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HomeMy WebLinkAboutR-82-0523ism RESOLUTION No. A RESOLUTION DESIGNATING DESIGN SERVICES FOR VIRGINIA KEY PARK DEVELOPMENT, BASED UPON THE APPROVED CONCEPT PLAN PREPARED BY THE DEPARTMENT OF PARKS, AS A CATEGORY B PROJECT, AND APPOINTING CARL KERN, DIRECTOR OF THE DEPARTMENT OF PARKS, AS CHAIRMAN OF THE COMPETITIVE SELECTION COMMITTEE, IN ACCORDANCE WITH ORDINANCE NO. 8965, ADOPTED JULY 13, 1979, WHICH ORDINANCE ESTABLISHED PROCEDURES FOR CONTRACTING SAID PROFESSIONAL SERVICES AND ALSO ESTABLISHED COMPETITIVE NEGOTIATION REQUIREMENTS WITH REGARD TO THE FURNISHING OF SUCH SERVICES. WHEREAS, the City proposes to develop Virginia Key as a Park; and WHEREAS, the City has approved by Resolution No. 81-959 on November 12, 1981, the preliminary design for Virginia Key PARK; and WHEREAS, the City will be seeking the professional services of a qualified and an experienced Landscape Architectural consultant to prepare full schematic and partial design development drawings based upon the approved design concept; and WHEREAS, the City Manager recommends that the Virginia Key Park Development Project be designated a Category B project in accordance with the provisions of Ordinance No. 8965, adopted July 23, 1979; and WHEREAS, the City Manager recommends that CARL KERNN, Director of the Department of Parks, be appointed as the Chairman of the Competitive Selection Committee in accordance with the provisions of the said ordinance; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The design services for Virginia Key Park Development, based upon the approved concept prepared by the Department of Parks, is hereby designated as a Category B project in accordance with the provisions of Ordinance No. 8965, adopted July 23, 1979, which ordinance established procedures for contracting for certain professional services and also established competitive negotiation requirements with regard to the furnishing of such services. Section 2. The City Commission hereby appoints CARL KERN, Director of the Department of Parks, as Chairman of the Competitive Selection Committee in accordance with the Cny COMMM()m MEETING 09 JUN 1 7 1982 82-323 0 provisions of Ordinance No. 8965. PASSED AND ADOPTED this 17th of June , 1982. ATTEST% RAL H G. NGIE CIT LERK PREPARED AND APPROVED BY: V . 4ISTAIN!Te!�CITY ATTORNEY D ASS Fa'l"t-AU CORRECTNESS: GE E F. KNOX, JR. CI ATTORNEY Maurice A. Ferre Maurice A. Ferre, MAYOR 82-523- 4 r 45A -�;-F==cam �.��_�.:�r,�f,•rs,:�u�:i _ r T, Howard V. Gary June 9, 1982 LE: City Manager Resolution desianating Virginia Key Park Development as a Cateqory B Project Carl Kern, Director For City Commission Meeting Department of Parks of June 17, 1982 "It is recommended that the attached resolution be a•gpted by the City Commission approving the designation of the desian of Virainia Kev Park Development, as a Category_ B oroject, and designating Carl Kern as chairman of the Comnetitive Selection Committee; in accordance with sub -sections (5) (a) and (5) (c) of Sections 16-17 of the City Code, which establishes procedures for contracting for professional. services and competitive negotiating for such services." The City, as part of its proposal to develop Virginia Key Park, has approved a concept plan prepared by the Department of Parks. Pro- fessional services will now be sought by the City for a qualified and an experienced landscape architectural consultant to prepare detailed plans based upon the approved concept. The design services will include full schematic plans designating specific locations for service building, user amenities as well as operational plans. Also to be submitted are detailed cost estimates for imple- mentation of the plan as well as potential sources of revenue. The projected cost for development of the park is $6,000,000. Cost of design services will be funded through the Capital Improvement Fund. The proposed resolution will designate this a Category B project in conformance with Ordinance #8965, with myself acting as the head of the Selection Committee. The Selection Committee will be comprised of Directors, or designees, of the Departments of Parks, Building and Zoning,.Finance, Community Development, Recreation, and the City Manager's Office. CK/RRG/cg Enclosure cc: Law Department 82-523- . �i r VIRGINIA KEY REVENUE/ EXPENSE ANALYSIS FINAL REPORT yit.G archrt�cLure, clevGlopmenli plannin philadelp►va, nnw ycrK, wa5h�nc�ton, Io5 angGle� 61 Ili. � : r►:i►. a.:. � ..: iu... lot a i.-WI0 s;te a-Chr+ect,v�E, develop"nBntpiannIn Phiiade� Pa na+v .�CrlcW"h'ngtcr;' `CS C7no,&I � 16 June 1982 MEMORANDUM TO- Carl Kern, Director, Miami Department of Parks FROM: Synterra Ltd. RE: Final Report - Virginia Key Attached is the Final Report for Virginia Key. This analysis is based on our discussions with you, Ralph Gonzales and Juanita Shearer along with interviews with representatives of the Florida Department of Natural Resources, Dade County Parks Department, the National Park Service, the National Campground Owners Association and review of various reports and studies listed in the Appendix. We are optimistic about the prospects for Virginia Key development and look forward to continuing a productive and enjoyable working relationship with you and your staff. An Executive Sumnary outlining our conclusions is included with this report. WiAlam L. Wilson XW/bd Attachment ❑ philaidlslphiq fv29 Weyt 1- ttahh*VFvO 44*961 philadelThia� PXI Igi44., (216) 81i 0-0700 ❑ new uJorFc 82 wg in9ton rlgce, gvi'be 3k, new yorK, N.tj l000., (212) -177 -/7410 D wgshinsta" 171+7 Gitvroh QAtIeOt, nw. wctthingt,0n, D.G., ZOOS(., (1o2) 1&5-2270 O 1000gnojQleCe w2owiishim 61vd,cwite,3os,losAr►gel9s,C.A.,-100".,C-11+61 ISI-5A'16 82-523_ . TABLE CF CONTENTS 1. Nature of the Assignment Executive Surmary 2. Description of the Property A. Location B. Land Use - Existing do Proposed C. Development Phasing 3. Development Issues A. Balance Between Revenue Production & Environrrental Sensitivity B. Surrounding Land Uses C. Causeway Traffic D. Safety - Bear Cut E. Sewage Treatment Plant 4. Campground Development A. The Camping Market B. Occupancy Trends C. Campground Operating Costs D. South Florida Market Canparables S. Virginia Key Development Costs 6. Concession Revenues and Expenses 7. Development Financing Appendix Recreational Vehicle Categories Page I 2 2 2 8 8 9 9 10 11 11 14 20 -i Table 1. Beach Development Options - Phase I Virginia Key Develol- ent Table 2. Demographic Characteristics of Florida Tent/RV Campers - 1980 Table 3. Percentage of Adult Population by Age Group Participating in Camping _-� 1977 Table 4. Occupancy at Sampled Campgrounds - 1978 Table 5. Average Campground Statistics Table 6. Average Campground Revenue Reported by NJA Survey - 1980 Table 7. Average Campground Expenses Reported by NCA Survey - 1980 --- Table S. Average Campground Financial Characteristics - N A Survey 1980 - Table 9. Characteristics of Florida Keys State Campgrounds Table 10. Privately Operated Florida Keys Campgrounds Table 11. !Miami Campgrounds Table 12. Virginia Key Estimated Development Costs _�. Table 13. Projected Annual Revenues and Expenses for Recreation Activities at Virginia Key _ Table 14. Projected Revenues and Expenses for a 65 Site Campground Table 15. Projected Revenues and Expenses for a 140 Site Campground Table 16. Concession Options for Virginia Key 1. Nature Of The Assignment x„z .2... �'1z�k�kL`t.Ik�..`6�9��,.���£A�*.:•'PL s�i..�(.:, YY Tn.w e��.� ,a �., .. _,. ,4 ... _.� =1f. s _No NARRE CF THE ASS lCM ENT Synterra Ltd. has been retained by the City of Miami Department of Parks to prepare a market assessment and revenue/expense analysis for proposed development on Virginia Key. Virginia Key is a barrier island of 1005 acres of which 665.4 acres have been acquired by the City of Miami from Dade County for -- recreational development. Various existing land uses on the Key, as well as the environmentally sensitive nature of the site, will affect the character and extent of recreational development suitable for Virginia Key. The categories of development assessed in this analysis include: campground, beach areas suitable for swimming and picnicking, fishing pier, picnic pavilions for group rental, and a waterside cafe. ' M M 1 t Execut i ve_.Sq"ty — • With careful planning and first quality development # Virginia Key'has significant potential to provide expanded recreational opportunities for Miami. residents and tourists# while generating sufficient revenues to cover operating — expenses. The Categories of proposed development on which this assessment is based includes camps i tea t beach areas suitable for swimning and picnicking) picnic pavilions for group rental# a fishing pier and an informal waterside cafe. Boating fac.ilities were not considered in this analysis due to a need for additional water surface studies to determine whether and where they could be. accommodated . • Three phases of development are proposed -for Virginia Key, Phase I, planned to begin In the sumner of 19820 focus on development of facilities to accommodate expanded beach use along the East Shoreline Area. Included would be a gatehouse to control access to the beach and collect entrance fees; limited road _ improvements and designated parking areas; foot paths to link parking with the beach areas; rehabilitation of existing dressing room and restroom facilities; lifeguard stations; picnic tables, barbeque pits and trash receptacles. Phase II t planned to begin development in 1983, entails creation of tent and limited recreational vehicle camping sites, supporting amenities (registration off ice -recreat ion room, laundry and shower facilities); swimming pool, other recreation concessions; waterside cafe; preservation and expansion'of environmentally sensitive areas; development of a boardwalk/deck system across the coastal hammock to render the environmentally sensitive areas accessible; and construction of a f ishing pier and wateS's edge boardwalk along Bear Cut beach. Phase II1, involving longer term development planned after 1985, is less definitive at this point in time. Possibilities include development of an >. -• Environmental Studies Center and Visitor's Center; expansion of beach development near Norris Cut and recreational development n the dredge disposal area. Estimated development costs for the three phases Is as follows: Phase I $ 385,000 Phase 11 Vv572t= ,843,000 Phase III Total $5,8009000 • A number of development issues were explored in this analysis with a key one being the need to balance revenue production with the environmentally sensitive nature of Virginia Key. Our recon ndat ion is to limit the number of tent and recreational vehicle campsites to 140 or less, and to further limit the size of recreational vehicles that will be accommodated. In comparison with other Florida Keys campgrounds, a facility with no more than 140 sites is larger than existing State facilities but considerably smaller than the average privately -run campground. • Beach development at Virginia Key can be expected to increase the total volt" of traffic entering the Rickenbacker Causeway, however, a portion of the beach bound traf f is that would otherwise pass through Key Biscayne is likely to be diverted to Virginia Key. Synterra recommends that actions be taken, in conjunction with the Dade County Transportation Department and the U.S. Coast Gu a r d,, t o I n s t i t u t e schedu led dr ewbr i dge open i ng t imes as a means of redue i rig unscheduled traffic congestion on the Causeway. }.I. • Efforts should be made to minimize the impact of bade County's Sewage Treatment Plant in order to enhance the perceived quality of Virginia Key as a recreational area. Specif ically, methods to reduce unpleasant odors generated by the plant should be explored and implemented. • Because of strong water currents which have caused a number of drownings in recent years, Bear Cut beach should not be opened for swimming. A physical barrier, such as a waterside boardwalk, should be constructed between the campground and this beach. This would reinforce the prohibition against swimming given the tendency for campers to swim at the nearest beach. A boardwalk would allow visitors to continue to enjoy this visually attractive area. • Virginia Key has the potential to generate sufficient revenues to cover all operating expenses and a limited portion of debt service, assuming that some funds are borrowed to finance development or a portion of the project is leased to a private operator. A. separate Virginia Key Enterprise Fund should be established for the project in order to assure that revenues generated are designated for continued maintenance and operation of facilities. -Preparat ion of a detaiiAd Virginia Key Master Plan with development guidelines ;•._ should be undertaken as soon as possible. This document should be specific enough to insure that short and long range development reflects the expressed '- character of Virginia Key, 3s outlined in this summary. The Master Plan should explore sources of funding tt. accomplish the various development phases. 2. Description Of Property► 1I. DESCRIPTICN CF THE PROPERTY A. Location Virginia Key is a barrier island located in Biscayne Bay within Dade County, Florida. It is connected to the mainland (on the west) and Key Biscayne (on the south) by a toll road, the. Rickenbacker Causeway. Although a drawbridge on the causeway frequently causes traffic delays, Virginia Key is generally about a 10 minute drive from Miami's downtown business district. The causeway provides direct access to Interstate-95 and U.S. Route 1 which run the length of Florida's east coast and extend north along the Eastern seaboard of the U.S. (See map on following pages) B. Land Use - Existine and Pr000sed Land use at Virginia Key consists of: (1) substantial areas of environmentally sensitive, undeveloped land; (2) cleared beach areas; (3) Dade County's sewage treatment plant and a former dump site; (4) a dredge disposal site and (5) commercial and institutional development along Rickenbacker Causeway. A two lane paved road providing access to the sewage treatment plant from the causeway bisects the Key. An environmentally fragile area of tidal flats with mangroves, lagoon and y coastal hammock occupies 285 acres on the northwest side of Virginia Key. This area wi 11 be protected from any disruptive uses, revegetated and essentially allowed to remain in its natural state. Limited canoeing, fishing and swirrming will probably be permitted. The area wi l 1 eventually be connected to an Environmental Studies and Visitors Center by a network of boardwalks. Most of the Key 's eastern boundary consists of beach area 0.2 linear miles) which is currently used for secluded sunbathing. The beach lacks public amenities such as dressing and rest rooms, picnic facilities and food �- •• concessions. These improvements, along with parking, are planned in order to accommodate increased beach use. A ninety acre site with frontage on Bear Cut Beach is planned for tent and limited recreational vehicle camping. Revegetat ion of open areas and the adjacent shoreline will provide privacy for campers in an attractive setting and screen camping activities from public view. The Dade County Sewage Treatment Plant occupies approximately 114 acres at the center of the Key. Although plant growth shields most of the treatment facility from public view, evidence of its presence on Virginia Key is noted by signs along Rickenbacker Causeway. Depending on wind direction, the treatment plant occassional ly generates unpleasant odors. This problem should be evaluated to determine options for reducing the odors. An 82 acre former dump site is located south of the treatment plant. Two feet of uncontrolled fill cover the dump site and are supporting a regrowth of Australian pine. Public access to this area is likely to remain limited over the next 10-15 years as a result of soil instability and ?methane gas generation. The site has potential for interim use as a plant nursery to supply city needs. 2 S. 9" Dredge disposal connected with expansion of Government Cut north of Virginia Key covers approximately 68 acres. Dredging is on -going and may continue indefinitely. Long range plans for use of this area will depend on the carrying capacity of Virginia Key and the Rickenbacker Causeway as well as the progress of the park's development. A variety of commercial and institutional uses occupy portions of Virginia Key fronting on Rickenbacker Causeway. Miami Seaquarium, a tourist attraction, and the University of Miami Marine Laboratory are located along the western side of the Causeway. On the eastern side are The Rusty Pelican, a waterside restaurant; the City of Miami's Marine Stadium which accommodates spectators for water sports contests and sLrmmer music concerts; Marina Biscayne, a private boat rental and storage business with a semi -enclosed snack bar; Planet Ocean, a tourist attraction; the National Oceanic and Atmospheric Administration offices _ and the Southeast Marine Fisheries Center. C. Development Phasing The Miami Department of Parks has proposed three phases of development for Virginia Key. Phase I, planned to begin in 1982, focuses on development of facilities to accowmodate expanded beach use on Virginia Key. Included would be a gatehouse to control access to the beach and collect entrance fees; road improvements and designated parking areas; foot paths to link parking'with the beach areas; construction of dressing roam and restroom facilities; lifeguard stations; picnic tables, barbeque pits and trash receptacles. Two alternative areas are under consideration for immediate beach development. One is a shorter beach area near Bear Cut and the other encompases the East Shoreline Beach. Table I (page ) discusses the advantages and disadvantages of each beach as the focus of Phase I development. Phase I1, planned to begin development in 1983, entails creation of tent and limited recreational vehicle camping sites with supporting amenities (registration office - recreation room, laundry, shower facilities), other recreation concessions; waterside cafe; replanting of environmentally sensitive " areas; development of a boardwalk/deck system across the coastal hammock to render the environmentally sensitive areas accessible; and construction of a fishing pier and water edge boardwalk along Bear Cut beach. AM Phase II1, longer term development planned after 1985, is less definitive. Possibilities include development of an Environmental Studies Center, including a Visitors Center; expansion of beach development near Norris Cut and recreational development in the dredge disposal area. The remainder of this analysis concentrates on opportunities for Phase II --"I de ve 1 opmen t . rid•, �_ ��, '� Y�-- t'•� \,L' �_ ., I+. . Ir CY .SMOG. 1 1 w PARK � 1 F ' �? KEY BISCAYNE �141•w.r.� s L i Y 0 EXISTING SITE CONDITIONS N NO R1,11 UT 0 01 c-Iil A pyp,t A Wc. It e v- 1, 4 c1tv-011 I Nk pimirl TIDAL FLATS .4 "ib, �77V'� Artificial RUSTY I LICAN] 4b NEST UPAKT RE MARINA (;iSCAYNF WtZ MARINE STADIUM ENTERPRISE NPA00IF ST 011W SOUTHF"" HELL POSED PROPOSED HELIPORT ROWING-CLU19—/ 74 PLANET OCEAN)'. MIAMI SEAQUARIUM PQSfN%VrL SCHOOL OF MARINE & ATMOSPHERIC SCIFWF VIRGINIA KEY SEWAGE TREATMENT PLANT -vos rIddry effluent• 4 '5'3n+cvr cdcr preve" DUMP SITE Land H% cc-lpplere rvetrolltlrws e'5 q6yvtp lard S I. #AAP"AE FISHERIES CENTER - 0 A A. U- :r,,)ry 't- 9 -P-tEr City of Miami DePt.of Park' c" J Ir SCHEMIo►TIC'�, DEVELOPMENT., ;tt y�mt L.I 1 , ! NORRIS-,CUT �•' -�'_j::n pre• 7rve � !l ` D►tdgG Dr+po+aI yv:•tr • I 5 En r r �CyvS �.t •radon\ until •; m r�1 :•s itr.,nmentCll Pr„ Nar n►. 5rut r; CMt!r ., `ir ka9f' 19E2. / C•tr•� !7!}r]wZ!k3 ( v1 errs trails ` _ ) �•—�`,`. 0FrK.Frvat!r rt FJI (1t(^,r I"1•. ._ NC wY,rCrRn1 hG�t!r7 rr galllrlq 1 / 1,1,p.�tliCrltCA OCCCrS (1[t.rre.1 •N•.r 'r. IIF i •• ,� •�...t ,EWAGF TREATMFNT PLANT . tit" p^aSe in full ' FPirCm� `\ !, t *.�•?r.4 l "r•� !C]UCt!an In OACr Gr ', il: �. �•a � �„' •_ LV4 "• >\ TITIAL FLATS 'I! '1 '�Y pGGtld ti 1 ••e r .(:!••' n► V SITE w,.r►writ vrl'.m H.r �1 �1' ,T r�. M � r _ !� 1.. " RUSTY PELICAN I ,• I � wt. r,[ •1 —jeIrr Fr �,. r jj y. •"'t' C Gal / ! �•: �. r � b !� RFSTAURANT] ••✓1 �4" w, .'�yt ,,4t >r. ! r,T!a/� i •'� T .r..n1•'7 f trrw�lc,Mtr�rv. sCilu_ b� t pbtwial NIIII tem cra• �rar�t (,wr'hrC i .rtCrrMnc!5 / •"h! tr•'�•'r f 'a•t (s'10�[Or'.) trtt mwmr4 r:t1rcr Gvrrtt 6pr , t rcvr.n� rtr ` t•r2.1C' S` ,.� � r �o.'l�nQ 1 0l[(`.r.r• MARINA RISCArNE; �t• .LL'1�' r:• • .r i • �� (+err •ri ,v h �n•.ts.: `'.•. u•s ara. [] .^' ?�.:..�;;�.'' r I. y,c-c .n� It MARINE STADIUM ENTE^PRISESI • •••,,.,(._ ik.r`-y}ji'! -� •y ,w n,na!ar. 1'„cC^'_rca r w . y � t. •r., t:.F MARINE STADIUMMj `• '^y t� A': r_I �.. ,.,• (�;n• Pn0P0$E0 HF LIPORT/; .4� r'iCRf •'• t• r!!II VrrrrC�f r `n SOUiIIE RN BELLcompin ROWING, CLUB, / M•�.•�� '� [ lG^r+} Ilm!'Gl rCtr"CT,Chal / t y.nf_I. r.lr.'pr3 `,:r I. alvllvlts PLANET OCEAN .`ti y. •''RCCFtOr10Pa1'" (,9 v!rgle �Cn p!<rr Lrill!I!S, rt >ivc^r^s i�• � '��aQ •'Gl tirS R6vODl.GS. , mod,<' \ �� y. pwnan A 4 ervrrCrtnGn'tl sf�+JIGS \,�.'.. C!MGr W11'h DC9r'dWQ.[5,h'OiIS �!` .• I^' • . t.r„ , IT service caml'trs ar. 4%1 well as tchool Pre I,tm3. -may/ I ■` • V;dl ` ACCGSS to Sen^ItlyC r : At, ntNo_rVll '��w�,♦� \� '` deterred. \SE. MARINE FISHERIES CENTER � MIAMI SE AOUAiIIUM _ -_� %! �, � • r NOAA POSENSTIEL CCMI OF MARINE • ATMOSPHERIC Sr-IFNCE BEA UT vI FAG I NIA KEY 1982 � _'YV City of KiarrrO Dept. of Parks I .g Table 1. Beach Development Options - Phase I Virginia Key Development Bear Cut Beach Area • Close access from Causeway via an existing road; main access road to sewage plant could be closed to public, thereby limiting public access to other portions of Virginia Key until development is completed; East Shoreline • Existing paved parking lot to accommodate visitor cars; • Existing restroom could be renovated for restroom use; • Laver development cost to prepare for public use than East Shoreline Beach. • More appealing beach than Bear Cut because of its sense of remoteness from traffic and noise, wider beach area and tropical setting; • Opening it firs., rather than Bear Cut, wi 1 1 crt- ..e a (higher quality) sense of identity for Virginia Key. DISADVANTPCES Currents in water at Bear Cut are reportedly dangerous, even with lifeguards; potential for accidents may be greater than at other public beaches. Possible danger should be determined more definitively. If swimming is permitted here for one or two years and then banned in favor of East Shoreline Beach, it will be difficult to convince the public that Bear Cut is "dangerous" one year when it was "safe" the previous year. Proximity to highway lessens appeal as a beach. • Development cost of access to roads and public facilities at beach higher than at Bear Cut. Preliminary development of several Phase II components will be required. 7 3. Development Issues III. DEVELJ' NT ISSUES A. Balance Between Revenue Production & Environmental Sensitivit Virginia Key's location, water orientation and physical setting contribute to its value as prime real estate with high income production potential. As noted in the previous section, the Key also has large areas of environmentally fragile land which are to be protected from development. Although revenue production and environmental protection are not mutually exclusive objectives, it is not ! possible to achieve optimun levels of both in a single development. Therefore, divisions involving trade-offs will have to be made regarding the extent of revenue producing development at Virginia Key. Campground development provides an example of the trade-off issue. While camping is not a land use that produces maximum revenue flows, it is a revenue producing use that can be harmonious with the objective of environmental protection if carefully planned and developed. The next question, then, is how many camp sites should be created. Private campgrounds situated on prime waterfront sites have been known to have as many as 20 Recreational Vehicle (RV) t campsites per acre with even higher densities for tent sites. With 50 to 70 acres allocated for camping at Virginia Key, such densities could result in a campground with nearly 1,000 sites. Clearly, such high density would conflict with environmental protection and would not result in a particularly appealing campground, despite high potential revenues. A more average campground density level would be 7 to 10 RV sites per acre and 10-15 tent sites per acre. On a 50 to 90 acre parcel, several hundred RV and several hundred tent sites could be accommodated. At this point, it is important to examine the relevance of average density figures to a site such as Virginia Key. The average U.S, campground has an operating season of 120 days annually wh i 1 e campgrounds in the Florida Keys have historically operated near capacity during the Thanksgiving to Easter prime season and are often heavily f booke the rest of the year as well. While this has favorable implications for profit .(-tential, high year round occupancy may tax the carrying capacity of an env i roni.iental ly fragile area. In determining the number of campsites which can produce an acceptable balance between profitability and environmental carrying capacity, a lower than average site density ratio may be needed to compensate for anticipated year-round high occupancy. Restaurant development at Virginia Key provides another instance where revenue versus environment considerations exist. Waterfront restaurants are popular in Miami and, with carefully structured lease terms, could provide a significant financial return to the City (or Parks Department if a Virginia Key Enterprise Fund is established). At the same time, restaurants generate additional traffic and require parking to accommodate customers. If a single large restaurant, or a cluster of smaller specialty restaurants were developed, the character of Virginia Key could tend to become more commercial ized. An outdoor cafe primarily oriented to campers and beach users could provide food, generate j revenues (although lower than those potentially generated by a larger restaurant) and minimize excessive traffic. "7 8 One approach that could possibly minimize conflicts between commercial/recreational land uses would be to concentrate cormiercial uses (other than the campground) in the area surrounding Marine Stadium. There appears to be a significant amount of underutilized land around the Stadium that could generate revenues from restaurant/specialty retail development. The Tidal Flats area would then serve as a natural buffer between commercial development and camping/swimming/recreational uses. B. Compatibility with Surrounding Land Uses (Key Biscayne) It is s igni f icant from a market perspective that substantial areas of Key Biscayne are devoted to County and State recreation facilities. Because of the proximity of the two Keys, Virginia Key development should be viewed as fitting into a larger economic unit that encompasses both Keys. This orientation is most relevant when considering the nature of proposed campground development. The Virginia Key campground will, in effect, be able to offer proximity to more amenities than simply those found on Virginia Key. Golfing at Crandon Park, additional beach facilities at Crandon and Cape Florida Parks, convenience shopping at Key Biscayne retai 1 centers, and Miami nightlife combined with proximity to Seaquar ium and Planet Ocean provide a ready-made amenity package AW that would justify premium camping fees at Virginia Key. At the same time, the { presence of these amenities can reduce the need for certain campground support f a i l i t i e s. As an examp I e, over 90% of U.S. campgrounds have a convenience/camper store affiliated with them. However, the presence of i convenience and grocery stores in Key Biscayne and nearby Miami effectively eliminates the need to duplicate this service at Virginia Key. It is also necessary to identify typical campground amenities that are not presently available in the vicinity. For instance, many privately ovrned campgrounds with swimming beaches also offer swimming pools for camper use. Sin.c there are no publ is pool faci 1 i t ies in the immediate vicinity, a pool /,A•'- i r 1 pool / sauna complex would be an appealing amenity for the proposed campgr;;und. Avai lability of tent camping equipment for rental at the site is another option to be evaluated. In summary, i t is possible to reduce overall development costs of Virginia Key because of the availability near Virginia Key of existing a-nenities typically associated with first class campgrounds. C. Causeway Traffic Figures supplied by the Dade County Department of Transportation indicate that in excess of 27,000 vehicles cross the Richenbacker Causeway on an average daily basis. Development of Virginia Key may divert some beach -bound traffic that would otherwise pass through Key Biscayne. At the same time, beach and campground development at Virginia Key can be expected to increase the total volume of traf f is entering the causeway. It appears that the major cause of traf f is congestion on the causeway is drawbridge used on a demand (rather than scheduled) basis. Actions should be taken, in conjunction with the Dade County Transportation Department and the U.S. Coast Guard (which has jurisdiction over intra-coastal waterway traffic) to institute scheduled drawbridge opening times as a means of reducing unscheduled traffic congestion on the Richenbacker causeway. 9 D. Safety - Bear Cut Although mentioned briefly in an earlier section, it is worth erTphasizing that the safety of swimming in the vicinity of Bear Cut should be fully investigated. In addition to avoiding potential tragedy, it is important that the City avoid potential legal and public relations problems that could cast a negative light on Virginia Key development. If water safety in the Bear Cut vicinity is in fact marginal, it would be preferable from a public relations and safety standpoint to delay beach opening until the Eastern Shoreline developm4nt is completed. City residents and visitors could validly question the City's judgement in opening a beach perceived of, or known to be, as unsafe, and then closing it a year or two later.. E. Sewage Treatment Plant Whi le the continued presence of the Dade County Sewage Treatment Plant on Virginia Key is a given, efforts to minimize the impact of its presence are necessary to enhance the perceived quality of Virginia Key as a recreational area. Steps should be taken to reduce unpleasant odors generated by the plant. We were aware of this problem on several of our visits to the site. If such odors are frequently prevalent at the site, Virginia Key's market appeal as a campsite and recreation area could be markedly diminshed. There is also a need to plant a heavier buffer of trees around the equipment storage lot near the causeway. In addition, a heavily landscaped entrance at the access road from Rickenbacker Causeway could also be a mans of diverting attention from signs indicating the presence of the sewage treatment facility and Dade County Department of Public Works equipment storage lot. 10 a► I V . CAMPGROUND DEVELCRVE VT A. The Camping Market The popularity of camping and recreational vehicle (RV) travel has grown substantially over the past 20 years. According to a 1979 sports participation study by Neilson Company pollsters, camping ranked third behind swimming and bicycling among outdoor recreation activities. The number of camping households in the U.S. increased from 3 to 4 million in 1960 to an estimated 20 million by 1979. While the number of campers is increasing, the rate of growth in the U.S. camping market appears to be declining. From an average annual growth rate of 20 percent in the 1960's, camping's growth rate declined in the early seventies -- to less than 10 percent, and to less than 5 percent i'n the late 1970's. Considering that average household size has declined from 3.3 persons in 1960 to about 2.7 in 1980, the absolute number of camper growth is even lower. Camping appeals to a broad cross section of society and carrier demographic characteristics tend to reflect those of the public in general. A 1980 survey of Florida campers (Table 2) showed they were spread across all age groups, with 90% of tent campers being under 45. Tent camping seems to attract college educated executives/professionals, students and persons in blue collar occupations while RV camping appeals to a broader mix that includes these MW categories, as well as retirees and people in managerial positions. Tent camping attracts a larger number of lower income households, but otherwise there do not appear to be significant income differences between tent and RV campers. A' 1980 survey for the Recreational Vehicle Industry Association prepared by the University of Michigan Survey Research Center showed widespread ownership of RV's among families at all income levels. Twenty-seven percent of RVs are owned Mr by households with incomes under $15,000 (1980), 40% are owned by families the $15 9 000-25 , 000 range and 33% are owned by households with incomes above $25,000. Other interesting findings of the University of Michigan study __,.- i nc l ude : An unexpectedly high number of RV owners are heads of chi ld:-�ss households (no children or grown children). Forty-eight percent of all RV owners fall into this category while 20% of all RV owners have one child at home, 18% have two children and only 14% have three or more. �- The most likely prospect for RV ownership is not a person in his or her late 40's or 501s, as is often assumed, but someone between the ages of 35 and 44. With the sizable"baby boom" generation moving into the "prime RV prospect" �. age range over the next decade, an increasing demand for RV's is anticipated. The survey suggested that "baby boomers" are likely to perceive RV's as a good investment and pointed out that it was the generation that caused surging van sales during the 19701s. This group is more likely to prefer scaled down, fuel efficient RV's rather than fully -equipped "Cadillac" versions. -�- While camping is still predominantly a family activity (with or without children), there has been a distinct increase in single campers over the past decade. This trend reflects the growing number of single -person households in the U.S. and is likely to continue. 11 i �l f TABLE 2. DEMOGRAPHIC CHARACTERISTICS OF FLORIDA TENT/RV CAMPGROUNDS - 1980 CAMDIMG•RY/10.11LER CAMPIMG-TENT Actual State Actual State Percentages Resident Tourist Percentages Classification (Resident) Survey Survey Classification (Resident) 1979 1979. Age 0-14 21.0 18.0 21.1 15-24 16.0 113 9.2 25-4 4 23.0 26.1 26.4 45-64 22.0 37.1 33.6 ... 65• 16.0 6.4 9.1 Sex Male 48.0 S1.2 47.1 Female i 52.0 48.8 $2.3 Baca Yhita 86.0 98.2 98.6 Black 13.0 .3 0.0 Other 1.0 I.S 1.4 Education (sresident only) No High school 18.0 2.1 • Some High School 17.0 8.7 • "• High School Graduate 34.0 26.7 • Some College 17.0 27.9 • College Graduate 14.0 33.9 • Occupation (tourist only) Professtonai•E■ecutive 22.0 • 17.8 ' Manager, white -Collar 25.0 • 12.7 Blue Collar 21.0 • 22.5 Student.Homemaker. 4.0 • 1.4 Military Retired, Seel -Retired 23.0 • 39.0 Unemployed 1.0 • .5 Other 4.0 6.1 family income -� less than SS.000 22.0 2.9 3.0 iS.000 - $9,999 76.0 IS.2 10.6 $10.000 - 314.999 21.0 24.8 2S.1 S1S,000 - 119.999 13.0 13.9 23.6 $20,000 - $22.999 12.0 20.8 28.1 -� $30,000 Over 6.0 12.4 9.6 Average Number in Group 3.9 3.8 • Survey data not comparable. r Age 0-14 21.0 15-24 16.0 25-44 23.0 45-64 22.0 65+ 18.0 Sex - Male 48.0 female S2.0 Resident Surrey 25.0 29.7 3S.0 9.6 .1 62.1 40.9 Tourist Survey 26.1 31.0 34.9 5.7 2.3 45.4 S4.6 Race White 86.0 96.8 100.0 Black 13.0 1.8 0.0 Other 1.0 1.4 0.0 Education (resident only) No High School 18.0 2.3 • Sone High School 17.0 6.8 • High School Graduate 34.0 25.3 • Some College 11.0 28.5 • College Graduate 14.0 31.1 • Occupation (tourist only) Professional -Executive 22.0 • 31.4 Manager, White -Collar 25.0 • 11.4 Blue Collar 21.0 • 31.4 StudentjVwwvwker, 4.0 • 5.7 Military RetireJ, Seni-Retired 23.0 • S.7 Unexpioyed 1.0 • S.7 Other 4.0 • 9.6 Family income less than $5.000 22.0 9.2 10.8 $5.000 - $9.999 26.0 22.0 10.6 $10.000 - 114.999 21.0 21.1 24.3 $15.000 - 119.992 13.0 15.3 24.3 S20,000 - $29.999 12.0 22.9 21.6 $30.000 Over 6.0 6.4 2.1 Aversgt NuWa r in Group 3.0 3.1 SOURCE: FLORIDA DEPARTMENT OF NATURAL RESOURCES • Survey data not comparable. 4 Table 3 exL.ni nes age group participation at ion for backpacking, tent and RV g g P P P p g, car!Iding. The weighted participation rates (all age groups inclusive) for each category �j were 8 percent, 16 percent and I percent, respectively, of total adult population. Table 3. Percentage of Adult Population by Age Group Participating in Camping - 1977 AGE CROUP 18-34 35-49 50-64 65+ A11 Ages Backpacking 17.6 5.2 3.0 0.9 8.3 i Tent 29.5 14.5 6.5 2.2 15.9 Rec. Vehicle 14.5 13.0 8.7 2.7 10.9 Source: U.S. Forest Service, unpublished data, NE-100 Technical Research Committee, Dec. 1977 ( These figures suggest that backpacking and tent camping appeal most to a younger population wh i 1 e RV camping has broader age appeal. The National Park Service has observed that tent camping increases during periods of unusually high gasoline prices or gas shortages. Another economic factor expected to increase camping participation is the increasingly high cost of hotel and motel rooms. With hotel construction costs and interest rates continuing to climb, room rates for average quality hotel chains are not uncommonly over $50 per night and superior accommodations frequently approach $100 per night in large cities. Camping is likely to become an inc- asingly popular rreans of reducing vacation lodging costs. B. Occupa -y Trends The National Campground Owners Association periodically surveys occupancy trends for a regional sampling of U.S. campgrounds. This data provides a general indication of weekday/weekend occupancy levels, however, it primarily applies to 120 day camping seasons (Memorial through Labor Day) rather than year round camping found in South Florida. 13 Table 4 . Percent Occupancy at Sa7p l ed Campgrounds, --Memor i a l Day to Labor Day - 1978 Average Average Weekday Weekday Weekday Weekday Weekend Weekend Total Region Occupancy Low High Occupancy Low High Occupancy N. East 58 36 72 77 48 96 63 N. Cntrl. 43 35 54 61 44 80 49 South 49 34 64 60 46 83 52 West 67 47 77 71 51 80 68 Total U.S. 54 39 66 68 47 85 58 Source: National Campground Oxnet's Association, Washington, DC Campground occupancy statistics for 1980 were compiled in Jess detail than for 1978. Generally, owners reported average attendance up by 5% over the preceding year and attributed the increase to more seasonal rentals of sites, more visits by people 1 iving closer to the campground and improvements in campground facilities and recreational attractions. Each region experienced an increase in seasonal rentals, with the largest increase (10%) occuring in the South. The occupancy experience of campgrounds in the Florida Keys probably provides the best indicator of likely occupancy patterns at Virginia Key. The Florida State Parks Department indicated that their Key's campgrounds are generally fully -booked between Thanksgiving and Easter, moderately used between Easter and Memo i al Day, heav i 1 y occupied for sunTnert ime canping and slow again between Labor Day and Thanksgiving. Privately operated Keys campgrounds rated as high q uality generally recommend reservations between November and April due to heavy book i ng, as do the Miami KCA Ca�ir,_ ounds. Larry and Penny Thompson Campground reported relatively heavy year round b-';ing, averaging 85% occupancy. 14 Table 5 . AVERAGE CAMPGRCUND STATISTICS (Based on 1980 Survey of Privately Owned Sites by National Campground O%,ners Association) Campground Size (acres) 60 Total developed campsites 140* Maximum Capacity (persons) 609 Comfortable Capacity (persons) 484 Days Operated at Maximum Capacity 25 Percent Open Year Round 50% Total Employees 9 Per night camping fee (median) $8.75 *includes an average of 32 tent sites _ Facilities Provided % Private Campgrounds Hot Showers 99% Flush Toilets 99% -- Playgrounds 86% Laundry Facilities 84% Recreation Hall 77% Coin Operated Games 74% Swimning Pools 66% Credit Card Charges 59% Hiking Trails 56% Ball Fields 42% Beach Frontage 33% Organized Recreational Activities 33% Boat Rentals (no motor) 32% Snack Bar 24% Boat Launching Ramps 23% -- Boat Dock Spaces 16% Mar inas 9% C. CANPCRO[ND CPERAT I NG 036711"S Revenues According to the National Campground Cnvners Association 1981 Survey, campsite rentals accounted for nearly 60 percent of average campground income. Average campsite rental income was $82,500. Campground owners are fo 1 low! ng the lead of the hotel industry in their fee structures. Premium fees are increasingly being charged for rental of a campground' s best sites. Premiums are most commonly charged for waterfront sites, but are also used for sites which are shaded, extra large, poolside, or have specially constructed tent pads and platforms. Premium fees are also charged for select peak use periods such as holidays and special events. Discounts are often given for off-peak season use, to senior citizens and to holders of coupons clipped from campsite advertisements. At many private campgrounds, equipment rentals, store sales, meals, services, concession income and vending machines generate significant income, averaging up to 40% of total campground revenues. Table 6. Average Campground Revenue Reported by NM4 Survey - 1980 Income Category Average Revenue Campsite Rentals $ 82,500 * Equipment Rentals 79800 Store Sales 36,100 * Meals 259900 Services 16,500 Concession Income 59700 Vending Machines (incl. gams) 49200 * Other Campground Income 15,700* Total Receipts $ 141,300 a> j 138,500 b> a> Averge of all reporting campgrounds b> Adjusted total - sum of the asterisked items, common to the majority of campgrounds Source: National Campground Oxners Association 16 OW PRINCIPAL EXPENSES Costs common io the majority of campgrounds. r.. SIX Adverfisiny herrvon nsw t 3 6R -y races L7'.'I Wages � Intere�' 10.sxs' �r D ncialion n�s �r Goods and Supplies 25.5% s asp —L� �1 i 1(isc. Gpenses u.az services 2.7x 17 Expenses The average cost of campground operation for campgrounds surveyed was $115,700. Of that amount, nearly one -fifth goes for labor and nearly one-fourth for purchased goods and supplies. Proportionate costs for other expenses are shown in the following table. Table 7. Average Campground Expenses Reported by N33A Survey - 1980 Expense Category Average Cost Salaries $ 26,200 Advertising and Prornotion 51000 Utilities 12,100 Insurance 41500 Property Taxes 39700 Interest'on Debt 14,600 Land Use Fees Public Land Lease 59200 Private Land Lease 16,400 Depreciation and Amortization 16,300 Purchased Goods and Supplies 35,000 Purchased Services 3,800 Miscellaneous Expenses 17,200 Total Expenses $ 1159700 Source: National Campground Owners Association 18 t ,r wr PR!NCIPAL INCOME ITEMS Income sources common to the majority of campgrounds. Campsite Rentals 59.67. T T R_ Other C.C. Income 11.37. T 1� Vencring Mar -tines 3.07. —Pw- ------ Store Sales 26.17. T l� 19 Table 8. Characteristics of 1980 .ampgroinds experiencing financial loss, low profit, and high profit levels Financial Loss and Above Characteristic Loss Zero Profit Avg. Profit r No. of developed sites 121 108 187 No. of camper parties 6,000 6,760 13,200 Cost per occupied site -night $16.22 $14.39 $11.48 Income per occupied site -night $13.92 $15.24 $15.48 Avg. days at max. capacity 13 27 33 Median daily fee $ 8.15 $ 8.58 $ 9.69 Avg. no. competitors 1/ 3 3 3 Avg. pre-tax profit (loss) ($13,800) $5,700 $52,700 Avg. occupancy 2/ 41% 51% 58% Present ownership (yrs . ) 5 9 11 Fee income $49,000 $58,000 $128,000 Total income $83,500 $103,000 $204,000 Total operating expenses $97,300 $ 97,300 $151,600 Sample size 39 53 53 ./other campgrounds within 10 miles Iover a 120 day season Source: National Campground Owners Association 20 D. South Florida Market Ccmparables Nationwide research on consumer recreation preferences indicates that water -or ie nted facilities surpass mountain and forest facilities in popularity. Waterfront land with good beaches has high corrmercia] value, particularly in densely populated areas. Campgrounds with beachfront suitable for swimming are 1 imi ted in number and the camper market places a premium on them, as evidenced by higher campsite rental fees and above average occupancy levels. Campgrounds located in the Florida Keys are more comparable than those in Dade County to the proposed camping facilities at Virginia Key. For this reason, we used Keys campgrounds for primary market comparables and considered those in Dade County primarily for information on fees charged and occupancy (rather than for comparable amenity packages). The State Parks Department operates three Key's campgrounds while the private sector operates approximately a dozen. Each of the state-owned comparables has fewer campsites (47-69) and amenities than those which are privately owned (155-284 campsites). The State charges considerably less to rent campsites ($6 per night) than the pr ivate campgrounds in the Keys ($13 to $18.50 per night during the winter season for double occupancy with additional person charges). Both the State and private operators noted heavy bookings for sites from November through April, with higher than average occupancy rates during the rest of the year. Typical amenities offered at both the State and private cammpgrounds include: beach swimming, snorkeling, diving, picnicking, fishing, boating and hiking trails. In addition, 3 of the 4 private campgrounds offered swimming pools and all offered recreation rooms, tennis, bicycle rental, shuffleboard, water skiing and planned group activities. Concessions typically included snacks, boat rentals and marine/diving supplies at the State campgrounds, along with full service grocery/camping supplies at the private campgrounds. Three Dade County campgrounds were included in our survey - Larry and Penny Thompson County Park and two K A's (North and South). Campsite fees ranged from $11.34 per night at Thompson to $16.75 at KOA-North. All reported heavy occupancy from November through April despite the fact that none of the sites are beaches. Recreation amenities are more limited at the Dade County campgrounds because water oriented sports are not available, however, both KCA's offer swimming pools with whirlpools. All three campgrounds have grocery/RV supply stores. The Dade County campgrounds are considerably larger than those located in the Keys, ranging from 203 to 292 campsites. _j High occupancy levels at the Keys and Dade County campgrounds suggests that the market could support another high quality waterfront campground and that the public would be willing to pay market rates for campsites. 7 21 Table 9. Characteristics of Florida Keys �A1�E WCAT I ON CAIP I NG F/V I i John Pennekamp Key Largo 47 sites witf Coral Reef (3 mi. no) elec. suitabl State Park either tent c - flush toile - hot showers - sewage disposal .boating - public phor Long Key Long Key 60 sites Recreation 30 w/H20 & el Area 30 w/H20 only - flush toile - hot showers - sewage disp, - public phone Bahia Honda Bahia 69 sites State Recreation Honda Key 59 w/H20 & el( Area 10 primitive - flush toilet - hot showers - sewage dispc - laundry - public phone µ Table 9. Characteristics of Florida Keys State Campgrounds NAME LccAT ICN CP&P I NG FPC I L I T I ES RFCRE.AT ICN John Pennekamp Key Largo 47 sites with H2O & .swimning Coral Reef (3 mi. no) elec. suitable for .snorkeling State Park either tent or RV .diving - flush toilets .picnicking - hot showers ,fishing - sewage disposal Long Key Recreation Area .boating - public phones Long Key 5;. ;e Recrea. ion Honda Key area 60 sites 30 w/H20 & elec. 30 w/H20 on 1 y - flush toilet - hot showers - sewage disposal - public phones 69 sites 59 w•/ H2O 3t elec. 10 primitive - flush toilets - hot showers - se-xage disposa! - laundry .visitor center w/ exhibits slides .guided walks . swi rani ng .picnicking .fishing .boating .nature trails .campfire programs .snorkel Instruction (sur=er on!y) .swi^ming .picnicking, .fishing .boating .car-0f i r e s .snorkel ing .di vi^lg ...ails < < 1'-A' .snacks .souveniers/ supplies .snorkeling & diving equipment (purchase/ rental) .boat rental & mar ina (sailboats, canoes, pad- dleboats, power boats) .glass bottom boat tour ( accom-nodat e 130) .bait/tackle shop .marine gas None (private boat rental and grocery store located in the vicinity) .snacks .limited g r o c e r. i terr. 5 ..mr i^e su?JI�� f je l I R Admission: 50/person Campsites: $6/site for up to 4 persons, $2/ person extra for parties over 4, except for minor children Same as above 5aTe STAFF Park Manager Asst. Manager Park Manager Asst. Manager Sera -tart' 10-11 rangers %Iana er t . `lanage 5(.r:r,:tary 15 r..:rv�"rs Table 10. Privately Operated Florida Keys Campgrounds NAME Bryn Mawr Ocean Resort Arse r i ca Outdoors at Key Largo Ca l urs a Car q) Resort LOCATION CA6IPING FACILITIES Key Largo 284 sites with full hook-ups Picnic tables and patios - flush toilets - hot showers - sewage disposal - laundry - phones Key Largo 155 sites 41 full hook-ups 109 water/elec. 5 no hook-ups - flush toilets - hot showers - sewage disposal - laundry - phones Key Largo Z44 sites 211 full hook-ups w/20& 30 amp receptacles 33 tent sites - flush toilets - hot showers - laundry - public phone RFr RFATTOM Swimming Pool Beach Adult/Teen rec. rooms Boating Fishing Playground Planned group acti- vities Tennis Shuffleboard Scuba Diving Water Skiing Swimming (beach) Sailing Diving Fishing Rec. Room Bike Rental Shuffleboard Water Skiing Planned group activities Swimming (pool/beach) Boating Fishing Picnicking Tennis Shuffleboard Adult Rec hall Rec room Playground Planned group activities Horseshoes Volleyball Scuba Diving itiater Skiing FACTI.TTTFS Full service store with RV supplies Boat Ramp & Docks Full service store with RV supplies Boat ramp Grocery Store RV supplies FEES Sumner Rates $15 per night $17 per night (oceanfront sites) Winter Rates $16 per night $18.50 per night (waterfront) Double Occupancy $2 per additional child $3 per additional adult $13.50 double occupancy Children - $2 eadh $11 tent sites $13 full hook-ups $1S waterfront sites COhRE NTS No tents permitt Heavily ly booked N Carr ibean style iN and sandy beach Sites well separai for privacy fleav11v booked N Heavily booked ' ti��tE Ivey Largo Campground Marina LOCATION CAMPING FACILITIES Key Largo 205 sites 72 full hook-ups 100 H2O & elec. 33 no hook-ups in separate tent - flush toilets - hot showers - laundry - phones Swimming Groccry/RV pool supplies Beach Marine Gas swimming Canoe/Boat Rec. Room rental Therapy Pool Boating Fishing Handball court Planned group activities FEES Double Occupancy $10 tent sites $12 water/elec. $13 full hook-ups $1 per additional person CONVENTS i Ocean front carte Most sites are o. separated by bus' Table 11. Miami Campgrounds NNNIE LOCATION CAMPING F'-':ILITIES Larn U Penny Miami 744 sites Tbompson Park �40 full hook-ups with picnic tables separate tent area - flush toilets - hot showers - sewage disposal - laundry KOA-Mi.vni Miami 293 sites South 21S full hook-ups 43 water/elec. 35 no hook-ups - flush toilets - hot showers - sewage disposal kOA-`•band Miami 203 sites North with full hook-ups picnic tables (Tri I Is separate tenting area - flush toilets - hot showers - sewage disposal - I1Luidry RECREATION FACILITIES Pavilion grogery w/ Playground RV supplies Horseback riding Marked nature traits Swimming Full service Rec. Room with RV supplies Therapy pool LP gas refill Bike rentals Gasoline Playground Planned Group activities Shuffleboard Badminton Swimming Full sen-ice store pool with R%, supplies Heated hbirl- LP gas refill pool Adult/teen Rec. rooms Playground Planned Group activities Shuffleboard Badminton Volleyball FEES $11.34 per night 7.00 tent sites $12.75 per night Water/Electric $14.75 per night full hook-up Rates are for double occupancy. Addition- al persons $1 extra per night $16.75 per night EMPLOYEES 1 Director 3 Park Attendants 3 Maintenance Staff NA fan 3.3 Hea 5. Virginia Key Development Costs a. "I7ble 12, VI RGINIA Ill' ESTIMATED DEVELOPMENT COSTS 1. Entrance Road 105,000. To include: Upgrade width/bearing capacity asphalt, lighting, 4S ht. at 100 ft. intervals Signs (4) Plantings Gate House 2. Trunk Lines (water, electrical, sewer) $_152,000. To include: Upgrade capacity 3. RV Campsites @3,600 s.f./ea. - 60-700 of total $_230,000. sites To include: Gravel roads Lighting Electrical son ice Water Service and Fountain Restrooms Hot/cold showers Laundry Combined w/u4 Vending a Tent Campsites @3,600 s.f./ea. - 30-400 of total $_ 840,000. Sites To include: Same as #3 S. Pic,%4 Areas $ 126,000. To incl-lo: Lighting Pavilions Electrical Service Water Service and Fountain Restrooms Barbeque Pits Rotisserie Pits Trees 6. Reach (1000 LF) $ 86,000____ To include: Lifegiiard stands Lighting Parking; Lot Foot Paths 2S 7. Waterfront Cafe $ 1,588,000. To include: Building's Parking — Lighting *electrical, water, sewer, incl. in this item — 8. Fishing Pier 88,000. To include: Lighting — Water Ser0 ce and Fountain vid Turnstile 9. Boardwalk/Nature Area/Visitor's Center $ 192SO,000. — To include: Lighting 10. Boardwalk/Waters Edge $ 6759000. To include: Lighting 11. Swimming Pool $ 680 , 000 . To include: concrete deck lawn area TOTAL $ 5,800,000. ASSUMPTIONS:' The costs shown in this section are for budget and preliminary cost estimates only. In orde'r'to arrive at an accurate estimate, the estimater must consider quantities of mater- ial, prices of material and labor in the area of the park location, the anticipated length of time of construction, bid preparation time, availability of contractors, the complexity _A. of the job, and source of funding as it relates to contractor's payments. However, Synterra's extensive experience with construction cost estimation enables us to project the above development costs with a high degree of confidence. 26 6. Concession Revenues And Expenses VII. Concession Revenues and Expenses If carefully planned and developed as a first quality recreation area, Virginia Key has the potential to generate sufficient revenues to cover all operating expenses and a limited portion of debt service, assuming that some funds are borrowed to f inance development. Projected annual revenues from beach entry feeF, picnic pavilion rentals and entry to the fishing pier amounts to approximately $470,000. Annual operating expenses for these facilities is estimated at $435,000, leaving approximately 935,000 available for a portion of debt service. (See Table 13) A waterside restaruant could potentially add from $50,000 to $100,000 to Virginia Key revenues, depending on facility size and lease terms. These f igures are based on revenues generated by other restaurants in the vicinity that lease land and/or building space from the City or Dade County. In light of the recent approval for expansion of the Rusty Pelican on Virginia Key and the possible development of a restaurant near Marine Stadium, a separate restaurant feasibility study should be undertaken before a decision is made to include a waterside restaurant in the Virginia Key Master Plan. Boating faci 1 i t ies could provide an additional source of revenue for Virginia Key. No assumptions were made in this analysis regarding revenues fran this source because an engineering analysis is needed to determine whether such facilities could be physically accommodated, and if so, what type. Two sets of assumptions were made regarding campground development at Virginia Key - a 65 site campground and a 140 site campground. Average annual occupancy of 75% was assumed for each, with 60-70% of the spaces allocated for recreational vehicles and 30-40% for tent sites. A 65 site campground could be expected to generate an estimated $260,000 in annual revenues with projected annual operating expenses of $155,000. This would leave slightly over $100,000 for debt service and profit. (See Table 14) A 140 site campground could be expected to generate about $570,000 in annual revenues with projected annual ,. operating expenses of $270,000. This would leave approximately $300,000 available for debt service and profit. (See Table 15) 27 TABLE 13 Projected Annual Revenues and Expenses for Recreation Activities at Virginia Key Revenues Beach Entry Fees Weekdays @ $1 per car $156,600 _ Weekends @ $1.25 per car - Total Beach Entry Fees 195,000 $351,600 Picnic Pavilion Rentals 12 @ $75 each weekends $ 96,804 12 @ $35 each weekdays Fishing Pier @ $.50/person 23,450 Total Recreational Revenue Potential $4719854 Expenses Staff Salaries $334,988 Fringe Benefits 83,747 " Supplies 87000 Repairs do Maintenance 10,000 .. Total Expenses $436,735 Available for Debt Service $ 35,119 ■ 28 Assumptions for Projected Annual Revenues and Expenses for Recreation Activities at Virginia Key: — 1. Beach Entry Fees 600 cars average per weekday 1500 cars average per weekend day 2. Picnic Pavilions - 12 paviliolis 80% weekend use (104 days) _ $749880 20% weekday use at 1/2 price (261 days) _ $21,924 3. Fishing Pier - Turnstyle Entry Weekdays - 100 users average (261 days) _ $13,050 -- Weekends - 200 users average (104 days) = 10 400 23,450 4. Staffing Assumptions Park Coordinator (existing position) Funded Park Supervisor I Auto Equipment Operator I Facility Attendant Beach Patrol Supervisor Beach Patrol Asst. Supv. (or Capt.) Beach Patrol Lifeguard II Fulltime Beach Patrol Lifeguard I Parttime Cashier I Fringe Benefits 0 250 Total Personnel Costs 1 @ 14,019 1 @ 13,332 5 @ 11,481 1 @ 21 9798 1 @ 19,760 3 @ 17,056 10 a 13,332 2 12,084 334,988 83,747 $ 418 , 7 35 Routine park maintenance would be handled by facility attendants. so or 29 TABLE 14 Projected Revenues and Expenses for a 65 Site Campground (75% Average Annual Occupancy) Revenues 40 RV sites @ $15/night $164,250 25 Tent sites @ $11/night 759284 Extra Person Charges 17,616 Total Campsite Fees $2571150 Laundry Ca missions 1,500 Total Revenues $2589650 Expenses Salaries (4 people) $ 60,000 Fringes @ 25% 159000 Utilities 259000 Repairs & Maintenance 79000 Administration & Depreciation of Equipment 209000 Supplies 49500 Promotion 5,000 Insurance 3,500 Miscellaneous 14,000 Total Expenses $1549000 Available for Debt Service and Profit $104,650 30 TABLE 15 Projected Revenues and Expenses for a 140 Site Ca7Qground (75% Average Annual Occupancy) Revenues 100 RV sites @ $15/night $410,625 40 Tent sites @ $11/night 120,450 Extra Person Charges 380325 Total Campsite Fees $569,400 • Laundry Ccmnissions 3,000 Total Revenues'72,400 Expenses Salaries (8 people) $1239000 Fringes @ 25% 30,750 Utilities 40,000 Repairs and Maintenance 10,000 Administration & Depreciation of Equipment 30,000 Supplies 6,000 Prarnot i on 5, 000 Insurance 4,000 Miscellaneous 22 000 Total Expenses 270,750 Available for Debt Service & Profit $301,650 31 -.Ami. AssuTnptions for Campground Revenues and Expense Projections 1. Average annual occupancy of campsites is 75%. This figure takes into consideration generally full occupancy between November and Apr i l and operation at half of capacity during the summer -fall season. " Z. Campsite rental fees of $15 per night (double occupancy) and $11 per night for tent sites are in range with fees charged for privately operated Florida Keys campgrounds. Campground sites are generally used by tourists and, given fiscal constraints of most city governments, there is no compelling reason to subsidize site rental costs. Extra person charges (over double occupancy) of $1 per person were calculated by assuming that 1/3 of the occupied sites would have one extra person and another 1/3 of the occupied sites would have two extra persons. 3. Salary costs assume the following staffing: 65 Campsites 1 Campground ktnager $18,000 _ 1 Assistant Manager $16,000 1 Bookkeeper/Clerk ,000 M9000 1 Maintenance Person $60 , 000 140 Campsites 1 Campground Amager $20,000 2 Assistant Managers $32,000 1 Bookkeeper/Clerk $13,000 2 Lifeguards (Pool) $32,000 2 Maintenance Persons $13,000 123, ..,0 Fringe benefits (including FICA) are calculated at 25% of total salary costs. 4. Other operating expense estimates are based on averages supplied by the National Campground Owners Asociat ion and campground costs at Larry and Penny Thompson Park in Dade County. 32 TABLE 16 Concession Options for Virginia Key Option 1. Parks Department Operates Entire Park, Except for Restaurant Advantages Parks Department could have control over development and operation. Potential profit from campground is available to City (for reinvestment at Virginia Key or other facilities). Disadvantages In the absence of a Virginia Key Enterprise Fund, adequate staffing levels are not assured (i.e. city budget reductions). Limits access to private capital for development. = Managemen t sk i 1 1 s and a swi f t hi re and f i re procedure to run campground as a business may be less readily available, thereby reducing profit potential. Additional costs to support a park resident manager. Opt i on 2. Parks Department Operates Public Recreation Area and Leases Campground and Restaurant Concessions to Private Operators Advantages _ Provides a source of development capital for campground and restaurant. Experienced operators could bring strop; business management skills to operation of concessions while the Parks Depar-.-.--nt handles the component it has most experience with (public recreation areas). Staffing for concessions is less subject to reduction from city budget 3 fluctuations. City financed park resident manager is not required. Disadvantages Parks Department has less control over campground operation (although a monitoring sysltem could be developed to address this). City receives a limited portion of profits generated by campground rather than all profits. 33 7. Development Financing VIII. Development Financing Revenue bonds were explored as a possible method of financing proposed Virginia Key development. While there is no established minimum financing level for use of revenue bonds in Miami, the estimated development cost of $3.5 to $5.8 million is considerably lower than the typical project financed in this manner. Projected project revenues are not a sufficient guarantee for any revenue bond and the City of Miami therefore has to allocate its revenues in an amount of 125% of project debt service to col lateralize each bond. For this reason, projects being considered for revenue bond financing are prioritized by the City. Given other projects already in Miami's revenue bond pipeline, Virginia Key is unlikely to receive imnediate consideration for bond financing. There are two additional drawbacks to revenue bonds as a method to finance Virginia Key development. One is the lengthy application, review and bond documentation process which could easily delay the start of construction for up to a year. Second, debt service during construction, interest and other financing costs would add an estimated 30% to the construction costs estimated for the project. These factors suggest that alternative methods of financing Virginia Key should be explored. The Miami Parks Department has received initial development grants fron the State of Florida and the Florida Power do Light fund for Virginia Key. Prospects for additional funding from these sources over the next several years of phased development should be explored as a first step in preparation of a detailed Virginia Key Master Plan. Another potential source of funding is the U.S. Army Corps of Engineers which funds waterfront development. While the review process associated with this funding source may lengthen the project's development time, i t may be a wor thwh i le trade-off in order for the City of retain ownership of the project. Negotiations are presently underway regarding th^ lease of approximately 3 acres on Virginia Key for a radio receiving tower. Revenues from this lease could potentially be allocated for recreational developme;. on the Key. The long-term lease of the campground and restaurant sites to private developers (not necessarily a single developer for both parcels) is another alternative to acquire needed development financing. Because of Virginia Key's prime location, both a campground and restaurant should have excellent profit potential and reasonably structured lease terms should generate operator interest. Detailed developer guidelines prepared as part of the Virginia Key Master Plan would help to assure the desired development quality. In addition, careful screening of operator experience with similar projects would be advisable. Contacts with industry sources should be initiated during master plan preparation in order to assure the designation of reasonable developer guidelines if private financing is to be sought for the project. 34 as o Appendix a APPENDIX The chart on the following two pages shows recreational vehicle categories. It should be useful in determining which types of vehicles Virginia Key RV areas will be equipped to handle. Vehicle Categories F- Travel Trailer; V- _ s A trailer designed to be towed by a motorized vehicle (auto, van or pick-up truck) and of such size and weight as not to require a special highway movement permit. /t is -- designed to provide temporary living quarters for recreational, camping or travel use and does not require permanent on -site hook-up. A travel trailer can be one of the following types: " Conventional Travel Trailer _ Ranges typically from 12 feet to 35 feet, in length, and is towed by means of _a bumper or frame hitch attached to the towing vehicle:u'-''4`.T n`!Y _ _ Y�. Y =. Park Trailer --., , ; y.. Y1 r'i ..... .«. -..: �. .��.�_rJ�e.cr�y^;M ... . "Desi nated for seasonal or temporary livin when set u and connected to utilities g p rY g _ � p..... necessary for operation of installed fixtures and'appliances.Builf on asingle perma-. nent chassis and capable of being towed by a light truck, not exceeding 10,000'+ • • "pounds GVWR. Not more than 40 feet overall length and no more than 8 feet in.=; overall body width when in the traveling mode. Designed for set-up by persons 1 without special skills using only hand tools and lifting, pulling or supporting devices. AM ! fifth -Wheel Travel Trailer This unit can be equipped the same as the conventional travel trailer but is constructed with a raised forward section that allows a bi-level floor plan. This style is designed to be towed by a vehicle equipped with a device known as a fifth -wheel hitch. ., Folding Camping Trailer A recreation camping unit designed for temporary living quarters which is mounted] on wheels and constructed with collapsible sidewalls that fold for towing 6y-a- motorized vehicle.., uck Camper 36 -ecreational camping unit designed to be loaded onto; or -affixed to, the bedTO .L_ _ L0assis of�a truck, constructed to provide tii;;5 rary�liWng quarters for recreat�ona • @ camping nr travel use. = 4�``:•- r- Multi -Use Vehicle' - - A motor vehicle designed for the transportation of people and/or property and altered •. by the RV manufacturer for esthetic or decorative purposes. These changes may include windows, carpeting, paneling, seats, sofas; and accessories. Multi -Use Van_ Conversion ��-yt*, A completed van chassis modified in appearance for -transportation and recreationalILE y; . purposes. tir.ej t w ) ,• .an•.sl(.. � �• 's�„ia�i7Ky. ♦ ..- �- .. ��. . • 4' v.N - . J 1+•1 r. •ri•�... i.�..,r _ n 4-�.. l ._. - _ ,"� i �.,? c 'i' Y , - i• -' K' v .t'� x.+1J+ti+u • •r )' .. .. .,r,- v, • �futn�l.EyK-yir•�_ ;pie. -�'- -w:v y-•'. -1.- .�. �l e. -•'�' _ �� �.�� W.- � 7� 12 Vehicle Categories I.0 41It ♦� M_ otor Wu6m�Y A recreat►onal camping and travel vehicle built -an or as.an integral part of a pelf io'elled motor vehicle chassis_ it ma rovidexcitcfien' s/eepin and„batfiroom` p . p - - - - y p ,., • _ r t g «'-.. t- facilities and is equipped with the ability to store and carry fresh waterand"sewage A motor home can be one of the following types ~' ',�> `• z :: r Conventional- Motor Home (Type.A)� � ,:;.:}-t.�Z.e '. �•.n''+. e:r`»� [: r-- t• y.,�,.. 'L.y�l.Y. ��-�i^3Z' - The Irvrng'unrt has been entirely constructed on a bare, specially designed motor; vehicle chassis t R•' �''' "�' ® ... x K9�-r1• :�.� -t�, ...►, - s t' ;} 4 t.�`: tTr'%�•�R� it .. ,.s' iT;7 .y..•i..T . terms * •� }. t_ �'iC �•krt •. e = a �. t_ Van Camper (Type B) 4�s� e +r< - - -A panelstype truck to which the RV manufacturer adds:any two of. the following;; i conveniences.`sleeping;.kitchen_and `toilet facilities; also.110 volt hook=up„ resh ." .. �, . -... c.. rum ,s...r .� : •: water storage, city water hook-up, and a top extension to provide more head room.; • ,y t�'•.- .� • .<l , r.r •. t�_n!r_��•���. A. -iceY3.2.7�'�r ,y 7; : /i• •r.- _... #' .• s -Chopped Van (Mini )� .�. r - - N. '.' :.f `7T�- » .. n .:`_ .v"•. i ,; �� '+.-'� yy�-r `,.'�•4i�•c. 1. _ . ~This unit is built on an'autamotive menufactrired van frame! ith an attached cab section,.of a GVWR of '6500 pounds.or more; with an'overal hi gh�ttof,�lore than _ . eight feet. The RV manufacturei completes the body'section containing t�►ef living oarea and_ attaches it to the cab section., •:_� ,t.- t :-L. yY.-2J �+'.! fiA.�s rl.. tT.7L �. -3:. ! Chopped Van (Low Profile) _ This unit is built on an automotive manufactured van frame with an attached cab section having a GVWR of 6500 pounds or more, with an overall height of less than eight feet. The RV manufacturer completes the body section containing the living area and attaches it to the cab section. Chopped Van (Compact) This unit is built on an automotive manufactured cab and chassis having a GVWR of less than 6500 pounds. It may provide any or all of the conveniences of the larger units. F�b.• IM«NS F Y ;L � A Mites►. M:; 13 U.S. Department of Agr iculture, Forest Service. Proceedings 1980 Outdoor Recreation Trends Symposium, Volumes I and If _ Report by the Comptroller General of the U.S. Better Management of National Park Concessions Can Improve Services Provided to the Public, July, 1980 National Park System Concessionaires, Visitor Acccmnodations, Facilities and Services 1980-81 Stachowicz, Jim; Guide to Florida Campgrounds, *Windv.ard Publishing Inc., Miami, 1981 Wooda 1 1 ' s Campgr ound Directory, 1982 Eastern Edi t ion, Vbodal I Pub) ishing Co., Illinois U.S. Department of Interior, Her i t age Conservat ion and Recreation Service, Third Nationwide Outdoor Recreation Plan, Appendix IX - Private Sector Outdoor Recreation, December, 1979 U.S. Department of Agriculture, Forest Service, The Campground Industry - Recent National Trends, 1979 National Campground Owners Association , American Campground Industry 1980 Eccnornic Analysis, Washington, DC Curtin, Richard, The RV Consumer - Current Trends and Future Prospects, RV Industry Association, Chantilly, VA, 1980 LaPage, Wilbur & Ge-ald Cole, 1978 National Camping Market Survey, U.S. Departnent of AgricultL e, Forest Service, 1979 U.S. Department of Interior, Federal Recreation Fee Report - 1980