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HomeMy WebLinkAboutM-81-076341 ICITY OF MIAMI, FLORIDA _= INTER -OFFICE MEMORANDUM :X TO Howard V. Gary DATE August 28, 1981 FILE. City Manager sue,ECT Status - Affordable Rental Housing - � Development Program - FROM Dena Spillman, Director REFERENCES: City Commission Agenda Department of Community Development September 10, 1981 i ENCLOSURES: On June 25, 1981, the City Commission, through Motion M-81-569, ordered the immediate publication of a Request for Proposals for the purpose of soliciting a _ master developer to participate with the City in an affordable rental housing I development program with a production goal of 1,000 units. - The Commission's motion called for the construction of two pilot projects of 100 units each for occupancy by low and moderate income families to provide a i basis of experience from which to proceed with the construction of the remaining 800 units. However, through meetings with the City's bond counsel, housing financial advisor, and the Law Department staff it was determined that it is not feasible to strictly follow the City Commission's directive for the following reasons: By law, the City and Dade County must follow public competitive bidding procedures in the disposition of publicly owned land. For this reason, neither the City nor the County could guarantee the developer selected as the result of an RFP issued at this time rights to the project development sites when they are acquired. Also, until the sites necessary for program implementation are identified and approved for acquisition by the City Commission, it will be extremely difficult for respondents to an RFP issued at this time to submit meaningful proposals, proposals that can be compared and evaluated by staff. Additionally, the financial feasibility of the proposed program will not be known until the City's authority to issue tax-exempt mortgage revenue bonds is determined _ through a court validation procedure. Before a validation complaint can be filed in Circuit Court, the City Commission must approve a detailed implementation pro- gram consistent with the motion adopted on June 25. In the opinion of staff, the potential respondents to an RFP issued at this time would be reluctant to submit proposals under these circumstances. Further, any proposals received would be so full of special conditions they would not lend themselves to meaningful comparison. In order to meet these conditions, staff is proposing the following method and schedule for carrying out the program: 4 ! £ : 8 WV ! £ $1"763 ik Howard V. Gary Page two August 28, 1981 On October 8, 1981, the City Commission will be asked to approve an Affordable Rental Housing Development Program and a program implementation strategy. This action by the Commission will provide for a test in Circuit Court of the City authority to issue mortgage revenue bonds to finance the program. Included in the implementation strategy will be a two -stage developer selection process. ' Stage one will be implemented immediately and involve the publication of a developer pre -selection RFP. Respondents will be required to furnish verifiable information !i concerning housing development and management experience, as well as certifiable information as to financial capacity to undertake a program of the magnitude 1 proposed. The developers successfully responding to the RFP will be invited to participate with the City in formulating the implementation phase of the program. When land acquisition is completed, the developers selected through this "credentials" process will be invited to bid on individual projects when they are ready to be developed. In November, the City Commission will be asked to approve the general site acqui- sition plan. Assuming a positive mortgage revenue bond validation by Circuit Court, the land acquisition process will commence. /rjf 81 -763