HomeMy WebLinkAboutR-83-0948J-83-933
i
Resolution No
A RESOLUTION ALLOCATING THE AMOUNT
OF $3,117.29 FROM THE SPECIAL
PROGRAMS AND ACCOU14T CONTINGENT FUND
TO THE COCONUT GROVE LOCAI. DEVELOP-
MENT CORPORATION (CGLDC) TO SATISFY
THE FINANCIAL OBLIGATIONS OF CGLDC
WITH REIMBURSEMENT TO THE CITY OF
MIANII ON OR BEFORE JANUARY 1, 1984.
M
WHEREAS, the promotion of economic revitalization in the
neighborhoods of the City of Miami is an important part of the
Citv's economic development strategy; and
WHEREAS, the City Commission is committed in assisting and
supporting the City of Miami's neighborhood economic development
programs; and
WHEREAS, the City Commission is desirous of continuing the
neighberhooe.'economic development program; and
J
WHEREAS, the City Commission adopted Motion 83-627, on July
18, 1983, which authorized the City Manager to execute a Contractual
Agreement allocating $37,750 to the CGLDC from the ninth year
Community Development Block Grant Funds (CDBG); and
:WHEREAS, the CGLDC is requesting an allocation in the amount of
$3,117.29 to satisfy a Federal tax lien and levy placed on the
Corporation by the IRS due to non-payment of payroll taxes for the
third and fourth quarter tax periods in 1981; and
WHEREAS, the CGLDC is required to Generate $12,250 of its ninth
year funding amount ($37,750) by January 1, 1984 pursuant to said
Agreement; and
WHEREAS, the CGLDC dill be able to reimburse the City of Miami
53,117.29 on or be=ore January 1, 1994 from tale mcnies it is required
to generate under said Agreement;' and
r);?"MISSION
.,11..
.LH.c OF
OC'i 25 '983
S3-948
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WHEREAS, the City of Miami hereby recognizes and supports the
efforts of the CGLDC in fulfilling its Financial obligations;
NOW THEREFORE BE IT RESOLVED BY THE COMMISSION OF THE CITY OF
MI MI , FLORIDA:
Section 1. The amount of $3,117.29 is hereby allocated from
the Special Program and Accounts Contingent Fund, to the CGLDC, for
the purpose of satisfying the financial obligations of CGLDC.
Section 2. The CGLDC shall reimburse the City in the amount
of $3,117.29 at no inte.reston or before January 1, 1984, from monies
generated by CGLDC as required and in compliance with the 9th year
Economic Development Contract Agreement with the City of Miami.
PASSED AND ADOPTED this 25th day of October , 1983
ATTEST:
RX�PH G. ONGIE, CITY CLERK
PREPARED AND APPROVED BY:
L L�
Maurice A. Fcrre
MAURICE A. FERRE, MAYOR
ROBERT F. CLERK, DEPUTY CITY ATTORNEY
APPROVED AS TO FORM AND CORRECTNESS:
.la.
OSE RZ.-GARZIA-PEDROSIA, CITY ATTORNEY
S3-948
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CITY OF MIAMI. FLORIOA
INTER -OFFICE MEMORANDUM
° Howard V. Gary
City Manager
Charlotte Gallogly
Director
Department of Economic Dev.
DATE October 17, 1983 FILE.
SUBJECT Recommendation To Allocate
funds To The Coconut Grove
Local Development Corporation Fo
REFERENCES The Purpose Of Satisfying Out-
standing Federal Tax Obli-
ENCLOSURES. gations .
"It is recommended that the City
Commission approve the attached
resolution allocating $3,117.29
from the Special Programs and
Account Contingent Fund to the
Coconut Grove Local Development
Corporation (CGLDC) to satisfy
the Financial Obligations of
CGLDC with reimbursement to the
City of Miami on or before
January 1, 1984."
On July 18, 1983, the City Commission passed Motion 83-627 authorizing
the City Manager to execute a contractual agreement allocating
$37,750 to the CGLDC from the ninth year Community Development Block
Grant funds (CDBG). One of the contractual responsibilities of the
Corporation is to generate $12,250 of its ninth year CDBG funding
amount by January 1, 1984.
On October 4, 1983, the Coconut Grove Local Development Corporation
received a Federal Tax Lien and Levy in the amount of $4,117.29 from
the Internal Revenue Services (IRS). The CGLDC failed to may its
corporate payroll taxes for the third and fourth quarter tax periods
in 1981. As a result of the levy, all property, property rights,
credits, money and bank accounts have been frozen by the IRS.
To date, the Corporation has received two reimbursements from the
City of Miami. A check in the amount of $603.69, which represents
the balance due to the Corporation from the eighth year contract
period, was issued on October 12, 1983. ylso, on October 12, 1983
the Corporation received a reimbursement check for the 9th year
contract period in the amount of $7,040.97.
83-948
T 01 r07 a f
Howard V. Gary
October 17, 1983
Page 42
The money received by the Corporation
year contract period ($603.96) as well
9th year contract period ($7,040.97),
standing tax obligations. Please note
funds are federal monies, which cannot
or levys.
for the close-out of the 8th
as monies reimbursed for the
cannot be used to pay out -
that Community Development
be used to may IRS liens
On October 3, 1983, the CGLDC paid the IRS $1,000.00 towards the
amount due on the federal tax lien. Therefore, I am recommending
that the City allocate to CGLDC, $3,117.29 ($4,117.29-$1,000.00) to
pay off its outstanding tax obligation to the IRS. The CGLDC will
repay the City with monies generated by the Corporation as required,
and in compliance with the 9th year economic development contract.
Upon Commission approval, a number one check in the above stated
amount will be issued to the Corporation. The Department of Economic
Development will require that the Board of Directors sign a promisory
note for the amount allocated before the check is released.
CG/MYA/es
Attachment