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HomeMy WebLinkAboutOMNI CRA 2023-01-12 MinutesCity of Miami 3500 Pan American Drive Miami, FL 33133 www.miamigov.com 11-01 Omni C R A Meeting Minutes Thursday, January 12, 2023 9:30 AM (OR THEREAFTER) City Hall 3500 Pan American Drive Miami, FL 33133 OMNI Community Redevelopment Agency Alex Diaz de la Portilla, Chair, District One Joe Carollo, Vice Chair, District Three Manolo Reyes, Board Member, District Four Christine King, Board Member, District Five Vacant, Board Member, District Two OMNI CRA OFFICE ADDRESS: 1401 N. Miami Avenue, 2"d Floor Miami, FL 33136 Phone: (305) 679-6868 www.miamicra.com OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 CALL TO ORDER Present: Chair Diaz de la Portilla, Commissioner Reyes and Commissioner King Absent: Vice Chair Carollo On the 12th day of January 2023, the Board of Commissioners of the OMNI Community Redevelopment Agency of the City of Miami met in regular session at Miami City Hall located at 3500 Pan American Drive, Miami, Florida. The meeting was called to order by Chair Diaz de la Portilla at 3:52 p.m., and was adjourned at 4:10 p.m. ALSO PRESENT: H. Bert Gonzalez, Executive Director, CRA George Wysong, Assistant City Attorney, Supervisor Todd B. Hannon, Clerk of the Board PUBLIC COMMENTS FOR ALL ITEM(S) OMNI Community Redevelopment Agency Page 1 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 OMNI CRA DISCUSSION ITEM(S) 1. OMNI CRA DISCUSSION 13261 A DISCUSSION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA") REGARDING THE EXTENSION AND EXPANSION OF THE OMNI CRA. RESULT: DISCUSSED Chair Diaz de la Portilla: Are you ready, Mr. Clerk? Todd B. Hannon (Clerk of the Board): Good to go. Chair Diaz de la Portilla: Everyone ready here? I think Commissioner Carollo is not going to be joining us for our CRA (Community Redevelopment Agency) meeting. So, good afternoon, everyone, again. I'm calling to order the January 12th, 2023, Omni CRA meeting. You ready? Mr. Executive Director, we have Item 1 on the agenda. You're recognized, sir, to discuss Discussion Item Number 1 into the record. H. Bert Gonzalez (Executive Director, CRA): Good afternoon, Chairman and board members. The Omni CRA made a presentation in November 13th to bring to attention several of the expenses and items that we are burdened or assigned to pay on behalf of the interlocal agreement. We are introducing this discussion item to start the procedures to negotiate with the County and re -present it to the Board to reduce what is essentially what we rebate the County, 35 percent to 25 percent, which will allow us to go ahead with more affordable housing and what the CRAs are really entitled to do with creation of jobs, remove slum and blight. So, that's what we're here for, to present this item for discussion, sir. Chair Diaz de la Portilla: And this item for discussion will be turned into a resolution that we're going to pass today, hopefully, if we have the support of the Board. And what we have is also an extension and expansion on the Omni CRA that includes the Liberty City area, the Allapattah area, that we had discussed previously in other meetings. And it is, in essence, the first step in the CRA Board passing this or not, and then moving on to the City Commission, where we have to support it or not, and then it goes on to the County Commission. The County Commission will decide, and then it comes back to us. We have negotiated a better deal, we think, so far from our perspective, Jrothe Omni CRA that the City of Miami keeps more dollars on our side. Instead of 35 percent, it'll be 25 percent. We have eliminated some of the agreements that we have with the County, including the money that were -- the -- in the global agreement that was assigned to the train that will go from Miami to Miami Beach. We took that out of the agreement. So, in essence, we -- that's no longer a reality because the mayor of Miami -Dade County decided that it was no longer a viable option, so I think it -- am I correct, Mr. Spring? That's a $50 million obligation that we had, or is it -- is that the right amount? What's the right amount? Larry Spring: Larry Spring, Chief Financial Officer, City of Miami. The $50 million was related to the Port Tunnel. That is being defeased. Chair Diaz de la Portilla: Right OMNI Community Redevelopment Agency Page 2 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Mr. Spring: It's the additional -- I think there were a few additional requests that -- in the previous -- Chair Diaz de la Portilla: I'm sorry, so what -- Mr. Spring: -- iteration of your redevelopment plan. Chair Diaz de la Portilla: Right. Mr. Spring: Those things have been -- you've reduced several of those obligations. Chair Diaz de la Portilla: What's the total de -obligations that we've done? Mr. Gonzalez: On which particular -- we have several items. Chair Diaz de la Portilla: Total. Because my understanding was that we have made an adjustment of $50 million, but if that's not the number, it doesn't matter because it's going to come back to us anyway. What are the de -obligations, for lack of a better term, because I don't even think that word exists, but anyway, that's what you call it. Mr. Spring: It does. Chair Diaz de la Portilla: It does, really? We got to Google that to see -- make sure it exists. Mr. Spring: The biggest one was your 35 percent funding towards the Performing Arts Center bonds. Chair Diaz de la Portilla: Right. Mr. Spring: It's a 35 percent carveout on the top. That's been reduced to 25. Chair Diaz de la Portilla: Right. Mr. Spring: We have -- we are fulfilling the commitment to the Port Tunnel but only through 2030 -- Chair Diaz de la Portilla: Right. Mr. Spring: -- not through the remaining life -- Chair Diaz de la Portilla: Right. Mr. Spring: -- of the CRA so -- Chair Diaz de la Portilla: And what's -- Mr. Spring: -- that would be -- Chair Diaz de la Portilla: -- the amount? Mr. Spring: That's $4.2 million per year. Chair Diaz de la Portilla: Right, $4.2 million -- Mr. Spring: So -- OMNI Community Redevelopment Agency Page 3 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Chair Diaz de la Portilla: -- for how many years? Mr. Spring: For approximately 14 years. Chair Diaz de la Portilla: Right, okay. Mr. Spring: So -- Chair Diaz de la Portilla: So, 14 times 4. Mr. Spring: Yeah, that's 64 -- $65 million. Chair Diaz de la Portilla: That's even better, that's even better. 1 like that, okay. Mr. Spring: $65 million. The 35 percent reduction, I think that translates to about $15 million a year. Chair Diaz de la Portilla: Right, so that's 70 -- 79 -- Mr. Spring: That's what that would be for the entire remaining life of the CRA -- Chair Diaz de la Portilla: Right. What -- Mr. Spring: -- from the date it is approved. Chair Diaz de la Portilla: Right. Mr. Spring: You are continuing your commitment to Maurice Ferre, the $2 million -- Chair Diaz de la Portilla: Right. Mr. Spring: -- that number is estimated at $22 million. Chair Diaz de la Portilla: Over the length of the agreement. Mr. Spring: Right. Chair Diaz de la Portilla: It's a million a year. Mr. Spring: A million dollars under that -- Chair Diaz de la Portilla: Right Mr. Spring: -- but that's -- Board Member Reyes: One shot. Mr. Spring: -- not to exceed one million. $250 million now towards rehab redevelop -- Chair Diaz de la Portilla: Affordable. Mr. Spring: -- development -- rehabilitation -- Commissioner Diaz de la Portilla: Housing. OMNI Community Redevelopment Agency Page 4 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Mr. Spring: -- workforce and affordable and mixed -income housing and ownership initiatives. Chair Diaz de la Portilla: Right, so $250 -- Mr. Spring: And again, borne out of the savings that you will -- Chair Diaz de la Portilla: Correct, so the $250 million goes -- Mr. Spring: -- garner from the reduction. Chair Diaz de la Portilla: -- to affordable -- which is probably the biggest commitment in the history of the City of Miami -- Mr. Spring: Right. Chair Diaz de la Portilla: -- to affordable housing, right? Mr. Spring: That is correct. Chair Diaz de la Portilla: Yeah. Mr. Spring: And then no dollar amount, but land acquisition for development activities and more grants to grow the local small business enterprises within the redevelopment area. Chair Diaz de la Portilla: Perfect. Board Member Reyes: Okay. Chair Diaz de la Portilla: So, that's what we're doing. What we've done is we've renegotiated a deal that was what I thought was a bad deal to begin with. I think we got a good deal for our city. And then this is the first step in trying to get there and see what the County says. We're also withholding some funding for the County until they understand that we're entitled to our fair share of revenue because they've been cutting down on a number of dollars for us, so -- a significant number of dollars -- right? -- over the course of the years, including the funding for our trolleys and everything else that we've all discussed at length. Mr. Spring: And also, the opportunity to, as we look at redevelopment opportunities in the new expanded area, to also fulfill those initiatives, housing -- Chair Diaz de la Portilla: Which will be Allapattah -- Mr. Spring: Allapattah and Liberty City, yes. Chair Diaz de la Portilla: -- and Liberty City. Mr. Spring: That's correct, sir. Chair Diaz de la Portilla: Right. Okay, so that's the expansion of -- part of the conversation, okay. Board Member Reyes: Question. Chair Diaz de la Portilla: Any questions? OMNI Community Redevelopment Agency Page 5 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Board Member Reyes: Yes. Chair Diaz de la Portilla: Commissioner Reyes, you're recognized. Board Member Reves: What happened to that -- when you talking this is a better deal. If my memory doesn 't betray me, there was a deal made by the previous -- I mean, with the County that the County was going to keep the -- because the CRA, the way it should work is that -- and you know it -- it is because there's slum and blight in the area. And any tax increment that results from development should be reinvested in the area, that area. There was a deal in which the County would keep the money and do whatever they wanted with before. And I don't have -- because that was an argument that I had with the previous chair, and that I said 1 will never support that. What is -- what happened with that deal? Mr. Spring: So, at this point, the County --- Board Member Reves: Because the only one that is using the -- those funds for redevelopment will be the City of Miami. Mr. Spring: Well, I mean -- let me say it this way. The County, in approving what will eventually go to them, will likely have some demands, if you will, with regards to projects that they may want us to support. Board Member Reyes: Outside of the boundaries of the --? Mr. Spring: No, no, no, only -- Board Member Reyes: Okay. Mr. Spring: -- within the boundary. Board Member Reyes: Within the boundaries, but the deal that was arrive at before, I want you to make sure -- they were keeping the -- Mr. Spring: So -- yeah. Board Member Reyes: Okay. Mr. Spring: So, they -- one, statutorily, we cannot spend any dollars outside of the geographic boundary, one. Board Member Reves: I do understand that. Mr. Spring: We understand that. Two, having had so much past experience with the expansion, since I worked on it, in the -- in all of our CRA negotiations, there have been certain projects or projects that we've said, "Hey, we're going to fund these, " and those were put in the redevelopment -- Board Member Reyes: Like the tunnel, Jbr example -- Mr. Spring: Yeah, right. Board Member Reyes: -- that the CRA was -- been formed -- Mr. Spring: Right. Board Member Reyes: -- to that -- to finance the tunnel and we finance it. OMNI Community Redevelopment Agency Page 6 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Mr. Spring: Right, so that was specifically put into -- Board Member Reyes: Yes, right. Mr. Spring: -- the CRA, but that was -- if you recall when we did the last extension and expansion, the geographic area where the Port Tunnel entry and boundary was, was put -- was expanded into the Omni CRA so that it could -- Board Member Reyes: Yes. Mr. Spring: -- be included from the funding. Board Member Reyes: But that was a trick. Mr. Spring: Right. Board Member Reyes: And you know that. That was a trick in order to make the tunnel feasible, I mean, be able to get the funds for the tunnel. But we talking now is something different -- Mr. Spring: Right, so right -- Board Member Reyes: -- you see. Mr. Spring: -- as of right now, there have been no requests with regards to any specific projects. What we've been focused on is fine-tuning the expan -- you know, the parameters associated with the -- with this expansion. Board Member Reyes: Okay. Mr. Spring: And -- Board Member Reyes: Okay, and my position on -- has always been that a CRA -- and you have experience with CRA; so do I, okay. I was the economist for the Overtown/Park West redevelopment project. Mr. Spring: The original. Board Member Reyes: Probably you were -- Mr. Spring: Actually, you were before me. Board Member Reyes: -- you were in junior high probably at that -- in those years, okay. And my understanding all the time was that the CRA has a mission, and the mission is where there is slum and blight, that use the tax increment to finance development and redevelopment within the boundaries. Mr. Spring: That is correct. Board Member Reyes: And as time passes by and slum and blight is eliminated, then the CRA sunsets. That is my -- okay. I have nothing against using -- because it will be to our benefit if we expand the CRA to other areas using the tax increment from Omni in order to be able to develop other areas. Mr. Spring: In the expansion area because now it still will be all Omni. OMNI Community Redevelopment Agency Page 7 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Board Member Reyes: 1-- that's where I'm going. That's where I'm going. Mr. Spring: Right. Board Member Reves: The expansion areas. Now, in order for us to expand, we have to go to the State, and we have to go to County, you see. Mr. Spring: We have to go to the County. Chair Diaz de la Portilla: County. Board Member Reyes: No, no, you have to -- State -- Chair Diaz de la Portilla: No. Board Member Reves: If they have not changed, if they have not changed the regulations, any modification have to go -- I mean, I haven't read that statute for a long, long time. I might be -- I might get it, okay. Now, my question is this, okay, we are going to go to Allapattah, and we are going to go to Liberty City. Chair Diaz de la Portilla: Yes. Board Member Reyes: Which, listen, 1 have nothing against that. But there are other areas that they have slum and blight, Little Havana. There's some in Little Havana -- I mean, a lot of Little Havana. And in -- I'm going to be honest with you. We don't have that much in D4 (District 4), you see. But if we are going to expand and we going to benefit other areas of the City of Miami, I mean, I'm all for it, but let's make it as big as we can. Mr. Spring: Okay. Board Member Reyes: Because, you see -- and I am going to tell you why we included Park West when it was -- Overtown/Park West was formed. We knew that Park West was going to naturally have to, I mean, develop. It was going to develop. People were going to invest in Park West, but they were not willing to invest in Overtown. So, we put them together in order for us to use the tax increments from Park West in helping Overtown, okay. That is why at this moment I am not opposed to an expansion, as long as we find those areas that there is plenty of slum and blight and additional development is needed, and we use the tax increment that are generated -- mostly is going to be generated by the Omni into Liberty City, into Allapattah, and if possible, Little Havana. And that's what I've been asking all the time, all along. All along I said -- I mean, I will not pull -- I will not accept -- I mean, I will not support the -- I mean, the extension of the Omni CRA unless other areas benefit, you see, because right now, you know that it is developed. Omni is developed. But now that idea, which I think it is a great idea, to use that tax increment into Allapattah without -- because the alternative to that, Commissioner, the alternative to that is -- and I said it when you first got here -- it is to ask for a CRA in Allapattah and Liberty City, you see. That is -- but 1 like this better because we have a source of iinds that could be expressed there. Chair Diaz de la Portilla: Yes, sir. Board Member Reyes: Okay, but we have to be very careful with that. Chair Diaz de la Portilla: Yes, of course. We have to -- of course. And we use some of those dollars now that are being generated in the urban core to Allapattah and Liberty City, so I think it kind of works in a good way for everyone. OMNI Community Redevelopment Agency Page 8 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Board Member Reyes: 1Vo, no that's -- Chair Diaz de la Portilla: Yeah. Board Member Reyes: -- it is fantas -- it is -- Chair Diaz de la Portilla: Yeah. Board Member Reyes: -- it is a great idea if it is -- if it's like that. Chair Diaz de la Portilla: It's properly implemented, of course. Board Member Reyes: It is properly implemented. Chair Diaz de la Portilla: And I would -- yeah, of course. Board Member Reyes: Okay. NA - NON -AGENDA ITEM(S) 1. OMNI CRA RESOLUTION 13274 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA") AUTHORIZING THE CRA EXECUTIVE DIRECTOR TO TAKE ALL ACTION NECESSARY TO PREPARE THE EXPANSION OF THE CRA TO INCLUDE THE NEIGHBORHOOD COMMONLY REFERRED TO AS "ALLAPATTAH" IN THE AREA AS PROVIDED IN THE FINDING OF NECESSITY DATED NOVEMBER, 2020; DIRECTING THE EXECUTIVE DIRECTOR AND LEGAL COUNSEL TO PREPARE ALL NECESSARY DOCUMENTATION TO PRESENT TO THE CRA AT A FUTURE TIME TO APPROVE THE EXPANSION OF THE CRA BOUNDARIES TO INCLUDE ALLAPATTAH, ALL IN A FORM ACCEPTABLE TO THE GENERAL COUNSEL. ENACTMENT NUMBER: CRA-R-23-0001 MOTION TO: Adopt RESULT: ADOPTED MOVER: Christine King, Board Member, District Five SECONDER: Alex Diaz de la Portilla, Board Member, District One AYES: Diaz de la Portilla, Reyes, King ABSENT: Carollo Chair Diaz de la Portilla: Are -- is there any --? I need a motion. Do you have a motion for me to pass this? (COMMENTS MADE OFF THE RECORD) Chair Diaz de la Portilla: Okay, so moved. I'll second the motion, and then we're going to have public comment. Is there any public comment on this? George Wysong (Assistant City Attorney, Supervisor): Could I just ask a question real quick, Chair -- Mr. Chair? OMNI Community Redevelopment Agency Page 9 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Chair Diaz de la Portilla: You can discuss what you want but make it quick. Mr. Wysong: This is -- what you're passing is a resolution instructing the executive director to move forward with this plan because -- Chair Diaz de la Portilla: Yeah. Mr. Wysong: -- there are certain stages, like for modification of a CRA, you have to do a -- an update on your finding of necessity. There's public meetings -- Chair Diaz de la Portilla: The finding of necessity is pending on this but -- Mr. Wysong: Right. Chair Diaz de la Portilla: -- the Commission -- the CRA (Community Redevelopment Agency) is now moving forward -- Mr. Wysong: Okay. Chair Diaz de la Portilla: -- to instruct our executive director to move forward. Mr. Wysong: Okay. Chair Diaz de la Portilla: Obviously, all the -- Board Member Reyes: The finding of necessity. Chair Diaz de la Portilla: -- components of the finding of nec -- that have to play into that -- Mr. Wysong: To follow the procedures to expand -- Chair Diaz de la Portilla: The procedure is the procedure. Mr. Wysong: -- and extend the -- Chair Diaz de la Portilla: But we need to move forward -- Mr. Wysong: Got you. Chair Diaz de la Portilla: -- so that's what we're doing. Board Member Reyes: Yes, it is -- and -- Chair Diaz de la Portilla: Of course, the finding is found, of course, basically. Board Member Reyes: That's right. And I'm going to he honest with you. It is not that easy, you see. Chair Diaz de la Portilla: Right. Board Member Reyes: I mean, we can be blocked by either the State or by the County, which I hope we don 't. OMNI Community Redevelopment Agency Page 10 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 Chair Diaz de la Portilla: Right, and I hope that the County -- and we're working with the County to try to get there, but obviously, all the proper steps will be taken for us to get to the place where we need to get. Board Member Reyes: Okay. Chair Diaz de la Portilla: Obviously. Board Member Reyes: That's a good idea. Chair Diaz de la Portilla: Thank you, sir. Any public comment? Seeing none, public comment is now closed. All those in favor, say "aye." The Board Members (Collectively): Aye. Chair Diaz de la Portilla: It passes. 2. OMNI CRA RESOLUTION 13275 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY, AUTHORIZING A GRANT TO CAMILLUS HOUSE, INC; AUTHORIZING THE ALLOCATION OF GRANT FUNDS FROM OMNI CRA TIF REVENUE 2022- 2023 BUDGET IN AN AMOUNT NOT TO EXCEED $250,000.00 TO CAMILLUS HOUSE, INC., A FLORIDA NOT FOR PROFIT CORPORATION, TO UNDERWRITE A PORTION OF COSTS ASSOCIATED WITH THE "MIAMI SHELTER PROGRAM" ("PROGRAM"); AUTHORIZING THE EXECUTIVE DIRECTOR TO NEGOTIATE AND EXECUTE ANY AND ALL DOCUMENTS NECESSARY TO EFFECTUATE THE PROGRAM, ALL IN FORMS ACCEPTABLE TO THE GENERAL COUNSEL. ENACTMENT NUMBER: CRA-R-23-0002 MOTION TO: Adopt RESULT: ADOPTED MOVER: Christine King, Board Member, District Five SECONDER: Manolo Reyes, Board Member, District Four AYES: Diaz de la Portilla, Reyes, King ABSENT: Carollo Chair Diaz de la Portilla: We have a pocket item by Commissioner Christine King -- Chairwoman Christine King. You're recognized, ma'am. I think you want some money from us. We can give you some, that's okay. Board Member King: I do. Chair Diaz de la Portilla: Okay. Board Member King: What I am asking is that the Omni CRA (Community Redevelopment Agency) fund beds for the homeless -- Chair Diaz de la Portilla: Absolutely. OMNI Community Redevelopment Agency Page 11 Printed on 5/24/2023 OMNI Community Redevelopment Agency Meeting Minutes January 12, 2023 ADJOURNMENT Board Member King: -- at a tune of $250, 000. And 1 pledge that the Overtown CRA will also match that, which will get us to where the Camillus House is serving, but what I'm trying to do -- that will get us to 85 beds. What I'm trying to do is to get us to 100 beds, and I will need the support from the City of Miami to fund an additional 15 beds. But right now, I'm asking that the Omni CRA -- Chair Diaz de la Portilla: Okay. Board Member King: -- be generously f and to the tune of $250, 000. Chair Diaz de la Portilla: We were born generous, so moved by Commissioner King -- Board Member Reyes: Second. Chair Diaz de la Portilla: -- for $250,000 from the Omni CRA, seconded by Commissioner Reyes. As long as you match 250 from the Overtown CRA, which will come eventually, so that's a total of 500, that works, but 250 for now. All those in favor, say "aye." Todd B. Hannon (Clerk of the Board): Chair. Board Member King: You got to -- Chair Diaz de la Portilla: Yeah, I'm sorry. Mr. Hannon: Public -- Chair Diaz de la Portilla: Let's open up for public comment. Any public comment on this? Seeing no public comment, public comment is now closed. Now, the issue, all those in favor, say "aye." The Board Members (Collectively): Aye. Chair Diaz de la Portilla: All those opposed, "nay." It passes. No further business to discuss. The meeting is now adjourned. Thank you. H. Bert Gonzalez (Executive Director, CRA): Thank you, Board. The meeting adjourned at 4:10 p.rn. OMNI Community Redevelopment Agency Page 12 Printed on 5/24/2023