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HomeMy WebLinkAboutR-83-0482J-33-410 rr RESOLUTION NO. A RESOLUTION ALLOCATING AN ADDITIONAL SUM OF $670,000 FROM PROGRAM INCOME AND 6TH AND 7TH YEAR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS FOR ADDITIONAL EXPENSES IN THE ACQUISITION OF LAND IN THE OVERTOWN AREA. WHEREAS, on October 30, 1973, the City Commission approved Resolution No. 79-724, approvin-4 the Overtown Community Redevelopment Plan; and WHEREAS, this Plan identified acquisition sites for acquisition; and WHEREAS, Dade County, in partnership with the City, proceeded to acquire these properties; and WHE?LEAS, during the acquisition process there has been a significant escalation of land values within the Overtown target area; and WHEREAS, an additional S670,000 is required from the City to cover the cost overrun; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. An additional sum of $670,000 is hereby allocated from Program Income and 6th and 7th Year Community Development Block Grant Funds for additional expenses in the acquisition of land in the Overtown area. PASSED AND ADOPTED this 9th day of June , 1983. Maurice A. Ferre MAURICE A. FFRRE M A Y O R ATTEST: RALP FV (33. ONGIE, CITY CLERY CITY COMMISSION MEETINC CF ! I-1 9 1983 F PREPARED WID APPROVED BY: r j JOEL E. MAXWFLL { 43SISTANT CITY ATTORNEY APPROVED AS TO FORM AND CORRECTNESS: 44 t - I /-? 4 4 4 - � r SE R. GARCIA-PEDROSA TY ATTORNEY -2- 83-482 37 CITY OF MIAMI. FLORIOA INTER -OFFICE MEMORANDUM (J" TO Howard V. Gary City Manager FROM Dena Spillman Director Community Development DATE May 17, 1983 VILE SUBJECT Acquisition of Land in Overtown Area City Commission Agenda, REFERENCESJune 9, 1983 ENCLOSURES It is recommended that the City Manager be authorized to allocate an additional $670,000 for the acquisition.of land and associated expenses in the Overtown area; funds being provided from program income and 6th and 7th year Community Development contingency funds. On October 30, 1979, the City Commission approved the Overtown Community Redevelopment Plan. In part, the Plan called for the acquisition of a number of parcels of land in the area for infill housing development. Metropolitan Dade County and the City agreed to share the cost of acqui- sition of these parcels, estimated at a value of approximately $2,000,000. The City allocated $1,080,174 in Community Development Block Grant funds from the fourth, fifth and seventh program years to provide funding for its share of the estimated acquisition costs. As a result of the implementation of a number of publicly funded projects adjacent to the Overtown area including Metrorail, Government Center and the Overtown Transit Station, land values in the neighborhood have risen dramatically. In one instance, property values have risen from $5.00 to $12.00 per square foot. The effect of this rapid and unanticipated increase in land values in Overtown is that the funding approved by the City and Dade County for acquisition of the infill housing sites mentioned above is not suffi- cient to meet final costs, which are approximately $3,100,000. We have estimated that an additional $670,000 in Community Development Block Grant funds will be required to fund the City's share of final acquisition costs. Dade County will be required to provide a similar amount. It is recommended that these funds be allocated from federal site reim- bursement proceeds that we will receive from Dade County - approximately $300,000 - and that the balance be allocated from 6th and 7th year Community Development contingency funds. /cr "VAr 83-482