HomeMy WebLinkAboutM-81-0801CITY OF MIAMI. FLORIDA
INTER -OFFICE MEMORANDUM
Mayor and Members of the
City Commission
DATE- August 31, 1981 FILE:
SUBJECT Management Responsibilities for the
Park West Project 2
FROM Howard V. Gary • REFERENCES-
City Manager
ENCLOSURES.
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In August, I provided you with a copy of my letter to Roy Kenzie
regarding retention of the administrative authority for the Park West
project by the City (attached). By way of background, I have also
attached a detailed memo on the management of the Park West project
and Mr. Kenzie's memo to me in which he requested that the Director
of the Park West project report to him. -
As suggested in my letter, I met with Mr. Kenzie in mid -August with the
intention of further defining the important role of the DDA in marketing
and providing urban design services to the Park West project. Mr. Kenzie
indicated at that meeting that he did not concur with my decision regard-
ing management of the project and was going to take the issue to the City
Commission in September.
Therefore, I am requesting that the management of the Park West project
be placed on the agenda as a discussion item and a resolution be enacted
by City Commission confirming the management approach suggested in my letter.
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August 6, 1981
Mr. Roy Kenzie, Executive Director
Downtown Development Authority
2099 One Biscayne Tower
Miami, Florida 33131
Dear Roy:
I have reviewed your position paper with regard to the role and
responsibility of the Downtown Development Authority in the re-
development of Park West. I appreciate your enthusiasm and interest
in administering the project for the City of Miami. I also under-
stand that a spirit of cooperation existed between you and prior
City of Miami Managers and I look forward tti the same type of relation-
ship.
From your memorandum to me, dated June 26, 1981, I understand that
you had made agreements with previous City Managers with regard to
the responsibilities and procedures for undertaking Park West. These
agreements appear to have been in the discussion stage since any
delegation of municipal authority requires the approval of the City
Commission.
After review of your proposed administrative vehicle for Park West
and that of staff, I have decided to retain the administrative author-
ity within the City of Miami. To this end, I will immediately seek
the services of an administrator of the Park West Development Project.
This person will be a Special Assistant to the City Manager with sole
responsibility for implementing the project.
The next step will be to select a law firm knowledgeable about tax
increment financing. The engagement of a law firm should be done
f very early to assist us in developing a tax increment financing system
y and structuring a bond issue.
With regard to the form of the redevelopment activities, I will be
recommending to the City Commission that it seek County designation
as a Community Redevelopment Board and that it act as the board with
full or partial powers as delegated by Dade County.
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Adoption of a merged redevelopment plan including
delegation of land disposition powers to the City
and establishment of tax increment trust fund.
(Responsibility: County Commission after initial
plan approval by City Commission)
Completion of Development of Regional Impact and
Environmental Impact Statement.
(Responsibility: Project Director, staff and
consultants)
- Issuance of prospectus to developers.
— (Responsibility: Project Director with assistance
_ from DDA in marketing and the creation of urban
design controls. City and County Commission appro-
val required.)
Designation of developers.
(Responsibility: City Commission)
- Approval of bond issues.
(Responsibility: City and County Commission)
Land acquisition relocation and demolition
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(Responsibility: Dade County HUDY
- Provision of infrastructure.
(Responsibility: City's Public Works Department)
-� - Land management.
(Responsibility: Project Manager)
i - Office, commercial and housing construction.
(Responsibility: Private sector)
Mr. Jim Reid is presently on vacation, but as soon as he returns I
will convene a meeting with you and other staff to discuss the im-
plementation of the Park West Project.
S inc e y
- Howard V. ry
City Manager,
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- cc: Mayor and Members of the City Commission
Mr. Jim Reid, Acting Assistant City Manager"`_
Ms. Dena Spillman, Director, Department of Community Development
s 81 .801
In terms of the functions or powers of such a body, I will recommend
to the City Commission that it accept the powers as stipulated in
the July 1979 Joint Memorandum of Agreement between Dade County and
the City of Miami. Specifically, the City Commission acting as the
Community Redevelopment Board would 1) develop the plan; 2) review,
endorse, and adopt the plan; 3) acquire land (this function would be
done by Dade County HUD in the City's name); and 4) dispose of land
(the City Commission would select the developers and the County mould
have the right to review and appeal the disposition documents).
I anticipate that the interest of the Downtown Development Authority
in the development of downtown Miami and specifically the development
of Park West, will remain at former levels and I intend to keep the -
Authority intricately involved in all phases of the redevelopment
process. Specifically, it is envisioned that the Downtown Development
Authority would be a member of a management committee consisting of the
City Manager, or his designee, the Park West Redevelopment Director,
the Director of the DDA, the Overtown Redevelopment Director, and the
Director of the Dade County Department of Community Development. This
group would.initially meet weekly with the Park West Redevelopment
Director and provide a mechanism for close management coordination.
In addition to serving on this committee, I envision that the Downtown
Development Authority would play an instrumental role in marketing
the Park West Project with interested developers, an activity which it
has done so well. in the past for other projects.
It is my intention to give the City Commission a status report on Park
West at the September 10, 1981 Commission Meeting, as well as my plans
for administering the project. Before that time, I would like to meet
with you and my staff to discuss my decision.
I can assure you that your participation in the redevelopment of Park
West will be sought and encouraged, in addition to other agencies,
corporations and individuals that may have an interest in the project.
The administrative vehicle as outlined above will ensure your partici-
pation in every major aspect of the project.
The next major steps that need to be taken immediately are as follows:
- Hiring of a Project Director.
(Responsibility: City Manager)
- Hiring of an attorney or law firm experienced in
tax increment financing.
(Responsibility: City Manager)
- Completion of redevelopment plan and merger with
the Overtown Plan.
(Responsibility: City Planning Department working
with the DDA, City Community Development Department
and Dade County HUD)
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Adoption of a merged redevelopment plan including
delegation of land disposition powers to the City
and establishment of tax increment trust fund.
(Responsibility: County Commission after initial
plan approval by City Commission)
- Completion of Development of Regional Impact and
Environmental Impact Statement.
(Responsibility: Project Director, staff and
consultants)
Issuance of prospectus to developers.
(Responsibility: Project Director with assistance
from DDA in marketing and the creation of urban
design controls. City and County Commission appro-
val required.)
- Designation of developers.
(Responsibility: City Commission)
- Approval of bond issues.
(Responsibility: City and County Commission)
- Land acquisition relocation and demolition
(Responsibility: Dade County HUDr
- Provision of infrastructure.
(Responsibility: City's Public Works Department)
- Land management.
(Responsibility: Project Manager)
- Office, commercial and housing construction.
(Responsibility: Private sector)
Mr. Jim Reid is presently on vacation, but as soon as he returns I
will convene a meeting with you and other staff to discuss the im-
plementation of the Park West Project.
Sinc e VV.ryy
Howard
City Manager
cc: Mayor and Members of the City Commission
Mr. Jim Reid, Acting Assistant City Manager
Ms. Dena Spillman, Director, Department of Community Development
s 81 -8 01
CITY OF MIAM1, FLORIDA
INTER -OFFICE MEMORANDUM
to. Howard V. Gary DATE: July 31, 1981 VILE:
� City Manger
SUBJECT Management of the Park West Project
i FROM Jim Reid REFERENCES -
Acting Assistant City Manager
1 ENCLOSURES:
The purpose of this memo is to secure your endorsement of a management plan
to carry out the Park West redevelopment project.
In order to provide necessary background information, the Park West project
will be described and our objectives in undertaking Park West will be discussed.
Further, the memo will describe the major steps necessary to carry out the
redevelopment plan and suggest why it is essential that the City play a
dominant role in the redevelopment process. A role will be suggested for
the DDA in the implementation process. The memo recommends the establishment
of a management committee, policy advisory committees and a technical committee.
The memo concludes with a recommended first year budget.
What is Park West?
Park West, as proposed by the consultants to the City and the DDA, i.e. the
firm of Wallace, Roberts & Todd, is a major "new town in town" which is bounded
on the east by Biscayne Boulevard; on the west by the FEC right of way; on the
north by I-95 and on the south by N. W. 5 Street. The Park West development
program calls for the construction of over 3,000 units of housing for middle
and upper income families; 200,000 sq. ft. of commercial space, primarily along
a pedestrianized N. W. 9 Street and over 1,000,000 sq. ft. of office space which
would be concentrated in mixed use buildings that are primarily residential and
that border on Biscayne Boulevard. Urban design controls would be instituted to
permit structures on most of the blocks not fronting on Biscayne Boulevard to
achieve bay views.
The amendments to the Florida Community Redevelopment Act of 1969 which took
effect in July of 1977, permit the establishment of a redevelopment trust fund
which enables communities to use future tax revenues as a resource to fund public
actions necessary to remove slum and blight and to support private reinvestment.
The Park West area has been determined to be blighted by action of the Miami
City Commission on June 26, 1980 and the Board of County Commissioners on
January 20, 1981.
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Few of the existing uses in Park West today are functionally tied to surrounding
areas and most of the existing 130 businessmen will benefit from a location in
an area designed for warehouse or industrial use other than a congested Downtown
location, The 86 acres of Park West have not benefited from the growth of the
CBD to the south or the Omni area to the north. Between 1975 and 1979, only
four building permits for new construction were issued. The assessed value
of all land and improvements in the 86 acre area was only $17,403,000 in 1979.
By way of contrast, Plaza Venetia, just north of Park West, completed in 1980
with only 300 residential units, has a value of $23 million on less than two
acres. Park West land is underdeveloped when compared to neighboring areas
to the north and south.
Market analysis has shown a strong demand for residential sale and rental units
in the project area. If adequate land were made available, over 6,000
residential units could be sold or rented in Park West. In addition, by
the mid-1980's, demand for a new hotel is very probable,
Tax increment financing is an appropriate method of financing the redevelop-
ment of Park West. The annual tax increment at completion of redevelopment
will be $7,400,000 per year. This could support a bond issue of $50,000,000
over twenty years. Depending on the specific public action, including land
assembly, public improvements and assistance for middle -income rental housing,
the public costs of redevelopment could range from .$22,000,000 to $47,200,000.
Therefore, redevelopment using tax increment financing is feasible for Park West.
Without redevelopment, the Park West area will remain as a blighted part of
Central Miami. Most blocks have multiple ownerships and there is no incentive
to assemble land in the skid row environment which exists west of N. E. 2 Avenue.
The blocks fronting on Biscayne Boulevard could develop without public assistance,
however, they would benefit from elimination of the slum and blight on adjacent
blocks.
The recommended redevelopment plan for Park West includes public acquisition,
relocation and demolition in a ten block action area west of N. E. 2 Avenue.
Public costs associated with this action are $18,394,000. The plan recommends
an additional $5,284,000 for public improvements, $4,578,000 for construction
of parking and a $2,826,000 budget for administration. Including debt service
for twenty years, the public cost for redevelopment including 20% rental housing
units will be $47,200,000.
Private investment anticipated from this public action includes 3,030 residential
units in the 86 acre area designated as the tax increment district. The value of
the private investment in the tax district will be $410,600,000 at completion
(in 1980 dollars). This is 14 times the present value of the ten block acquisi-
tion area, plus the four bayfront blocks also included in the tax district.
At the present time, City staff is working with the County and DDA to meld the
Park West plan with the adjacent Overtown plan. It is anticipated that a joint
Park West/Overtown plan will be prepared for City Commission adoption which
provides financing of rehabilitation and new construction in the Overtown
rehabilitation demonstration area bounded by the FEC railroad on the east;
I-95 on the west; 8 Street on the south and 11 Street on the north. This
effort would be supported by the increment expected from the rennovation of
• Page 3
the Freedom Tower and associated new construction as well as development
activity in the Overtown and Park West transit impact areas that are affected
by the location of the Overtown transit station. In the Overtown transit
impact area, expected development totals 200,000 sq. ft. of office space;
60,000 sq. ft. of retail space, a 150 room hotel and a minimum of 520 housing
units. In the Park West transit impact area, a minimum of 400,000 sq. ft. of
office space and 300 sq. ft. of retail space has been proposed. In addition,
there will probably be bonuses to promote mixed use residential development in
this area.
Why Do It? N
The development of Park West as a residential Downtown community was recommended
in the 1973 Downtown Plan and the Miami Comprehensive Plan adopted by the City
Commission in 1976. The development of Park West makes sense for a number of
reasons:
- By providing residential uses in and around Downtown, we can
help achieve a 24 hour Downtown rather than a Downtown that
shuts down after office hours.
- There is a strong market for middle and upper income housing
near Downtown, particularly units with bay views.
- The existing land use is a mix of warehouses and retail
facilities along with some skid row activities, e.g.
derelict hotels, missions, blood banks and marginal
drinking establishments. Replacing these land uses would
enable us to secure quality new development and improve
the security of Downtown businesses and residences.
- While there will be some initial loss of tax dollars, the
long term increase of revenues would be substantial, thus
yielding a fiscal benefit to the City.
- County taxes which could be diverted to other parts of the
region would be retained as part of the tax increment funding
process for Park West.
Major Steps to Carry Out the Plan
The City ane county have already designated Park West as an area of slum and
blight. The following major steps are necessary to carry out the plan:
• - Hiring of a project Director
(Responsibility: City Manager)
- Completion of redevelopment plan and merger with
portion of the Overtown Plan
(Responsibility: City Planning Department working
with the DDA, City Community Development Department
and Dade County HUD)
81-801
- Adoption of a merged redevelopment plan including
delegation of land disposition powers to the City
and establishment of tax increment trust fund
(Responsibility: County Commission after initial
plan approval by City Commission)
- Completion of Development of Regional Impact and
Environmental Impact Statement
(Responsibility: Project Director, staff and
consultants)
- Issuance of perspectus to developers
(Responsibility: Project Director with
assistance from ODA in marketing and
j the creation of urban design controls.
City and County Commission approval required.
- Designation of developers
(Responsibility: City Commission)
- Approval of bond issues
(Responsibility: City and County Commission)
- Land acquisition relocation and demolition .
(Responsibility: Dade County HUD)
- Provision of infrastructure
(Responsibility: City's Public Works Department)
- Land management
(Responsibility: Project Manager)
- Office, commercial and housing construction
(Responsibility: Private sector)
It is expected that it will take two years to complete the issuance of bonds
and necessary land acquisition. Construction will take about eight years
and the tax increment bond retirement period is expected to take up to twenty
years. This is an extremely complex project that will yield many benefits
to the City while posing major challenges with respect to swift implementation.
What Should be the City's Role?
Under Florida Statutes, Chapter 163, counties with Home Rule Charters are
authorized to exercise redevelopment powers. These powers may be delegated
fully or partially by the County Commission to the City of Miami.
Page 5
In early 1979, Dade County adopted an "Urban Redevelopment and Tax Increment
Financing Policy" in consultation with the City of Miami which suggested
that in an area such as Park West, the City would be responsible for:
- Plan development
- Initial plan adoption with legal adoption powers
retained by the County Commission
- Land acquisition with the land to be acquired by
Dade County' HUD in the City's name; land disposition
after County review of the disposition documents.
Both the City and the County would approve the sale
of tax increment bonds because these bonds are
supported by earmarking of future revenues from
the redevelopment area as prescribed by the redevelop-
ment plan.
The City's options for carrying out the project include:
1. Hire the project staff directly as City employees
with the Project Director being designated as a
Special Assistant to the City Manager,
2. Permit DDA to hire the core staff and be primarily
responsible for the project.
3. Create a new Community Redevelopment Agency that would
act as a policy board and hire its own staff.
It is recommended that the project and the core staff be City employees to insure
maximum coordination and direct control by the City Commission through the City
Manager,
A separate community redevelopment agency with its own staff is not recommended.
This model has been rejected by municipalities throughout the County because of
the inability of the City to control the miriad of policy decisions that must
be made as well as day to day operations of redevelopment.
The City Commission must be actively involved in the establishment of policy
for this redevelopment project. In adopting the tax increment approach, the
City Commission would in effect be foregoing operating revenues over a period
of up to twenty years to achieve a much larger tax base when the tax increment
bonds are retired. Because of the implications of this approach for City tax
payers, it is essential that the City closely control this project. If the
City directly administers the project, it is possible that the bond sale could
achieve a lower interest rate. Conversely, if the City does not exercise direct
administrative control to assure the success of the project, public funds from
City coffers could be required to bail out the project in mid stream.
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The creation of a separate staff within the DDA would duplicate the
existing expertise of City and County staff and require additional
staff expenditures as well as added training costs. Administratively,
the staff would be removed from the direct control of the City Manager
and the City Commission.
By placing the project within the office of the City Manager, the close
coordination of necessary City agencies, i.e. Community Development, Planning
and Public Works with the Project Director is assured.
What is the Role of the Other Agencies, Boards and Committees?
Both the DDA Board and the Overtown Advisory Board should receive regular
monthly reports on the project from the Project Director. These boards
should be requested to provide policy advice to the City Commission in the
Park West project.
A management committee should be established consisting of the City Manager
or his designee, the Park West Redevelopment Director, the Overtown Redevelop-
ment Director and the Director of DDA. This group would meet weekly with the
Project Director and provide a mechanism for close management coordination.
'i Further, a broader technical committee would be established to assist the
Project Director in carrying out the project. This committee would consist
of representatives of the DDA, the City's Planning Department, Public Works
and Community Development Departments and Dade County's Departments of Planning,
j HUD and Community and Economic Development. This committee would meet as needed.
What is the Budget?
The budget for the first year would be $400,000 including $250,000 in City Community
Development funds and $150,000 from County Community Development funds. The direct
City expenditures would be about $210,000 as is indicated in the following budget.
In addition, it is expected that there would be a $40,000 contract with DDA for
marketing and urban design services as well as $100,000 set aside for the work
of legal, economic, financial and bond consultants. A detailed description of
the City's budget follows.
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PARK WEST
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REDEVELOPMENT PROGRAM
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BUDGET
STAFF SCHEDULE
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Program Year I
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Project Director (Unclassified) $ 44,500
Project Management Specialist (R34) 27,309
Acquisition/Relocation Coordinator (R31) 23,605
Secretary III (R19) 13,133
Sub -Total $103,547
Fringe Benefits 41,818
Total $150,365
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PARK WEST
REDEVELOPMENT PROGRAM
OPERATING COST SUMMARY
Program Year 1
001
Salaries
j' 100
F.I.C.A. Taxes/Soc. Sec. Contri.
—� 110
Retirement Contribution
130
Group Insurance Contribution
150
Workmens' Compensation
083
Car Allowance
410
Travel & Per Diem (Training)
420
Travel & Per Diem (Other)
— 485
Postage
510
Communication Service (Telephone)
610
Equipment Rental
620
Office Rental
670
Equipment Repair/Maintenance
690
Promotional Activities
700
Office Supplies
760
Books, Publications, Memberships
770
Internal Service Charges (Motor Pool)
771
Internal Service Charges (Garage)
773
Internal Service Charges (Print Shop)
840 Office Furniture/Equipment
TOTAL
*Office space to be provided at no cost to program.
$ 108,547.00
7,598.29
20,623.93
5,427.35
7,598.29
3,000.00
1,000.00
2,000,00
500.00
2,000.00
500.00
500.00
20,000.00
1,500,00
1,000.00
20,000.00
1,000.00
500.00
6.000.00
209,294.86
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It is assumed that the staff could be housed at the Planning Department in
the new City Administration Building. This location is close to the Park
West site and has ample parking.
I hope that the attached management plan is acceptable to you and we can
proceed to hire a Project Director immediately. As was indicated earlier,
the Project Director would be a Special Assistant to the City Manager.
If this plan is acceptable to you, please sign below. If more information is
needed, please let me know.
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APPROVED
ISM
MD'.0RW4DUM
To: Mr. Howard Gary
City Manager
From: Roy F. Kenzie
Executive Director
Downtown Development
Re: Park West Redevelopment Responsibilities
June 26, 1981
-------------------------------------------------------
The redevelopment redevelopment of Park West utilizing tax increment financing
will reP.-esent the first project of its kind ever undertaken by
the City of Miami. Park Jest is a critical project in the overall
revitalization of the Central Business District for a number of
reasons: (1) it brings new middle and upper income housing into
the heart of Downtown thereby balancing the inner city housing
mix; (2) it removes "skid row" and clean's up a presently designated
slum and blighted area; (3) it generates new tax revenues for the
City of Miami once the terms of the bonds expire; (4) it assists in
improving the security of.Downtown by expanding the hours of ped-
estrian and commercial activity; and (5) it provides for continued
expansion of commercial land uses while linking the core to the
Omni area.
In undertaking its first tax increment financed major redevelopment
project, the City of Miami must make several key policy decisions.
These policies must take into account both the form and function of'
redevelopment activities. Further, they must be guided by the fact
that the City is located within a Home Rule Count), and the past
experience of the South Beach Redevelopment Project within the City
of Miami Beach.
Redevelopment po.4ers conferred by Chapter 163, Florida Statutes, are
in the case of COLLnties with Home Rule Charters, conferred and ex-
ercised exclusively by the governing body of the county. However, the
governing body of any such cowity may, in its discretion, by reso-
lution delegate the exercise of redevelopment powers in whole or in
part to a municipality within the county or an existing Dot-;nto%�,n
Development Authority. At the present time the County Comnission acts
as the Community Redevelopment Board for Dade County (excluding
portions of Miami Beach wider the jurisdiction of the hii.ami Beach
Redevelopment Agency) and the Dade Cowity Department of Housing and
Urban Development acts as implementor.
In order to undertake the development of Park Nest, the City of Miami
should first determine the form and function (powers) u f its re-
development activities. In terms of form there are several options:
81 -801
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W10RANDIN
Mr. Howard Gary
June 26, 1981
Page two
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(1) The City of Miami Commission could act as the
Community Redevelopment Board for the City with
full or partial powers delegated from the County;
(2) The City of Miami Commission could appoint a new five
member Community Redevelopment Board and agency upon
approval of the County Commission together with the
conferring of full or partial redevelopment powers as
provided in Chapter 163, Florida Statutes;
(3) The City of Miami Commission could appoint the Board
of the Downtown Development Authority and its staff
as the Community Redevelopment Board and agency upon
approval of the County together with the conferring of
full or partial redevelopment powers. Existing Down-
town Development Authorities were specifically "grand -
fathered" into subsequent language to the statute.
Said Board would exercise redevelopment powers within
its designated boundaries if so determined by the City
and County Commissions. Additional Redevelopment Boards
and Agencies may also be established to undertake city-
wide redevelopment activities. (The City of Jacksonville
in 1977 conferred upon the Jacksonville Downtown Devel-
opment Authority community redevelopment powers under
Part III, Chapter 163, Florida Statutes.)
(4) The Dade County Commission could continue to act as
the Community Redevelopment Board whilc establishing
an approval process involving the City of Miami Com-
mission. Further, the County could, with the City's
approval establish a redevelopment staff to undertake
redevelopment within the City of Miami.
hbile the above discussion dealt
development Board and Agency, the
discussed concerns the functions
with the form of the Community Rc-
other major issue which must be
or powers conferred to such a body.
In July of 1979 a Joint Memorandum of Agreement was prepared by the
County and City in reference to the delegation of redevelopment
powers. It was determined that the City of Miami or its designated
representative would be responsible for only certain portions of the
redevelopment process. These include: (1) the development of the plan;
(2) Review, endorsement and adoption of the plan; (3) land acquisition
(this power was delegated to the City, however, the County would
acquire in the City's name); and (4) land disposition (tile City Com-
mission would select the developers and the County would have the right
to appeal the disposition dccu=,ents.)
MEMORANDUM
Mr. Howard Gary
June 26, 1981
Page Three
To date, the Downtown Development Authority, utilizing
Community Development funds, has completed the plan for
Park West. This plan has been reviewed favorably by the
Planning Advisory Board of the City of Miami and is pre-
sently being converted into a legal Community Development
Plan through the efforts of Dade County's Department of
Housing f, U?ban Development. This legal document will then
be brought to the City and County Comissions for adoption.
Findings of slum and blight and the designation of the Com-
munity Development boundaries have already been approved by
both Commissions for Park West.
The staff of the Downtown Development Authority has been
working with the City Administration since 1979 in an effort
to finalize the appropriate legal and administrative vehicle
necessary to continue Park West to implementation. Discus-
sions with former City Managers Grassie and Fosmoen resulted
in a final agreement which outlined the responsibilities
and procedures for undertaking Farm Nest.
While proceding on the next necessary steps using the agree-
ment as a basis, the Downtown Development Authority was
recently informed that Acting Assistant City Manager Reid
had reservations about the earlier agreement and wanted to
restructure the process. Accordingly, you requested position
papers from both Mr. Reid and myself.
My position and that of the Authority remains consistent
with earlier agreements resolved between City Manager Fosmoen
and myself. I believe that they were worked in good faith
and represent a workable compromise, which if followed would
result in an efficient and cost-effective redevelopment
process for the City in undertaking Park Nest. Furt}icr,
this process has the endorsement of the Park West Civic
Association which represents property owners and merchants
in the Park West area.
The earlier agreed upon proposal recognized the desirability
of having the City Commission act as the policy making body
and major implementor of Parl: West throu,rli its activities
as a County designated Community Development Board for
the City of Miami with such powers as conferred by the
County. The City Commission would retain the right to
review, endorse and approve the Park (Vest redevelopment
plan and establish disposition agreements including selection
of developers. For the purposes of redevelopment utilizing
tax increment financing in the downtown area, the City
Commission would appoint, through ordinance or resolution
the Board of the Downtown Development Authority as an ad-
visory board to the City Commission for the purpose of
81-801
MEMORANDUM
Mr. Howard Gary
June 26, 1981
Page Four
undertaking redevelopment downtown. (This would be con-
sistent with powers and responsibilities already within
the legal mandate of the Downtown Development Authority.)
The Board of the Downtown Development Authority would
act only in an advisory capacity with the Commissions
acting as figal decision makers.
Staff for the Community Development functions undertaken
in reference to downtown and Park West would be provided
by the Downtown Development Authority_.utilizing City and
County -Community Development funds as initial seed money.
It is intended that the staff of Park West be as small
and as flexible as possible and contracts for services with
City and County agencies as well as private constil.tants
would provide the bulk of the man hours required. D.D.A.'s
staff of architects, planners, urban designers, marketing
specialists and attorney's would be available to assist the
Park West effort as they have done in the past '.in the
development of the project.
In order that there exist a clear line of responsibility
for staff functions with the City Administration it was
suggested that the Downtown Development Authority Executive
Director establish a strong working relationship with the
City Manager to keep him informed on the progress being made.
This relationship, if necessary, could be formalized by
designation of the Downtown Development Authority Executive
Director as special assistant to the City Manager for Park
West redevelopment or by contract with the City when Com-
munity Development funds were utilized. The title is
less important than the need for a continuous channel of
communication and working partnership. The basic frame-
work is outlined in a scketch attached.
Unfortunately Mr. Reid did not bottler to discuss with
the Authority his concerns related to the Park West agree-
ment reached between Mr. Fosmoen and myself. Instead he
chose to relay his misconception and inaccuracies to you
directly without my knowledge thus expanding the communica-
tion gap and delaying the project.
It is our desire to get on with the City's business of
_ redeveloping Park West. I believe that the above agreement
establishes an approach which involves both the City and
the Downtown Development Authority yet places the decision
making responsibility where it clearly belongs, with the
• r•
MEMORANDUM
Mr. Howard Gary
June 26, 1981
Page Five
City and County Commissions. I have no desire to match or
counter insults, uninformed opinions and unprofessional
comments with Mr. Reid, as I believe such discussions
are counter productive and injurious to relationships
which must, if anything, be strengthened if we are to
be successful in developing Park West.
I trust that you will consider my remarks in the spirit
of cooperation. I am most anxious to meet with you
to establish once again a working partnership for down-
town redevelopment.
RFK/mf
encl.
cc: Mayor Maurice A. Ferre
Mr. Jim Reid
s.
:. i �30
' - ! •
r •
PROPOSED STRUCTURE FOR IMPLEMENTATION
OF PARK WEST
County
Commission
City Commiss io'n
City acting as' Community
Manager ....................: _. Redevelopment Board
with 'powers delega=
ted by County
D.D.A. Board as ad-
visory Board for
Community Redevelop
ment Downtown
AlD.D.A. Executive
Director
Project Manager
Park West
Other Advisory
Boards as needed
for other projects
Redevelopment
Agency Staff as
needed
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
t TO Howard V. Gary DATE May 27, 1981 FILE
City Manager
FROM Jim Reid
Acting Assistant City Manager
SUBJECT Park West
�REFERENCES.
ENCLOSURES:
The purpose of this -memorandum is to provide you with background information
regarding the delineation of responsibilities for carrying out the Park West
project and to suggest a course of action.
BACKGROUND
In August, 1980, Roy Kenzie wrote to me requesting a delineation of responsibilities
for carrying out the Park West project. I responded to him on September 10, 1980
in a letter that had been cleared with both former City Manager Joe Grassie and
Interim City Manager Dick Fosmoen, A copy of that letter is attached. Basically,
it suggested that management responsibilities for Park West would be assigned to
an Assistant to the City Manager; and urban design functions would be assigned to
DDA and that land acquisition relocation and demolition would be performed by
Dade County HUD. DDA never responded to this letter but rather lobbied through the
Mayor for an expanded role in the project.
In late February, 1981, Roy Kenzie, Dick Fosmoen and I met regarding Park West and
Roy presented a proposal for total control of the program by DDA. Dick responded
by suggesting that Roy be appointed a Special Assistant to the City Manager for
the purpose of carrying out Park West, indicating that Roy would be responsible
to the City Manager rather than the DDA Board -for the implementation of this project.
Roy accepted this concept and he and I were to work on a contract detailing the -
scope of DDA responsibilities.
This agreement was predicated on the assumption -that Roy would hire a full time
Project Manager with complete responsibility for the Park West project. I opposed
a delegation of full administrative responsibilities to DDA at that time and
continue to oppose it.
Subsequent to this discussion, during interviews with potential Park West Directors,
Roy'indicated unilaterally that he would not go along with the Special Assistant
approach. Later, during a presentation to a Downtown businessmen's group at which
I was present, Roy indicated that he was the Project Director for Park West.
RECOMMENDATION
The Park West project is a $300 million venture and represents the City's first
significant attempt to undertake a major renewal effort. In this regard, I think
three administrative principles must be observed:
81 -801
- The project's policies should be dictated by the City Commission
through the office of the City Manager.
- There must be a full time senior level person hired as a
Project Manager whose sole responsibility is carrying out
the Park West project.
- That individual must have complete control of the operating
bul,,-.. and subcontracts for carrying out Park West subject to
City policies and procedures.
If the lines of policy and administrative authority are not clear, the chances of
success for the project are minimal.
While I believe that the DDA could play an important role in marketing the project
and carrying out some of the urban design studies, I do not feel they should be
delegated full responsibility for the implementing of Park West for the following
reasons:
1. The national trend has been for local elected officials to
retain redevelopment powers rather than delegating these
powers to corporations such as redevelopment agencies or
development authorities not under their direct policy control.
2. Dade County has tentatively agreed to delegate land disposition
responsibility to the City of Miami in conjunction with the Park
West project. Under State law, redevelopment authority in home
rule counties rests with the county. This delegation of authority
must be backed up by clear lines of administrative responsibility
to the Miami City Commission to inspire confidence by Dade County.
3. The DDA's track record in carrying out projects is a mixed bag.
The Park West study which was supposed to take 9 months, has taken
almost 2-1/2 years to complete. In arL.earlier contract with the
County for the preparation of the Government Center rapid transit
studies, the DDA expended the funds and never delivered the end product.
4. Based on past performance, it is possible that Park West funds and staff
energies could be diverted to other DDA projects.
5. Requisite coordination with City agencies and project subcontracting to
them could be best carried out by a direct City staff member working
through you.
As an option, I recommend that we hire an Assistant to the City Manager for the Park
West project who would be housed at the DDA and responsible to the City Commission
through you for the project's administration. The Director would contract with DDA
for urban design and marketing services and with HUD for land acquisition, demolition
and relocation services. Other economic, legal, financial and bond counsel services
would be provided by consultants. The DDA Board would be consulted on the project
and receive monthly reports from the Project Director with the City Commission
retaining full responsibility for setting policy. The Project Manager would report
directly to you rather than be layered in DDA.
Page 3
Let me point out in conclusion that DDA has had no prior experience in
administration of redevelopment projects and while the City's experience
in this regard has been limited, i.e. the Government Center, Overtown
redevelopment and Great Neighborhoods program, we certainly have been
"in the trenches" more than DDA.
It is important that we resolve this issue as soon as possible so that a
Project Manager can be hired and we can move this project fomiard in a
timely manner. If more information is needed, please let me know.
81-801
- .+ • �L1 U `:J r IOSEPH R. GRASS
# _ ; CEICIVN7 R City Manal
a —
i
. September 10, 1980
j Mr. Roy Kenzie
Executive Director '
Downtown Development Authority
2099 One $iscayne Tower
`r Miami, Florida
' Dear Roy . .
:,:-';.-This letter is in response to your letter of August 6th
regarding the Park West Project.
I am prepared to suggest to the Manager that the City
contract with DDA to:';L) carry out the function of market-
:. _ ing the Park Nest Plan to intere::ted developers, 2) assist
in the preparation of a'Statemen:; of Architectural Design
Review (architects and engineers submission -requirements), _
and participate in the design review process, and 3) pro- -
::.: vide support services for the Park West Project Manager -
' and two additional staff.
" I suggest that $20,000 be allocated for the marketing func-
tion; $10,000 for design guideline preparation and project
review function; and $30,000 be provided for rent, supplies, --
equipment and support services to the project management
team including $4,000 for travel.
• This budget is based on the following assur•ptions:' -
The total first year Park West budget would be
$300,000 including $190,0.00 from the City and
$110,000 Dade County.
$100,000 of the budget would be allocated for
direct City staff costs and fringe benefits.
The Planning Department would take the lead in
• participating with DDA in the preparation of the
Statement of Architectuual Design Review and
architects and engineers requirements as well as
conduct design review at a cost of $15,000.
$125,000 would be set aside for legal, financial
and bond consultants to further define and market
the project,
ram+'
•PLANNING OEPkRTNENT = S N tv. ;nd Strotto, Miulw, Honda 771:$
MAILING ADDRESS • P O. sag 31070e i lw,,M. Fl,,,48 771l7 $ 1 — g f� V 1
`.} �.:: �•�: ►�:.:;••�. Jim R110. AICP, OulC[O►
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-- •�.-�i1 :.�.�.".�`1:Z.:.L� — .J�s3: ••.i'i.. i : � :i..t s . � = "-•► � -, � `� ` p � v � �sr: ► r • .. r
Roy Kenzie _.
Page 2
September 10, 1980
k •
• The Project Manager, Administrative Assistant II
and Secretary would be hired as City employees
—� officially constituting the project management
team and physically housed at DDA.
• The Project Manager would function as an Assist-
• .. ,ant to the City.Manager' and report directly to
him or her. _
The policy and technical committees currently
. functioning to guide the project would continue
with the Project Manager chairing the technical
'r''"'• J"="" 'committee and functioning as an ex' officio member
of the policy committee.
Further legal, financial and bond counsel work
• would be done under contract rather than carried
:._ out by City or DDA employees.
Land acquisition, demolition, relocation and site _
�_- improvements would be carried out by Dade County
HUD under separate contract with the City.
• Consultant contracts in excess of $4,500 would be
approved by the City Commission.
The Project Manager would make regular progress
reports to the DDA Board, the City Commission, and
• the County Commission. Further, althou;h we would
• recommend that the City. Commission retain_ control
of the developer(s) selection process (we would
also be prepared to suggest that the DDA Board play
an advisory role in that process.)
I sugoest•we both meet with the Manager as soon as possible to
discuss this approach.
Based on agreement at. the conceptual level, we would then prepare
a letter of a;reement between the City and DDA -to transfer the
necessary funds for you to carry out your role in implementing
the Park Nest Project.
y Wi best wishes,
m Reid, AICP
Director
Planning Department '
cc: Mayor Maurice Ferre
• Richard L. Fosmoen, City Marader
ti'�w�i����a!'.��T�-lr•: h.•��•�+�•i•►..�!�4.r��.,r.: .� •!.1 y2•s^r;,^•tii:��"-".�.; �."w i•v�:..•�•iY �I.. �+: W�+►_.w..•...�.�. ���•dLr �.'t�'ji��+if�
MEMORANDUM OF AGREEMENT
PARK WEST REDEVELOPMENT
In order to provide for the effective administration and implementation of
the proposed Park West New Town -In -Town and for the simultaneous redevelopment
of Overtown, it is hereby agreed that the City of Miami (City) and the _
Downtown Development%Authority (DDA) will cooperate towards the end of achieving
the proposed redevelopment within the following framework:
(1) The City of Miami will exercise the authority to
undertake Park West redevelopment as granted by the
Dade County Commission.
(2) The City Manager, acting with the advice of the Executive
Director of the Downtown Development Authority, shall
appoint a Special Assistant to the City Manager with
the sole responsibility of managing and implementing
the Park West Redevelopment Project as project manager.
(3) The City Manager will appoint a Park West Project Management
Committee to ensure close intergovernmental coordination
during the life of the redevelopment project. The Committee
will consist of at least the following members:
a) City Manager or his designee
b) Executive Director, Downtown Development Authority
c) Overtown Redevelopment Director
d) Park West Redevelopment Director
e) Director, Dade County, Department of Housing
and Community Development
f) Director, Dade County, Office of Community
and Economic Development
g) Director, City of Miami, Department of
Community Development
(4) The Park West Project Manager will make regular monthly progress
reports to the Board of Directors of the Downtown Development
Authority.
(5) The Board of Directors of the Downtown Development Authority
will be asked to review and endorse the proposed Park West/
Overtown redevelopment plan, developer selection and other major
implementation decisions prior to formal action by the Miami
City Commission, with the understanding that lack of endorsement
by the Downtown Development Authority does not preclude
favorable City Commission consideration.
81 -801
29
Alt
MEMORANDUM OF AGREEMENT
PARK WEST REDEVELOPMENT
Page Two
(6) The City of Miami will contract with the Downtown Development
Authority to provide technicai,staff and consultant management
services to the Park West Project in the following areas:
(a) assist City staff and consultants in the
preparation of the Development of Regional
Impact Statement;
(b) prepare development guidelines and urban design
controls to establish a legal and physical
framework for development;
(c) prepare and implement a marketing strategy
aimed at attracting residents, businesses and
the most qualified developers to the project area.
The City will take the lead in Citizen
Participation elements of plan implementation
with the Downtown Development Authority
assisting;
(d) assist the City in the review of developer
proposals; and
(e) provide staff support as needed to maintain
management continuity and the appropriate
level of effort required for successful
implementation of the Park West Project.
(7) The Executive Director of the Downtown Development Authority
or his designee shall assist the City during the selection
of all outside consultants who are to be retained for the
purposes of undertaking the Park West Redevelopment Project.
(8) in order to ensure a smooth transition from the Downtown
Development Authority's past efforts related to Park West,
it is agreed that the Park West Project Manager and staff
will initially be housed within the offices of the Downtown
Development Authority, with the understanding that alternate
space may be required as staff needs expand. The City
will compensate the Downtown Development Authority for space
and services provided.
t
MEMORANDUM OF AGREEMENT
PARK WEST REDEVELOPMENT
APPROVED AS TO FORM:
?wy,
Peter J. Andblina
AGREED TO SEPTEMBER 8, 1981
r'
Nowd, d V. "1;"ary
City Manager
City of Miami
K
VbylF. Kenzie
Executive Director
Downtown Development Authority
Page Three
81-8UI
CITY OF MIAMI. FLORIDA
INTER -OFFICE MEMORANDUM
T°. Howard V. Gary DATE' September 18, 1981 F'Lf:
City Manager
SUBJECT proposed Agreement with the
Park West Civic Association
FROM Jim Reid REFERENCES?
Acting Assistant City Manage
ENCLOSURES. 1
Attached for your review and transmittal to the City Commission
is an agreement proffered to the Park West Association.
The agreement relates to their role in the Park West planning
and development process and should be read in conjunction with
the discussion item relating to the administration of Park West.
81 -801
MEMORANDUM OF AGREEMENT
PARK WEST REDEVELOPMENT
In order to provide for the effective administration and implemen-
tation of the proposed Park West Redevelopment Plan, it is hereby
agreed that the City of Miami (City) and the Park West Association
(PWA) will co-operate within the following framework:
1. The Park West Association will be recognized
as an official Park West Redevelopment Project
Area Committee.
2. A representative of the Park West Association
will participate in the hiring of the Park
West Redevelopment Project Manager, during
the interviewing or selection phase with the
final hiring choice exercised by the City
Manager.
3. The Park West Management Committee, appointed
by the City Manager, will include two repre-
sentatives from the Park West Association
designated by the Executive Committee of the
Association.
4. The Park West Project Manager will make regular
monthly progress reports to the Park West
Association.
5. The Executive Committee of the Park West
Association will be asked to review and
endorse the proposed Park West Redevelopment
Plan, developer selection and other major
implementation decisions prior to formal
action by the Miami City Commission.
6. The Park West Association Land Disposition and
Acquisition Committee will participate in the
development of the Acquisition and Disposition
Guidelines and be asked to endorse such guide-
lines prior to their presentation and approval
by the City Commission.
7. The Park West Association Business Relocation
and Retention Committee will participate in the
development of the Relocation and Retention
Guidelines and be asked to endorse such guide-
lines prior to their presentation and approval
by the City Commission.
81 -801
• Page 2
8. One year following plan approval and the
authorization to proceed by the City
Commission and County Commission, the
City Manager will evaluate the progress
of the project and recommend any changes in the
organization and procedures required to
successfully carry out the project. This
report will be reviewed with the Park West
Civic Association prior to presentation to
the City Commission.
APPROVED AS TO FORM:
AGREED TO SEPTEMBER , 1981
Howard V. Gary
City Manager
City of Miami
Lee Ruwitch
President
Park West Association
Tom Cromer
Secretary/Treasurer
Park West Association
81 - 8 U I
CITY OF MIAMI. FLORIOA
INTEROFFICE MEMORANDUM
..W�
To Mayor and Members of the DATE September 24, 1981 "LE
City Commission
SUBJECT Agenda Item B
Administration of Park West
FROM Howard V. Gary REFERENCES
City Manager
ENCLOSURES.
In connection with Item B, administration of Park West, I have
attached for your information:
1. A copy of a Memorandum of Agreement on
Park West redevelopment which was provided
to you at the last City Commission meeting
regarding the relationship between the City
of Miami and the Downtown Development
Authority.
2. A signed copy of an agreement that was
provided unsigned in your agenda packet
regarding the relationship between the
City and the Park West Association on
Park West redevelopment.
These two agreements set forth clear guidelines
of Park West.
for the administrati n
MEMORANDUM OF AGREEMENT
PARK WEST REDEVELOPMENT
In order to provide for the effective administration and implementation of
the proposed Park West New Town -In -Town and for the simultaneous redevelopment
of Overtown, it is hereby agreed that the City of Miami (City) and the _
Downtown Development Authority (DDA) will cooperate towards the end of achieving
the proposed redevelopment within the following framework:
(1) The City of Miami will exercise the authority to
undertake Park West redevelopment as granted by the
Dade County Commission.
(2) The City Manager, acting with the advice of the Executive
Director of the Downtown Development Authority, shall
appoint a Special Assistant to the City Manager with
the sole responsibility of managing and implementing
the Park West Redevelopment Project as project manager.
(3) The City Manager will appoint a Park West Project Management
Committee to ensure close inter -governmental coordination
during the life of the redevelopment project. The Committee
will consist of at least the following members:
a) City Manager or his designee
b) Executive Director, Downtown Development Authority
e) Overtown Redevelopment Director
d) Park West Redevelopment Director
e) Director, Dade County, Department of Housing
and Community Development
f) Director, Dade County, Office of Community
and Economic Development
g) Director, City of Miami, Department of
Community Development
(4) The Park West Project Manager will make regular monthly progress
reports to the Board of Directors of the Downtown Development
Authority.
(5) The Board of Directors of the Downtown Development Authority
will be asked to review and endorse the proposed Park West/
Overtown redevelopment plan, developer selection and other major
implementation decisions prior to formal action by the Miami
City Commission, with the understanding that lack of endorsement
by the Downtown Development Authority does not preclude
favorable City Commission consideration.
81-801
MEMORANDUM OF AGREEMENT
PARK WEST REDEVELOPMENT
Page Two
(6) The City of Miami will contract with the Downtown Development
Authority to provide technicai,staff and consultant management
services to the Park West Project in the following areas:
(a) assist City staff and consultants in the
preparation of the Development of Regional
Impact Statement;
(b) prepare development guidelines and urban design
controls to establish a legal and physical
framework for development;
(c) prepare and implement a marketing strategy
aimed at attracting residents, businesses and
the most qualified developers to the project area.
The City will take the lead in Citizen
Participation elements of plan implementation
with the Downtown Development Authority
assisting;
(d) assist the City in the review of developer
proposals; and
(e) provide staff support as needed to maintain
management continuity and the appropriate
level of effort required for successful
implementation of the Park West Project.
(7) The Executive Director of the Downtown Development Authority
or his designee shall assist the City during the selection
of all outside consultants who are to be retained for the
purposes of undertaking the Park West Redevelopment Project.
($) In order to ensure a smooth transition from the Downtown
Development Authority's past efforts related to Park West,
it is agreed that the Park West Project Manager and staff
will initially be housed within the offices of the Downtown
Development Authority, with the understanding that alternate
space may be required as staff needs expand. The City
will compensate the Downtown Development Authority for space
and services provided.
r
MEMORANDUM OF AGREEMENT
PARK WEST REDEVELOPMENT Page Three
APPROVED AS TO FORM:
Peter J. Andblina
AGREED TO SEPTEMBER 8, 1981
((�
l•
z,
Howard V.-ary
City Manager
City of Miami
P6y'F. Kenzie
Executive Director
Downtown Development Authority
MEMORANDUM OF AGREEMENT
PARK WEST REDEVELOPMENT
In order to provide for the effective administration and implemen-
tation of the proposed Park West Redevelopment Plan, it is hereby
agreed that the City of Miami (City) and the Park West Association
(PWA) will co-operate within the following framework:
1. The Park West Association will be recognized
as an official Park West Redevelopment Project
Area Committee.
2. A xsr;resentative of the Park West Association
will participate in the hiring of the Park
West Redevelopment Project Manager, during
the interviewing or selection phase with the
final hiring choice exercised by the City
Manager.
3. The Park West Management Committee, appointed
by the City Manager; will include two repre-
sentatives from the Park West Association
designated by the Executive Committee of the
Association.
4. The Park West Project Manager will make regular
monthly progress reports to the Park West
Association.
5. The Executive Committee of the Park West
Association will be asked to review and
endorse the proposed Park West Redevelopment
Plan, developer selection and other major
_ implementation decisions prior to formal
action by the Miami City Commission.
6. The Park West Association Land Disposition and
Acquisition Committee will participate in the
development of the Acquisition and Disposition
Guidelines and be asked to endorse such guide-
lines prior to their presentation and approval
by the City Commission.
7. The Park West Association Business Relocation
and Retention Committee will participate in the
development of the Relocation and Retention
Guidelines and be asked to endorse such guide-
lines prior to their presentation and approval
by the City Commission.
81-Sol
�J
Page 2
8. One year following plan approval and the
authorization to proceed by the City
Commission and County Commission, the
City Manager will evaluate the progress
of the project and recommend any changes in the
organization and procedures required to
successfully carry out the project. This
report will be reviewed with the Park West
Civic Association prior to presentation to
the City Commission.
APPROVED AS
AGREED TO SEPTEMBER , 1981
vi__ -
Ho and V. y
City rianage
City of Miami
Lee Ruwitch
President
Park West Associ ion
1
r
Tom Cromer
Secretary/Treasurer
Park West Association
_Sol