and upon concluding the formulation of said policies, report its findings and recommendations to the City Commission. cm C:OIQ i MEETING Qp M 1- ALLEN MORRIS, JR. Allen Morris Co.- Property Management 2- ARMANDO CODINA Interamerican Investments 3- JANET COOPER Attorney 4- HILARIO CANDELA, Partner Spillis-Candela, Architects 5- RON FRAZIER, Principal RON FRAZIER & ASSOCIATES Urban Design / Architecture 6- MARTIN FINE Greater Miami Chamber of Commerce, DDA 7- SANDY ROSENBLITH Local Initiative Service Corporation 8- OTIS PITTS Tacolcy Economic Development Corp. 9- BETTY WALKER Wolman Housing 10- MARIA ELENA PRIO DURAN East Little Havana Committee 11- DOUG BRASHMAN Southeast Bank Enterprise Foundation 12- GEORGE PEREZ Related Housing, Developers 13- HOWARD SCHARLIN DDA Board Member / Katcher-Scharlin, Attorneys 14. 15- - - - - 16. 17- - - - - 18. 19• - - - - 20. Section 2. The City Manager is hereby directed to prepare a report to the City Commission on the need for impacts of and implementation policies for an Affordable Housing Trust Fund for the City of Miami in concert with the input, review and recommendations of the above established Citizens' Select Committee. -2- PASSED AND ADOPTED this 28 day of February , 1985. ATTEST: ndl}Ju u. v.,F,-- PREPARED AND APPROVED BY: CHIEF DEP APPROVED City Attorney ATTORNEY D CORRECTNESS: MAURICE A. FERRE MAURICE A. FERRE, MAYOR _3- r __VN 23 COMMISSION ACTION CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM TO. Randolph B. Rosencrantz City Manager FROM>fe o Rodriguez, Director lanning Department oATE: January 15, 1985 FILE, SUBJECT: Citywide Off -site Affordable Housing Contributions REFERENCES: City Commission Meeting: ENCtosuREs: January 24, 1985 It is recommended that the commission appoint a Citizens Advisory Committee on City-wide Off -site Affordable Housing Contri'butions for the purpose of facilitating the cons ruction or rehabilitation of affordable housing units through developer contributions, per the attached resolution. The Planning Department and Community Development Department have .•-N been conducting research concerning the potential application of a "city-wide off -site affordable housing contribution" from future office development and the establishment of an Affordable Housing Trust Fund to subsidize the construction or rehabilitation of affordable housing units. This concept was initiated in cities such as San Francisco and Boston and recently adopted by the City of Miami within the SPI-5 and SPI-7 zoning districts in Brickell. (See Attachment "A" - Developer Participation Programs in San Francisco and Boston). It is recommended that a citizens advisory committee be established to look at 'a city-wide approach, rather than targeting the Brickell area on this subject. It is envisioned that this committee would hold several meetings with technical input from staff, and help to formulate a conceptual program for recommendation to _the Commission -as early as April, 1985. The following persons have been recommended for the citizens advisory' committee, representing a cross section of office developers, housing developers, attorneys, architects, and civic leaders having particular involvement in this issue: Allen Morris, Jr. Allen Morris Co. - Property. Management Armando Codina . Interamerican Investments . .. ..•+:r..:A'�++:y.n•+�+s•rtY,;'�?s.;._••z:`;•r,:�F.:�,.�.'i�:.y.;t!'::.w.�.a:.�..r�r:� �+-�-'�.•�: -:. •••�.:.Y.�.' •• I ��w�I.�•.�. .f....1�.�� . �•. _�^ •� ..<H -. �•+_ � ...•�i"� • � 11 .= y�~-��,�� �1 .�': �j9iY•'C'��.�fl� `o�.Y� ;YiCrrt'�.yry�T ••.Ci. • +µti. yd.•. _ ..7.+rt+v ti•..r. �•b�t}..rr.�.:../l.rS•��.r ..:r1-�.,M.�r ..a..► •i�i+!'ct ' �1•�•1� � ^ i -( i ..... .. .iY� .i• '�, `^•n"• * : i'��a '�"�.t ✓rr rtr"'r� �W ..• S��_*h r.i •n �+Mf�. 6 �,N+�+ r � .. rt....J. , • r • •••••• ... .. .M .�-Y.rnr•MYN�1li`,rli�{YL. -•'�-�w•:i��aL'::�YnW�•fi�.i�►II.y.�NL�aI.w aNMrw�t�.li��'rf..tfA�i.YI•�iv''i 1: nfN1..11._w •.Yli.•• No Randolph B. Rosencrantz City Manager Janet Cooper, Attorney Hilario Candela, Partner Soillis-Candela Architects Ron Frazier, Principal Ron Frazier and Associates Urban Design/Architecture January 15, 1985 Martin Fine Greater Miami Chamber of Commerce, DDA Laurie Raskin Greater Miami United Sandy Rosenblith Local Initiatives Service Corporation Otis Pitts Tacolcy Economic Development Corp. Betty Walker Wolman Housing Maria Elena Prio Duran East Little Havana Committee Doug Brashman Southeast Bank Enterprise Foundation George Perez Related Housing, Developers Howard Scharlin DDA Board Member Katcher-Scharlin Attorneys SR/JWM/dr ATTACHMENT w•' � x imp-•.:..�_.._.._.r....:: .. �••y.�a.��S �_.-_�..�. _. ._.._ _.. ' .'. • - � .w yam:... .. /yam, •.�~ MI.I'• M .'.•�•: • • � �yFI � ...w • —. ... ••..�'�..�I��.h t r�.•�•y!�►.�y� ���..C. � W = ' ti .. L � ..i f • e . .. .. ... .. .. .. ,•r• .. .�....r».,....�M�MYW.MhW':1n�.rKlr.:R%.►.4r:iWw,.:yy..�s.i �iw.:F,Y�'AS.• ATTACHMENT "An CITY OF MIAMI. FLORIDA INTER -OFFICE MEMORANDUM To: Randolph B. Rosencrantz City Manager FROM: 4 4ningoDepartment riguez, Director DATM January 11, 1985 me. sua,acT: Developer Participation Programs in San Francisco and Boston 9NCLOSUREs1 Per the request of Mayor Ferre information is supplied to enable the Commission to discuss developer participation programs in ranc sco and Boston. San Francisco and Boston have developer participation programs that require developers of major projects to also participate in housing programs within the respective cities. Developers of major non residential projects are required to contribute a fee based on the project's floor area. Fees are then utilized to sponsor a housing development, provide financial assistance for housing projects or contribute to a housing trust fund to increase the supply of low and moderate income housing. Seattle is considering a program to grant increased floor area ratios in return for participation in housing programs. j Chicago is currently considering a linked development program focused on neighborhood redevelopment whereby major downtown developers would provide seed capital for neighborhood redevelopment, engage in joint ventures with neighborhood developers and provide technical assistance to neighborhoods. Attached are brief summaries of the existing and proposed programs. In comparison, the City of Miami currently allows developers in the Brickell Area (SPI-5 and 7) to contribute to an affordable housing trust fund in return for additional office space. The developers of Brickell Key on Claughton Island are currently identifying an appropriate developer participation program in lieu of the requirement to provide 200 low income housing units on the Island. ,-, It is requested that this Agenda of January 24, 1985. SR/JWM/dr item be entered on the City Commission �ai�t�.�:.va�..�apL�.et ... .. .. .?�?vs.•.nx•.f.-. . .... _.. .. .... ... a; I �"JT;"'tAd!�r�'i•ra..L�i.'��t��r.I�f��iRiw- (. � _ \�-« •^'T.4..t •. .. .r'• t '•"�i:l :••. :! ..d •�i.!'�•1:��:-�.•J �`... y' .. r •• ... .. ' W....W—i ,�. ;:.r.�.a:.....'•.;ih�Jl �t'ia4i:�•w4►timiu%t�n�ieY43l►'"�ir '.'•i �.n.r: _.. G.v ,•a:�;YL.'t�lft�+'ee�3!ti' �lt`•�.'`•.:2�5'�17��r:••� •. ' ' .. —... .... PROGRAM: San Francisco Office/Housing Production Program STATUS: Enacted in 1980, but currently under revision. (See "Current Status" below) PURPOSE: To promote housing production city-wide and to balance office/commercial development. -.� BACKGROUND AND DESCRIPTION: Faced with a severe housing shortage coupled with a boom in office development (which further increased demand for housing), the Office/Housing Production ' Program was initiated in 1980 along with other financing and zoning tools to encourage housing production in the City of San Francisco. The program requires all developers proposing at least 50,000 square feet of office space to contribute to the OHPP by sponsoring a housing development, providing financial assistance for other housing projects or contributing ' monies to. the Home Mortgage Assistance Fund. The degree of participation is determined by a housing demand formula. The formula, calculates the housing demand created by new office by projecting the number of workers based on the assumption that one employee would occupy 250 sq. ft. of space and that•40% of the employees would reside in the City. The formula requirement works out to be about 1 dwelling unit per every 1800 sq. ft. office space. In order to receive an occupancy certificate from the City, developers must satisfy the OHPP obligation. Once a development has submitted a satisfactory plan for meeting the obligation, the City issues a temporary occupancy permit. The developer than has three years to comply with requirements before receiving the final occupancy certificate. DEVELOPMENT AND RESOURCES GENERATED: .__Since 1980, OHPP had generated 6000 units of housing valued at $20,437,000, which have been constructed directly or financially assisted by 19 office developers. Fifty per cent of the units have involved moderate or substantial rehabilitation. The Housing Mortgage Assisfancd Trust Fund has raised r� approxim"ely $5 million from three office developers ' that elected to contribute specified monies rather than construct housing directly. Kim 14601 ,�: . • ^ . f.. '!" ..tM .�t:...�•ray+i .x �.Y�'hi!••'y+!"•W i4'Gq '�"f} A—ZiLT.7�% +^� :=Y•.y''.�.,,,�x:�,s i:['1": ".••'•+. i Y • w:. � r: wit: y 1-•:. r� .r. .la �IijMY wsr' - �•l��Iq �• ._ • ... w '•' �_ .. ..Y w:., �.w.. •. •Yr: ,,,�►.. ir.•..-. . � .i. 1 t �r. vt��Ir�74W..:-iC�l'W�r!�.i:"f7.•..`..�:a ;(•..r..•. • •. ......:.....':'�..-'Cv'::�'..fL':�i1r�R�i �.�!-�:!'Y.,M1Y♦=.".►�t1�-1Z•;.s.ni.+Kid•`4.•:••...'.:'.'.'s•Th7�:.T/•r1.aHOM�1fY: ir• ' CURRENT STATUS: The City is considering the adoption of the OHPP formally in their municipal zoning ordinance as an exercise of the local zoning power delegated by the State of California. Several revisions to the ordinance are currently being considered which would restrict the program to low and moderate income housing (five developers- have been allowed to satisfy OHPP requirements by -� building luxury condominiums on the top of their office - buildings), standardize the amount of each developer's contribution, eliminate the complicated , housing credit system and simplify other 'procedural aspects of the program. Another suggested. proposal is to. exempt those office buildings where at least half -the prospective tenant firms are relocating to the City. This however has been ruled out as being unenforceable and illegal. COMMENTS: The OHPP is a citywide program that does not geographically direct housing placement. The OHPP promoteshousing production but does not target such development to low or moderately priced housing-. The program is dependent on continued downtown office pressures -..- The program has increased up front office construction costs by $3.00 - $5.00. The OHPP does not promote or encourage any sort of minority participation. Each participation agreement is handled• case by case which is time intensive and lacks standardized procedures and conclusions. 'r, y- ,jy 4• ..y �tc...4-r•Y �" _ .. -_-v-_ _ .-.y1.��1.. - t'�..�`�'i+2f!C s`r:_ _ _ _-- •r. � �'P'�. _ .. ..._ .. . • ... • •'- fti� r• .�...•�.4.t}yiaiss y4..vS:�•.•, ••i-i:J!. PROGRAM: Boston Linkage Program STATUS: PURPOSE: To generate additional funds to assist development of low and moderate income housing. DESCRIPTION: Boston, like San Francisco, has experienced a significant increase in downtown - development in recent years, accompanied by an increasingly tight rental housing market and continuing disinvestment in " poorer neighborhoods. With Bo►ston's. "Linkage Program", developers making application for a variance, conditional use permit, exception, zoning map or text amendment to erect, substantially rehabilitate, enlarge or extend a building within the (designated) Downtown Impact District must enter into an agreement with the Boston Redevelopment Authority .and the Neighborhood Housing Trust to be responsible for a development exaction. A fee of $5.00 per square foot of development in excess of 100,000 sq. ft. of development is required for office, retail business, institutional, educational and hotel uses within the boundaries of Boston's "Development Impact District". The $5.00 exaction rate shall be recalculated every 5 years on the basis of changes in the relationship between commercial development and housing need.. Theoretically, the formula could be periodically readjusted to accurately reflect changes in the rate of commercial development. Unlike San Francisco, ' the fees are not. required at time of occupancy but rather are paid in 12 equal annual installments payable over 14 years. The first installment is due upon the issuance of a certificate of occupancy for the project building or 24 months after the granting of the building permit, whichever comes first. The remaining eleven payments will be due on the , anniversary of the first payment. All payments will be deposited in the Neighborhood Housing Trust and all proceeds will be used to increase the supply of low and moderate income housing. — -. j J /�• , .� ..... �� . .r•..� � r. ! , .+. • �r..r►L A �.. a .^ :1.r =� ... ;�:..e••'s: • . .. � .. �.. �- ' •..�.. Y. •tr. r7G�i.!t - � - . il�w�s�}m+(u`IST;';�t'Y1►•••t71:1�.',z•''1•!.Y�'i•A�NsI�L.M1 �"•'c2. ytiywr t!r *t -�•1 rRo: ..• 1'.;... ..••e r-:+a.. •w.w-•-� ter+. r'I:fyr•..:..wr?:.:i ram• . � �L• � r �, �. ..11IN oft :Si. �:r •.. :rv'.•�•iaji :77•�.�.:S;G„ ��'u:i •.«..r .. �.Ti :.iiw'. {t:1� ._.. ....: 'i. Fo(' _. ... �..r.Y� ... ... � .�.•., .. ... �.. �. .. .. a... �• •n REVENUES OR DEVELOPMENT GENERATED: No development will be generated until 1986 because of the structure of the exaction payments. Over a ten year period, revenues estimated range from $37 million to $52 million. COMMENTS: Made over a 12 year period, exaction payments would amount -to app•roximately-•42 cents per square foot annually as opposed to an upfront charge of $5.00. This allows charges to be absorbed thro-ugh revenues rather than initial capital costs. Targets other developments- aside from exclusively office as with most plans.- .. M rJ ..�t.4 a.► 3•f wstaty� a 'rr+�t'• .. -� — •'�Y �,+.rw ' „r ��� r/.r~.,•,,J�,� s ram.. i .�.►!a4'3ay.�- 'a.�V y tea. , o v -i>.. .. t . r�r `,,. .• t�1!!w!'1MM'ftl j' +:;...I�f(!' ¢jir"�"',>yi�F..:.7 i:.. 'A .. .. .... .. .. � t. ... ;1'. .:'s'.e±•... �/L•. .ram. 4Yivi:7!:4.: a'..!:.a J:. :�• �,I:fn,'Siii:i �j�u'T:;:�/�ah,'�l�`�'�*i'�7?A2��►if7=t �:1. �i�i�'ST_i:; J:.e'al in :: :i: ��:. ..n �F.w. .. PROGRAM: City of Chicago's "LINKED DEVELOPMENT" STATUS: Development Stage - currently being reviewed by the Mayor's Advisory Committee on Linked Development. Findings and recommendations due in 1985. PURPOSE: To generate quantifiable linked development contributions or investments' (money and in - kind services) for neighborhood development and revitalization. DESCRIPTION: The exact format for the Linked Development program has not been determined. Forms currently being considered include the creation of a capital pool providing seed capital for neighborhood development, joint ventures between major downtown and neighborhood developers, and technical assistance in such areas as financial analysis and packaging, leasing, construction implementation and real estate brokerage. The advisory committee has not yet determined if revenues for linked development should be generated through mandatory, negotiated or voluntary approaches. COMMENTS: 0 Focus is on development of neighborhoods not exclusively housing. Literature indicates that concern is not in exaction fee collections but rather with the transfer of in -kind services to provide needed training. '���::l.Z�j^..:� _.. .... r♦ -. .. ':I •,p..: i•jJy\',�,!'.� .;•Z.,��A•.tyY ,:� .: ,� ..�•.w.' .'. ♦1. ..•.. (. •�•.:f'I. ��•M.' ..I-: i• . -�I.� :�i.rr.•; �T• �e�' i v . .�..., ... .. �. .1'..i ��.. •.irw' .Y•� .... -rl. _..:'w'..ir�w. �'n..:r.r...r 1\. .Wr, w��al,•.:i..'... s_. ��+�... fir: wi/. � PROGRAM: Seattle, Washington: Proposal of Interim Development Guidelines STATUS: Under Consideration PURPOSE: To provide support for low and moderate income housing in downtown area in exchange for exceptions on building heights. _ BACKGROUND AND DESCRIPTION: Previous zoning policies limited Floor Area Ratios in Downtown Seattle to 10.0 The ratio was later raised to 15.0 provided extra amenities including pedestrian arcades and street lighting were incorporated in development plans. New rules currently being debated, would permit an FAR- of -20.0 if developers participate in low or moderate income housing in the downtown area. To qualify for the higher ratio 20.0, developers must contribute $15.00 per 20 sq.. ft. of office proposed or provide non -cash incentives (specific alternatives. still being considered). _ COMMENTS: Targets increases in housing and office developments to downtown area only. Requires only those developments in excess of a 15 FAR to participate. Proposal is considering in -kind services as alternative to exaction fees. - •