HomeMy WebLinkAboutCC 1980-06-19 MinutesCITY OF M I A-lAl
c
OF MEETING HELD ON June 19, 1980
PREPARED BY THE OFFICE OF THE CITY CLERK
CITY HALL
RALPH G.. ONGIE
CITY CLERK
IND
A IRM-05"�Qn
1m NO, I (SPECIAL) SLUG
JUNE 19, 1980
1
I
FUND RAISING EFFORTS FOR CUBAN REFUGEES Y.ATCH DOLLARS
RAISED BY W.Q.B.A. & LOCAL LATIN BUSINESSMEN N.T.E.
$30,000.00
2
CONFERENCE/CONVENTION CENTER
(a) AUTHORIZE INCREASE-STRUC:LRE STEEL
3
CONDITIO\ALLY AWARD CONSTRUCTION CONTRACT CITY OF
MIA's?I/U\IV RSITY Or N;iAMI Ji',%%'ES L. KNIGHT
INTERNATIONAi, CENTER SUB., -,CT :0 SALE OF REVENUE BONDS
4
AUTHORIZE CITY `',ANA6ER TO CONTRACT FOR NUNIL:l?AL BOLD
INSURA!NCI, $60,000.00 REVEN(,E BONDS-
C.O.M. UNIVERSITY OF KNIGhT CONVENTION
CONFERENCE CENTER
5
AUTHORIZING CITY MANAGER TO EXECUTE LEASE AGREEMENT
WITH DADE SAVINGS AND LOAN ASSOCIATION TO DEVELOP
AND OPERAT AII. SPACE A>OVZ PROPOSED CITY PARKING
GARAGL-C. OF �11.VIII/UNIVERSITY OF MIA.°lI JAM S L.
KNIGHT INTERNATIONAL CENTER
6
ACKNOWLEDGE AND APPROVi; R LINQUISh-SENT BY MIAMI
CENTER ASSOCIATES, INC. OF AIR RIGHTS ABOVE
PROPOSED CITY PARKI'�C, GARAGE IN C:�)NNE:;TION
WITH CITY Or OF ML&oll JAIMES L.
KNIGnT INTEh-%ATIONAL CENTER
7
DISCUSSION 01' PROPOSED SPECIAL COINISSION MEETING
IN CONNECTION WITIi THE CITY 0: MIAN:IATNIVERSITY
OF MIA.*1I JAME S L. KNIGHT INTERNATIONAL CENTER.
INMCE oR
SOLUTIOtV iI PASE NJ
i
8J-Z,30
%-0f'r-431 —
P1-80-432
M-80-433
R-80-434
R-60-435
R-80-436
R-80-437
1 18-21
1 22-47
R-80-438 47-48
DISCUSSION 48
MINUTES OF SPECIAL MEETING
CITY COMMISSION OF MIAMI, FLORIDA
On'the 19th day of June, 1980, the City Commission of Miami,
Florida met at its regular meeting place in the City Hall, 3500 Pan
American Drive, Miami, Florida in Special Session.
The meeting was called to order at 1:45 O'Clock P.M. by Mayor
Maurice A. Ferre with the following members of the Commission present:
Comm.L5's iC.c --, Jac Cr"" . i'(I
C0mm,4.5bi0111': J. L. Pi!.!r!ne. Jn.
Commi6.64,cnc�` �+:�:, . ) T(:��a��c G.ibsa►;
Vice. -Ma!/ .A.zma;:du Lacasa
tiIayot kiau^,icc A. Feite
Also Present:
Jcse��h� R. G��tSsie, �;.t�� ''aviaget
Geo.tge F. Knox, C<1.y Attc.ti,ey
Rat ph G. C,Lgic, Ci.y C�e.lh
Ma.t-ty H ta.t, Ass111',s-ta,.t Ci 1 y Ci0Lhz
An invocation: was delivore� j w Fat,. r ',ibson who then led
those present in a pledcjc o; a11c_r,i_.lnc_ to the `lac'.
1. FU:;D RAISING EFFORTS FOR CL'BAN kLfL'G :LS ::ATCH DOLLARS il. TSED BY
W.Q.B.A. & LOCAL LATIN BUSINESSMEN N.T.E. $30,000.00
Mr. Lacasa: Mr. Mayor, Commissioner Carollo and myself want to bring to the
attention or the City Commission....
Mayor Ferre: Tell me the what the subject is and then I'll ----
Mr. Lacasa: The question of the Cuban refugees.
Mayor Ferre: All right, Mr. Carollo?
Mr. Carollo: What we would like to present to the Commission, Mr. Mayor....
Mr. Plummer: Excuse me, is this for a determination as to whether it will
be acceptable discussion for today is it, in fact, riot? As a matter of
technicality, Mr. Mayor, in a special call of the Corwr.ission we can only ad-
dress those problems in the special call and I assume what you're cluing or
hope I assume what you're doing is to see whether or not this will be a second
special call.
Mayor Ferre: That's correct. I'm asxing what the subject matter is.
Mr. Carollo: I think this is a subject of extreme importance to the whole
community and of extreme emergency. This has to do with providing food for
the Cuban refugees that we have in our streets now who don't have a place to
live , who don't have a place to eat in.
Mayor Ferre: All right, are there any other subjects that any member of the
Commission want to take out of any particular order or that are not on this
special call?
.'.r. Plummer: Mr. Mayor, since there is the possibility of a second spe=ial
call of the day I will reserve the right awaiting information as to whether
or not I wish to place something on the second special call.
Mayor Ferre: Well, J. L., there are two ways in which these matters can be
brought up before this Commission. one is if the Mayor of the City makes a
special call and the second way - wait a minute, there is no second way, is
there?
01 J UN 191980
Mr. Plummer: yes, sir, t„sec cZ
Mayor Ferre: No, I'm afraid that's wrong, the Ch::rter doc� not provide for
a special call by three members of the Co:-'nission.
Mr. Plummer: well, then I'll ask - not that I want to cje: into a hassle
with you, Mr. Mayor, but it is my understanding - Mr. City Attorney, Can't
the majority of this Commission call a Shecia. Meeting?
Mr. Robert Clark: No, Mr. Plummer. i mic,it add for your information this
meeting was called by a resolution limiting the matters of discussion to the
Conference Center items so if you're going to go into any other matter, I
wo"Id suggest that the Mayor using his power call a Special Meeting.
Mayor Ferre: That's correct.
Mr. Plummer: There's no question about that.
Mr. Clark: which has not yet been called.
Mayor Ferre: Let me go over this so that you understand.
Mr. Plummer: And may I see the Charter relating to that, please?
Mayor Ferre: I have been working under this Charter for I guess 10 years
now and to the best cf my recollection there is only one way that a Special
Commission Meeting can Le called and that is at the call of the Mayor.
The majority of the Conw;ission cannot override my decision or, that- Now
what you ca: o is ,11 for a Cominissior, Meeting on the subject at another
time, that you can do. you can call for that subject to be heard in 5 days
or I forget what the time limitation is but you cannot call that meeting
today.
Mr. Plummer: Mr. '•layor, I would still accept your offer to every Commis-
sioner the day that you took office, and I find no fault with, that any
member o: this Commissi�-,n who ever asked for a special Meetilig that you
would call it witnin the hour and I'll still live on that premise until
otherwise informed.
Mayor Ferre. Z . L , if you will rem,emhur that offer ti,a'.. I made was to
particular circumstances and if I did make that offer let me tnen remove my
offer aria Say that as Mayer c;i the City of: Miami I will call specials on
th tI,-.at realize ol: feel are either an emergency natVrc or so mething,
that cannot J'_ tar:t•n duriric; the regular coarse of `,_,siness and since wo
have a mectlnc' in this p,irticular monti] on the [oth i will ]Udo., as to
whether or not the: matter is of sufficitn,_ emery4nc.,,' to take it at this
time. However, t",r: c,.,_=r.lo:: of foo-3 for my qro:p of people, black or white,
Cuban �Dr. non -Cuba. CErt 8i:.ly sometnin.; tnat- i:: my i :i matter of
emergency. We have.. that are cpDirci witho�` ..ot. mealt; and that are
roaming the streets anr. that t;: _ sc numbers a;-e in of 2 or 3,000, I
certainly feel th.:t t:l<it is so.metnincj that ':ill impact and affect not only
the Ciiban community but everyboay else in this towl,.
Mr. Plummer: nr. h,aycr, you are aware•, I f-, ,ered the motion to feed
the black pc�oi::l, after the rl.ot, and I dig, so happily, I will be happy to
offer that motion today if necessary so that is not what is in question.
Mayor Ferre: I realize that's not in question, that's why I've gone through
the pain of taking your time and making all these other points.
Mr. Plummer: I appreciate it.
Mr. Carollc: J. L., excuse me, just on a point of personal privilege if
I may to make correction, that motion as I recall was not to feed Llack
pec_'ie that needea it, it was to feed vagrants, in other words winos and
drunks in downtown Miami, that's as I understood it, if I may make that
correction.
Mr. Plummer: I think you're correct but in reality it was the way I put it.
Mayor Ferre: well, I looked upon them as human beings.
Mr. Plummer: That's exactly right.
Mayor Ferre: Now, at this point with the authority vested in me I'm going to
call a Special Commission Meeting specifically to discuss the issue of hot
P.V ', N
0
meals for people that are andering the streets of t,lar,,i � which I think
is a critical subJect for us at this time.
Mr. Carollo: Thank you, Mr. Mayor.
Mayor Ferre: I'm not going to get into a jurisdictional problem as to which
one of you wishes to speak.
Mr. Lacasa: I'll let_ Mr. Carollo make the motion but I want to clarify some-
thing because you mentioned that we're calling a Special city Commission Meet -
in,; to discuss the question of hot meals, this goes a little bit beyond hot
mE lls, tT'.fs goes into other considerations such i:3 shC`.1tE.f. wilitir, af.Q::'.s not
only tiiC' r(7 ytrcS Gtlt tliE C1t'j G; maa,_i 1tSGlf, t:.e lr.la,'( that. the :lty Of
M1a i has not Onl here but abrOoG and tile. que.tior. of thou rtat.ily �.Y=';:e:15 of
this community. So we will have to en';t•T into --his situatic,n wl .h a ver, com-
)rehens,ve viow o: t}a' Wi,:)lt CliiE'.3t.i0: rC.i.cl: inclu.Jos ocit.i fll'u'iialiilt tLl.u:. reasons
which arc naramount , t'7e questior. of he pc,oplc :,', re t;) )I.' r es.. _Ir'~c�, to meet
their basic needs n:Uh:1;! sh itet , .not ..^,'.• J1Fi and :,edi' .1 assistance. TOO other
questior, which affects to a tremendous extent the City itself it, the ques-
tiEjn of hundrE:CS )f i:'.'OT)lC, wttho:.lt .,.._:.tE_'r _,:irg %round ..:i this tow:: t;�leepinq
in public Barks, in Miami anc
tnls thing has, to i�o= tai:cn care of h" .i:i, ::u i.i`;l i:U.id.L' S1(': + if w(:
find any other anency or the 'ett:eral cjuv,:2,,:lenl C:oES
this ;particular timo. '11-,e 1P.1 ,:u of t.n.e C1 `v of Mira:- . ..gab ',-WC':l .:awl.: 'vlrt In
the last 3U da'y_,. (-,edIesE, tc, ay, taut t:if (•; :,GII;l: QCVl9lOjlir_a C'I: L..".ems
City, the of this tit`.' is it sta?,e. 4C are' a C:iC'.' i:;i l'_ lives
economicilly speakino not Gnly Lro:r, what we produces l:+t .i:.' but rJIIi ttif, t com( s
from outside. Latin America and Europe is very well :3k',a.` Uf W:1.3t ;s gcing on
1.ere and we Cann6t artcrd t0 i Yt :.L tal,itt i 1^laCjE' io C;"Y wit('.
of people, I rC Jt_at, wandering abcu-,: . ur streets. sU i car yUu to
include the Whole concept into thiis, and now Mr. Corcl'lo, for you:. mc,tion.
Mr. Carollo: Mr. Ma,. or, thI_ouC;C: thE:' initiative of 1'r'(j7, F,iC:1Ci 7Lci:liaT:
were the persuns tc acknowledge tn(: problc::; that we Go nave in Gur zttreets,
and we have several hundred ptaople a' least that are goiny withviL LaSiC'
human. needs. The,_,, have arrived here from Cuba j'..st weeks ago anti for what-
ever tae rEuL.on t.ieir sponLors have fa':len t':;ro'.I tneyPre our in thu streets
without shelter, without fooc. W'YBA R(CclG Stati.o:i ttogetnc:•r wit', u GrC,L:P of
Latin businessmen hsve been aLle to tv I`ce.: these
people. They're f<E':ll:; t::ii:, Ce,' 3 gay, ii;lF.' G )?l pal i 1:Ec7 ITie.31 oncE .i da\'
and _t is r::y ll:.7Cr5" inGilig that .;,E_ ha"e nt_or.
:ri .nd renrllc, ci -iav vI newly drrivec, C uh,,:, rel��gees. W:Iai. W,:' WO,;Id
like tc, present :".`:Yi_' to tn..rtSl7Grl-
sibillty also. l�t:rE_ WE' :'.'l V' 2 a segmt'I. t of the C li, ^'u:: i' that r,a, come forward
and put their dollars where t1huir mout-: is anc: they' ,.av%f raiser , s'.:bstantial
amount Of mon,7�y t�, fee,3 these ;.eople 1L� problem of all the cor.u.tun-
? ty n0: L st C.nC parr r C`C 4SC Of VjaMl 5,,1!- al7ea
affects all o: us. What wt, Would Like t'D _ iOj�USi: J t l COm,.,.�Jii'• an.i
I'll be very hcippy to at t211S tir.E.. SCe lef
The Vi'::t: MAy,_' rra, �::,`_ �;��m:`:1.;S1C.,. '7C1GS on record
SnCI _'!t:i Of tnC: Cl.ty of :`.i:+ID,l'(-_, i'iC':,E:}'r 1., Otrlc:r WCiI:1S lAat...
the 530,G06 that 41,JA il",aic :nation, a::C', thee diffc'ren- -LoTin ''Z-,;S1"ncsS,men have
raised to feeu those f;un..ry _',Wa:i YC f i-� f�.r the next twu weei{S, three weeks,
however long the amount of money would last.
Mayor .: rrc: All richt, !' i l rO.:ognl'!.e b(,L--, of yC)L, for that mGtiOi'. in a mom-
ent, but h-e`ore wE, that 1 think 1 ',;o.':lc remiss if I ci:a not a k Harb
Levin anc- Raul Ma'-vi- iierz,;ips to s.ci> orward a:id share whi t ti,e}''re done
because thl_' 15 a cornmirty( tr'. I:a., Let::. f.inc:t_ionln,3 for well cver ., mJnth
now and there are a lot_ of Utna have ,7iven a lot of fionc-,y c'omipletely
VGiuntariyy, not set::'r:1n I c._. a:,y 'kind Cr what navQ you, but I think
Herr and is.iul , -hat it is imp: ,rt in'. Chat w,_ iE'C'Og;i;:L( the jC n(3:( _;itj Of the
iA.3lly peQpl, that have' I7C'.::: lIi!'ol'.'C Ci "n tr: i. s :I f o: t . s0 A. k'GuwCl ilY.c' tG ask
of you t: ,`_ej_ orw-ira aiu per},:i •o Srldre a few minutQ,; Wi.tn
M- . lier:.ert Levin: TIi.3r•k you, :3yc . : ' m 51v:1b,_ . I-C, I:C:rt 1n_� SLO
the responsiveness of t.r,t Liar:._ l t7 We
understand that there is a problem oUc in oar streets a::.i _ _,., recog-
nized it also, wt-. -.flee upon frie-i s of ours in the cotrurzznity rLi_,rL—_er.ted
today by Nor. cone _,N with ap,-7roximutely '$?0,(,G0 tc, Tuna-. the
program immediately and we'd line the. City to r,e u;: u::d continue it. It's
not Our to q('i .ntG an tiVc:.riasti: fetes:/:iC prOCJY1ITl . , this 1:-� interim,
it's emergency, it's to j'1st curry u5 IrCiTI thi'i brl6gt! time, I mean rlgnt
now today and the next couple of weeks until we see the federal government
coming in here witn some programs of re:,ettlement and care for these refugees.
JUN 191980
r r,
Mr. Raul Ma:;vidull
I command the CriT1:_SlOII u uC Clod .ii. di lV.. d:. a.. j _
seems to be a Vej_' lli'(3t'I".t L,a:C'.. C tt:i.., "lI'L'..cil:.. .,.:. 4:;a_'_.:i:.Cj the
streets of Miami Let -weep _ivu seen
the problem. I have count.ed ut 1Last _:VG or 43 'e ,; �,:i.'.L :LI at ,airports,
going for three or four d;iy.,; without. zi meal. At the initiative of: Jorge
Luis Hernandez of WQbA a group of priv.tt_ citizens, Cuban businessmen, 1
will mention a few: Diego Suarez, F:i,u l RecarcY, Armando Codina caot together
and started a drive to taut up soma_i money to a` lids{_ feed these individuals
and keep them off the streets while wc' coulc get some .etion by any govern-
mental unit. 1 applauli your initaar.ive today and I hole that the problem
in going to bc! resolved on ., )ermariu-nt basis. I dD t :inic that you :lrc. doing
tile: entire conanu;Iity 3 iovcr, it ;s not just for a G,.;::ch o people who hap-
pen to be wander./n,; .,round the. ;treats today. I thin: that you are doing
the community great benefit. Thank y<_�u very much.
Mayor Ferre: all right, now for the mutiorl.
Mr. Carollo: Mr. Mayor, the motion that we would like to make at this point
is that the City or m.`Lami match that $30,000 that these good people have
raised so that this process could go on as long as possible in feeding these
refugees.
Mayor Ferre: All right.
Mr. Lacasa: Second.
Mayor Ferre: Is there further discussion?
Mr. Plummer: Under discussion, 14r. Mayor, and let me indicate before any
comments because I'm the one that '.lsually asks the questions that People
prefer net be asked but I still have to :io it. for tl-,e record. Let me indi-
cate to you that I am voting f�vorai;i'' for the motion but 1 think It must
be clarifiers `or the ZE'.% rd. S,�i ,h questions ds who is going to c.i:rinister
the fund-- How are the moneys gr.i::a t -) dispcli aed as where City noney
is involved or is it going to requite corpetitive bid.ling for thy_ t:ot meals?
I think all of those c:ueiitionS ne2d_; to be anSWt:rec: nCforN Inybociy walks
out of the door ver;✓ -jubilantly and, fort+ know, I also will want to put an-
other stipulation that I think is -,mandatory.
Mayor Ferre: 'i'ou'v� qot to for it? They've cot to work for it?
M_ . ,luI%rf r: No, Sir, yOu'ru! thlnki,,c, of the other skit; of- the tafale, Mr.
Carollo' ; motion lnciude,l thdt b'aforl. Mr. Mayor, I wo;iil e:ll you that
as you are well aware and other m,,-,dyers of this I travel this
City ever, night ar.d I know pretty muc'i what goes or; as the heart and the
beat of _his City ai,d ,. wi, ii tell yo': t:'„it as a citizen burl, ai.: ralsedA in
this community tr;ut w]nic: exists today is something that all citize,.s of
this com:.l'ani ty wt)uici be as:,amed t'= Set: going on. I nave S tl:. j,r c)t":it sleep-
ing In the streets a:ld on sidew6l,C1; wit::: their 3.-Iiy o(-d d j_)lE'(_-t of cdrd-
boaru. I have, s(:t:. _),'ogle in thi, of thi.S CoiilmuI:.ty 4:'tii�'.'_ rood,
without basis of ilft.� al:;: ..,_. r)ne, no onF_, by and
say tn'.t wu tiff. ::hut tha:_ is tak;.n•j -,lace in cllr
big. Mayo:-, iL h a LO Uu Sdi ?..,.,t L:...t probleIT1 W:..., liOt !'ro t•... :'1 t::iS
Colnlmiszllo:i. was crC:ati_Q !) bu'rcaucra,,y '-.1 WI-A�.hi ,gtc.n who, hrtVe failed
to mcut ::C: IleeLIS U: LaGp1L WnO tnuy' invited throucj:. their ihlt I<1tIVr
And I would want_ stlpulatea to this ;'.lotion that every efto:t, i:vc:"',. effort
F,cssib: b, mane that this: Cit;- b,_ ru:rbursec3 by the people who: created
the problem, namel.% t]%,L: c;ov,_.rnment. 1 am tact ma;:ing it mandatory
t.1at they must but as 1 dl. :4yi:,r tha;L every effor-: .,.',stne x..cAae tc. try
to [het the peo->le Whc; crl atdi. this 1 ro'lblt ,m for us aI nLl Gait Cill:;:'','�nl*'i' to
bL; the_ way that it. should he. I would like tr:. se ottl,�f clues-
r_n= ura..urcd, M:. ;iayc.. end nct for my pl.rposus as :r,uch t.., thos.( people
w.to will be udn,_ IF the program 1: ti.al is gjjnn LU to a problem
let's; discuss it niJ,,: �i, Clic imp lementatIon if ;Otjruril c: ,n start
tomorrow, not in ten days.
Mayor Ft,rre: Mr. M;andajer, :If YB Were :ci,r qut:S .,,ur... a.,lK, it, woL:1 �- : .i c: t
, f you or somi:boaiy in staff co"uid answer that.- Ai,--' _ woe:! .' r
a.urthu ; ike
to ask, perhaps Xr. Fos.moer. Can on t;JU C:Lle;1tl.o:1 _)f' t':e ,pi�llcci-
t:Lon to the rJeprlYCnit.,nt of Agriculture frr aci.alC1J:,a1 food funds that are
available for eXal:tly there type of pir)oses of
already made a written petition for those funds
the reimbursement for the moneys expendea by the
riots or whatever they're called.
w ,,. thur not wo have
an-1 Where we stand with
City during the recent
91
JUN 19 980
Mr. Grassie. O .. r._ c , Mayor and imerr,:Dcrs of th( _,:,. In
response to Comm —shiner Plu;',unt_r's questlVns
received by the: City, the :ion`y from the private se. ;r, :.e :.v::E;' would
be administered by the City, we wouic administer it ,s static _,n terms
of the food part of t,,,2 tlrGCj rd:il �a:'G _. .1: ,:r. Vli'_ave rUc'S rc, jC ll
other words we woulu buy meals through i�im ans dispense the meals that way.
Mayor Ferre: And that was on a competitive basis? i re:mefiwer the $1.95
for a hot meal which is unbelievably low,
Mr. Plummer: it would be an extension of that, is tnat what you're saying?
Mr. Grassie: It would be an extension of a program that we are already
funding.
Mr. Plummer: Fine, I have no problem. Fine.
Mr. Grassie: It would be a:, expansion of it. Anc, of course, they do ac-
quire their food products through a com•_etitivt._:)rccess. In addition to
that we, of course, would audit the progra:.i aft-ei the: service was completed.
Mr. Plummer: 'Ahere would these meals be served? if you're talr.ir:r, about
4 or 500 which I'm sure that you are that's a probier. within itself. You
know anybody that worked In the Ora..C.e BC;WI knows wi:at that problen, wncn
you start talking about those kin' of numUers. You Know, our offices have
all ueen receiving complaints about the problem existing around 9th Avenue
and First Street and it's surely to my knowledge not a place to be serving
meals.
Mr. Grassie: he meals would be served at the community center which Mr.
Villaverde does operate now.
Mr. Plummer: All right, then the second phase of that which Mr. Laeasa
was inL;istunt upon, I would like the administration, if you've given any
thought to as what about housing?
Mayor Ferre: J. L., let's pass this motion and then we'll go to the hous-
ing aspects of it because I think they're separate issues.
Mr. ?iummer: tic, as I understand Mr. Lacasa it was most imperative that
that be coupled with this ir; this motion.
Mayor Ferre: It's going to be votei upon and I'm going to vote for both
of them. Okay? And I think everybody else will here too. So you have
not answered the question as t. reimbursement.
Mr. Grassie: 'vie havc made: application for reim�)ursemunt for the past ex-
penses, that is _nose that we incurrc_d in the Oran;e Bowl Pro,ram already,
we havc not received any funds from the federal government yut but all of
the assurance-s thut officiuls frogr the federal government have given us so
far would i::dicate -_;-.at t ,e City wall get reimburses.
Mayor Ferre: how about for the hot meals, the $40,0J0 Expended after the
riots?
Mr. Grassie: NG , those expenses world not tall at ull under the same fed-
eral program, oasically the FZMA administrative program and we have re-
ceived no indication so far t;:at the federal government has any intention
of reimbursing us for any of those expenses.
Mayor Ferre: F;el., I thiz.k should orficiuily petition to the Department
of Agriculture for r imburs,2men t. inv`y can turn, us down but I think we
ought to be on record r«_uesting reimbursement.
Mr. Grassie: We can certainly asK.
Mayor Ferre: Would you do that?
Mr. Grassie: Certainly.
Mr. Plummer: Excuse me, Mr. Mayor, and I can't let the record go without,
you ;snow, adding to the record. I don't see it as a parallel situation.
The federal government did net cause the other problem. Okay? Or allow
it to be caused, that's a different ball game.
45 JUtii9198Q
Mayor Ferre: Plununer, L. afia I ::1�1' _ il.. �'C _+ i:.�.::'.L d ::l ,
accept it and I agree with it. Nevertheless, woaid you please try to get
reimbursement for the $40,000? We all know that the odds are: 10 to 1 that
we won't get reimbursed but let's ask, huh?
Mr. Plummer: I agree.
Mayor Ferre: And I think that that is something that you ought to dis-
cuss with Frank Jones. I have talked zo the White House about it and the
White House said that they might look upon it with favor if they find the
proper vehicle to ao it because I said we didn't cause the riot, we had
to feed all these people aril it was an expense to this com�r,unitl.
Mr. Plummer: il. Mayoi: , It was rw-, un uc-rstandlnr, or my r, �7011ectlon tells
me that when we pa;,sed the moti.)n for that feeding that was coupled to
the motion.
Mayor Ferre: And, therefore, I'n askinc; whether th_a .'s been done offic-
ially and the answer is no and I'm saying please do 1.t. Okay, is there
further discussion on this?
Mr. Grassie: You asked for some information on our request to USDA for
food supplements and I'm going to ask Dick Fosmoen to report to you on
that.
Mayor Ferre: Mr. Fosmcen.
Mr. Fosmoen: We've been in contact with the Food Distribution Center in
Jacks(.nville, what they have are ingredients availablo, Mr. Mayor, and
upon execution of a contract with them they will make ingredients avail-
able to a designated agency for preparation of food which hopefully will
reduce our costs.
Mayor Ferre: All right:, any further questions? If not, then call the
roll on t..is motion.
The following motion was introduced by Commissioner Carollo who moved
its adoption:
MOTION NO. 30-430
A MOTION ALLOCATING AN AMOL NT NOT '1G EXCEED THIRTY THOUSAND
($30,000) DOLLARS AS MATCHING DOLLARS TO AN AMOUNT RAISED
BY RADIO STATIOIJ Wr'.BA AigD OTHER LOCAL T•,AT!N BUS INESSX N TO
FEED NEWLY ARRIV :D r l:_ PIJ REFUGEES WHO ROA:: OUR STREETS;
SAID PROGtv1X: PO iSF, CO::SID: R} D AN FXTENSIGN TO TE:i. PRE6ENT
EMERGENCY Pi:OGRA11 BE'll.G OPERATED by R*-.FAEL 'V ILLAVEKDE
Upon being seconded by Commissioner Lacasa, the motion was passed and
adopted by the following vote -
AYES: Commissioner Joe Carollo
Commissioner J. L. Plummer, Jr.
Commissioner (Rey:.) Theodore Gibson
Vice -Mayor A_mando Lacasa
Mayor Maarice A. Ferre
NOES: None.
Rev. Gibson: Mr. Mayor, it seems to mt� that we would be foresighted if
we were to raise the whole question with the federal government not only
to feed the people but to treat these peo*Lie like: you treat all of the
people whc come to this country and :,re nee(I .nd t -t the govcrn:�e:1t
assume as a part of their respc,nsibility s-L ce they are the invitees to
n(.•t Jr 1.y .�1V!'. t) ebt' ri" G, 1� UCiCU IJL:L CjiL't ntC L'' �Y C SUme of the necessities
Of '_1 6 WhICh i5 �C:,.. 511E'1teY 3:.i: ".Ot:t., .:, inc:r dible that you
_oul;a sec: on tEeleV:.iiG: t:.at { :.c_;e eo l� flat _o . l _:11 Y t' ��� - 011tjid�'_.
tnest' Cover:,;nent r l'.1 ��lii v j tis :.hi: 4.'e Ci.iJe a 1n,.. .;vrE• ._..,,L al.�.. ..01��< a
darne—, thl;;g w2 t}. t,, o , C VU.. J 11GG1 blll1..�, Oti i know
nC 3i]r1Fid1 :flan .1Chur)! bulicin^)S but thy- fe, .era'
make some suggest.icn.,, that- :-.obcicy will turn down. Hnd it scam_, to me that
if they were aoir;c, tt;eiz �c,L not only, we woular:'t Only hFive to come- u;D
and feed people, we wouidi:'t ha'✓e .hat a- a p:cb:em. They would deal with
it fort"hrigh-:.iy d:.i max(. sure_ t,"_, tP;ia F;�r, ,.f situation ioeIn't help.
Let me tall you this: I was in Central Amc,lca all of last week and man,
the kind of pub.icity we get is 3ust incr�di:le, it's disgraceful. •It
makes me ashamed tha'- I liv, in a City trot is iic: more - well, isn't
responding any better than it is cr arty quicker t::a;, it Is. So I think
600 J U N 1 g 1980
that I'm not spea.{l:i-j from th,' point of fee�-Jlnn, Li., t1-- point
of going, to the wholc issue so that we don't h&VC. tv O';,L :,( rr N t_Ce meal
and patching up. You kriow, we're feeding them tot',ay, about where we
going to sleep ti«se people? Aren't we concerned? I dust thought I had
better raise mina now.
Mayor Ferre: l wjuid liKe to before ! recognize Cofrinissi,)ner Laca sa to make
his motion on the housing, I think I would like" to Ong you to make a
motion that we officially thank by resolution WQBA, Raul Masvical, Diego
Suirez, Mike Recdrey and the- others that have given of their money and of
their time in the help of these people. So would one of you make that motion?
Rev. Gibson: I move.
Mr. Lacasa: Second.
The following motion was introduced by Commissioner Gibson who moved
its adoption:
MOTION NO. 80-431
A MOTION A MOTION OF THE CITY CC.'LMISS.1'ON CFFICIALLY COMMEND-
ING AND THANKIN , RA:7L MASVI: A-�, ai;A!�EZ, ;,r,%.ANDO CODINA,
LUIS BOTIFOL ;kND OTHEc`: LA'1'1, b ol1�r L\, AS 'WELL A Wr)6A,
ITS MA.'vA�Er, ki:=:Fli'Ri' M. Lc'.' I'2S NEWZ Z)IRECTCR FOROIE LUIS
HERNAND%7 P,NL: THL �7JNTA PATriIOT IG-. CUBANA ITS PRESIDENT,
DR. TONY llF. VARONA, FOR I':it`s-IR TI2-11' AND EFFORT .;N Tj ,_' C31_'LEC-
TION Or' .;O::ILS TO YkC>VIDL FOOD AND OTHER N .CESSITIEc" FOR
NEWLY ARRIVED CULAN REFUGEES.
Upon being st.conded by Conunissioner Lacasa, the motion was passed and
adopted by the following vote -
AYES: Convcassioner Jue Carollo
Commissioner j. L. Plummer, Jr.
Commissioner (Rev.) Theodore Gibson
Vice -Mayor Armando Lacasa
Mayor Maurice A. Ferre
NOES: None.
Mayor Ferre: Yes, Mr.----
UN::JENTIFIED SPEAKER INAUDIE:dI, SPEAKING FROM AUDIENCE WITHOUT MICROPHONE.
Mayor Ferre: would you submit the list that you think is appropriate, you
and Mr. Masvidal would submit the appropriate list?
Rev. Gibson: Mr. Mayor, that's the intent of my motion.
Mayor Ferre: All right, so let the record reflect that. Now, Mr. Lacasa,
for your motion on housing.
Mr. Lacasa: Now, befcre I move I'c like for us to 'near Mr. Piecra who
has some ideas. He represents a group or volunteers who has been working
throughol]t thi.ii prrblem of rht2 Cuban refugees situation in Miami for many
many dL"'j— :1r.0 ::1'4 ;rG; j. i`+ :i rUu: :,f volunteer people `_hat 'has cooperated
with the City dnn witi, the federalgovernment in.nanaling the question of
refugees all throughour_ this iast mor.tt-. �:i6 tney do cave certain recommenda-
tions lira3 ct,rt]lr. .duas t;-,az they would llkt, to s`.are with the Commission
as far as the shelter rellugc:es is concerned.
Ira: :1, . . •uVu1 , t:.. ,....Tt ,31a'. t- ;): CUl .'.O dO iL'_ bei , that the food
El*.',•dtl_.. �.3_. 1-t-er. p:ai'`.._ ., cil'Ia1 for :;r timt' belnj is the Shelter of
j.ec"Ole. wt: r;uV _ i1...1_ :>l'.VCt:-. Ut �lii:.S .-.�. _ w:i1Ch the most uC;;essible
right now would lit' t'r,c Latin Co L-nunity PdrX. Ow^•_i: C:' the City Of mlard and
it i.,, u: uur c.e'.t_lujt:�1 S. bi. 4`.-, st.rcet an-' -,t'.. Avenue 1. I recall
corrl-.:t_y. %a 5 all 51CU2t1 .1. tilt: of c, tct:t cl'.y eve,I thou, h _,u7,c ie
are against th;:* r:ulld oe s_t ;it ,ne place. I t;,_r.k the advantaces of
th. s would be d-_� `o..:Ows: 'illteuacces- I lilty Oi VOl ntt-i rS, tC115 program
has fal_ert )Et: :, a L:L' it'. Jlt Lt,c_� :;e ui the rr_*;H.1'ihi of t.:tso si.t'_s t0 a
place witurt. :,%t, g0 wGrK; tY.e t.t ,_fLt 5s tC t.nt CORtmL;:,ity
cenzur wt:crc _i liUc5 arc. glow LCing :eu walcr: ,s :c:- ;- blJ .�S away, n0 nC't?u
for mass rdLS.)GrLutiC : ^.OnateC by t.`ie City ul M:cTi lancer these circumstances;
there's no CC,St to the City or COu,.ty as t a5 we .-an see except In donations
or lending of the site for a few wc:t_ks c,i m(,nths; it is not within the tourist
areas, it cannot bt_ seen from places where tour.6ts...
J U N i 9198 0
Mayor Ferre: The press wii.i t:: ;E
Mr. Piedra: Wel:_, I guess ;.fiat's ;olr ,c.. .1:>i:s::};eY. _.. t:: ic. `m, sure you're
familiar with P;HSHA, the CUbari co:7S;l'_:iity or Jana.:La-,;: Un :If CAoctGrs i::nt: so on ana
so forth and they're vary near, they're :more than, glad to aonate their time
and services. This wc)'A16 cC?1tral:Ze u.11 thv ref,.igee�% roaming the area for the
purposes of employ-murjt, future liT illi;:"utlOn l.,roC:ed'ure6, relocation, so vn and
so forth as tnUy Islay c.(imc. This ',,,ou1(! also help in the cc;r,tral. p:LaCe' where
comrAtti=es will i ei p thu-i t ln�: tael r f am11G:i . i' m surer you're aware the
Cubans have small municil-it:lity jroups ti,at represent the towns they lived in
at,d So 011 anCj SO fvT'l.I at.: 4.'}li'T t11 y _ 1:::: tllel.r ow:: ?i]Gj '. - frc:.. that tOWri and
s) on in,; biD fartn ':i,(' 1G ::c'l t.;-:ti,-, lUt in @^.::lOy .L:a ,nd hoL'si r.'1 and so
0.'1 an(i 6c, forth. Tnl �r,_ S d an-, t::t' :'l.lt,".l River
In the h),c-k SG ir1 C, .-:C C_>I 11 iy,c r.'1:,Ct iri l'_..1t10:: _:ncrt: wou I"!'t be
a great. prol,ler;. 7h,4'_':; i;'1T'Sil'_ Y..e, the rEStYWi hav': Li_ ._Ly
out, we have not had tnG tirne wri1C:, 1ti n,aybE x warc!rIc, SC „ DOagE: island.
Mayor Ferre: 1 w0'.il lire t0 a r;, i Y. c'leGta, t;,n'= xC a;?il proacIt this way.
Mr. Grassie, Mr. Pi�.?ura's recolr,:nc.naatiOtis I think have, his first recommenda-
tion has a lot of merit, it also nas a .Lot of proInlems. Who `.do'.,lu you assign
in your staff to work with Mr. Piedra in .corking cu," woul it be Mr. Odio or
would it be Mr. FOz_mo(::n?
Mr. Grassie: Cesar Oaio i:- very knowledgeable or, all of this problem,, has
been working with it as lor,z,, as anybody in the community and Mr. Odic would
be the person to follow up.
Mayor Ferre: Mr. Odic, have you ir,et with Mr. Piedra on this subject?
Mr. Odio: Yes, sir, I got him involved in the program.
Mayor Ferre: You got him involved? Okay.
Mr. Odio: I have to disagree with him, thre are some costs involved.
Mayor Ferre: Of course: there are costs.
Mr. Odio: We met, Mr. Mayor, this morning with the United way and the
County and this tent city was brought up, the United way would have means
of putting up some funds to cover the costs of this tent city if it is
needed.
Mayor :'erne: we need to house these people, the question is how are we going
to house them.
mr. Lacasa: we'll, as far as the tent city is concerned I want to go on record
opposing the idea. I think it is undignified, we h,,c an experience at the
Orange bowl and thoTat-. it might be expeditious I believe that is not exactly
the kin:: of shelter that we want to provide these people and if anyone has
any doubts abrut it all we have tc do is to check the kind of weather that we
have ou:side an:mil CC. ttijn. GZ rai. , th:.t kC're- h;ivinc, a;.;. a tent city
ti_at wo iid be tret.e:i: ous. :]ct_dless tc s.]y ti:at al: o presents cuc,st on_ of
sanitary considerations. Sc., Mr. Manaaer, ::o have any other alternative
in the City of Miami? Any other property of the City of Miami that could be
used for this particular purpose?
Mr. Gras:lu: Well, we can always take a survey of ollr properties again, this
has been done once, Commissioner, in the last week and the conclusion that
we came to and precisely some members Of the community as well as Fir. Odio
have been working on this, the conclusion they came: to way that the tent city
suggestion was the most aprropri�,ze but if you ;eol tl.at this cs,...re ar:other
review we can cerr.ai�-,ly go back and see whether there is another 4lternative
inzit can be found.
Mr. Lacasa: But in that survey that you condicc.t:-' the ..niy possii;ili::y that
calve out was the tent city or was something else considered besides the tent
city?
Mr. Grassie: Well, of course, we have the icings of facilities that we have
used in the past, you know, we still have the Or,inge 3ow'. vvious.v, we_ .:avE:
some of the auditor --Urns, the: pro blems of :iavi.nc comma e'_t1nc: ;1scs t:: t Conflict
with this kind of use basically put them out of coiiside.r.az on. B;.t -cs know
we can review those schedules again and take a look at those circumstances.
Mr. Lacasa: Okay, I submit that there is arorner poss.i'oility which is the
Ada Merritt School that is closed now, it is owneu ;)y the i;. S. Labor
SIR J U N 191980
Department and NF:DA a,.d this Comrission night, I will include in my ^otiorl
a request that we request from NEDA an. the U. S. Labor uepartnent that
they lend to us that facility so we can use it.
Mr. c.le6rc,: Lhc; 'C5 t tl't: optic-,. miic``it fill th. City of Miami
but you mig;'t iiel p Uc„ wnj.ci, 1:. U-fur" .i.. a:i ci` ctilabiu .it Dodge
Island, a waxehous' type of :,i.tuation, t.ilr.' Cl.0 Coast Vuarii lbc,rra'1ks near
the new Dade County Dco, there were ,i few unoccupied barracks there.
Mayer Ferre: Father Gibson wanted to say something.
R,v. Gibson: Mr. is woof:. appear to me that if government c.uildings
wt_re available i;,:l w . ':lave: a crisis we ought to give t:Ie administration the
understanding th.it we' :.-e going for building-s anC: it shcul,:In't make any dif-
ference if they're q,-ing to turn to^^t over tCi US the C1tI as a cju,vk_l nental
entity, turn the,ii oVt'r to the CIVIL SO tndt t:1': peo:ale rIC2Vt, t.OI;w t.0
stay within a reasonable length of time and not qo tc the tent c ty _ruposi-
tion. Stih:-it ib tne cli ference if 11ndCr tnC: 1° W(' dG:,'t haV,-2 the
facility in, trig Cizy Of Miami L'at here is Dade C6,_.-nty SChuol Boar_C wit!-, a
i)ulidln,. > ti_t. i:. ri:..1C: UT-), iiCrc" 1-
it woul'i appear ':r mr'' that what we oug". _ zcn C:c iS L" CO cr t:ie "C:.
And it is easy tU tr,Aiisport. the loco tI"C Jvu alrc.,. Y ..I di 1T-
itles arounu ana it amak-us �llst more S<.'nse than for 'LLS to :i end ;",C'.ri sit.
here ]ockcy1RU about whether it is tEnt: city Or whether it is in the City,
we didn't plan this, this is an emergency.
Mayor. Ferre: Okay. would you reiterate your motion, Mr. Lacasat
Mr. Lacas,l: My motior. is that tho City staff be instructed to secure facil-
ities within the City of Miami to rrcvide shelter to the Cuban refuac.es
that might be in :feed of such a service and that we request from NEDA that
the Ada Merritt fa ilitias be lent to the City of Miami so we can use it
for the same pur:josc:, sheltering the refugees.
Mr. Carolio: I st_cond that motion, Mr. Mayer, I would only iikE: tc, add that
without a aou':>t vile Ac:ri ,,:crritt School is the best possible site that we
could h the at tn,s ;,oi2-,- in time . llowever , it is not in our power t(-) cecide
here today or next we<<k whe=, we're gcinq t0 opezn that Lip. It might take a
week, two weeks, who knows :low long before the proper authorities -1r-)C_t3e if,
indeed, t'ney're goin,, to let -as usc. that ti:lllt'. . .,, trit I'.'eant.1me, we're
to S.r-e Zvi iC of c0. :e sleej inq .:, the Streets and
3,.cc _u1j . Wh3:. wouic] 1:Ke to pi-oi t-isc., -_ha-_ in tC,.o mean-
time: we do F:r• 'dli'at so:lu e:._ f7Lillties. I don't 1::-ke ehu wC1:ts C;ili.l:.g Ir
a tent city, but.' S'Om tt_ilt IaCl.ilt le o ? �. ! nr. me%i:.ti .t? to r.Jvi(1e " very
short terForary shcit,_r for these pc_orle teat are in terrific need until
we find a.,eCTu<itt: facilitle:,. -hese peo7�1e have come to our shorCs looking
for freQa,rl, ' et's ;-Ic'w L-,_-Zi2 what freedom .b 11KE' and t;.l_. is t:-ie ueSt oppor-
tunity that we caul: have not to only show r_he new Cuban refugees that have
arrives what freedom is all about but show the whole woria this country is
truly a fr e,_ country and the Statue of Liberty stai-,as tot: -re in New York City
for a reason.
Mr. Grassie: Under discussion, Mr. Mayor?
Mayor Ferre: Yes.
Mr. Grassie: For the information of the City Commission, I think that. we
need to report to you what our initial contacts have provided us by way of
information on that particular building because we have riot overlooked it
but you need to know what the problems are and I think Mr. Odio an tell you
about that.
Rev. ,ibso:.. Mr. .:a;:;r, i just th-Ink we're ne.nt: near sighted to not add
a cause them.: •.v:~_i_'i is net in i'here. Wne:i vc, r:ay that the City of Miami
must provide you then limit yourself. If a man is in trouble....
Mayor Ferre: Fucher, just in tae interest Gf tir:e because I think I a.ree
with you and I think everybody else will too. Will this wording be Uccept-
al;le - this is cla•ise {b) in the motion made by you - that the City of Miami
also survey other possible shelters other than Ada Merritt and request....
Mr. PlLuraier: Put the wording neighborhood facility.
Mayor Ferre: All right, neighborhood facilities and have other agencies of
government, namely the state and Metropoitan Dade County and the School
i'
irq
J U N 191980
Board also participate in the search for unused buildings. Does twat cover
your's? Do you accept it?
Rev. Gibson: Fine.
Mr. Carollo: That's finQ, Mr. Mayor, I don't think there is any question in
anyone's mind that that all that the City of Mami can do at this point in
time is really provide a small bandalc. to the problem. The solution lies in
the federal government but. while that solution is underway thee; we are going
to have to provide a small bandage to whatever the problems are.
Mayor Fur.re: Weil all right, are w(-, clear now?
Mr. Plummur: Y(2, we're clear. sir. .,ayor, let me just -make a co,ament reiter-
ating what Mr. Lacasa said, it was � aa,like today that Mr. Odic) and I stood
In the Oranc'e Lowl an tnankea God for t:ic tact that noboCy 4:a5 hurt witn
violent W�_,3ther like this when ha.1f of the tents Pit',. down end that is wny I
would be oppose:: to tents being IDLIt bt,Ck up, we are experiencing this weather
every aiternoori ;an:: I would just be :earful of the same repetition but maybe
not without injuries so that is why I would be opposed to the tents.
M:. Carollo: r. ..a,•or, or. thc- czher h,�r.. .~:e s t la"..:; that w(� have presently
as wo have peo- ie that a2:0 sti\'inn ,.,. d:aTiuJneG huil6ir,y5 th:,t ,rt' t.xtremely
unsafC that coul� fal'. i)�irt at -kny .:.Lr:Jtu L,r, top cf t'rl:_, t,eople Lind I would
find that �ituation :)f more: C,3n(rrr. u.. the ,.er.z_ sit..ctio;.. I rcaliL,` that
we're Comincj G:,t. t:,e urLnuf mci:ths ?nc w,2 have a rLA,n ' oft-4 : but we
have to look at this as a tempor,iry snelti:f for %;1tSC 2; C) .0 to s' C'ti': at
night, not a t_hi`. ':a caner-,_ tl;ey're
day basis and aT least if they have a tent to sleep i:i, Oven if it. 1, rain-
ing, mayb, there art-, some leaks In the tunt, I think it 15 co:,ng tc, be better
than :saving tc, sleep right under the complete exposure to the weather or in-
side a builf_inc that at anytime could fall apart and they could really, indeed,
lose their lives thee`.
Mayor Ferre: Okay, further discussion? All right, Mr. Odic.
Mr. Odio: I'd like to inform the. Commission that if we can net these refugees
in one place the Department of iiealt.h will start distributing food stamps to
them right away and this can help alleviate more of the situation that they
have. So it is imperative that Ore do try to get then^ ir:Zo one location so
t a, they can start receiving help and also ti,e voluntary agencies are eager
to get with them so that they can be processed and out in that resettlement
program.
Mayor Ferre: 0}gay, call the roll now, please.
The following motion was introduced by Commissioner Lacasa who moved
its adoption:
:SOTION NO. 80-432
A MOTIO:: 1NSTR1QCTING TH-E ADMINI TR.TION TO I:1MED-ATELY SEC-
URE SHELTER WITHIN THE CITY 3r' RIIAMI FOR NEWLY ARRIVED CUBAN
REFUGEES, IL2UF..STING NE:,A LCCN'_,MIC DEVi?LOPMENT
AS OCZt..I.i;:) 1iiA1 .iii: . ni:.';, IN:.,,, AS ..:E "ALA
MERRITT SCi:J'JL" LE TO T!: CI'.Y 01' h1IA :I F%`r USE As A
REFUGEE Sii�'.�= DUPIN(' _rii P- S�:�i CRIc;I� AND:tiAT Tii't.
ADMINISTF'A'::0N BE ilIR CT;FD O .:URLE"i
SITES :'CR TE'•..PCR.APY U_`E, AGENC-
IES SLC:. Af' Tiil' STA1'1. O . u�iiilD?A, 1i : c:CP�:i,� :'e 'v J:�I COIP.'i ,
THE SCi:_.OL ?3ARD, ETC. TO AL-'O AID lP TEZ S::ARCId FOE. :,UCH A
FACILITi.
Upon beincj-,uconded vy Commissioner ti,e :Notion was passed and
adopted by the following vote -
AYES: Comm ssioner ice Carollo
Commissioner J. L. Fiur.•,mer, Jr.
Commissioner i%ev.; Theodore Gibson
Vice -Mayor Armandc Lacasa
Mayor Maurice A. Ferre
NOES: None.
Mayor Ferre: And then I'd like, Mr. .aT.ager, if you would put both of
these items that we just passed on the agenda next week on the 26th for a
brief report as to where we are and what we've dons.-:. All right?
J U N 191�80
Mr. Carollo: Mr. Mayor, if ; may, the motion that was o.. roc: If 1
understood it correctly was a motion to be sent to find out whether we
could use the Ada Merritt School or any other facility.
Mayor Ferre: Right.
Mr. Carollo: Now the question of using tents as a temporary shelter....
Mayor Ferre: Was not part of the motion because the maker did not, now you
can, you're perfectly welcome to make a motion
Mr. Carollo: ' hjlc ._'Q pike lit, CIO at, ti:.l: point in; tlmu i�, brina at up for
discussion if Wt: :>L:11 need tc,, tin,-� t:.at wa b;:ougr.t ul' net' by
this gentleman which _ tiiiiik was i very good question and il(2 r;ade some very
good paints, that we do provide some temporary shelte,: _;, r',e "rms of tents
in the Ri_verfront Parx next to Little Havana on a ver, temporary basis.
Mayor Forme: All r-L jnt , you' r e makin,y tlic , in the: I c rm of a motion?
Mr. Carollo: That will be made in the fora, of a motion, mr. Mayor.
May:-)r Ferre: All right, there is a motion on the floor, is there a second
to the motion?
Mr. Lacasa: You mean tents?
Mr. Carollo: Temporary shelter.
Mayor Ferre: Tents, temporary shelter on the Miami Riverrront Park. is there
a second to that motion? Well, hearing none, I guess that means ----
Mr. Plummer: Mr. Mayor, would it not be appropriate to try and help Mr. Car-
ollo, and I understand exactly what he's saying, that if in immediate need
that we give the Managar the latitude to open a facility such as Virrick Gvm
which was used before for immediate need purposes only would that that? That's
there.
Mr. Carollo: That would be acceptable to me, if we would open; that up thcit's
fine.
Mr Plummer: Because it has bath facilities, it has shower facilities.
Mayor Ferre: All right, Mr. Carollo moves, Mr. Lacasa seconds.
Mr. Carollo: Excuse me, Mr. Mayor, I think Mr. Odio wants to say something.
Mr. Odio: It doesn't have a roof, the roof has been removed, part of it...
Mayor Ferre: The roof of the Virrick Gvm?
Mr. Grassie: we're replacing the roof, we're now under contract.
Mr. Carollo: See, what I'm trying to do is to provide an immediate solution
to the problem which we haven't done yet.
Mayor. Ferre: All right, Mr. Carollo moves that the administration be instructed
to find immcd:ate shelter if possible within the corporate bounc:s and within
our jurisdictic:i. if possible, if not Virrick Gym or wherever and Dust come
back and would you make the report a verbal report oefore the 26th?
Mr. Lacasa: That will have to be tomorrow because thesQ people need the
sha L�_er now.
Mr. CrirollL,: Sre, the bottom line is, Mr. MEAyo., that I don't think it is
acceptable to aliyon:e in this CGIiLlllnl.T:l' that Wl 111VE: ..' nlit_:i,: of people run-
ning around ioosu at all haars of th(.! day a:i our City, sleellrn�', _;i ...
st:'eets an4 sleeping on the sidewalks, sleeping ii, 41-an.ionec buildings, 1
do:)'t thi-nk that is the kind of image that we want to have as a City and I
think that if we try tc, find a to~,)orary solution that in due time the fed-
eral yuvernment will step in and find a final solution to the problem.
Mayor Ferre; All right?
Mr. Grassie: Under discussion, Mr. Mayor, the suggestic,.: that Coirmissioner
Carollo is making has merit In this st:nst_ , we hav,:e t; ready Of f,_rr. from the
federal government the tents. We n e a solution to -ay, it really does not
J U N 191980
make a lot of sense for us to _,pen.; th.Lc�: or '....y_
answer and leave people without any answer in t?.% s'r,oit rL:::. I would sug-
gest to you that we need to take care of r;7e immediute ar,3 we also
need to look for a better lone; term solution but that is not at the expense
of failing to solve the problem in the short run.
Mayor Ferre: Of course. A1.1 right, we have a motion and a second on the
floor, it's in more general termF. but specific enough that I would require
that Mr. Od.io keep in at least if not daily at least every two or three
day: contact with members of the Commission as to where we stand. is that
understood?
Mr. Plummer: Fine.
Mayor Ferre: Further discussion? Do you understand the motion?
Mr. Carollo: Mr. Clerk, would you read the motion age.n, please?
Mr. Ongie: The City Manager be instructed to find a facility for immediate
shelter within the City of Miami limits if possible.
Mayor Ferre: Further discussion? Call the roll.
The following motion was introduced by Commissioner Carollo who moved
its adoption:
MOTION NO. 80-433
A MOT1014 INSTRUCTING THE A.DMINIS.'RATION TO FIND IMMEDIATE
SHELTER FOR THE NEWILY ARRIVED CUBAN REFUGEES AS AN INTERIM
MEASURE PENDING A MORE PERMANENT RESOLUTION TO THE PROBLEM.
Upon being seconded by Co-mmissiorier Lacasa, the motion was passed and
adopted by the following vote; -
AYES: Commissioner Joe Carollo
Coiizissiontr 7. L. I'l;:urmer, Jr.
Commissioner (Rev.) Theodore. Gibson
Vice -Mayor Armando Lacasa
Mayor N.auri,-e A. Ferre
NOES: None.
Mayor Ferre: All right, thank you very ".:allies and gentle-mer, ::or your
patience. And to you, Dr. Stanford aid members o: .'.e ur,:\ers.;_y a:7a every-
body that has been waiting Un the regular 1::3 agenda my upoloyies, _ hope
you understand that this was a critical matter that %vt had tc, - al with and
at thi, time I will rec-)gnize the Ma,iar::r_r to o-,en urn t.:;o conf�rence center/
c-:%Vent 1'=... _ _ :tt(.r L:�., �. L1JJ7.. •.. ',:! .. �-, 1. C•:Tl
(XI NFLKENCE/C),-':VESTIii~, CESTER
(a) AUTEAORIZE INCRKAS1:-S1'KCC'!'.;::"t;
Mr. Grassie: Mr. Mayor and members of tau C,.ty I wish I coul-.
tell you that all of the documents that we wanted ------
Mayor Ferre: 1.'m sorry, excuse me, I've beer, tole that I'm doind this sarong.
Now we will formally adjourn: the Special Co-Tdssio:. Mce:ting under the convo-
c-.tion and t:.e powers granted under. the Charter and that mission i;: now ad-
;ourncd. We are now or: the Special City Con,-ni_sion Meeting as called for
previously. Okay, go ahead.
Mr. Grassie: I s_arte� to _,;ay, yr . Mayor anci me,,- r:rs of tht: City C , issior.
that I nac hoped that today I would be able to tell you that �11 , the doCu-
m,.nt.. that you h,3vt li ;tell On vour a9crldo are In f ins _ fore,, and ready icr ap-
proval i,y yoa. ;1nfjrtunately that is nut entirely the case.. that I would
like tc, do befor,. Commissioner Plummer moves to leave the room, is to suggest
this to you: First i_har_ .ifter Vince Grlsm c:xnlains t:,e Items to you that are
ready fur your aCtlon that W, t'akt: a::tlo:, Or; tt':OSt' un,j the.-, part. uil]rl''
because one of the parties ii, thi5 case, Char."hail ilarris for Dade Savings has
suggested that we attempt in the next '-hree hours to arrive at a ,-onclusion
on one item that is still pending. I would want to ask the City Commission.,
12 J U N 191980
0
E
and I realize that: this is ain imposition on yo;.iz time-, it 1 wu.,�L -,D ask you
if you would to consider the possibility o: OUr:11:1 }'.l:i lECt ing for
approximately 3 hours a:,d then let us come back possibl,., a- 5 O':.lo,:k, may-
be even 6 O'Clock if Lhat's agrteab; to you to see whc•tr,cr we cur. :)ring you
a more polished (7ocurtent, on(2 of t :c vital documents a -.at wu hive Lucn work-
inc, on until 1:30 today so it I can u3r: your in3ulgence in that sense I
would dike to have Vince Grimm introaucc; the subjects that are ready for
your action at this time.
Mayur Fcrrre: All right, we'll take it one stem at a time so let's go ahead
With those that we can then we'll decide the rest of it.
Mr. Grim; -a- Mr. Mayor and members of the CommissioI:, there are three speci-
fi;:. items cn this agenda, th<.t you can approve today which would aid us all
greatly, they are items i, 3 and 4 on your a•;enda anLA you have rt sc»utions
either i.I. your packet or Mrs. Bellarr,- is prepared to "'Aral out the one on
MPIA. rho first, is a resolution aut;,,,rizir,c: the increase to the scope of
Rooney's contract for the constructio,: if thy: Conicrer.cc/Convention Center..
The toga'S . amount of �.iiincrease is i, J , 1., }iriallgilt auC lit £Cr
three purpGses, one is to increase •:,i_ c,ntra<'L _:) L:,t� amount o: approximately
a million dollars for those changes wr:icl-i have taker. place since thy.- time of
hi., bid and since C},e "clay that the Ci',, has suf f:c-.red in being az;le to pro-
cee,: whey, it was supposed to which was in Parch of this year. That is a
normal inflationary increase in his contract.
Mr. Plummer: Excuse me, Mr. Grimm, was there a time limit when these bids
were received?
Mr. Grimm: Yes. We were supposed to have authorized him to proceed with the
full scope of the co tract before the end of March of this year, we have not
been able to dc, that and, in fu_t, we are still not doing it today but we
have neyot.iated wit}. him that this price will hold firm now, tha'.: he can still
meet the sciiedulu in the construction time and he recognizes that it is based
on our successful sale of the bonds and that's a key to all of us and a very
important one.
Sir. 1'lt=c—"r: wul-, 'fr. City Attorney, car. this Commission increase this
fi,ure without goin,~ uack to competitive bidding?
Mr.. Jose ,lva: ta: Cormiss:i.or.L'_ l .r mer, Assistant City Attorney Terry Percy
ham- ,...t-en workinc closely on a day to day basis with this project and I'll
let him answer the question.
Mr. Terry Para,: Commission r, the contra:: that was negotiated and executed
as the result of the original bid containeu a provision that allowed us to
increase the scope of the project and thus increase the contract price.
Mr. Pluirner: Then your answer is that the scope of the contract can be in-
creased without returning to competitive bidding?
Mr. Percy: That's correct.
Mr. Plummer: In that amount of money?
Mr. Percy: That's correct.
Mr. Plummer; And Mr. Grimm, are you saying that the problem has been created
by the: inaction of the Commission and/or administration? Because somebody
has to be at fault.
Mr. Grimm: It we'zc; trying to find somebody at fault, Commissioner, the:
e:�e-r,rr.oay c�llt ti,eiy :r;volve"' in this whole project is at fault, and I'm
. - f1..yir,y t_rat :., L rllliiSi(�n l6 a partf tG t '.t because the CUE'Hr SilOn
only a�:, s when wv brill; things to Lnem for i iiEli a t.on. We have not simply
been able to reso;v. tire, maititudc• of problem: involved :i. these nc:r3ot.iations
oil t::e scheau:r• ti.-t- wqr }.c pt L(J. Ivow wh. l-, wc- set these sncedu=.c a 'A 'I
e%ample the march sC �':uib, at Lr,dt LIML Wu Lh.0uqilt wf: }'lac: <i j
.)n, we ?_nuugh'. w(: h,.:;, wf: Orlijinall'}raG started c:-. 1&nUdr`✓ a;;d we_ gave
ourselves until t:,.e el.0 of Marc.:,:. T:;'use drt the most coIttple}: 7,( y'tidtlnnS
that I think a::} o. :-,Ltve ever bue:. involved i:; and we still, as the Man-
ager ust told you, at 1:30 Lhis afternoon are still arguing over some of
the parts of the deal.
Mayor Fec-re: And 1 think what is a very
body of the ability and of the experience
13
germane point, when you get some -
of Mr. GL.andolo of probably one
J U N 1919BU
of the most i resc.l ,o.. ,,. t ' ;4'. K._;s any
issues as he ha., ,.ari,:_ 1,., 1. i..�.r.;�_: ..,, _, _ _:.�� _ ..._ ...._ .., h ,. •._. _
thing as complicateb as this, 1 thin"', that'., cot to tull +0',1 �. methirg. na
the fact 16, i In no way can in any w,,y (-ii.mi1 re aT. wr.at Mr.
Guandolo has done, In alJ' llt_tltcontracts
personal}' as larlje as this, I've 1le''V,2r l'.e:. any ::liiy a9, CJII 1: jC.,1t!_i1 a5 t}:iS.
This is the most complex set of agrec.,ner:ts, and if ;t were ont? or two or three
or ten a'.;regiment__, it woulin't !)e any problem - we've cot soirethi:;g like 30 or
40 agreements. If you stack them ui, or. top of t (2 of}'.er you'd probably
have 4 feet of ccgreenl.,nts. It .ts very dlff..cult. to expect that we could suc-
ce: afully qc) to a bl-,: process on somF_thing as intri;:ate, as compl' icated as
this pTc)_ e t 15. h:. :L we' I e cioii.q here 'Is without. .111V CjiICS i. 1G:i iti m;' lla<1
tht: lar,lr..si ar-i ;'OVE' cif Cody
In the ':.mate of F lorlud Uol;,t ',ilii•7, tJc tl. 1'
ever dC?::i' f_,1.0 t;._SICGIP..,�...C.::i;:�.. No,!-,, In the suconi:
don't think e'vt•: in Nnerica r,ufure t}l '4 I'm aware of ou---sic. of :•,c-w Yor-P:.,
because N,-w York is a world l n*-o ltsolt, ::,. —, there evt.r bt'E:!. a pr lvate-pub-
lic sector complex o: t}.is s1G!_'. i.oW Uuf.i,anC., Ca. .f, ":la Li-10 so�,e other
places have dome thina_s similar bu;. c:r!'t t,-Unk c:.lte this big. Atlanta
has done a fey: thinvj s that ark, Cc_rtctiiil,! mocc far Gllt L!:t not as complicated
nor as large anO, therefOTe, I re'aiiy think t ni:t ai.:Cr we t6}Ct tnL' advice
of learned council. unu the cC.vice o _`ank, --F. and und�r',arltErs I personally
have talked to u dozen ban:cers on this transa:tion and I've yet to meet one
person to tell me that we should have or could gD to a public bid on this -
nobody.
Mr. Plummer: Well, Mr. Mayor, this did go to public bid.
Mayor Ferre: I'm talking; about the selling ol. the bonds.
Mr. Plurtuner: No, sir, 1 was not speaking to that, sir. I would like to con-
tinue. We're speaking now to Item 2 on the agenda is what I was speaking to,
sir. I'll speak :o that later when it comes up. Mr. Grimm, this is calling
for, in very fast figures, about. a 2.5% increase in the scope of this partic-
ular phase.
Mr. Grimm: No, sir, the amount c,f kooney's contract is 26 point....
Mr. Plummer: I'm speaking to the steel.
Mr. Grimm: Oh, it is 19.6% increase in the scope of the steel contract.
Mr. ilummer: All right, sir, 20%.
Mr. Grimm: Yes.
Mr. Plummer: Mr. Grimm, we have not experienced yet 20% inflation and, of
course, your figures are wrong according to this back up, it was not for
March it was for February.
Mr. Grimm: Well, you've skipped now from Item 2 to Item 3, Commissioner,
I'm still on Item 2.
Mr. Plummer: Well, I thought I was too and if I stand corrected that's all
right.
Mr. Grimm,: All right, which one do you want to discuss, sir?
Mr. Plummer: I will read from your backup material on Item 2 and it said
that the successful low bidder would hold their bids through January 2, 1960
and I don't think it is I who stand corrected.
M;. Grir^in: Excuse me, I'm wrong. Yes, we started out on Rooney and now
w!: :witched back, to eel.
Mr. Plummer: Well, but you see, that even further complicates the situation
as to who dropped the ball.
t.r. Grimm: I apologize, Commissioner, we're on Florida Steel's contract.
Mr. Plummer: Yes, sir, that's where I am. Now, on a 20% increase surely that
cannot all be for inflation.
Mr. Grimm: No, sir, most of the increase in Florida Steel's contract is not
due to inflation. It is due primarily to design changes.
14 JUN1g�g�p
Mr. Plummer: All rig.it, and this Commission has
Mr. Grimm: No, sir, this Commission has not approved the, --
Mr. Plummer: Well then how can you bid the st,_el withoat having the design
changes approved by this Commission;'
Mr. Grimm: When the C=r,,ast;ic)n approved tae plan. ur.:.uf which hlorlda Steel
submitted its bid slibseq'.:t'nt to that Lim' ti,�2 r".dde c1nangLs in the
structural requirements of the building which not only materially increased
the cons of steal but materially increased the nun—' er of lit-ces of steel that
had to be detailed anj fabricated. This cost reflects those changes.
Mr. Plummer: IIu: yet tni5 Commission has not approved those changes.
Mr. Grimm: The Commission would approve those changes by this action.
Mr. Plucnner: So thc_n you're puttinc ti:e csr!- before the horse because to
my knowledc,e, now excuse me if I'm wrong, has anyone of this Commission been
furnished a cony of those design changes?
Mr.. Grimm: Commissioner, it's r.o-_ a change in the architecture of the build-
ing ii: is char.aes in tt Details of the members whic"n you rdally wouldn't
want tJ be bothere6 with clnyway, bell(:vc! it. You !::i.w, this is like fabri-
catln(, a piece o steel five fecut long instead of four feet long or making it
eic.nt pounas a foo': instead of tea pounas a foot. it's of that magnitude that's
brought about by the precise detailing of the steel.
Mr. Plummer: Thank you.
M.r. Grimm: Did I answer your questions, sir?
14r. P1uTmer: You answered it, yes - I don't agree with you but you answered
the question. It is rather obvious to me if it is a redesign problem that
was not created by this Commission nor by the administration and obviously
somebody goofed up in the original lesion.
Mr. Grimm: You could say that, sir.
Mr. Plummer: I always operate under a theory 1 pay for my mistaXes, those
who make theirs pay for their own yet I'm !:eing asked to. Did Marshall
Harr.. _eave? He did leave? I'm only taking advantage of a lull. He will
be returning?
Mr. Grassie: Yes.
Mr. Plummer: ..;ay, because there are some comments in a newspaper article
attributed to him I would like him to explain to the Commission.
Mr. Grassie: We would, Mr. Vice -Mayor, like to have the resolution on Item
02 approved if it meets with the approval of the ----
The following resolution was introduced by Commissioner Lacasa, who moved
its adoption:
RESOLUTION NO. 80-434
A RESOLUTION AUTHORIZING Tc:- C:;Y Mn::AGEk 00 COiv'JI-
TIONALLY ASn'.-"RFD A CONTRACT FOR THE STRUCTURAL STEEL FOR
THE CITY vF MIAMIjUNIVER�SITY OF MIA.^:I JAMES L. KNIGHT
INTERNATIONAL 'ENTZi: i'.,v: IDA AN
INCRF :=L IN ^iiE t_I Fr. is Y i, 0_`1, 1`JI '.c $5, 348,698,
COL�L'_'10' OF THESUsJECi TO T::F. v
SALE 077 UJtiL� ISSU:EZ F', .. SAID CENTER
CONSTRUCTION.
(here follows body of resolution, omitted here and on file
in the Office of the City Clerk.)
Upon being seconded by Commissioner Gibson, the resolution was passed and
adopted by the following vote -
AYES: Commissioner Joe Carcllo
Commissioner (Rev.) Theodore Gibson
Vice -Mayor Armando Lacasa
Mayor Maurice A. Ferre
NOES: Commissioner J. L. Plummer, Jr JUN 19190
f
ON ROLL CALL
Mr. Plummer: Basta on a 20s increase, I thi::: ti,is is line I also
feel that it. was not this Commission or t::c City':. _,:__; ills was not
figured right the first time. and I don't feel the Cit., nave to pal
the ;aft for somuor-ie else-'s mistake w}lUever it ir,igllL Cc. no.
3. CONDITIONALIN Al�Ai\:i CO.�STRGCTlON CONTRA�'i (: ;`,' :; �':':/; . ;','i RS] TY
Of' NMIL,M,_ JAI`ES L. k:NIGET INTERNATIONAL. CEhTI:i% S: ii ;0 S?.i.::
REV f NUI: 15Ui41)S.
.,4....,' Ld ',.. ,
Mr. Plummer: Under discussion, the same rules apply, ti,e sun,i: cluc::stions
apply.
Mayor i7erre: All right, call the roll.
Mr. Plummer: No, I'm asking for the same questions to be answered.
Mayor Ferre: Oh I beg your pardon, go ahead.
Mr. Plummer: This scope is how much difference, Mr. Grimm?
Mr. Grimm: It is a million and a half in 26.7 million.
Mr. Plummer: And the reason for the increase:
Mr. Grimm: There are three basic re,.isons ir, this contract, Commissioner. A
million of it is due to inflation and increases in price of labor and mater-
ials in Rooney's basic contract. 1200,000 of it is for the assignment of the
structural steel contrac-_ to Rooney. When the structural steel was bid it
was bid well in advance of Rooney's contr,:.ct and at that time we rccocnized
that t;^.e key was the ro building t :e tower on time ar:c in pr3per sequrznce
so we ,-)ut in F1cr.ila Steel's bid, the right for the City to assign this t-)
the general contract,:,r whe_r it became t Viuc nt who h� was. Now, we feel that
It is essential tI':at ,:,at option be exc'i: ise:3 a::l t:.i $203,000 that you see
in Roonev's contract is h-_s fee for re:;pons;Dility, that's about
4u of zhe (:ontract. Tn $3 ,,,vu that ::,u see put in there is to accomodate
c,�i j s that wE-, feel are necessary in the design of the Convention Center
(i; to accomodate tht� University of Miami and (2) to accomodate a VIP room
which is not presently included in the design.
Mr. Plummmer: What is the cost of the VIP Room?
Mr. Grimm: I knew you were going to ask me that and I don't have an answer
for you because it isn't designed b,it we're assuming that it is going to
cost in the neighborhooc of. 50 to $60 a square foot and we're assuming that
it is goinc to encomuass a room with drtssi.ng rooms, bathrooms that would
accomodate the President, as ar: examn,.o, and Secret Service agents in the
neighborhocd of 3,000 sq,.iare feet. so i_` you took the $50 a square foot
at that level you're taikinq in the ntcic;hncrhood of 5150,000. And the reason
we feel that that is a very important tt,ature, and yes main you're going to
ask the question did we leave it out? Yes, we did. It is a very important
feature to a convention center of this r:iagnitude in order for it to function
properly.
Mr. Plummer: Asking the question in reverse as I normally do, Mr. Grimm, was
that approved by this Commission?
k . Grimm: The same answer I gave you before, it will be now if you approve
this resolution.
Mr. Pluraner: In other words if we approve this resolution we have already
in u sense approved that without having anything provided to this Commission
as to back up material.
Mr. Grivan: Technically you're correct, Commissioner.
Mr. Plummer: It's a hell of a way to run a ball game.
Rev. Gibson: Let me say this, Mr. plummer, and coming from me I guess you
have to wonder.
'� J U N 191980
Mr. Plummer: If you were in private
Rev. Gibson: I shire you thinkinq, thL only ti:gin•, i_ _.,'r« c;cing to build
a convention center of this magnitude and do the kind of I think we
are envisioning if no otiier time sounds a warr,in<x b(:11. to us w(_ should have:
got that: _,ounce and signal within the last 30 Cays;. .. ::,rink:
the President here, a:.d I hope wC' arc-, C"Jlli :i t"l �'rF_'SiC:`_::t tC,
come, we ought to have every xrowI. device in 1130 d': a'.? i 1 (jlv,_' the Presi-
cent the kind of security and protection that my Presid,nt uc:Serves. 1 put
it that way because I've qot some fee.iing aix)ut some ott;e:: things anca I think
the man knows how I' feel abo,.t some other thi.igs ,.nci vc,iccd then nubiiciy
from thu pulpit but I wc,uld hope that if the VIP kooir, t;;u:. .:,--i refer to was
not there w(-- ouch, t -) pz;' it iii there r.ow ant wr ,uc;ii., to m,t,,c ..,_L,� t}:,-,t that
kind o1 sr?curit1 aiu protection is maUE avail3D1L L, '1 thir.h
about 10 years back, 15 years back, 20 years back the—, thus was ai.! r.ign t but
we're td]kin,, al>oui: i`i80 and 1990,.2300 and right on. Ail:. L;:, :'I:: gla,l yoia're
pi:L"tin, iL t:.c•rc 4.!vti. t:,ough I wish you had done it in the beginning rather
that; a;: after
me on y respond tc.� thit that: you', e probabiy right
and I think even th(,uS:i they iiku to Gj=rate f Ci"1l.riC: JiOa 9,: J,u.%r without the
benefit of the pre-,_; r',n`e every tGllT ycdrs I'k-a stirE `d;loeVE'r liti :t.1F- sitting
in that chair wnulcl be afforded the suite, Mr. Wer_.har, in the h.tEl and
tr.at is wht:re he wou1, prefer to shay ra:ho.: in the convrCitlo.i cE.::4er. Father,
my Ob]ection, Of CGIi c, i., the m_ nta_r ir, '4:i1 cn this is bei.n(; to
the Coon _- ss;x,n '.+Ilt}i :no prior know.lc.c,.- .._ of design an6 cha.^.gc and yet we're
being asked to approve something that that is included in wit":out any prior
knowledge, I tninil it is wrong.
Mayor Ferre: Oka.,,,, any further discussion, on this? Call tre roll.
The following resolution was introduced by Commissioner Lacasa, who moved
its adoption:
RESOLUTION NO. 80-435
A RESOLUTION AUTHORIZING THEE CITY MANAGER TO, C014DITI✓NALLY
AWARD A CONSTPUC'TIO. CON Rt:C:' FOR THE CITY OF MIAMI/UNIVER-
SITY OF MI1"MI JPnL S L. KNIGHT INTERNATIONAL CENTER, WITH
AN INCRf ASF I', T i; o,: _) AM0171:T 'FRO!-' , 26, 700, 0,,0 7o $28, 2G1 , 359
' LUBjEC : TO n . SUC' 7' FUi "IE LY COMP l ETION OF :ski SATE c F
CITY REVENUE BGINDS ISSUED FOR SAID CENTER CONSTRUCTION.
(Hare follows body of resolution, omitted :ere and on file
in the Ofrice of the City Clerk.)
Upon being SE'CGndE3% b.1 Com issioner Gibson, the resolution was passed and
adopted by the following vote -
AYES: Commissioner (Rev.) Theodore Gibson
Vice -Mayor Armando Lacasa
Mayor Maurice A. Ferre
NOES: Commissioners Joe Carollo a-.d J. L. Plummer, Jr.
Rev. Gibson: I'm going to vote yF•s and I want to say to Commissioner Plummer
I have tc agree with you but, Mr. Plummer, what are we going to do, not put
it in there because? I'm voting yes.
Mayor Ferre: 1;i voting yes let me for the record, and to my colleague and
friend Commissioner Plummer tell him that I didn't know any more about this
than: he COLS.
Mr. Piam.;ier: I �iccupt that, Mr. Maurice, but let me tell you something, sir,
this whole Commission is being kept in the dar._.
17 JUN191
98u
C'
4. A11:110RIZE Cl :l' :+
$60,000.Ou ?,O�y SI_
C.O. M. UINIVEhS1Ty OI,' El, CON'ti
CKN'11:R
Mr. Pluira ur: Und(,r tli:o-usslor,, I want to know w.-ierC' t:.t' ?,unGS are :oil',lnu
frum, wiiat purtion _.; bring pc is of that by the ir.cllvid.;al oti:cr e:,tities
i..volvcd and what participation. It. is rr,y u:;derstandi:ny---- M . Grimm?
Mr. Grimr,i: The fu;,ds t�., pa_, tnu preiraiur, come ;:rum 'h:_ bona issue itself.
The last section ir, your resolution statcL, that. I'm surQ the next question
in your mind is what is this premium doing to be and you see....
Mr. Plummer: Now that's the disadvantage of having im where he is as a
friend, ne secona guesses everything 1 ask.
Mayor Ferre: Well, he knows you by now.
Mr. Grimm: The resolution was worded the way it was without a dollar amount
because we simply don't know the answer to your question to date. But your
estimate is $1,774,000....
Mayor Ferre: And for that $1,774,000 we get a AAA rating, do we?
Mr. Grimm: We cet a AAA rating and we get an upfront savings according to
our underwriters of at least $6,000,000.
Mayor Ferre: Okay.
Mr. Plummer: You're completely diverting the question. Who is going to pay
that besides the City? Are we going to give the University the chance to
contrib�.ite? Are we going to give Dade Federal the right to contribute?
Are we going to give Mr. Worsham the right to contribute?
Mr. Griii: It's our bond issue, thev're paying for their portion of the
project with their funds, they're not part of this $60,000,000.
N :Mummer: Who is part of the $E0,000,000 besidt:s the City?
Mayor Ferre: The City of Miami period.
Mr. Grimm: We are, the City of Miami.
Mr. Plummer: Which allows the building of what?
Mr. Grimm: Winch allows the building of a project that involves about
$90,000,000 total on our p-rt, probably $50,000,000 on Dade's part and at
least $26,000,000 on Worsham's part.
Mayor Ferre: Further discussion on Item 4? Call the roll, please.
The following resolution was introduced by Commissioner Lacasa, who moved
its adoption:
RESOLUTION NO. 80-436
A RESOLUTION AUTHORIZINU THE CITY N.ANAGFR TO CONTRACT WITH
MUNICIPAL BOND INSURANCE:: ASSOCI.ATICN tMbIA) FOR TH`: PURPOSE
OF PROVIDINS N1UN:CIPAL BOND INSLRA\C-E FOR THE $60, 000, 000
CITY OF MIAMI/UNIVLri SITY 0:' .;I ^:?i4 ._.., KNIGHT' IN 'fERNATIONAL
CENTER PA';,K7_N.i GARAGi: REVENUE BONDS WITii TH. FEE THEREFOR TO
BE PAID FROM BOND PR"_)C1 EDS.
(Here follows body of resolution, omitted here and or, file
in the Office of the City Clerk.)
Upon being seconded by Corrar.issioner Gibson, the resolution was passed and
adopted by the following vote -
AYES: Commissioner Joe Curollo
Commissioner J. L. Plummer, Jr.
Commissioner (Rev.) Theodc,rt, Gibson ((,, ''^^��
Vice -Mayor Armando-.acasa JUN 19 �JBV
Mayor Wj1Q': ce A. Ferre
NOES: None.
ON ROLL CALL:
Mr. Well, unfortunately I have tc u:.o tni , to make
my comments known when the vote is called imrludioteiy. �'',, proi;lem, for the
record, as the Mayor spoke previously that Mr. Guandolo is a genius to be
able to wade through 4 feet of....
Mayor Ferre: I didn't say he was a genius.
Mr. Plummer: ... of papers, and yet we find that we, the governing body
wha are asked to lay the financial neck of this City on the line have never
at any time ever been atfordoa the full four foot of hailers marked final.
conclusive draft and yet, we ure' beln,l asked tc vote c r:, this in a piece-
meal fashion which wally anG tills Commission is tota,ly u:iawarC.
nor have the right of approval for :host plan., I have. to vote in the nega-
tive, I vote no. LxcusN me, I got uncui cf myself, on this i have to vote
affirmaLively, this is it:r the i115liI'::. r t::lat taxpayer: who eventually will
have a subsidy w1ll not be stu,.:}; with it. Yes, I vctd yes.
Mayor Ferre: All right, now as i understana it, N.Y. Grimm, you want us to
reconvene on Items 1, 5, o, 7 and 8?
M:. Grassie: That's correct, Mr. Mayor.
Mr. Grimm: Yes, sir.
Mayor Ferre: You don't think we can handle any of those issues at this
time?
M_r. Grimm: Item 5 will not be necessary today so in a sense that's handled.
Mr. :;uandolo w'i11 present to you at the time that you authorize ::he sale of
the bands a resolu_ion which will solve that problem. And Commissioner Plummer,
su tnat you don't think that there is any magic to that, you have already
approved t!"at. 'hhat we c.ru trying to do now is to keep it from being two
documents. Befc re it wan ., lease and a,.;reement any then we approved the sup-
plement.. what we want. t,,.) cc now is incorporate those provisions of the sup-
plement into the one agreement sD it is easy to read.
Mayor Ferre: Do you have any problem with that? Well why don't we pass that
now?
M Plummer: Well, I think we should, Mr. Mayor.
Mr. Grimm: Because we didn't do it for you here today we decided we would do
it at the time of the final sale. It's a routine item, however.
Mr. PlUmmer: ,et mo e:,tablis'-, for the record right. now. Mr. Grassie, at any
time has the members of this Commission been furnished with a complete set of
documents relating to this entire complex?
Mr. Grassie_: COru:issicn.rr Pll:;u':ur, you have been furnished with as complete
a set of iocuments as anyone has. Ndow, some of r.hc document;;, as an example,
the last two on your agenda today are be.:ng change: today. So the answer has
to be that you do :,ot have a final anJ complete set anymore than anyone else
does but you have: as updated, as complete a set as we have.
Mayor Ferre: You see, the important thing is that we not have any less than
what you h&.ve.
Mr. Grassie: Tnat is what you have. You have a set of documents which is as
current as our's are with the exception of what we are negotiating today.
10 -yor Fr!. -re: Intoi thk. rr- z ra, I tnlnl. this is important be%auSi? other-
W 5C! r1)e"i, is a fair j ciLrc"g n: t(3mc Or acc:'rSdL1ucl Or whatever y:�u want to
call it which I think really needs clariiicati.:h the rucor.:. The :ummis-
sion a5 of rigi:t now has uvery is :airs:.; of substa:ic<: to the same level of up -
to dater as the administration : c�.r , is tnat �:,rrect?
Y.C. G::assie: well, Lxceft, f,,r example, things such as Mr. Grimm me.Aioned
to you just a min.rte there are some documents -chat are to your
agenda on the 30tih, they're going to be in final for.; and that sort of thing
you don't have.
Mayor Ferre: I understand. It is my opir,ion, and especially after Plummer
nodded it a little bit, that on Item 5 since what it is in effect is putting
together previous agreements that have i:eu:: approv,�d and addendums that we
really pass that and you could array ;ring it up -;ain if you want.. J,1� 'I�
dd�� 9 iS0
r
Mr. Grimm: You can du thaL, .:r. ' i yc.r, s. .rt i c_;iv,
ment I was reluctant to ask you to pass it without that but I woulc i,e :iappy
to have you do that.
Mayor F'erre: Plummer, how do you feel about that?
Mr. Plummer: I'd rather wait, Mr. Mayor. You know, one of the problems as
I have exl_-ressed on a numbur of occasions before is t;iat we are being fed
this total complex in piece meal and as such nas denied this Commission the
right to at any one t mo to lover have a total and complete picture of what
we are t101:3;. MT'. Mayor, I'm sorry, I'm not `Grr,', I'm glad. I'm 4'lad
th t my ::raLnir.(.. wa:- in the i:r:vato n ector and as such I have to worry what
I do with m,/ dc,i.lz,r s. N(:)w, J)u nroblei�; t ha = I hav, nc: e I-*-,-- that it is
obvious tv r,Ct that t r,i s saA'c concern nUs nc t UCer, uxj,,ro• ,su:: boc; use there
is no ont in tni _:"ii VdCt' Sector who wo'ulc. ftvC r vote or) ,., $60, 000, 000 }Mond
issue Wi.t.nvl;C knowlr:i3 Lhc total pictu:u and here we f inid as late as of right
now we are vutiny on 5oc'anents that we have just been informed of changes
and it took questionir,r, by this Commission to firid c,ut what those changes
are. To me it is ludicrous.
Mayor F'erre: All right, we're not going to voL� the,-: an Item #S and what
time do you want to reconvene fcr the rest of these things?
Mr. Plumrler: i:r. i.Livor, Del ore you ::Cntinu:- this; In: E tir,C: , 1 had asked Mr.
Harris - Marshall, I'll be glad to ask you at this time or at 6:30 but
there were some comments that were attributed to you in a newspaper article
that I would ask you to please comment on because obviously you have gone
into this m,,ach d•>opor t:i,an what thi- I`: Jr a",i-;slot. ha , _._.. & fforde�d the oppor-
tunity to do and talc' co%non,-s that. you m,i Cit ria `.iC YL-:i _''_"v3'_i':J m; O:: Luacilf
of your Lli(:nt£ i ad= Savinrg= Clot yo',: wt-fe vF:ry cc)nceriied a:,,,o'.it the ',iabil-
lty of this project b'eincj a s.iccess. vas ,*.nat, or trlt_: s'. c ceas of t:ie oper-
ation? I'll be glad to get that wording, it was fro:^ u M am".L rie.,ald article
and obviously I would ask you on behalf" of this Corm.issio: to tell. us what
triggered that caution and if it has been resolved what in your m;r::' has re-
solved that apprehension.
Mr. Marshall hart a our al:.pre hen: iun wa:> never on thy: gl]t,stior, of whether
the building would be successful perse in the sense that it couia oe rented.
The question; in our rind w.is could L:;% : •aiidi.nc, be runtcd at a return that
Wouii: lit: reasuna -c. for the w.,;: wiJUI,: put i:-. what
irvu tment woul,. 1-: btc �_, a_;ke i to put intc this h,,ilding.
Wi: ,.a•; radd SJtic' t_'St1.Tic:tES veer',' Early on with the UL, ,G aj )llcation. We
were perfectly hapil)y wit;i '_licsu being tC,c: re,A Cam: t` of w:,t n
we investi,atec this 4 to 6 months ago it appeared that :.hose were not costs,
that any of 11he princir ies w. o we wore, rclying t ,on wi rt. will-ny to certify
as been j Close. blit aL WE_ turthi_* C1Gwr, c-hLt tr,icr: (A) w I'C.'C'iJ:a'L�d
that we ha p::obably lindercrSLlmctte 1, (i, ,tie recognize,`that ti.OL•j:: ot.iers
might be hedgin'; tncir bets M,e were comfortabit eriouc;h with our o'.:. internal
staff that we ca:;• t:, a conclusion trLAt a building T'i"t we would be proud of
could be built f�:)r a ilyure that would make It f, is r, J;l'.l ui ai..i really
what uroke the Gor(:'_d.^. It was 11eVtr qu•_St10I1 of wht_'ther the concept
was viable or wiiethvr we wur;ted to be: there cr anyt.hincj else, t'r.e que�;tion
was pui:e and sirpl(_ - was the cost ot b,:i j.aing going to o".;,_strip the
reasonable return cn it - and we have now CL.Me to the conclusion that is not
correct and that is wily we're here today before you.
Mr. Plu.^um,ur: In other words you have alleviated your own fears and that your
comments only addre:s�d the building not the total complex?
Mr. Harris: Oh no, it never addressed, we never were concerned......
Mr. Plummer: The impression given was that Vie concern of the total....
Mr. l;arris: The language could be read both w ys, that was a direct quote
from me but the explanatory language was not quote,:: and I can see how that
could be misconstrue::.
N._. Plummer: Well, unfortunately we the Commission have tc get our informa-
tion from the newspaper so we like to sift the fict frc7� the fact.
Mayor Ferre: We'll reconvene at 6 O'Clock, Okay?
Mr. Grassie: Mr. Mayor, I wonder if so that Dr. Henry King Stanford and
members of the University of Miami do not have to return here at 6:30 whether
they could make their comments.....
90
JUN 191980
a C
Mayor Ferre; E O'Clock, Mr, Gra.-is.u. .-.1! right, Dr.
happy to have the distinguished Prcsiue.-,t of us.
Dr. Henry King Stanford: Thank you, Mr. MaYor any c;e,ft1,_:,,-,,e_ T.".c Un-jersity
sicned this agreement with the City or, April i, 197 -
Se �-.);._-eclate the
enormous difficulties that have attenac,", tile: :'- even
to the present date. We appreciate the_�e 6iff4-0u,t.1Q,- We appr,"ciate even
more the opportunity of the City is pruvinirc, the university to work with you
with the of an outstand_ig conferLen,:e a,-.O convention Center. We
want to plelye to you again here puLlii.:1), the interest in working
with you an.1 the start of the City in Lringir(, th_,: prc_il(, to the 'fru2tlon
wh'..ch all of us cove-, su vic,crousiy foz it. Aht-n I c:ppoared before
you ':halt this rt-T)rt2_ented a partn,:rshii of jlul 3'Iiip � etween, an
independent univecsity, A municipaii.,_y, 1,fivot-e -in '_(:wi-, -private
developei-L_ it i,3 extraordinarily _:UMT)1eX and I what had
to say about it. Lut W,?,re enthusiastic in .13PItt' Of th(2 de" -jays ti-tat may have
been inev;t.abic. dui,,'t try t(i seconc, jugs: 1) ;ny*_,c],. ,.It � t,,' ,
� once it is
.orou,ih*. w,.'_1 all aDp,.,eci,Ate an,� i_rom, 6--, :itizt-ns fron, thlE;
COMMUn' t' ', lik-, cnorzijJo a.mGunt of ne(--;(D,, inu I r ti,,.At nave gone into
the, th,---, 7,1cn ai.(-- thcn -_it, ",(:vt :)�
it.. T 'm sr,rry I
can't be here at 6 O'Clock this even!-' .; but- agal:i ._Ut Me all of you
for what you have done to bring us at least this far in so long a time.
Mayor Ferre: Dr. Stanfor�', I wil- alway!, rernt?.-_UDer be�,7innir.(; of this
whole project first with Jim billings, sec�D,-jdly aft.ur tht within the day
with yo,:, tine conv(.rSat_,ons zhat we '-,,d with Dean Aller. who was also pres-
ent, A .is wonler.ful c-reatfully crian,4(_ c,.' mind, ho w,s ',r-t in o-- o3i
tion
and then he was a stron,' --uppor--or cf thca iae,:, o-,- t�,t_, )roDc-ct, cf the fore-
bearance and patience of the Jame- and 11 tru, t&t s
S
of the, Uni,:,?rsit: of Miami and thu rian- manv other peo,,,Ic thiat have bcen in-
volved in this lon(j negotiated vcr', ccmp1i,,.ate6 but vLr'-,' vary exc..::inq proj-
ect. Other thc-n the people movei I cann,:,t th-i::k of any:hin(3 th,: is rore
important for the future of the downtown area and, therefore, Lne core city,
the center of Miami. and t,-,(2 center of Dade County than our convention/con-
ference center. And so for your patience and your help our gratitude.
Dr. Stanford: Thanx, you.
Mr. Pluw,.cr: Doctcr, may 1. ask for the .-ecord that i assume thatyou speak
for the University, you always havu and I recognise :,s such, that ycu have
beer, furnisne,7 to ycu - you, the University, a copy of all of the documents
tllvt you have read them, understand them and have no objection'as it relates
to the total complex?
Dr. Stanford: If you would change you to you all.
Mr. Plummer: Doctor, as a good southern boy I have no problem.
Dr. Stanford: Then since you're not directing that question directly at me...
Mr. Plummer: I said to you as representing the University.
Dr. Stanford: I'm sure that my colleagues the university, Yi;-. Bonnert
h particularly " as read every document that has bucojn-e available i.-, this
project. that refers to the University's relationship to the protect. is
that right, Mr. Bonnert'?
Mr. Olivt�r Bonnert: Yes, we have no orjucti3ns to r-'-e cocuments we- have
seen. we navc not seen all of the documents -just as you haven't today.
Mr- Plummer: 'Kell, of course, you are a vital and intricate part of this
u c com-Liox, witnQ-it it in my estimation it will -,0L -,U::Cess a,-.d as �-:, h
I wouIL; .-Ope that a representative of t1,,k2 i)f miaanj woul,4 return
here this evening he
of being
beforele to stand before this micrup:,Qr4,:! anc in- c;.c.-c th,:y stave, under-
stand have no objection6 to the tLt3l Picture 01 thiz� would
hope that would be the case.
Mayor Fc-rre: I doz,'t mean. to i:: any way o'-`end anybc,)ciy e6Pt-cia_1Y not the
University of Miami and the WOn,:el; Lli Pl-'01:-L: there. The Un-,ler,;itv's con-
tribution when you get down t-, it in the $16�,000,OGO project is -,'
2.3 mil-
lion dollars. 1 do not want t0, it is 3 million gut when you got clown to
it in cas'., dol ldrs it's 2. -Z mil I -on do! a d0z,'t wa--Ztc, say that that's
not a very importint anl` essential but cErt, iniy 1. don't think
I would agree with the statement that this PzO3ect would be a failure with-
out that support and without that help. At on. *_;::.c without it we would
21 J U N 19 198j
have never gotte.. otf tna fro,: c: . ,:t c-_..t<:�..ly ;rt _ .c_. _vt- ti:is has
become a very very large project and that's not to say that you shouldn't
be fully informed and that you shouldn't he kept abreast but I just wanted
to clarify that into the record.
Mr. Plummer: Well, I would only hop(:, Mr. Mayor, tha-, every entity, every
group that .is directly involved in this pro';ect when, wc• the Commission,
which is t`ie i l is WJr<l, <.rt a5keC t J pat its seal of approval on the sell-
lnco of these bo ndS, thdt ev,,.rybody that is invo-1vud in this project would
be able to starui her,:: berore this Commission and to state for the record
that they have read and understand and have no objections to the sale of
these bonds as containu_d therein in the documents.
Mr. Bonner.t: Mr. Iaurunar, we have other commitments foi tonight, I do not
know if we'll b,, a:�lc to wake it back. However, and I do not know if we'll
have time to read all the documents but I can assure you we will and if
we have any objections we will let you know.
Mr. Plu:nner: You mean after the bonds are sold.
Mr. Bonnert: We will let you know within the next 48 hours, if you put it
that way, if we have a chance to....
Mr. i'lummer: Well, I guess-, i `i really not any more_ of you than
the administration i.s expecting of us a that is to pass the documents
witizout having the opportunity to read them
..
F,
�ri�'l'�i�� �. L(IA`
AS�.1l;lA'1 .i)A
i0 .i:_. �...
_ :1:;,, ii''I'..•,r, ,. :�i:� `,i�:'.c..
.`Y FAkKi\�;
Ue X,:A;;1 !L N,-lv::i�SI?
?:(_.`?T
!NYi:F:
Ii1,..,,_
Mayor Ferre: Al.i ri ;ht, t::i <'a rrni� 1�.; 1:j no.. is and w, '
ing. This :s wig,,-. to bt- vc~_irl- r M,-. ti<a ris, are you ready
now? All right, the Cizair recognizes M; . Gr it%_ Go ahead, ,L.. Grim;, Is
this Ite;. tfi, Mr. Crimrr,? Nh::,wer 67 (INAUDIBLE RESPONSE) Is .his what we
left, t1-I,_ foes?
Mt-. Grassie: Five has been removed from your agenda and six we want to dis-
cuss with you and you have seven and eight to act on.
Mayor Ferre: What is it we have to act on, 7 and 8?
Mr. Grassie: 7 and B.
Mr. Plummer: What about 1?
Mr. Grassia: No, we don't have, the provisions of 7 and 8 have to be in-
cluded in 1 and that will not be in final form until we do 7 and 8 because
we're just changing it right now.
Mr. Plummer: So in other words then you're not going to be asking this
evening to proceed with the sale of the bonds?
Fir. Grassie: we're not going to ask you to approve the official statement
in its final form.
Mayor Ferre: Okay, so we're now on Item #6 and 7, is that right or is it
7 and 8?
Mr. Grassie: 7 and B.
Mayor Ferre: Okay, well go ahead, Mr. Grassie.
Mr. Grassie: The first thing that we want to bring to your attention, Mr.
mayor and members of the City Commission, is an air rights lease for the
Trade Center. This is a lease between the City of Miami and Dade Savings.
Mr. Plummer: That is the one, for the record, that has just been handed
to us?
P2 J U 4 19198
I
Mr. Grassie. It i r..r.c one :1a6 just been i,ana(2,i _,cr:, ..as :lust
been modified, it is substantially in the form of thc' u... au,. you
have received before but it has been changed.
Mayor Ferre: When did we receive the previous document, 111r. Grassie?
Mr. Grassie: You received it in your package.
Mayor Ferre: And was that the first time we received that document?
Mr. Grassie: Well, you have received....
Mayor Ferre: I've received that document three different times to my recol-
lection.
Mr. Plummer: In three different forms.
Mayor Ferre: Yes, i:l forms that have been changing as the negotiations have
proceeded but the ias.'. time that we looked at this was a time when we had
re eiveci it in a packet anc; that is a;enda Item k with Exhibit C attached
to it and the drawinc and the agreement which is Item if8, is that correct?
Mr. Grassie: That's correCL .
Mayor Ferre: Now, since we've had that =o read since we've iia:i the packet,
would you now proceed to tell us the difference between what we received in
the packet and what we have before us now?
,&Mr. Grassie: n,,. ^_ayor, Marshall Hjxrris has just cdraftl:''IU Of
those changes, ieL's ask him to introduce the subject and then we can comment
further on it.
Mr. Marshall Iiarris: Gentlemen of the Commission, I can call your attention
to it directly. The major change is Section 5 (10), has been added to the
lease, you'll see it in your table of contents, it is labeled Plans and
Changes.
Mayor Ferre: Plans and Changes, page 22.
err. Harris: Yes. what o:currec was there was an attem-Dr— as you recall last
t e to executeu multi-palt%' acrEtment.. Your developer of the garage electea
r.. _ do t:. 1)1.. asked us instead or said that he would deal t .rough his
agreement with t,le Cit ' t:,•-Is vinq us the olaion only of chantour a,.;ree-
me:,t with the Cit-, which is the air rights lease. so we did those changes and
you can see then on pane _,iA it sinouid be, oh n-), it. is page 12 and L12A which
is the way we Flit it .. i'_ is a c:ontir,!::itioll or,L,i th,1t page. a:. ,a:itlJn,
there were_ add - t0 .....� lda�i fu .1..1^.c':, :>: e:{;llUl. S. ivt. i�li note
ti"iaL 1 t:.t' 1,� .. ...:Jc.+.r,un,- •poll r::i.l you .laci i',.%hib1t. C On1.y. Exhloit.s t:, B, C,
D, E and F are now att :cued tv thi:; cr those exhibits were al-
ready ir, your 1OSSerBoiu:; but not as attachments. For example,
Mayor Ferre: Wnich ones have we not see:; before:
Mr. harris: Fcr example, well, I don't know ii you have not seen Exhibit A,
I would have rather thought you had, it is the tentative plat of the World
Trade Center as prepare:(+ by the Department of Public Works, City of Miami,
Florida, Job E11O64, File CP 246 consisting of one sheet.
Mayor Ferre: Yes, Okay.
Mr. Grassie: The City Commission has acted and approved that plat..
M,iyc:r Ferre: Okay, now ar+out Exhibit B, Descripticn of the Demised Premises?
Mr. Harris: ".'ha. exhibit has been in various forms. In this form before you
and it is st3ii inccmpfete in terxs of sometnin which we _annct put ir. because
we had ho'-)ed thit w, woulk: ',lave. t,lali5 lit some' stage of the � drki:::i a`jt to
tell you the eleVatiGr, uL which the Trade Ct'Iit..t.,r D,! .:.ised s.
We will change, that so that - ana we will initial it tonight - becaus` we arc:
obviously ready to y<i and we aon't have those plalls, we're not thlat po_,nt,
SO we will merely s.,y that ou,_ demised premises starts at the platform level
and the rest of it follows from that.
Mayor Ferre: The basic thrust is that the demised premises begins at the
platform ievcl and that's clearly defined as to where the platform level is.
�� JUN 19198u
Mr. Harris: Yes, and with certain r1ght6 withii: tn, ar.:: the lc;al
description of the real estate to give us access or ease:. ,a rights, access
rights, utility rights and the like.
Mayor Ferre: Is there anything that is either different from or unusual in
those rights of access?
Mr. Harris: No, because these have been before you ir, t,1i5 fora, before:, that
was not changed, we just put that together. We were waiting and hoping we
wot,ld have some better information on height, we obviously don't so we....
Mr. Plummer: When you speak of utility rights, you're --peaking of the right
to bring your own at your own expense.
Mr. Harris: That is correct. Tnere was, Mr. Plummer, a considerable dispute
between the City an•i ourselves and that's one that D:.d(, acknowledged we would
agree to that the responsibility of the Clty as to cr>.•c was to bring those
utilities to the service core ground level only. 'I'r,ey are thee, responsible
to give is sleeves for bringing that service - jp but we are reslx;nsible for
bringing the service up to the platform and throughout orn-ir tower. On Exhibit
C that is the exhibit you `lave had thc: en'-iri _ r.a, it was not there in Mr.
Gu,.ndolp's Craft _`✓Crh'; %,;erks ago t t. n:is rocs ihere ever since then with
the exception of ^t six l,, ges. of sketches Dy Mr. :Iorsham and the
one page of scherat;c sxe tch by l.Ni. 1'r.i a;,a P artnGrs whi,:h ate an addendum
to Exhibit C which are new but wnici. everybody has been workinc frcr; as far
as the City'., 1taf is ::,-;ncernec for sonic: wnilu.. Exni.✓i•:. D has now beC'n.
filled 1^ir It is .,.i lt..l :�Ec-ipticon of tree Tract- Ct. n�er anti l- now says as
per tht: plans caller; Tot' 1;': Section t:,(, s,cc:tion w,. list aa.aeu. Exhibit
E has been avai]al)ie, has not changed. It merel,., calls for the Trade Center
special selvicinq facilities Zor qualified space and for the space reserved
for Dade by square footage.
Mayor Ferre: What does "TC" stand for?
Mr. Harris: Trade Center Special Services. And then Exhibit F is the exhibit
prepared by your cootinsui. That's the exhibit that goes into place if we do
not rent the 50;, or more of the space for tracie purposes in the 30v,000 feet
of the space set asi.ic for that and this says that our rent will ,;vantage in
that regard, ht:! has reduces proportionately, it was deaf :d by your cou:.sel
but we just got the final draft of that over the p;or,e from Mr. Maniscalco
ti.s afternoon and put it in as Exhibit F. Mr. Guandolo might have some com-
me:it .
Fir. Plummer: Let me understand that last statement. If, in fact, you are
unable to rent 300,000 dedicated to the :world Trade Center...
14r. Harris: No, at least 50% of the 300,000 dedicatee to World Trade Center.
Mr. Plummer: Has the wording changed as what is in the agreement that we
were trurnished and :studied that says substantial - I'm sorry, I have to go
back to my other form.
Mr. Harris: It's all right, it is page 15 in most all copies, Mr. Plummer,
it is Section 402, Dade's obligation.
Mr. Plummer: Qualified space is the terminology.
Mr. Harris: Yes, qualified space is defined by Exhibit E, that is what is
defined as qualified space, the 300,000 square feet is the qualified space.
Mr. Plummer: Which is less than 509.
Mr. Hr.rris: It is 7jt. of the total. space in t.e building, we must then
rent 50% of it else we fall under the provision. of Exhibit F.
Mr. Plummer: Well then tell me what Exhibit F states.
Mz. Fierris: Exhibit F basically says we lost! the subsidy, we don't get our
subsidy, we have a .i,asc -i:+ if you zecall. We lose the benefit of that phase -
in is what it amounts to as to so :such of the space as we haven't rented.
(2) As so muc}, of th., space we have,;%'t rented for trade purposes as defined
within the text, that uefinition you'll recoil is also on page 15 in Section
402. Mr. Mayor, you might want Mr. Guandolo to....
Mayor Ferre: All right, further questions?
94 J U N i 9198p
Mr. Plummer: Therc_ are morr c:.anges art_n't there .., :,is ccumenr_:
Mr. Harris: No, that's the change, see, I'm at di:,au•,,. c,." jL Coinmis-
sioner, I don't know what docume ` you're working from for :-:e to corutent on
what change has been.
Mr. Plummer: I have tha.- problem, we have so many....
Mayor Ferret No, now, let's get this...,
Mr. Plummer: I'm referring, well, there's no identification on this docu-
ment - yes there is.
Mr. Harris: Tell me what it says in the upper right hand corner.
Mr. Plummer: It says lease agreement dated as of July 1, 1980.
Mayor Ferro: This is Exhibit..... No, I'm going to 4ive you the rest of
it. There's Exhibit C and there's everything up through Item 8.
UNINTELLIGLBLE CONVEivATION
Mayor Ferret I ]ust want to make surf: for the record that we don't have any-
thing, that we understand that we've had this packet with the exception of
page 22 w:,ich is Section 5(10), Plans and Changes then it goes to 22A and
then the various exhibits as you've defined most of which we have previously
had.
Mr. Plummer: No proh l.err_
Mr. Harris: It is correct, I could check it very easily. The provision at
the end of Exhibit C is ail, I had to check for it, it was that draft, it
has the provision that this does, therefore, I know it was the revision that
I did, it must be eight days ago now and finally finalized out to everybody
in time to be put in your Commission packet.
Mayor Ferret So t1he real thrust of the charge is a page and a half which I
think we should read into the record and make sure we all have it clear.
Section 5(10) Plans and Changes....
Mr. piummer.: Which document are you reading from?
M"yc,r Ferret The main document handed to me by Marshall Harris, this is the
thrust....
Mr. Plummer: This is the document hand delivered this evening?
Mayor Ferro: About 10-15 minutes ago when we asked the question are there
any changes of substance ar.1 tor. Harris said that the only chango of sub-
stance 1s in par,-,: sQctlon (1: } which reads plans and _ :anees. He
also saia that there were a SLI_14�5 Of ��:%i'aits which we have now qc:i: over
and we sec that the;, are suc:sta:;tialiy tii•_ sari• as previously alprovec which
leaves US wl_n UcT1":dI V Ir-,ss teal: 1 page a:t,: It Meads aS 1.oIkOwsI The City
agrees that it wiii and sr.ecl. �: 3ti.->:ts to be prepare. .02 develop-
ment of a 1450 car t)drki:,,j garogc CdJa�.l<: �i' hal'in' a fQ!),(,�.; cross square
foot %'li:Cll j b',..i? U-+On in the Stun;c3rc15 t- ,
o. h in
Lxhibit. C of fl�s leilc;t_ alardtLT�sIlt. T!i@ its wit. cat -,liver tGd;l'1', nOt lateI"
than Sej,tetnb.r 1, 198u structural ;iGr.� ,.,: :� I,rainy dray,_ _n,.1u inq the
foundat.ior. de:5iq:: uric; trim Gx� :Uli:t lU:::; llj;::;. ;::..' ii.r,a a;ia E;pe,_liicc, tions
and desicns Erg bases ar:d final K'sr'r:i.,cr .:r wing,_ *or the _,arking garage
rot later tha: Jantlary 3, 1�C1. DciUl' c}.:li r.av�, tni' rl' ht Lo ::otit;: the
City of a:iy crtanges car additlons :it. wish"; to ak. ,„ suc:'ri plans aril socci-
flCctd,:)ns Or' t. C �iC9rhC_;iC _;aYi,)t: pI'OV1dP7 t�Si1Ch Char, eS Kna ddd1t10rS
wa .l .'.0 t li',j>e �E L;,( :'t , �rU, Lor: i< v -
T; C1' , ar.a _�3_ _ will acree in
writir.q respectinel s l ii chances in- add; dons 1 udlnc t ;e nri e ihereof
anC it such work is to UC dol":@ >;..y rtf:E'ro, t:.c: '.aII,t:t; :' ',tra_'rc a:",'. Cf:e
tint! sCheCU1e for the cotrFjietivr: r; ;U ';; W;;2"k 1,: the eV(K,t
dt.0 Daae cannot ac;rE G On flit F-r1 C: u: st,c:: kGrk. the Ci `,r w1:1 CaUS- a'1_ 1
wJrk to be perfurni(.li a:id the 1prli::t: thi:reof wi11 Je d,c rIinEi] by J consult-
ing engineers, o:,._ b Dr-ui. , 1 seie'7tec by the City end the 3rd
Shcecred by the. 2 Consul tin( E I: ji::E:E[! :;lt fut;as r31" any :;UCi: -hange or
addition as finally agreea U_:Gr l',.:.1 lie i ll.: tc, `tat: trusze,,: L:nGer the
provis_ans of the lease A.�recmctt nll J_ the Tr,Ist 1n,ienture sec,_;rincT the City's
Revenue bones or as Dtherw-LsE uirecte c, thi_" Ci'�y. Dade shall deliver the
schematics for t::e tower to tre C Ly I;Gt lst.cr th.,I1 April 3rd in 1961. Mr.
Ca nieila, would you stand up, pieasE.? Are you 5 nCi I. °•:.I?tl at this time
the architects of recorc or net?
9.5 J U N 1 91980
INAUDIBLE RESPON : , NOT i;::IN_ Ml,''RG�1',0::1
Mayor Ferre: That hasn't been finali.:en. Ckay. Do we *.-VQ, it you wer% the
architect of record could you answer whether or not you reel you could reason-
ably deliver by September 1 of 1980 structural plans for the parking garage
and final working drawings by January 3 of 1981 and schematics for the tower
by April 3, 1981, is that a reasonable schedule?
Mr. Candella: That is a reasonable schedule.
Mayor Ferre: It is a reasonable schedule. Mr. Worsham?
Mr. Plummer: Mr. Mayor, you're skipping around and I am assuming that each
Commissioner rather than taking each subject as it comes up....
Mayor Ferre: Absolutely, you can have any....
Mr. Plummer: because I am very concerned between t:.e document which we
were given to study in which any changes to the parking structure would be
paid for by D,.�de Federal, ;nave now obviously let Dade Federal off the hook
and it is going to a kicking match.
Mayor Ferre: To a panel of 3.
Mr. Plummer: well, am I to una4rstand in any way shape or form that Dade
Federal can tell us what we're supi.osed to do with that parxing garage and
we're going to pay for it?
Mayor Ferre: Would you be very upset if I continue to get Mr. Worsham on
the record?
Mr. Plummer: Oh no, sure.
Mayor Terre: Mr. Worsham, I just want to get this on the record from you
and the architect. In your opinion or in Adrian Warner's or whomever it is
that yo•.i wish to refer this, do you think that the schedule as requested
which definitely are September 1, 1980 for structural plans and January 3rd
for fi:.-1 workin drawings and tower schematics by April 3, 19sl, are those
reasonable dates?
Mr. Worsham: Yes, Mr. Mayor, they are.
%avor Ferre: And you think that those fates could be met.
Mr. Worsham: Yes, Mr. Mayor, we at Miami Center Associates have agreed to
prepare plans pursuant to the 1st two dates, the structural drawings by
September 1st and the working drawings for the parking garage by January.
Mayor Ferre: Do we have with Mr. Worsham, Mr. Grassie, into the record?
Mr. Grassie: That is part of the responsibility that they have, that Miami
Center Associates has as part of the turnkey obligation which has been author-
ized by the City Comma ssiun.
Mayor Ferri:: So in other words that is a contractural arrangement between us
and Worsham so we're really looking to....
Mr. Grassie: The specific date of January 3rd was arrived at today, that
will be added to their turnkey obligation.
Mayor Ferre: Yes, and Mr. Worsham, has the President or the managing,
partner or whatever it is, that date is acceptable to you and your firm?
Mr. Worsham: Tiujse dates are acceptable to rr. , Mr. Mayor., yes.
Mr. Plurruner: Mr. Grassie, speakin(; to that subject, under what penalty is
that company if they do not meet teat ceadline because, of courst:, that
deadline is coinciding with others, what penalty is being put upon them
_f they are not completed that date?
Mr. Grassie: The penalty, Commissioner Plummer, is really self-imposed in
this sense. They have an obligation to their construction lender and also
to their eventual lender that they complete this structure and be in oper-
ation by a certain date.
Mr. Plummer: Now we're speaking of the p;irking cq--age because that is the
sequence. Let's talk about the 7first thing first, the bottom floor.
99 J U N 191980
9 C
Mr. Grassie: B.:r. I have to (-xplai 1 - to You b t^., a:1 ::,Ct_rstana
where their liability lies. Their liabillt CCl.' S Y'G'., t ,ui:' ;le�_vsslty
to finish the garage, to finish th(.'. hotel and be in Now in order
for them to comply with all or tlielr req,—rem nts ur;b_r. the :lodn agreements
they have to make suit: that they have a garages to then,,. The City
has entered into a tux. -,key agreement w:'.'.-.a theca so that tney have an obliga-
tion to finish that gdiaye on time. Wha,_ I'm siAying to yod is that in addi-
tion to all of the liabilities that arty inn:: runt in not mee'�inv the obliga-
tions of the turnkey agreement the also '� ve what. is probably more import-
ant to them and that is a ve r1 Serious money cost because of the lean agree-
ments so if they do not muct. that date it is going to cost they., a lot of
money.
Mr. Plummer: I unaerstana that, Mi. Grassie, Lut t:,,t :s not ;,y concern.
That's costing them out of their own pocket. I am .:or,cerr,L�d about Dade Fed-
eral which has put. a deadline upon this Cite as to d.:,:es ato when that gar-
age must be finished and if that deadline is not met then Bade Federal would
have a cause of action against the City.
Mr. Grassie: I don't believe so, Commissioner, that's not true.
Mr. Plummer: All right, explain it to me, please.
Mr. Harris: That is elsewhere in the lease agreement that we have the right
if the garage is not finished withi^ a given length of time beyond what is
scheduled, i believe that period is one year and I can certainly find it in
just a moment.
Mr. Plummer: It is a little less than a year.
Mr. Harris: Yes, sir. In other words we've got the ability to get out of
the lease it within 6 mcntns after that year we notify the City, "Hey, you
didn't build your garage•, wt=- want out", Ir we have the right. to go in and
finish the garage, we have the right of self-help to go in anti do the garage
if, in fact, it :,asn't buen finished by 1,11r. Worsham's company. May I, Mr.
Plummer, ask you to look at page 16 for a moment, Mr. Guandolo and I have...
Mr. Plummer: Of which document?
Mr. Harris: The document you have before you.
Mi. Plummer: The latest one?
Mr. Harris: Either one. There is an ina artent reference to Miami Center
Associates, as you see in the top line.
Mr. Plummer: We're speaking of Section 501?
Mr. Harris: Yes, the last paragraph of 501. We would propose :hat in lieu
Of Miami Center Associates, Inc, to make the lease conform exactly -- it's
just .-ne we missed - th,,t the City be inserted because that is appropriate,
when you read it you will see that. And after the word Dade at the end of
the sentence china e the period to a comma and add "and otherwise as _provided
in Section 5(i0) hereof".
Mr. Plummer: Huh uh.
Mr. Harris: I'm sorry? That's your counsel's suggestion. Mr. Guandolo, do
you want to be up here so that Commissioner.....
Mr. Plummer; Huh uh, you know, who is letting them off the hook?
Nu. Earns: No, at Lhe sole cost and exrense Df Dade, it's just the deter-
mination of how we....
Mr. Plummer: Period.
Mr. Harris: Yes, but understand, Mr. Plummer, no, it is our cost, that speaks
a3 to how you determine our costs, that's all.
Mr. Plummer: Okay.
Mr. Harris: That's all, that's added for a wage to determine our cost,
nothing more.
97
J U 1v 191980
I
Mr. Plummer: I understand, but without anythint, adcc: to it.
Mr. Harris: Let your counsel, he's the one who wanted t.ie language so let
your counsel explain it.
Mayor Ferre: Well wait a minute, Mr. Guandolo, I'll recognize you in a
second so you can answer the statement but along with the statement, the
question asked by Commissioner. Plummer, I wuulQ be grateful if into the
record you would give us your opinion of this: lease agreement as presented
to us by Marshall Harris 25 minutes a(ju or 20 minutes ago and your opinion
as our advisor since you are our counso] on this particular issue as to
whether or not you think tha- this fits all of the requirements and the
needs and the necessities and what's proper for the City of Miami.
Mr. Joseph Guandolo: Mr. Mayor and members of the Commission, I judge
from your question that you want more than an opinion on the legal aspects
of this.
Mayor Ferre: No.
Mr. Guandolo: From a legal aspect I think it is valid and binding when
properly executed.
Mayor Ferre: That's all I'm asking you, I can't ask you for a business opin-
ion, that's not your role with the City. Your role with this City is as
bond counsel and as special counsel in an area which is extremely compli-
cated and which you are an expert in, that's why we've brought you from New
York City here.
Mr. Guandolo: SNeli, i think it is a:, agreement that: when properly executed
by bctii parties and delivered will be a valid and binding agreement and the
Commission has the authority to approve and authorize the execution of this
document.
Mr. Piurrmer: Mr. Mayor, if that was for my benefit I have no qualms at all.
Mayor Ferre: Not for your benefit, Mr. Plummer, it is for the benefit of
the recor,3 and future potential lawsuits that may arise out of this type of
a discussion and ;'m trying to aocument it onto the record as carefully as
I can th,.t we have been diligent that this has been properly negotiated and
that this is a legally bindin-j and safe contract for this City to decide.
Mr. Guandolo: And may I also add for fear that my statement here may be mis-
interpreted. I also state that in reading this I found nothing which should
give the Commission concern.
Mr. Plummer: And from what aspect?
Mr. Guandolo: From any aspect.
Mr. Plummer: That's an awful broad statement.
Mr. Guandolo: That's what I say from my reading of it.
Mr. Plummer: I hope I don't ever have to remind you of that statement.
Mr. Guandolo: So I think it is....
Mr. Plummer: I understand that, sir. There's no question in my mind, sir,
as to the legality of the instrument that will be finalized either this
evening or In the future, = have never questlonea the legdllty. All right,
sir? Mr. Harris, my question has to come inunediately as to Dade having
tta 1-put and the rignt or chancing or alterir;-: the structure o;: the parking
galJgf•.
Mr. harris: May I tell you the reason for that?
Mr. Plummer: Yes, but let me tull you what r,.iv auest:or, is. My C;,Je5tion is
in the previous document which is the cocument delivered to us on time, it
was that you did have the right, you Dade Savings, had the right to make sug-
gestions and changes as to the outside appearance of the structure and, of
course, if the City agreed at your expense arid I find now....
Mr. Harris: May I correct you on that, sir?
Mr. Plummer: Please do. ! O
J UN 191980
Mr. Harris. Wc, hav: dl.wd*,/s i -IhI� t, mak
there: iias never 'beer, a aocumurlt :a'_ i11!1i% j1 ✓E 1rlijt 7.
The thinq that this dUCGC;letnt dues is, two
we can't be held up - Dade can't be held up. We cu:. �,r a c,",,,anc:e and
whether anybody wants to make it, as long as it's nc)t wit}3 the
orderly prot_;resr, of th,3t. lob we can yez it ioi.L, a:.., .. ,- r„3 L: e tht�
mercy oL somerua, wn., says 'ani it will c. .r, a:.,. :'hays
basically what we have putln because t.,C �i'tdn , wE'P t11i:i:,c, abGU'_ are all
things ti,at will improve the garage. We're talking a;.,out th.� fact that we
want a different skin or covering on tiie .ratsiae cf tt;it; juil(iing which will
make it a better building. We'rc talking about t :E: wa,` we: fix the textures
in +-ht2 %Oob] Of tilE bull ln, ?W: daSt_ wC arc: IUL <jC lC: j L. b_` IitE,Ilt, I am
sure, wl tlr whit. the City will ob*.-air, ] i r .t � t'ai 5KC!'! j ." 1 Ct .... we "a :.' f want
to be ljo-an,l by t.ii3t, wo 7,:,nt to 1mprov(_ It L)ecaast wt.'iu C: ing t:J 1p` t an
awful lot more money above this building than the City is putting in the
garage.
Mayor Ferro: That's right.
'Ar. Plui�:,er: 5o what you're saying is if you change from what the City is
proposing it will be at your expense.
Mr. Harris: No question about that, we just did not want to be in the posi-
tion where if the cha se, we did not want to be in the position where if we
requested a change anybody could sa•. it .oas fine even though that's only
going to cost us 2,GCO,�-)00 you it will cost 4.
Air. Plummer: Well, beat you see, t.hu terminology and, of course, we've got
to talk, Mr. Mayor, in my estimation before we can pass 7 we must satisfy
8 if they are still the given numbers.
Mayor Ferre: Well, unless you give me a good reason for that....
...r. Plummer: I will l:.,e happy to Sive you a good reason, sir, when we come
to it. As I read here, Dude p> oposc, changes, riot you Can and
you may it you want. pronose char:cc.s. Okay-1 An•i it says t::e specifications
respectively, architecturally, au—;thctically, feat,,ires to meet spuclal needs
of the spcclal design of t:,c lradc- (:enLdr to i;srAioniz,u t:.e ahicardncc of the
parkinc, garage wi.tii that of they Trade Center s'ub_,e :t to t:ntering into an
agreement with Miami Center Associates. Marshall, you know.... How many
others did we miss and are we mi,zin:: this eveninc'
Mr. Harris: I really don't know, sir, I can only do the best we can.
Mr. Piurrtmer: I understand.
Mr. Hams: We triEc'. do this in the timetable we were given, I had an
agreement that was different this morning that I thought was agreed to,
when 1 got here at 1.:30 I found that that agreernar.t was riot agreed to and
I worked this afternoo:,. Mr. Guandolo did his best to spot those corrections,
there are two of them he iras, there', now a third.
Mr. Plummer: Mr.. Harris, in the now related tin (�,ld cocuner.t and excuse me,
Mr. Grassie, I fail to find on this latest docun._nt any indication as so indi-
cated in the past that this is the final document.. I find no markings what-
soever.
Mr. Grassie: No, it has not been mark&(? that way and it would not be until
you have asked your questions and arc satisfied but once you approve it for
execution at that point it will become the final.
Mr'. P1wwmer: All right, sir. Mr. HL rris, in the other document....
Mr. Harris: I'r.. sorry, I want t,-, cc)ntra lct i-w-self. You were only reading
troy: the c}:anoc I already told you we spotted. Yuu've confused me, I'm
terribly sorry. You were reading from the bottom of page 17 and the top of
page 18.
Mr. Plummer: No, sir.
Mr. Harris: Well then please identify where you were reading from so that I
can ----
Mr. Plummer: I understand the confusion. I was reading from the thing that
is marked agreement.
99
J U N 1 91980
Mr. Harris. Oh nor t:.al. d, lei'IL .." Slr, the will not he.
executed because our rights d5 Co:it3lrie:: thereli', an.: ..:'.0 ozllgatlons
as contained therein are now in the .lease. Th;i s w',,,t M:. Guandolo and I
did and I'm terribly sorry. That agreement is no more. That agreement to
the degree that it is useful, and it is useful in two regards only, has been
modified and is now section 5(10) of this lease document.
Mr. Plummer: Well, a quick question. Would you give me lawyer talk, a
definition of what inter allia is? What is inter allia?
Mr. Harris: That's a good trade term - among others, as follows, as part
of.
Mr. Grassie: Between other things.
Mayor Ferre: Amongst other things.
Mr. Harris: Amongst other things there is this.
Mr. Plummer: Etc. etc. etc.
Mr. Harris: Inter allia is no longer there, the only provisions of that
agreement.... The only provisions, sir, are - this one changed, this one
is the one without these changes basically this has changed in Section 510
to City and it then goes over to specify when. If you'll prepare that....
Mr. Plummer: Are you saying all the rest of it is the same?
Mr. Harris: No, ali tine rest of it is 3iscarde_. Tile agreement that you
have in front of you is r,ot a suhnect before the Commission because it is
not to be execuccd, it is instead taker, into two marts as to those rights
of tn'orsharr, with the City, they are I c.w enCOITil>aSSC(3 In the turnkey and as to
those rights of Dade with the City they are now encompassed in the air rights
lease. That document disappears as a result.
Mr. Grassit:: By w.; of i :,,)ianation as to why that is the case., Commissioner
Plummer, yvster;lay evtzninc Sefrius dropped out of the equation, you will
see that that i., a f ,a: l:arty agreement. We were the:, 7,ow:, to three part-
ies ana rather tha., i.,ive ;i three: party a,;rcement si:;ce we has to have an
air rights lea:-,e wit:; Lu.e Savings any: wt, hud to hav(: CA ru ;,k y ag reement
with Fors}.am wE cOL 1'1GE L. Lro IeW ,.a.'d :ra?has that i c-mt ilnud `.I,C',Uid be
pU_ tI,05E: two ITtajor d1 )c,_rments, that Lnlra iH53 la,i>ortant or
less Si�j:lltlC'd7]'. C,>i:llmcr:t 1f; teim-s of c.overin a lot Of should
be Iroppea altoeether so that ius anc that docu:,,t_i.t o-e in the
isa::tion. That basically is what we were going to tell you when wu got
to Item 8 on your agenda.
Mr. Plummer: Well Mr. Harris is saying B no longer exists.
Mr. Grassie: That's exactly what I just said.
Mr. Harris: Could I amplify that just in one small regard, Mr. Commissioner,
just so you understanei? What "his document, the air rights lease before you
now does when you consider that that multi -party agreement will nu longer be,
it lust won't exist, it will never be executed, what the result of that is,
and I want this for the record srthat everybo..y u:,uerst.ar.ds it, is that
Sefrius has no rlgntt� in this transaction ar,y longer at all ink-1 We:rsham by
execution ul th, varlolls ❑ocuments he wli, Execut ` :,,i by 1 assume 6 p'ublic
statement bel:,re this Comr,,isslon on the iecord whicr, you w_li ratify by reso-
lution as we have requested, Worsham will have no rights in the tower. So
it will Le WO -sham building you your garage and Dade, no outs, no ands, no
buts unless you just don't build the garage, Dade will be building you the
building above it.
Mr. Plummer: Well, 1 want to get back to the otncr point which you brought
up some new ories. In the eventuality, and I don't have a:,y aspect that it
will, Dade Federal defaults what happens with the biildiny?
Mr. Harris: There are provisions for default for valuation on default.
Mr. Plummer: Does the building revert back to the City
Mr. Harris: The building is the City's subject to ct;rr_ain obligations insofar
as Dade's rights therein are concerned. That is correct. The building becomes
the City's under default, let me just be certain of that. Joe, correct me if
I'm wrong. It has been so long since we drafted tnl t one. It is page 54,
fin
JUN 191980
absent the enact 1,2.riods widen are set forth z)n
Mr. Plummer: Mr. Harris, where I'm coming from is very sample, sir.* Is
Dade Federal, Mr. Grassie, in any way bound by the City competitive bidding
procedures?
Mr. Grassie: No, in the sense that they have already complied with the City's
competitive procedures through their association: with....
Mr. Plummer: Excuse me, let me clarify tnat. For the construction of the
structure.
Mr. Grassie: No, sir., they will be putting up their own money and building
their building on air rights which are leased from us. Sa ion(, as they are
not in default it is their private property that they will be building and,
of course, ':hey follow a private sector rule for contracting.
Mayor Ferro: Thai's none of our business, it's their building. All we're
doing is leasing....
Mr. Pliunmer: Only if we have to take it over, Mr. Mayor, that's the point
I'm coming to. Okay? If they default, God forbid, what happens?
Mr. Harris: If they default you have what we had subject to the provisions
of Section 1203 on page 56 ....
Mr. Plummer: Which states?
Mr. Harris: If yju wiii let me just finish. On 55 if we default in construc-
tion you taf:e over what we have, you can finish the building. If the build-
ing is finished then you have the normal rules of damages which are that you
are ui,ie to relet t;:e premises and we pay you the damages for the difference
between what it cost you plus your income for reletting less from what we
would have had to pay you.
Mr. Plummer: But you have the rights of subleasing and reassignment..
Mr. Harris: I'm not positive I understand that question, sir.
Mr. Plummer: You have the right under tnis lease to reassign this contract.
P,.. Harris: Do you mean to assign our interest in the lease?
Mr. Plummer: Yes.
Mr. Harris: Yes, we do subject to some restrictions in the first 10 years,
that is correct.
Mr. Plummer: Subject to Commission approval?
Mr. Harris: No. There is no Commission approval required but there are
returns to the City of portions of the UDAG Grant because UDAG requires that
nobody make a profit on their grant.
Mr. Plu:^ner; In other words what you're saying is that the City will retain
no control.
Mr. Harris: No, that is not true. The City has control insofar as who we
can assign our lease to. It cannot prevent us fror,, assigning, it can only
prevent, it can't reasonably withhold that consent providing we bring them
a person like ourselves, the ssme sort of net wcrtn, the aziiity to pay the
lease and that sort of thin(;.
Mayor Mr. GLaS;Jit', is Lnis any difieri. _1,1. for example, other
leasez� tnat the City or mivati has made In c_ss,2nce, zor example the Rusty
Pelican where we icase land tc a person, ar3 tncit individual builds a
building and operates a business and does whatever?
Mr. Grassie: It is not different in substance. uf course, we are talking
about an air rights ;ease :ere as against a ground lease but basically the
sLbstance of the business transaction is ilm-,lar.
Mayor Ferre: It's the same philosophy, isn't it? I mean there is nothing
innovative, new, different, dramatic, revolutionary about what we're doing
here?
31
J U N 191980
c
Mr. Harris: May ? amplify one thing, Commissioner Plummer,? I didn't want
to mislead you. My responses on assignment were, of course, if the lease
is in good standing. I didn't mean to imply that that was after default of
the lease.
Mr. Plummer: No, if the lease is not in good standing you don't have any
rights.
Mr. Harris: If you saw that in the lease then you read what I put in.
Mr. Plummer: Mr. Guandolo, if the reverse were to happen there is nothing
in this document contained if the City were to go into default.
Mr. Guandolo: If the City goes into default there are certain remedies
that the developer may exercise.
Mr. Plummer: Are they outlined in this document?
Mr. Guandolo: Yes, they are.
Mr. Plummer: What page, sir?
Mr. Guandolo: Page 54. Those have to do with what we call
Mr. Plummer: I don't find it on 54 unless you're working from another docu-
ment.
Mr. Guandolo: No, those are the City's remedies.
Mr. Grassie: Your numbering is a little different than mine, 61.
Mr. Guandolo: (INAUDIBLE, MICROPHONE MALFUNCTIONING)
Mr. Harris: And I would like to call -.he Commissioner's attention also to
the very severe limitation set upon our rights under Section 1310 entitled
City's Obligations. When you deal with a city you don't deal with somebody
that has no interval for you to sue in the way everybody is sued.
Mr. Plummer: F_i,�ht. Mr. Guandolo, would you please my attention,
s.-, wnere I find in this document the provisions for ad valorem taxes?
Mr. Guandolo: There is a provision requiring (A) to pay all governemtal
charges - 13, page 13, Section 303. That includes taxes assessed against
the demised premises.
Mr. Plummer: Now, is It understood when you use the terminol gy governmental
charges that ad valorem taxes are not which are being presently applied in
the sense as governmental charges? Dade Federal understands and stipulates
for the record that in the future if they are charged ad valorem tax on this
premise that it does not in any way alter their payments tc the City.
Mr. Guandolo: Mr. Commissioner, the term, governmental charges is on page 4
defined.
Mr. Plummer: The definition?
Mr. Guandolo: Yes, it means all real estate taxes, water and sewer rents,
rates and charges and other governmental charges, impositions and assessments.
Now this is not inte;ded, incidentally, to be a tax levying document, it merely
imposes on Dade the obligation to pay the taxes if they are levied.
Mr. Plumr,cr: '4uit , X!. Guandolo, if you're no- familiar, sir, this City
Cotranissiar, does nc,t have the right to set assessments, that is done by a
different governing body.
Mr Harris: if 1 ui:d,,rstood your question, Mr. Commissioner, we are clearly
re.gaired under section 301, page 9 to pay rent, governmental charges and
other sums so the governmental charges are in addition to the rent, not an
offset as against any portion. (INAUDIBLE)
Mr. Plummer: Does anyone else have questions? Because I've got to go through
my old document, Maurice.
Mr. Harris. crlu.::: :. n1axu _, ltrer,ct_
a change that was , _fee . :c by counsel a...
ment, we'd ilhu t0 .tt.ike it cGnsi;itClnt. c!:. .-:ac -- .. .,, ,, ,1 i;.;:�• ::.,
Commissioners, we would sugyest that in .i:� s. c:, . lr.a c• ;::._ .,• �0:..3 l,aru-
graph providing bu- chan(:e:: to provide u::,i ti:]t i:: c.nc is LCC
5th line up from, the bottom -If t'r.at. sl .rtr. "and tine
price thereof will -he detoxmined" instead of that separate insert
"As provided in Section 501(b) hereof", just internal consistency because we
have a procedure already ;;et out I3I;❑ :'.r. G'1,indo.io sp,tted that, we were
drarting hur.rcd:y and nad check,,•;. th.,t bt,t tnere'_S just consist%ncy.
By the way, in that conri c-Lion, 1,1r. Corn-iss1C,ner, , :.; when ti,t:re is a motion
mace on this 1 would aoi)rociate it the two changes that Mr. �,'uandoio and I
suggested r-)r the repel C'. ire a part of that so that that coLia.a be done either
by interlineatinq or ,,o;:� tniny.
Mr. Plummer: A:, ;m,_ndec:, Cox. Mr. Grassie, explain to me your understanding
of 510 as it relates tc 1n particular the consulting engineers if a discrept-
ancy occurs? You don't have a copy of it?
Mr. Grassie: They brought five copies,
agreement that we have made but you have
I think Mr. Guandolo has one and that's
made available to the public.
Mr. Plummer: At some time or another.
Commissioner, it is based or, the
five of them, Mr. Barris has one and
it but we do have copies that will be
Mr. Grassi::: Connissione_ , ti-Le basic: intent of 510 is to provide, a mechanism
whereby if there is not agreement on the price that Dade Savings would have
to pay to get accorrlis':ed an improvement to the garage, keepinc; in mind that
we have a separate contractor who is builalno thi garage, if they want ar. im-
provement ma&_, what 510 does is provide a mechanisin for resolution of any dif-
ferences cf opinion and that basically is the function of the consulting
engineers.
Mr. Harris: May I add that's not the process by whit.;: we arrive at price, it
is the process by whicr, w;- resolve staff •mate or impass. We'll arrive: at.
price I cissume ev, lr ca`,e ty ^er '•1y ta�iCir,t�_. t:Ie laity, the City
will tux'r, to Miami center Associates rin" sic.y what are yo gclnCj to un:.ircje us,
and they have three separate ways of figuring that ana they can take the best
of those, come back tc us anti say, wall ke will lharge you X, it is only if
X is deemed unreasono.>le by us that we ;o41,i t'rren co tnrourh tr.i.s process.
Mr. _,_..;er: All ligh-, refresh r•,y mer,ory. Is Mr. Worsham, the developer
in relation to the hotel and the garage and the convention center, is he under
competitiv,: biading for construction?
Mr. l,Y.iSSli;: he ha:-, c:.f cau se, h(: got tl`,c: rifjht to develop through a com-
petitive process but the turnkey process that he is following a''lows him to
negotiate with vendor_,: or with contractors and he does not necessarily have
to go through a competitive process because it will not be the City building
but it will be the developer building.
Nx. Plummer: Wt.!., what control does the City retain?
Mr. Grassie: The City has a turnr:ey ccntract which protects the City in two
ways: (l) it has tl,e maximum or upset price of the $15, C00, 030 ar,d in addi-
tion to that there is a process for ev,_luaticr. done by out;;ide experts which
if they come up wit,' an answer on the total price of the project which is
less than $15,000,000 then the City's obligation is to pay that lesser figure.
Mr. PlummQr: W-ile ;'m goinc; through this, Mr. Grassie, you indicated that
Sefrius has drooped from the project.
:�1x. Grassie: That is :.orrect.
Mr. Plumper: All richt, sir. The word dropped mea:a that they have volunt-
arily dropped, and if so while I'm waiting would you get me a copy of their
withdrawal?
Mr. Grassie: They do not have a written statement to us, Commissioner, keels
in rind that I mentioned to you tr.at this ;iappened last r, ght and I'm talking
about something lake. & 0'^lock last ni•.;ht on the telephone. Ding Pei, the
Presi:o%t of Sefrius indicated to me that they were riot willing to continue
to unuer,o cievelop.,ent expenses at their ow:. expense, they were not able to
agree with Dada wit., regard to Da:ie's ro-.-mbarsing their expenses and con-
sequently it was their election to not. continuo witn the project.
.33 J t �� N 191980
6 V
Mr. Grassie: ...continue to undergo development expenses at their
own expense. They were not able to agree with Dade, with regard to
Dade's reimbursing their expenses. And consequently, it was their election
to not continue with the project.
Mr. Plummer: Okay. Then tell me how that reflects back. They are the
holder of the franchise for the World Trade Center.
Mr. Harris: Nr), they arc not. They have another corporation which holds
the franchise, which 1.1r. pc,l is a majority stockholder in. But
Sefrius is not, no there is a distinction because there are different
casts of characters. I gust wanted to make ... it's not a Sefrius Corporation.
Mr. Pei has told me that he is the majority stocknolder in a corporation
that has a franchise. That is not Sefrius.
Mr. Plummer: Mr. Grassie.
Mr. Grassic: Wt,at Harris has indicated to you is correct as far as
our information 1_; concerned, Commissioner. 1 think possibly the question
you are gettinq at is what wiii we end up with in terms of a World
Trade Center. The only ihibitinc; +actor in terms of losing Sefrius from
the equation, is that we may have some difficulty in usin: the phrase
center ui;-er ca , In other wcrd! i` that pnra. c, th--it name is considered
in some way protected because of +: ,elr franchls� cr.;rc uT,Nr,Ls, we not
be able to u,jo that p,irticuiar pnrask,. Lit in tern:, of building a
building rand the iunctl,:,n.-. c,t a Wcr. d Center, and assuming
that We Cast elt i't t.0 C.,�A:", .e the -.ame of thC: Jury S.lcihti`.'. Like
for example, call it an intcrAmerican Trade Center or sornething of that
nature. It should not affect either the purpose of the function of
the building so far as the City is concerned.
Mr. Plummer: I want to go back. % d;.n't want to lose ray train of thought.
Mr. Grassie, it was the Mayor and yourself who sold this Commission...
Mayor Ferre: Sold?
Plummer: ...at it's inception. Well, I hate to use the word lobby.
It has such bad connotations.
Mayor Ferre: That's all right with me. That's what we all do all the
time. Including you.
Mr. Plummer: Yeah. Tha,.� the great advantages of a franchise of the
World Trade Center in the Miami area because of its affiliation world
wide, with T},.r trade centers. And as I recall from that meeting, the
terminology wa:; a,,ea that )u:�t puttlnc! another bulldln�, f0: .core office
space wou.1-c: ?lCt i)c' beneficial to the l C3j.le of thi_; Commal7ity. !hat it,
in fact, It 'r+:L Lv: Ci':, l LllY_K+St , t1;_ GL.' WQ,.' was wit!. t},,' Wr—,Lid
Trade Center anr. as its franchise. Now, tiie immediate question then
has to come since there will be no governing intern-,tionai world trade
center, as to what and 'now the s+.ui. three hundred thousand .,quart_ feet
of this building, what deline&tian arid definition is written into this
contract, and in whose conception is waat the World Trade Center will be.
Mr. Harris: ? Grassie, please. I think you I,ia,.e ter. a�.sumptlon, ;r.
Commissioner, trot 1 dian't intend ';-y n ✓ corwnL!nt . Tl,.,,, fact tnat
Sefrius is not a j:art of t:,is tran,_actior, now doi:s noz bar them from
participation, in thli transaction at a date. It's dust that
:hey can't, WL ale r.Gt 'v iliir,g tG pa ' til+_ii tJ 1)t ne_ c now. We
could still coine back to them ar.c. say, now either ! u.s with our plans
or we build our uui..:ing and W: iy, r:,�w vo.,'ci 1. ik, to -a.: he Norld
Trade Center, Will `•ou co he :K an,-1 run It a5 you nail pl anr&d tQ' W•-,
can still have ail t_hGSi Opt10nS urid it Will Mill be a traC,� center
because we're obligated to build a buildin, thr;t a trade center is in.
Mr. Plummer: The point I'a, making or trying to :,take is, that this was
sold, Marshall, on a concept of don't put up just another building.
Mr. Harris: Yeah, our problem was that we were Dade ... if Dade was involved,
24
ist
J U N 191980
4 9
Mr. Harris (continued): we wouldn't pay the price being asked by
Sefrius at this time.
Mayor Ferre: Well lets, excuse me, just for the record, to clear this
up a little bit. This whole thing goes back five years.
Mr. P1 wnmer: Three, I believe.
Mayor Ferre: No, five. it c;oe_. bac,, the uays when there was a young
fellow by the name of Paul, Peter Paul, all right? And Peter'Paul was
the man who five years ago came: back from Singapc.: : and said, 1. think
I have a �ontrac:t to be the franchisee ;:or. thu ';;c,rld Trade Center. And
that's when we di cusses it and we thell went throuc:h the whole process.
There was a big St.l:'.lh d:'7l wI; 't;ic ._ C: nc L '.Jc coiu-I c, y : yc, i 7- tc, them
without a bid proccc:ure and the r, !v_ calrx uciC.. :anQ IiE :;ala tl^. I": C the
World Trade Cent,,. %raiicI-.'se, et �c Ct'�.,, E: �'�tcra. %�LG2" tlllt, he go? --
into, he went t0 •'r,i,ICC_' and, „c foi-, 6 ,:,;�'._ Z it
�tt_�2'45, �;" k'ni:iti;`.'t t'r.e. TaIYle
is, ::1n hu11t twr th` e( _..:er 1 2'1^:,l And then
he came rack here witr, Sufri'as a-i contract, and :hen their t'.S.
base is Sef ri'— , and tIiat' wQ.. ended up i i;i t:.�.-, tJholc tl:i: j but the
idea was not Sefrius, Se`ri'.._ cams., ir.t3 th-,,3 r.',..ch later. hr:.. a�: 41s
h:, I r-necl, wo'vo YJ(,;, C�t`.' iOT;I. 1 �' c` I':av-'n, 1 .';Or:.. :"rad- Cr--,nter.
Obvlcusl`f, tI.at's not the only t::i7Ci tnaL c'an Qo un on toL_, of that
garage. And wI:L'n Dade "c CBYFil i iI._ iIito the plctlire , the roaFon wlly
we're in this ho::ture here i;; because o_` somethinc, called the c;oic cl-1
rule, and the gold(?n rule goes like this, he w•i:o :ias thta goln rules. Now,
Marshall Harris ;nd Dade Federal are tl�e people that ar, put; 1:,'? ..ip the
money. NOw, the}, are the ones that are going to make the decisions as to
who gets what. It isn't...
Father Gibson: They have the gold.
Mayor Ferre: Poor Peter Paul is gone for other reasons and Sefrius is...
Dlr. Plummer: yes, last we heard he was out around Firey Rock scmew;,erc.
Mayor Ferre: So you ;snow, my answer, and Earl 'Worsh t , certainly is a
witness to the tact that I havL ti':e hL(ih''St regard for Sefrius and for
jack Duzay and Ding Pei and all that. And w'.':tn tney told nQ, 1 said,
look, I home ycu gor your contract, I none you work it out. Eut there's
a very simple sol,:' i n. You come u;) wit:; the mortgage and the equity
necessary to nut up that building and then you don't need Dade Federal.
Now absent that, okay?
Mr. Plummer: %'.r. Grassie, the document, sir. May 1 have: a copy of
Mr. worsham's waiving of its air rights above the garage.
Mr. Grassie: ^hat will be your next item your agenda. We are substituting
that resolution...
Mr. Plummer: Do we have a copy of it?
Mr. Grassie: We can distribute it right now, if you wish.
Mr. Plummer: I think it has to be...
Mr. Grassie: But we are going to substitute: chat for eight.
Mr. Plummer: That has to be in conjunction. Fight?
Mr. Grassie: Yes.
Mr. Plummer: Has Mr. Worsham had a copy of this?
Mr. Grassie: Oh yes.
Mr. Plummer: And he is ready to sign it?
J U N 191980
ist
(INAUDIBLE COMMENT)
Mr. Plummer: Excuse me?
(INAUDIBLE COMMENT)
Mr. Plummer: I see nothing with the signature attached that he is in
agreement.
Mr. Grassie: He is willing to sign it and he has reviewed it,'Corrmissioner.
Mr. Plummer: Mr. Grassie, 1 am concerned in tize c,neration maintaining
and keeping of the parking structure. It has been indicated, all the
way along, that this thing woul-" Lu built an3 in tarn, turned over to another
governmental quasi -body known as the Off -Street Parking Authority.
tSr. Grassie: T}:at is still the case, Commissioner.
Mr. Plummer: I don't see it spelled out here.
Mr. Grassie: well, that is the subject of a separate agreement between
the City and the Parking Authority, and it is also the subject, if my
memory serves me, of a specific resolution by this City Commission that
stated that.
Mr. Plummer: And is there a copy of that available?
Mr. Grassie: Yes, sir. We'd have to go back in the Clerk's records but
we can get that for you.
Mr. Plummer: Mr. Grassie, what happens if the day ever comes that the
Off Street Parking Authority, which has been discussed at this table
on a number of occassions, goes out on a management contract? In any
way is that precluded?
rassie: No, t:.ey have the statutory authority to engage in
..,an(:,gement contracts and to operate their facilities through a management
contract. Thai's possible.
Mr. Plummei: :here i:: n,.) prohibition, in your estimation, Mr. Guandolo,
for that if it ever i5 to be? I'm asking the question really, is there
a big distinction as the wording appears here. The City, between the
City and the Off-street Parking Authority.
Mr. Guandolo: The Off -Street Parking Authority is also a department of
the City and ...
Mr. Plummer: Well it's a little bit more than a department.
Mr. Guandolo: I realize that. But I would think that whatever has been
entered into with respect to this particular parking garage, really has
no relevance as to the power of the City in dealing; with the department
of Off -Street Parking or all of the Parkins Authority.
11r. Plummer: Does Dade Federal understand it that way, Mr. Harris?
Mr. Harris: Yes, it does.
Mr. 2'llummer: It cuoes understand. All right. sir. On page thirty, in the
event of. a loss, it says t:,at such loss sl,ali be paid to the City or Dade,
respectively. Most places that I know of, Mr. „rassie, it's made payable
•.o both and requires both signatures for release. And it would seem
proper to me that that wording should be City and Dade, not or.
Mr. Harris: We're in two different places.
Mr. Plummer: On page thirty.
J li N 1
ist 9198t-)
Mr. Harris: No, no, I didn't mean that. In the structure.
Mr. Plummer: Of the latest document, section seven zero one.
Ar. Harris: Bad terninology. That language envision;_.-Iama,;e to the tower,
which would be paya}ae to Dade, or damage Elf such a rn_,gnitude that it would
exceed that which is i,ayabic only to Dade, which wculei lac :;ayaLle to Dade
and The City, or per::;ip3 damac;e to the garage which wou.ci .E. ;navahle to the
City in which we would have no share. we have two entities, you see,
two physical entities.
Mr. Plummer. Tni:: document, ;'.r. Hci is, doe: 'lot .-Uclress itself to the
garage, basically. Where is a separate document ?or that. .;o I'm understanding
that this document .is onl,; to that of Dale Savinqs.
11r. Harris: Nc., hL`_ it covers what harp,'ns to damage to ;heJ garage because
that's very lm?Orfe.11t to u5. That's wne z-0 we're sitting cil top up, we want
to know that people can get in and out through tle garage to get to us.
Mr. Plummer: Ail rirnt. Mr. Gra_ie, I(-)r the recc,ra, would you indicate
the reason for wordi:.i such a�, Earl Worsham, and individual and :;lami
Center Associates, Tricorporated.
Mr. Grassie: believe, Corrrissioner, that that is part of the agreement
that is listed on your agenda a_: item eight which, at, we were discussing
a little earlier, is no longer aprltcable, and we art_' not going to ask
you to act on that. That is not something that is in front of vou.
Mr. Plummer: Then are you indicating that in fact, the document relating
to Dade Federal, :Ir. Worsham has no concern at all in that document.
Mr. Grassie: He is not...
Mr. Plummer: Other than as it relates to completions so that they can
start their buildir:q.
-.r. Grassie: Tiui.t is correct. Mr. Worsham does not have an interest in
the air rights lease in the sense of having beneficial interest. He does,
of course, have some concern about the tower getting completed, but he does
not. havo e, d1rECt lnte:reSt iii that lru:'•::. Ncw, to answer your quest-Icn,
the reason that tr:ut particular documenr, which i no ioncle:r valid, no longer
gci nq to he acts.=-d on, is worc3ad that wa,.• was simply because: Jade Savinas
wanted `_hose_ dist,_nct..or,s nude l)eca-,lSe t;:Q?`f did not have all of thi.
doctimE_r:t that demonstrated what t;,e corporate structure of Mi,,-ni Center
A3soclaLees was.
},r. Plummer: '1r. Gra ;5i th:'n Pxrlain to rii• wli,it the ;Ydsc71'_ rosture is.
My greatest conz7ern, as I expresseu to Mr. C.rj.mm was th,: w4, ..in
escape hatch after the signing oral the selling of Lhe bonds contained in
the ola number eight document of Dade 2edelai, which hac an option if certain
things were not the way they wanted, they did not have to proceed.
Mr. Grassie: You are to sor,:e extent. correct i:, that, Coaurnissioner, but it
is precisely because of a reservation that }.,one: counse; for the City, Mr.Guandolo,
had about that, as we!*- ac our underwriters, that we have finally done away
with that document that you hive in your. ha::d. And that prevision that.
,cu are descri': `nq as an out or an c: scape cl.use is no longer part r.f the
agreement.
Mr. Pleunrae:r Ther. it is my understanding, upon the pass'.,__ o:' this
document by this Commission this evening, if that is the ciAsL , t-at in
Effect, Dade rederal is committed, with no out, to buildinq a stru,:utre.
Mr. Grassie: Well, except for default by the City.
Mr. Plummer: Mr. Lipton is shaking is nead no. You'd better...
Mr. Grassie: If the City were to default, if we don't build a garage,
1 `7j
ist
J U N 2 91980
Mr. Grassie (continued): of course, then they don't have an obligation.
Mr. Plummer: Cf course. Assuming that the City meets its obligations, there
is no out for Dade Federal. They are committed to building a six hundred
thousand square :oot...
Mr. Harris: Not true. There is a second out but it -,s also a default
by the Citv, but I want to explain it to you so you understand it.
Mr. Plummer: All right.
Mr. Harris: The parking garage must be built Jn conformity with -exhibit
"C". If we say it is not, and tht: City says it i:,, and a third
arbitrator says it is not, then the City has not delivered to us what it
says it is to deliver under the lease.
Mr. Plummer: That's a default by the City.
Mr. Harris: Yes, well a little different though. It's not like not building
the garage. It's there all right but it's just, in the judctment of two
qualified engineers, won't hold six hundred thousand foot of building.
Mr. Plummer: All right. But in other words, other than that, Dade Federal
has no out.
Mr. Harris: That is correct.
Mr. Plummer: All right, now. Mr. Grassie, it was outlined previously,
I have a breai.3own, is it shelled out in this contract, the breakdown
which was given to me, of six hundred thousand square feet gross, five
hundred thousand usable, one: hundred and fity thousand square foot by
Dade, and tnret, hu:idred thousand by the Work Trade —well, by a trade
center. Is that spelled out in the contract?
Mr. Grassie: That's still part of the agreemunt, yes.
'•r. Plummer: Where do I find that in the contract, sir?
Mr. Harris: It is exhibit "E" of the lease.
Mr. Plummer: Do we have a copy o4' "E"?
Mr. Harris: Yes, you do.
Mr. Grassie: Yes, sir. That's part of what was handed to you.
Mr. Harris: That's always been a part though, I believe. But it is
certainly a part in the documents that you have. That has not changed.
Mr. Plummer: Mr. Harris, we've never had "E" before so we don't know.
Mr. Harris: Well that may be, it's never changed. Everybody has known
it. It may have, by oversight, not been among the previous documents
tendered to you.
Mr. Plummer: Mr. Worsham, for the record, you ::ave -earo on:: procedure
of i�os5ible d4iault. I am assuming, for the recorcl, that you have examined
exhibit "C", and for the record, indica'_c that cxi-,ibit "C" can be ;produced
as indicateu for the amounts of mono- , t:.- tin,F:, and all procedures.
Mr. Worsham: Mr. Plummer, Commwssioner.,, :,e :a:,., ..•,c o` cx:i bit "C" is
being taken and put into a sep"rate lQt•_er agreo_ment w'^.:c:. yi. become an
attachment to the Turnkey contract, so that ::t' ar.�'2dC�F_ 7aa1 .l`,', and
the City' S e}::.lbl:. "C"" and the laricuac,2 ani the Turnkey contrdC:_ are for
intents and l,ur poses the sane. Thy. c'i5tin -ic;; t'r,at I -o w_n: to _: ikt , is
that we, .' i&rri =.s`-;cjciot,3f;, yi:i.Y '.'.2 :'.•.' ,crc3G< COi.trdCLJY, cannot;
acquiesce to thL, procenlires of th(_. two ii:Q(:ih i'. Cn' _fvaluazor; , et cetera,
et cetera, that Dade has. So we don't know what their sui,;ective
evaluation of this would be. We know w:at we can guild and the language
ist
4 6
Mr. Worsham (continued): is basically the same. So, I think the City
is getting that. You may have a dispute with Dade, but we are
building a building that basically has the same language that their
exhibit "C" has.
Mr. Plummer: Well where do we meet a common ground?
Mr. Grassie: i think one of the things that. Mr. Worsham is indicating
to you, Commissioner, is that the process for price res-olution, under
the Turnkey agreement is somewhat different than. is tine case tnoer
the air ri( Yht_, 1 _as. wi, Dade. l'r.e: Turr,kc_y pr s ; is one wh:Lch we
envision as being used frecluentl';' as i_; the ..-.a t'. with aoy larcle contract.
You have a nrocess for arrivir,a at 7.. resoiuticr, a::ytime th•_rc is a
difference betw.-'en ar ow,)tr and a Ot,.l i"eh an to what so:i,tttain,r should
cost, if it 15 an aii6ed or an cx;:r, co:..t, a;1:' th`a L Would
call a routint. procesd. The j7rb JeS:, a:, `.i11' air rlcjlitN iE :c wich rDcadc
is an exceptional process. It is nnt: one that v:,u woul(: use it, all
llkllhood at all. You may i C' i' d.'..:i.: cr t-wice :'Ur'ari l .lte' of that
agreement. It's; a much more it is rn• sur t c ;-tive
in t}:e s, :se that it depends o;, ch i.ru ,r 01 .::o ennir.eers ;c c,f
:nree. But it is a much more unusu:.1l procesb, a mllCC: ,Thom: excci-)tional
process. And I thir'4 w1 at ?:r. Wt rShan iF, tellin , Vcll: in `. ha:. :13b
Turnkey agreement depends on a reiativul'! routine wcty or (--staIi!fliny
prices under a Turnkey contract, whereas, the agrc;emen t with Jade
really is a more unusual kind of process and not exactly the same
as his.
Mr. Plummer: Why was it not used, the Turnkey process, in T)ade's
lease?
Nir. Crassie: Because of the very different nature of the problems
that we would...
Mr. Plummer: But that would alleviate any discrepancy.
:,r. Crassie: Well, no you would still have two different documents,
two sets of actors, and there would not necessarily have exactly the
same opinion.
Mr. Plummer: Then reverse. Are you willing, Mr. Harris, on behalf of
your client to accept that which is being proffered by Mr. Worsham as
being exhibit "C". I'm not seeing it either.
Mr. Harris: Exhibit "C" is the exhibit to the air rights lease.
Mr. Plummer: No, no, Mr. Worsham, wtio is the builder, developer says
he's going to give you something different...
Mr. Harris: He's not gaming to give me anything.
Mr. Plummer: ...He's going to give it to the City.
Mr. Harris: That's right.
Mr. Plummer: Okay. But you, by virtue of this contract, are binding
on exhibit "C".
Mr. Harris: My exhibit "C" that's in my air rights lease.
Mr. Plummer: You're air rights lease. Okay.
Mr. Harris: Any distinction between that document and what he gives
the City, is the City's problem to examine and eliminate before it
accepts it.
Mr. Plummer: But how can we do that after we've already accepted yours?
We're accepting yours now.
ist 19 J U N 1 g 1980
C
I
Mr. Harris: Before you accept his.
Mr. Grimm: Let me help answer that question, I think, for you, Commissioner.
Exhibit "C" was drafted by myself and Adrian Warner.
Mr. Plummer: Am I supposed to recognize that name?
Mr. Grimm: Adrian Warner is one of the major partners in Earl Worsham.
Mr. Plummer: How could I miss him. I've seen him before. Well, I'm
losing something, Vince, in here between what we are binding ourselves
with in this document. to Dade Savings, and Mr. Wor:;ham's reluctance
to agree to this, what we are agreeing to.
Mr. Grimm: No, in fact, Mr. Worshan is saying that he is going to
supplement his Turnkey contract with the same provisions as are in
exhibit "C".
Mr. Plummer: So you're telling me there is no discrepancy.
Mr. Grimm: There is no discrepancy.
Mr. Grassie: But we do not want to indicate to you that there will never
be an argument about price. But there is no discrepancy with regard
to the standards that are to be achieved.
Mr. Grimm: Like as an example, it says in that air rights lease that the
roof deck will he clesicned for one hundred pcunds a square foot, it says
in the Turnkey ciiitract i` '4:11 he fcr one hundred found_ a
square foot. It says in that air ri~:its lease, wi.-I provide six elevator
shafts, it. in tho Turnk.e,, contra---t, will ;.rnvide sir, elevator shafts.
So we have take:. ,ill o` tilu nrovisior,5� c�f the same., two exhibits and
incorr:orated in. r.':t we have left out O� it, as an exalm le now, if
Dade Savinr.,s dna Loa:. wants to a skin to _l.e building that's more
expensive that wliat "dr. Worsham is puttiric; on his garacle, then we, the
Citv carry the responsibility to rationalize those differences in cost.
1'lwnmc:r: Mr. Grimm, before you leave, enters into the picture the
Downtown People Mover.
Mr. Grirrr,, Yes.
Mr. Plummer: It is proposed to go, how, over through, around the structure^
Mr. Grimm: That's a good question. Okay. The structure, as it presently
stands, is required to accommodate the Downtown People +:over. At present...
Mr. Plummer: At what level?
Mr. Grimm: At about fifty-one feet up in the air, to the track level.
Mr. Plummer: That would be still within the garage area?
Mr. Grimm: Yes. Now, we are going to provide an option where one of
those trains could be hung outside _h.- building, if they chose. In other
words, there will be a tunnel hrovidecd throu(7h the buildina, the columns
supportinq the building will be capable car carrying all the total loads,
is well as the d`, .:LT1C ic- , of t,o_ i'CGI:-1C mov_. . There will be space
f,,r the' olatft:;rr': '3Sa' to se'r\ 1Ce.' tl Pe- .:f .mOyer, t1lere will be
spacu for the: elevators, or eLcaiator to st rv,_tilc,t .. t:ati: n. But the
actual desitln U: .'_ 1It known anyoG`! Vitt. ESut tl, G! tlon
would be that the trains could be either inside the building, or one of
them hung on the outside.
Mr. Plummer: What does that do to the configuration of the fourteen hundred
and fifty spaces?
Mr. Grimm: The fourteen hundred and fifty spaces have to be provided under
the worst configuration would be that both trains are inside the building.
ist 40 JUN 191980
s 4
Mr. Plummer: In other words, you're saying, under theiresent exhibit
outlining the people mover, excuse me, the garage, that that is for
fourteen hundred and fifty.
Mr. Grimm: Yes, sir.
Mr. Plummer : And if that DPM goes through the garage...
Mr. Grimm: They have to provide fourteen hundred and -fifty spaces.
Mr. Plummer: 'N'ho does?
Mr. ;,rimm: ,tiers : Ln. T-ne 'i'urnkey contract re4,uires provision for the
Downtown People Mover and fourteen hundred and fifty spaces.
Mr. Plummer. .kay. ',r. Grassi:. ...
Mr. Harris: Just to me.Aion to /c i, t'r. Commissioner, the six, seven
pages of s:.et:,'r, attached to exhibit "C" of the document that you have,
shows the location, appror,im�te location of the. People Mover. It is
a part of the air rights lease.
mr. Plurm.;.er: `i:hrrl5, my cc'cer.: waL, in t ._ _,rea, I don't knew how
he's goi:.g to do it, that's his problem ho.',, agreed to it. It is
obvious to ma.• if you run a trlir: through the middle of a parking garage,
you're guinq to have less space to put the fourteen hundred and fifty
spaces.
Mr. Harris: That is correct.
Mr. Plummer: Then my concern relates to guarantee to Dade Federal that
that parking garage will be fourteen hundred and fifty spaces.
Mr. Harris: Well to alleviate you, the tvpicai snow, tht. ._chematic shown
by Mr. Worsham, his sketches which are attachea to t•r:e !euse as ;part: of
exhibit "C" provide .`.or fourteen hundred and fifty and the People Mover
Mr. Plummer: I'm hoping. I hope. ;✓ir. Grassic, arith the Sefrius Corporation
out, what happens to the cost and expenses incurred by them?
Mr. Grassie: They have been developmental expenses which run at their
risk.
Mr. Plummer: They understand.
Mr. Grassie: I can't guarantee that to vou.
Mr. Plwnmer: But in your estimation, any agreement that we entered into
with them, that was spelled out clearly.
Mx. Grassie: Our guarant..c,, oar agreement with them consisted in a right
for them to develop, to otter.; t to dQvelop, to bring to the City plans.
The process of doing that runs at their expense,
Mr. Plummer: 5o nowhere in this new last final draft, this last document
does the name sefrius exist? Ic doors not.
Mr. Grassie: ;: ;lore~ not exist on purpose and the only reason it might
is through an oversight but it is not par of the document as an intentional
thing.
M.r. Plummer: based on the square footage of useable space, what is the
return to the City on a square foot basis?
Mr. Grassie: If you are speaking of our translating the rent payments
to the City into a square foot return, ar,a assur•-ing that we're talking
about not about tho initial ore or 4wo.,,initial _:.ree or four years
in which the rent would be reduced, because you rememb., there was a five
year period over which the rent gets Up to the three hundred thousand dollar
ist J UN i
Mr. Grassie (continued): level, the City would be receiving three
hundred thousand dollars in air rights, basically, in exchange for five
hundred thousand net leaseable square feet of office space. so, if you
want to put it on a ratio basis, we would be getting something like
sixty-five cents or seventy cents a foot, a year, as a return to the City
for those air rights. Keeping in mind, that the City does not have an
investment in the built space.
Mr. Plummer: We h.zve an investment but not financial. Final question
that I have, Mr. Grassie. At what time is this Commission going to be
afforded a complete set of documents relating_ to :he Conference Center?
The total Conference Center?
Mr. Grassie: Well if you include the World Trade Center...
Mr. Plummer: Trade center. We no longer have a World Trade Center.
Mr. Grassie: Well, we're not talking then about the Conference Center
but only about the trade center?
Mr. Plummer: Well primarily, the agreements with Dade Federal, the
agreements with Miami Center associates, as it relates to the parking
structure, as it relates to the hotel, as it relacus to the Convention
Center, as it relates to the University Conference Center, the Conference
Center itself. When are we going to have a complete set of documents
that includes and encompasses all of the complex?
Mr. Grassie: At the time of the bond delivery, which should be thirty
days after sale of bonds.
Mr. Plummer: After the then proposed date for sale of the bonds?
Mr. Grassie: Is the end of this month and that's one of the things
that we want to talk to you about when we get back to item six on the
agenda.
Mr. Plummer: All right, I'm not holding you to it. So in other words,
by then the first of August? Okay. In any way where it exists in
other agreements, the pledging of the Southern Bell Franchise, or the
Utility Franchise, does that enter this agreement with Dade Federal?
Mr. Grassie: The Southern Bell Franchise? No, sir, it does not.
Mr. Plummer: The utility franchise. What is the backup guarantee
on the other: What are we using for that? What franchise are we
pledging as guarantee?
Mr. Grassie: We're not using any franchise.
Mr. Plummer: On any of the complex?
Mr. Grassie: We're not using any franchise revenues.
Mr. Plummer: No, guarantee as franchise.
Mr. Grassie: Are we confusing the tax entitlement from the State,
Commissioner, with the franchise revenue?
Mr. Plummer: I could be, yes. Clarify it for me.
Mr. Grassie: The franchise revenue, you remember, we had a vote on that,
and two percent out of the total three percent is dedicated for fire
purposes, emergency rescue purposes. Possibly, what you are thinking
of is the entitlement tax which we receive through the State. That is
pledged to the bond issue. Did I make that too simple?
Mr. Guandolo: What is pledged here is the telephone and telegraph tax
to the extent that it is available for eight years because you have
some utility service tax bonds outstanding, to which all utility service
J U N 191980
ist
s
Mr. Guandolo (continued): tax revenues are pledged, the extent necessary
to pay those bond:--. Now those bonds will finally mature within eight
years so during that eight year period, the Cunvt`ntion --unter and Parking
Garage Revenue bonds will have a pled,?e o,.what i ' •, `'. a;zd is
available after paying t.ht: det.t sery e .. on the present�y 0',1t.,;tan,,Iln j
bonds. But af` -- tht- eight gears, thrnr will DG Plea-':,(., of r0VCS,Ues
from the telc--pho;,e aric telerrap , service tax to thu extt,r.t., a,_7si:., necessary
to mak(, do-posit11-, .1 sUPPlemental rE 'G 1"Vt :Una to make :n ct iicienc),es
in the funds necessary for the he„65 that are being it•auecl- It's a little
complicated but that's wnat it is. _
Mr. Grassie. Ar. C;tzandolo i; abGol�tC'i .:o r<." ,;ut we ha,u ut that
in this contex... we're t...'}:ir,g at,o.t an u.ztir.ier..en•_ t•;.at rarining
at approximattilV six in-tilion dollars _1 year, cii:i; tfiEi Oi 11 y itiv', t ;at
Mr. Guandolo is talking about, I btiie.. runs scmethin(- 'like twc hundred
and eighty-five tl-,ousand dollars a year as a maximum cbligat.>_oz,. So
for all intents and purposes, that entitlement money would be available
to backup this issue,, although, as he says, there is a prior claim, a small
one but there is a prior claim.,.
Mr. Plummer: sir. Mayor, I thank you, sir.
Mayor Ferre: All right, Mr. Plur-mzur. Are there any further questions
at this time of the doa.:umcnt that's been presented before us?
Father Gibson: . don't ;have any problem with the: documant, I just want
to raise a fav�7)rite r_uest.ion or mine. I hope, Mr. Harris, yo- take the
mike, this :s c.Ire�cte'l r(, you. Knowir..J you as i do, you know. I
cope that we are all (,oin= to b-, of one mind as t�-) -�ur de ire for
the look, of a I-)uiidini 1n (lowntowr, miariii. Lr-- ^.r exp-uin. ,.:1f Z;
not a criticisI.. !-,tetrO:,olitan I%3dC: C")unty 1s h:111dina a bui,'din,„ and
they thought t1 at the only way rnet, ::o.zld get quail ,:y s they had to
go to New York avid get a mar.. ile in ;'iami, contrary to e;;,at so.•^c' Other
folks 1:1.ink, stayed in Viam;. And 1 think we, have a that
pecu'ilUr.y our:.. I ar, implylr:u that. Lf WC- I-Ulld tlli5 CIt?i'i Vll
J
,`,.iC.•N, I WC'I'J, nO;Je that ✓eu wouldn't nL so different that you l nore
all that's around you because you arc, goinr, to --.is that the tower, is
that what I had? Do you understand what I'm talking about:'
mr. Farris: I undt.-.rstan6 completely.
Father Gibson: 1 would ::� c, sir, we would have a harmonious blending.
Let me nut it the oti,er, wa,,. Havine lived one time 1n ::ortln Carolina,
and Virginia, all Lhe People up there dearly li1:e red bricks. LxOwn
In Miami, we belV1 ilaSt?rinC. PCy G.1
understand what :'m ralki.ng about. And I don't think that all the sense,
counsel, please for- ive r,e. 1 don thin;: 1 i LhC sense 1:1 York
or all the artists are uj,� there. _ bol-e I don't have to say_ anv more
than that and T'm trying; t0 he very, very pclitc!.
Mr. Harris: Weil Mr. (:r,:retie:.loner, lot me assure you that when Dade
builds its tuildinq, it is a buiidiltg that will blend harmoniously with
Miami as a coCLcU'rcial center, and it will be a building that both you
and I will be proud of.
Fath,•r „ibson: Ana not only ti";at. I hope —I understand,. I hear that.
But I no`)e that r,r^'t ::,;w those Tien called architects will have a meeting
of the mind. Not that you wart eV0ryp:,ly ' J ce the same and alike, but
for God's sake, not for my saki. Do you know w1;at I',^, talking about?
Mayor Ferre: All right, further questions or statement-,?
Mr. Plummer: Yes, Mr. Mayor, I just wan or: the recor',', one final time.
Mr. Grassie, two things. The first one being that this contract in
no way obligates the parking structure to any guaranteed space to Dade
Federal.
Mr. Grassie: That is correct, sir. They are not guaranteed space.
ist
41 JUN1g198fl
Mr. Plummer: The second thing, would you reiterate, for the record,
what the appraisal on this property w-s. We had an appraisal done on
the property.
Mr. Grassie: Well the City had an appraisal done on thc initial. parcel...
Mr. Plummer: That which is encompassed in the, lets say the garage and
the tower.
Mr. Grassie: About five years ago on the second two-nrcels, if you
include those, the total came to approximately three million dollars.
Mayor Ferre: We had an appraisal also on the air rights.
Mr. Lacasa: That's the one that I think you are interested in, right?
The appraisal on the air rights?
Mayor Ferre: Weli, the record is there.
Mr. Lacasa: But what is the appraisal on the air rights?
N:r. Crassie: The ap;>raisal on the air rights reflected what a proper
return to the City should be, Commissioner. And the conclusion of the
report, whim I believe you yot about i, year or so a?c, indicated that
the propos-.:d rc-urn =c the City, that is the three hundred thousand
dollars a e:,r « the fee for air rig:-.ts, fell ver; well �:ithin ar.
aperopriate ranee. So, what the a.>prais.11 told you was that the return
that the Cite is getting is fair in terms of the property that it would
be putting up for air rights.
mr. Lacasa: What. is the crcentage on the City investment?
Mr. Grassie: If vo.. asbume only lance cost, then you're talkinc about
te:+ percent per year. It is a question entirely of how you treat the
bc.'nefit of havin,3 the caragje, wh-Lc:: Wc: con alder tJ be a Self-supportinc
_-ructure. But you know, you'd have to consider how you would treat
that particular asset below the air rights.
Mayor Ferre: All right, further questions or discussion? Is there
a motion?
Father Gibson: Move.
Mayor Ferre: Moved by Father Gibson.
Mr. Lacasa: Second.
Mayor Ferre: Second by Commissioner Lacasa. Is there further discussion?
If not, call the roll.
The following resolution was introduced by Commissioner Gibson,
who moved its adoption:
RFSOLUTION NO. 60-437
A RESOLL'TIC:: AUTHORIZIN'r; THE CITY MAN .GER TO EXECUTE
A LEAST ? -,IREL."IENT WIT1! ')ADE SF.\%I:' S LOAN:
ASSOCIATIOP. TO DF%'LLC)!' AXD GPFTA' ':iF AIR SPACE
ABO%'F. '"}iF. PfiOPOSLD CITY PAT-_1Z:�G ,ARA" I" 'CON'ZCTION
WITH T--r CI7.,' i;: :;A'.T/'':i;r i:S:TY Ci' .:Zrl}:= JA-ES L.
KNIGHT INTERtiATI DN.0 CK:,T1_R, I,^: SUBSTANTIAL ACCORD
WITH `I'n:; ATTACHE: IX_CL'X.E;T.
(Here follows body of resolution, om;tted here and on
file in the Cffice of the City Clerk).
(CONTINUED ON NEXT PAGE)
ist
44 JUN � 91980
Upon being seconded by Commissioner Lacasa, the resolution was
passed and adopted by the following vote:
AYES: Commissioner (Rev.) Thr.odore F. Gibson
Vice -Mayor A=ando Lacasa
Mayor Maurice A. Ferre
NOES: Commissioner J. L. Plummer, Jr.
Commissioner Joe Carollo
ON ROLL CALL, :
Mr. Plummer: Based upon the fact, under the premise that I am guaranteed
that Dade Savings will do a go:)d o'r.,, it doesn't placat,> my thinking that
I feel that t;.is nas taker) a drastic turn from its inception, of the
enhancement to the project of ;ii,. affi-liation with: some thirty-three,
as I recali, other of the World _-rade Ccn_er. Ana I
understand trtd'.: It does not =A,rny, at a future date, that this coUl,.3 become
a reality but I have serious aou1ots omen it is not. incorporated from
the ince7)tior. that it will ever occur. I understandi, withour. rniestlon,
that there: cLn be a typo of wf;rla trc:C ,r trciCie CE' rt-:r In till:;
stractarc, Gut _ :liink.a great deal is Inst. I do feel, t!iat i ti':c.
City were to coo out anti solic.lt r;, ;C!i l i:Gr' the ljsE_
rights, I feel that this City would g. t a beLt_n .r ret'ar:: that:.hat it i�:
presently receiving. Li_'tf. rC::,ember, t;:at without , nis ulr ri j11tt I. ase,
there can be no building In the very advantageous position. that bade
Savi.nr,s will }fie= in and ..ni Jlnq T feel :i it -It i-,6 > ba-en vi .'I _in_-,tlr
to this Commission,, anti I am very t:,e ',:ct of the great
vrork that the aUlnl:llftratly:"; '.a3 QGn • .,nder l;.lt 056i.-,1t' CO:<<�:LiOr.S, dn(i that
includes Mr. G'iandolo w::o 15 c: :ha ti-a': . but you know,
we'rb talking about a iiro_,ect of the Z:I-at 1'vu hear:,, Candle':
around, I 1!-, t�, C.g: )O: :GO'.. tw:. a,.lr.dr:; L'li. iOf. •SJ1iai., fJ
the total Yuri ,E:C__. Iu:y C10 C to T_..Y: rlr r( JYi 'it' t]y::iii'! .i✓i;Lt
ninety years 1F. the ti ,..• 1- hc).r. lv: :"e':Uli ', trill. will !Dn ir. _x.istenct .
And :on't feel that this Coirjrdsslor. hE.s han Lhe i:C'i' dte
time to address the com.?ex of this magnitude and be,n afforded the
opportu::lt;' to looi, at this co i:l _x as a total comnlex. At no time
has tnis COmmis_-;io ', rreer, of fordoc. the of `,ortunity Cf E ioein j the total.
i)icturL. And wi, art_ t.;Jid that we., Wti ii not SfN tf.:at Plc'.;re In
lt7 E=ntll"t_'ty ll:lti. ti-.lri_y daysciltC'2" the tiara door ha.;Tlt'ii1 El -Lit., i.e.,
the bonds %zivu s.,�en sol,:i. I *.'I,lnx it is Iaost ur,:.ortunate. 1 want very
deepiy, re,?ara.' oss or how negative ; miclhi. ;lave sounded, to st •3 this
Complex. fail. 1!".; ,t; It l,; d '✓;ilunb'e 3SStt to triIS COi1LMU1'1:Lty bUt
guess aS 1 am, T WOUld hat(-- '."-O ::,elieve that there
is the ;-)oss,.1,ilit.y that we could, for ri:.nety years, because of rush live
with a disastur.
Mayor Ferre: I take it you are going to vote no?
Mr. Plummer. Well, I can't do as the center Chair, vote down the middle.
I wi:h evt_rybody well and I hona that .-ver;ibody has done, and understands.
I nave tried t(_) make tnc recor4 as repiezo �,-; pnssinie to eliminate any
Misunderstandings is the future. I don't know if -7've+ accomplished
that but I hope I have. It is unfortunate, in ri, e.ti^atio::, t':at I
will cLst a negz�tive vote. F,ut it 1 r not for a negcitive vt)te of the
coi,,Iplex or t'he .' t '.l of tnat Om'..lt }: h.ut- of :ny concerns of doinq
something ln, a ru!,;, :)f i-hIs tI. :Gr,ethln<? has Den JVCri00};E'rl.
Mayor Ferre: I wc5 watchinP, l W,.it,airfll :,how ..•n _ ...1 tC,le"i£iCn about
Disraeli.. Anc orie -)1 the gre•31, wh_rn 1''lar1st-,,.,_ i,ar:_ a pike
Of legislation t}.at Disra(:11 an f.ln jiart.'.' wcie, the 'conSCrvative '!-arty
had. Fe had it all rump_ , up ar.�i t;irGl✓_ Ut: or: top t'r.v. spt.akers
table. ill rue i 1 40t l:') ver, (,Ulrti ar,,i sal -, m' 1' �C. C011r3 U(. has in his vote done some narm to this project. An^ he tidied it up,
but not substantial. And...
Mr. Plummer: Mr. Mayor, I'might reccll to yuar attention., the wording
of Mr. Paul Andrew's who was a good City Manager who said that if the
ist
45 JUN 19198u
Mr. Plummer (continued): documents as presented, can't stand this kind
of public exposure, then they shouldn't be signed.
Mayor Ferre: J. L., I'm not, I let you make your long speech. I promise
to keep mine half of the time.
Mr. Plummer: If you will stipulate one other thing. And since my long
speech did not have any direct reference to you as Mayor, yours does the
same, I will be happy to be quiet.
Mayor ^erne: 1 can't sav that. Because I am i>inq to milke reference to
you and your .tatement. I want t.-) thank you, because 7 thin- that even
though you and I vote differentl,., o,,-, this and some other things, I really
sincerely and truly bf:lieve that the questions that ,cu asked and the
girations and ti•,e answers that are '.:Ort;:COI":l::g, that replete the record
for pages, and pac`s, and volu.m,s, arc for t e most part, and I can say
this, for the most part beneficial ar,:i cic•ar� u., thr record. And I'm
glad that 'iou cio that. I'r: Sorry tf.at ,-.av(l y,itEi: ('.ifterently on
most of the_it cai-i.ta1 OTC t: Anil I'm nct Saving this critically.
You voted against the police :,uildinq, I vote.: For it, you voted against
the improvements of the whatever this building is out here...
Mr. Grassie: Coconut Grove pxilibition Center.
Mayor Ferre: ...the Administration Buildinq, and the Coconut Grove
Exhibit, and the World Trade Center, and what have you. I understand,
and I respect you. You are conservative, I agree with that and I
respect vour rig}:t tc� d„ that. And I think ,*ou, even though we don't
agree, I t}_nk you add a great _leaf in your C3eliIzerations and therefore,
I say that A:, aUCl i1.mC n%. I want to, ill my vot,?, ai3o than,, there's
so many pee.le we really have thank that rt'., impossiLle to name them
all but, Far--, tc> you anL, to ,;our associates, to Adrian Wisner for your
long dedication. to th:..s. I:tuir. ,. to Yartir. Fine, your attorney and
his associates, 5rewartSim,:, ., to t1.,� cf t. o City of mimai,
Jim Connolly wno „,--s -us since Interc ra days trvinc to get
something li?:c thi s coil;c;. Oncf of the great heros, to me, cf this
City is Vin :a r. is Irr.. I ntvc.r realized that. Vince had that };. nd of
negotiatin(,, capacity and wisdom and tenacit,., faith and optimism, and
the ability to bounce back after everything seems lost, to Joe Guandolo
who sometime:., In `ears pas' we'd say, well he's "ust to ^onservative.
The man is list ,Coo t,,Du9 h a lawyer. . He crosso:• all the "t' s" and dots
all the "i's" and every comma has to be in. And it dust, why don't we
get a lawyer who doesn't do all those thincs and isn't so demanding,
and so strict. Arad t'rr' fact is that his ability and his vision, legal
knowledge, his knowledge of the bond market, his krowledge of the law,
what will fl•,, and what won't any what's acceptable, his tremendous
practical ers L,,rience has been invaluabie. And without .^•uandolo I don't
think we would have made it to where we are. And lastly, from the
City's poin•c of view, to Joe Grassie, who has dedicated, unfortunately,
much too much time to this project. It's taken him away from a lot of
other things that he should be doing. it's not his fault, it's
circumstantial...
yr. Caroilo: I'll agree with that, Mr. Mayor.
Mayor Ferre: ...bat without Joe Grassie's ability, and without Joe
Grassie's bar'ic.i;;inq, and dedication, and wisdom, tremendous dedication
and wisdom, we wouldn't be dedicating, ie wouldn't be coming to this
juncture, an(perhaps one o` the most important ,tinctures in the City's
history. LiSt11', t0 you ::arshall, rind to your associates, to Ron Linton
it's been a long, long tough, Yard neg,%tiation. There were mar_: times
that I didn't think it was goinq to happen. I tried to sta,., out of it
as much as 1 could but kept botherinq Grassie and Vince, just alx)ut
on a daily basis to find out what the hell had happenuo tr,c• previous
day, but I think, I thin?: we're on the: rigi;t track. Let me say lastly,
to the Commission, to those that vote for and those that vote against,
this is all part of the progress of the City. This is a two hundred
million dollar project. It is the single largest City project ever, of
ist J U N g �g
6 6
Mayor Ferre (continued): any kind at anytime, any place in the State of
Florida. It is probably one of th(: largest public projects of any
government, including the State. It is certainly the most ambitious
for a community or a city this size. It i!:; certainly the most far
reaching in magnitude and in implica-cions. -�t is certainly the project
that will change the flltll: •. of »luad more than it v Ut_:L'_" ;)2"iJ cct".. It
will do more for Miami, WiLf. all C;UL' rc'S;tE.CtS, tll: ;. t`:'_ OAP:.' at ball
Point, I think. It will cuu mc'r-. than all :-f the on Br.ckull
Avenue colydAned. . ;ink thi is t:-.c_ sinale most imr)ortar,t st(,n fDrward
to make "_his a Vr I"> gre_'at F',lEriCdi, :'iry. 7ir:Cl To a] n' "Ju, 01 .,our
patience, for your fnrboz_,.-arid', T. f gYaLitU:�t , ;.t'::, bean a long, long,
long time. It ail ..tartE:,l back w'th ilm G1111nG.`'., t'uu] indrews, and
Dan Paul and. I s i.tt ino down. at i t s b„c.,:t _ "gang tit' i n
coin.ng, anCl hcrc wC art2. 5O voLU , W t:, ca yY.'at :a'c:i O,. "atlsfactlon,
with a great deal of apl.reciation to all. of yc.0 l wit:7 a sense of
relief.
Father , ibsor,. :'r. .;ayoz, it r.uy n31C i t'::i not ._u ;,olitically
wise, it would appear to iau that bc'ca'aU(: c:ou_t%el haS been so helpful, the
Commission: ought to write a lettc.._. It may not aui any niore to his
pocketboo', })ut it ct:rtalnly migi:t c use those fellow':; up there in New
York to have a greater appreciation for him. Becauso ar,_. time you come
to Miami an<i take, and where a m&n...
Mayor Ferre: I'll accupL your motion than for a commendation.
Father Gibson: ...a man to come here and go through all this, you need
you a crown and glory man. I make a notion.
Mr. Plummer: Father, I only raise ont question. ^;lat's fine but what
happens if we ever want to use him again, his fee is going to be higher
(LAUGFTER)
Father Gibson: J. L., you know you do that too.
(LAUGHTER)
mr. Plummer: Father, I only get one shot at my clients. (LAUGHTER.
Mr. Lacasa: Second.
Mayor Ferre: There is a motion for a commendation for Mr. Guandolo
that's been Seconder i. All those in favor Say Aye, opT Gsed. All riobt,
let the record rcflcct that it was unan:Lmous. And Mr. Clerk, _. 1100
would pr( Dart �'i ', a coIILm ndation and Y.ave t"r F ;r: lt.':• i1 .''L I•:'f.'
Clf 1.7 In d ni::'=: S'.... ,11 G: FxwL • So`rt, W�_t'C: � i�.�: L �T?•Jc' l.'. `.�) �•..i;1n:0iJ.
__ _
:1a?01: ."err,_ : We havc ,. : esoluti.on acknowlc_ :-iinq an,` approv.in:
rt .�.:,;;isrmcr.t :i ;i Cu:.ter ass ociatr. , it _n* 1c 3cvf,Iop
1--ne 1 i c;pacc above tilt? City park..r.r cn,'.:,eCi;`o'.
with he City ur y:am:•University of Mia~'i ,'al:-cs .:.tnrna tional
Centers.. Do you c,o this willingly Mr. Worsham? your i:e,.I_ this
of your own free will?
Mr. Worsham: Absolutely not. It goes back to that golden rule that
you wore talking about earlier, so it appt',.r rh-at I amp forced to do this.
But the project is very important, Mr. mays r, and in order to get the
project off the ground, we must agree to this, so...
ist 47 J UN i 9 1-du
Mayor Ferre: !:r. Worsham, I thank you for your forbearance on it because
you do have this right, and you are giving it up, but I agree with you,
I think it makes for a much better project and that means it's a better
project for you too, so thank you. Is there a motion?
Father Gibson: !•Iove.
Mr. Lacasa: Se:on:_.
^'Taro:• rt. .-re: Moved by Gibson, second by Lacasa. Further di::cussion? Call
the roll please.
The followin(7resolution was introduced by Commissioner Gibson, who
moved its adoption:
RI:SOLLITI')" NO. 80-436
A RESOI-?-TIO": ACn!dOT9i.:'!��;T':.; AI: APPROVI ;-, THE
RELIN,?UISH IT'NT BY Cf NTT'R ASSOCIATES, ITIC, Or
ITS FIGHT TO DT `JELO? THT: AT i? SPACE ABOVE THE
PROPOSED _'AR'KIN 7 ? R :';! I'; CO*'.''.;.CTIO"I WITIi THE
CITY ('): T1. :I\'i. .'I'.'i :IF�:i JP:•:.E L. Ki1r";HT
I'r'TER:ATIONA1, CENTFI
(Here fol fow�, t i7c1, o, rc clot ion, omi tt hc:rc and on
fill,- in the Officf.' : th., Cit.,., ClerY) .
Upon bein'' sez:Ondod by Commissioner Lacasa, the resolution was
passed and adopted by the following vote:
AYY S Arm_indo Lacasa
Co111;1isSAoner (Rev.) Theodore R. Gibson
Commissioner Joe Caroller
Commissioner J. L. Plummer, Jr.
' r,,or Maurice A. Terre
.;0 S . Iron_
,.�. � ..�T.'.. ,-:_. F'i�.:�h '1' `;',C'T�I, Cr�''_'TS;;IO' �• I•r,.l. I •'� .., .:i' '7' ,
-�•.T i';.. 7' Y nT TA"T .771'1
Mayor Vera_,: Is there anything else to come u�, before the Commission?
i:r. ir;nit T;],_• 0111V thinq that w" nc'f-r: tr. ''.r. ''ayor,
is tho item that. wa:; CC,Verecl unri-r agr.hriia lte:", ::;ix, find' that is t",,c
rllll•:Ition of onotlu•r meotinri. Now, at this St,ar7,_�, wr woul�� 1D:e t.. leave
t il:lf ..l 1 It t l,• f I('%11)1(• WItII U. l h.jt we Would s'ic7ri C�-ct is that %,'C
i,,,;:1 I„ h I (I,•i'I1,I',Ir 011 1ll ;t Wlr','. i .;f�i ,l.tl ;hould b,• Ilnt'i l your A.'C'tinC
i:n'i the wa,.., i'. 1nC };r' ;.n;•l, is We might as} \'7u For
.I Met—t IIV] ut, Lill t_WUhL;!-:SUVenty, reC0g1l1?in_ how awkar6 that is, or we
might iBA. you for one on July the third.
Mayor Terre: I won't be hear on the twenty-seventh.
'4r. Carollo: I would like to ob ect to this, "r. '<aycr, you know. T
would certainly dope, you know, unless something is really of an extri.rnf'
0n1L-rgcncy that we would try to give amr,lc time before we come ur, with
these special mcetinr,s. Or at least, try to establish them within the
guidelines of the date that we have set up here.
i s t 4R July g 1y�t7
Mayor Ferre: Perhaps, an explanation of what is that we need a special
meeting for. We are going to go sell sixty million doilart worth of bonds.
And the bond market doesn't very much care snout the pr_�codures of the
City of Miami and so, the sale of those bond: are really very dependent
o•I the market conciitions that our undei�arit.er wi:i te:i s. And I'm
sure, you d,-, 1 'I wo-.ald not want t.n be a party t7 Cii-.' another
half. a -pillion dollars, or a million dollars r.�cau ae we r.idn't kaht to
have a meeting at the time that the un:;erwritc:rs are ready to qo to market.
rx. Carollo: At least. this once 1i:,, you , .pat I haven't
been a part cf costing the City additional money since T'vc been here.
Mayor Ferre: Thd-�'s right, I acree wit':i that. l=1 .11^ }lat, I ClOn't
want to meet any more than you do, ;Dut ttv._ r,ol:,_. i�. - can't decide that,
neither can Grassi(, nor Yarsh.dll t-.arris, nor Guandolc. The underwriters
in the market place will decide when we are goir:g to ao to market.
Mr. Carollo: What has been the feedback that we've gotten from the
underwriters, so far..
Mayor Ferre: All right, can somebody say?
Mr. Grassie: What they are indicating to us, Commissioner is, that first,
a quarter point difference in the interest that we pay will be worth
at least ane million dollars to the City. so if we car, lower ghat interest
rate t.halL 4.e pay a quarter it will llE worth more than that, more
than one million ,collar" tc us. We are very concerne-7: �bvut }.ittinq the
market at the right time, insofar as we possibly cin. And sc-metin.'s,
three or %o"r dayi, __Iif fc'_r, nct:' cal: make a difference . T-reu or - .,ar
days diffcrenc-c in our ir; Qoinq t:> the r...Yrr:et . We are taking
the advice of. our underwr-_ter:,. We will try and schuduie it so tt-:at it is
as convenient for you a2 P.a simp:y want to Bring that question
back Lo you on thu twenty-sixth, so that von can decide wnether or not
we are going to have a meeting.
Mr. Plummer: We're: not deciding anything.
Mayor Ft2rre: Well, I kr,ow that but I think the Manager is giving us
ample warning that the timing- is not in his control. We may have to
have a special rleeting to sell the bonds. ';ow, let me just tell you,
Mr. +:anaro: , tf,at i must e in Wa:,hington, D.C. , or. June, at nine A.M.
on June. twer.,_y-suvent,,. There's lust no way for me to, I will be back
here that week`ni. And I'll be here on the thirtieth.
(INAUDIBLE CONK:E:r )
Mayor Ferre: You won't be here the first week of July?
Mr. Plummer: I hope I won't be.
Mr. Carollo: I won't either.
Mayor Ferre: You'd beater think very carefully about how to do this because
we need to sell those bonds. It would be almost tragic, for this City,
after all of this work, t,D have sixty million dollars worth of bonds ready
to oo to market, and we can't get three votes to sell the bonds.
Mr. Grassit-: Are we pretty well set for the thirtieth? 7o we have
any difficulties on the thirtieth?
.1r. Plummer: I don't.
Mayor Ferre: Will you be here on the thirtieth?
Mr. Plummer, well wait a minute. Well now, when you say the first
week of July...
ist 49 JUN 19on
9Ou
(INAUDIBLE COMMrNTS FROM THE COMMISSION)
Mr. Plummer: Well, why don't we go ahead, you know, as tentative
make it the thirtith.
'tyor Ferre: As of What day will ':r. Carollo not be here?
Mr. Carollo: I intend to leave 'Xiami sometime the twenty-seventh. I'm
not sure exactl%l when.
Mayor Ferre: All ric;ht, go ahead.
5:r. Err. stc Pena: I'm Ernesto Pena from Smith -Barney, and we discussed
this with the 'it :tanager about the timinq. Now, what we envisi•-,
to dr, is to release the offical statement over the weekend based
the agreements that have been...
'flavor Ferre: ;'_r this weekend?
Mr. Pena: `c'e . ::o I'm oIi in, way bac : to New Yor:: and V't' Will be wor};ItIC:
over the weekend to get tlii.s docLLricnt o-,,t and C1roulat..,d among all tht_
syndicate members aL' with as distributed across the' :nited States. What
lla I mal-r et olJ
oIi everyone l( or:ii:q :a'- t ho C.ocum,_,nt , lcuk i nQ at t.;'<' soc'.irl t`' ht_ 1 CiQ of terr?C4,
and sell the hor,d:' next, wook., AI'.i. ttilat' wh,.' Fri!iav wa:: th(' dia`.' 1tit•
thout7llIt we CC>:ili. C1') tiii.` Tho problem with gaint7 into ,•il:lda'l OF nE'Xt
Wee): is that it "s not aJvL;Cahle b"'Cause. thor(' art' ('VC.ntE; that could
to}a :)laCC oVCl' t, da'.' weekend w?IICh :lave no ri-al 1)earinr; on rtlami,
but coull ii:,:t hcarinn or, the capit.:il mar}tot:, i:: jer,cral . T-.(-re coul�i
be an indicatl ,n, for instance, nayp(' ther'.• is some.- new it sac re monts
in th-- :addle That coul:: be interj7retcal Whero cvt-ryone think.,:...
mayor Ferre: Lit ^e .:L;t it to you this way, all rio'r,t?
.:r. Pena: Ar «a. the uncertainty is...
..I have a mcct1I1r7 in :ia:;hinr1ton with the Presidcn* r
t.'ic' i.ni'_E:Q Sta`os, therQ is going to be a very important announcement
that refers to me o,,-: that dal, and if I have to cancel that, I'll
:angel it.
:<r. Pi•xmmer: Can I go? I want to make sure you can't back out.
:aycr i c:rrt_ : The announcement doesn't affect you, `:r. Plummer.
Carollo: If you need any reference the. 'Mr. Mayor. just call..
':aor Ferre: I would qive you as a reference, 5:r. Carollo.
Carollo: I would be more than happy to help in any way I can.
:•savor :,erre: I know that you would, I've heard that. I'm well
aware of your willingness to help.
UPIIDFNTIFIEO SPrAYI:p: May I sucTgest the third?
"r. Pl.-m-ier: 'Phu third? rvcr,body is going to be going and taking
aciJal:t Jc7(' or th(• long weekend For vacation. Now, I'm supposed to be in...
I ill l:i" d'1'It'it:It :;P1,'AKE1•:: Wo can ,ao it on Monday but I think it's a big
1
P1.ty01 ferry: Well, wt•' l l miss Mr. Carollo but it's a negative vote anyway
:;tt it l�t'::u't r-tlly malt• that much of a difference.
r1r. Plummer: Mr. Mayor, I'm a negative vote but I don't know that I'm
yOin(l vote neciativoly on the bonds. I hope your not predisposing. I'll
just t:akeoFf and not show up.
ist
50 JUN
0
Mayor Ferre: I'm not predisposing your vote, nor Carollo's. I'm just
assuming something. But I mean, that's neither here nor there.
UNIDENTIFIED SPEAKER: Does it make a difference whether it's Monday or
Wednesday.
Mr. Plummer: It makes a difference to me. Monday I have no problem with,
the thirtith of June of I have no problem.
UNIDENTIFIED SPEAKER: What about the first, Tuesd..y.
Mr. Plummer: You could be touching, yes. Now I'm riot saying yes.
Mayor Ferre: But Lacasa isn't going to be here, you see. The problem
is that we can't.
Mr. Lacasa: I am not yet sure whether or not I'll be here but chances
are that I won't be able to be here.
Mayor Ferre: If I have to be here on the twenty-seventh, I will do it.
I hate to have to do it.
Mr. Pena: No, I prefer to do it next week but I would not want t-
do it on Honda,,. I woulri say Wedni!sday or Thursday would be our ideal
because then we wouid really riot put a price on this until Monday and then
sign off or bring it down to the Commission.
Mayor Ferro: I'm not -redI�;posin:, anvbouy else's vote but it seems to
me that you rteen 'Lacasa, G7 bsc.,n and Fc2rre here because. I think, it seems
to me that those are the thrre votes that you can count on.
Mr. Plummer: ^,r. Mayor, you brought up i poinnt and I'd just like to ask
this questi3n and have it also on the record. Mr. Grassie, what was the
limitation we spoke about before as the maximum interest that the City
::an Day on tnese bonds:
Mr. Grassie: There is not a legal maximum interest, Corraniissioaier. The
only restraint is a fiscal restraint, and that t:as to do with how much
we have to put up front if the interest of the bonds go high enough. The
higner the interest the more money we have to put up front in the way
of cash. That really is the only restraint. He can get just too expensive
for us.
Mr. Plummer: And what are those parameters.
Mr. Grassie: well say if the interest were at eleven, for example, the
liklihood is that we simply couldn't put up the front end cash.
Mr. Plummer: What is the breaking point?
Mr. Grassie: At this stage...
Mr. Plummer: In other words, where do they have to come in at for us
to be financially feasible?
Mr. Gras::ie; Vell, wc: could finance the pro`,ect at a level higher than
I think wt:'re goin(j to have to. We anticipat. the interest coming in
below eight and one ha.1. and at that 'Level, we should be able to
finance it. Nothin7 ir, comfortable, obviously, because we're going to have
to come up with some millions of dollars up front but the City, at this
stage, in my estimation, can do that based on the arrangements that you've
made in the capital program.
Mr. Plummer: How much money do we have in reserve for that project, for
that purpose?
Mr. Grassie: Specifically for this purpose, three point two million dollars,
ist ,J UN 191980
C
Mr. Grassie (continued): at this time.
Mr. Plummer: Three point two.
Air. Grassie: That's correct.
Mr. Plummer: An,? that i�- dedicated soley to the Convention Complex?
Mr. Grassie: Yes.
Mr. Plum er: Okay. Now, th6,n tell m(- have you calculated what that
will allow? Jr, of ,2r words, at whc,, -olnt can't wo af`ord it? Based
on the three point two, is it nine tine: one half, is it nine?
M1r. Grassie: Ide'1, Comrds�ionor, that`s a very subjectiv; judc;ment
he?casue really wha_ • nu ar • me how mtich ir, t'':e wav of additional
City cash are we i%illinq to
".r . I .I=,-L': 'o, sir. I'm +S'.1:.- 'fl i at the tnrcE:' )ii11',t tw(, luv(21
that will carry;' up to wh;-it pk-rconta,ic G:' the bond:,?
t k..li :7�'t �,lYt-` .. i c;P.'i'aCs� Mat Wt.- aYc' alillI(I
to havC' to pa_ .I. otlicr WOY,:-., w,.' tir, C.,1n to litiv, 'o i ut mc)rY `
cas:i into th<., trans.actiors, ir, r: a ,tin:,tior:, and wk:'li O!i!%� kno,% t;iat when
we know what the interest rate rcally is, but. we're goin<. to have to put
more cash into: it than what we have nut aside for this purposc_.
:1r. Plu"lrti r . ran:l where cio you contemplate, c;ettin•c- that money from?
Mir.-,rassit:: fro., som•c ful:a ha'ancc-s in the capital prwram,
ana ifi tho e ark: not suffi ac:nt, we wall probably hay_ to go J Some:
sour-�_:t- such as the Inter mzi monov nr something of that type.
nr. Carollo: GIhen you say soncthing of that type...
•,T . P1u:-LmCr: ".:o, no, WC.-.... .
:1r. Carollo: ...does that include the Watson Island Project by any chance?
.r. brassie: An" ('f those° monle.z� ari' City monieF, ipij i"oprl,itt": ir" t_ht.
Citv Commission, and obviou:,l;•, the City Commission could recon ;i6L,r.
'•'r. Plummer: Let me get nack to my question again. XaN!he the ans;wer
is you do n't t; ncy,,; it anc you need. to ciet back to me tomorrole. :fit t17e
three• t>oint two 1. .el, what percentage will that carry on the bonds?
Will t; at carry sever;?
'•1r. Grassie:I am estimating, I would estimate that it would carry_ about
seven and three quarter::.
11r. Plummer: So anythinc ir, your estimation above seven and three
quarter:,, we're doin(i to have to find other cash to put up front?
rdr. Grassie•: Thatt is correct.
..r. Pl.:r,jt:er; At your e:;_i~ate of nine, what is..what will we have to come
ut, with:' How much acciitionai cash?
Mr. Gro ,sic•: That will cause the City to have to rai:;e approximately
ten or eleven pillion dollars of additional cash.
Mr. Plummer: At nine? Additional or...
..I. t.rassie: You'i asking mu for an estimate. This is a very gross
t_•:.timatc, Commis:;ioner, yes. Eleven is probably high. Nine or ten.
Mr. Plummer: I'm just asking for ball pare parameters.
1919on
Mr. Grassie: Yes.
Mr. Plummer: If it were to come in at nine, all right? You're saying
we will have to come up with an additional ten beyond the three
point two? Or including the...
Mr. Grassie: That is correct, beyond.
Mr. Plummer: so we would have to come up with a total of thirteen
point two?
Mr. Grassie: That is correct.
Mayor Ferre: I hate to do this but I really have a whole bunch of people
that are waiting now for an hour and one half for me so I really have to
go.
Mr. Plummer: Final question, Maurice. To Barney and Smith. The gentleman,
I can't remember your name.
Mayor Ferre: Are you Barney Smith. You don't look like Barney Smith
to me.
Mr. Plummer: It's a better name than what I have for the Mayor. Sir,
based upon, and I understand, I'm not holding you to this. Based upon
what you know of the market, what are you honestly looking at?
Mr. Pena: We're looking at eight and one half percent. Hopefully,
that today, if we get that today we could...
Mayor Ferre: You want that on the record?
Mr. Plummer: I'm just asking fortis opinion that's all.
Mayor Ferre: So in ether wur:is, that's going to peg the damn thing now.
Is this public informaicion? You don't want that _public do you? Okay.
rsnything else you want to tell us about the date?
Mr. Grassie: All wc; can tell. you is we hope that we have better news
in a week than we have right now.
Mr. Carllo: Can I ask one mores question that does co;,cern me, at least
myself, on the bonds? Mr. Grassie, if I recall two weeks ago, we asked
you to give us a reading on Mr. Gunderson's background. Have you
checked into that vet?
I Grassie: Yes, I have both in writing and twice on the telephone,
Commissoner. And they have informed me that they will send that to me
as soon as they have it.
Mr. Carollo: I certainly hope it doesn't take seven months like Mr. Madera's
case. Thank you.
il91
JUN 19 un
ist
ADJOURNMENT
There being no further business to come before the City Commission,
on motion duly made and seconded, the meeting was adjourned at 3:30 P.AJ.
MAURICF. A. FERRI
*favor
ATTEST: RALPH G. ONGIE
City Clerk
MATTY HIRAI
Assistant City Clerk
r
�ut�igl9�;
' IV1�4M1
DOCUMENT
�y ro
IMcomo ONArt {} MEETING DATE:
Is 9s
June 19, 1980
IFINDE-X
ITEM NO DOCUMENT IDENTIFICATION COMMISSION RETRIEVAL
•w-Wvwu wwwm- uw
1
2
3
4
6v
G7
COMMISSION AGENDA AND CITY CLERK REPORT
AUTHORIZING THE CITY MANAGER TO CONDITIONALLY
AWARD A CONTRACT FOR THE STRUCTURAL STEEL FOR
THE CITY OF MIAMI/UNIVERSITY OF MIAMI JAMES
L. KNIGHT INTERNATIONAL CENTER TO FLORIDA
STEEL CORP.
AUTHORIZING THE CITY MANAGER TO CONDITIONALLY
AWARD A CONSTRUCTION CONTRACT FOR THE CITY
OF MAIMI/UNIVERSITY OF MIAMI JAMES L. KNIGHT
INTERNATIONAL CENTER
AUTHORIZING THE CITY MANAGER TO CONTRACT WITH
MUNICIPAL BOND INSURANCE ASSOCIATION FOR THE
PURPOSE OF PROVIDING MUNICIPAL BOND INSURANCE
FOR THE $60,000,000 CITY OF MIAMI/UNIVERSITY
OF MIAMI JAMES L. KNIGHT INTERNATIONAL CENTER
PARKING GARAGE REVENUE BONDS
AUTHORIZING THE CITY MANAGER TO EXECUTE A
LEASE AGREEMENT WITH DADE SAVINGS AND LOAN
ASSOCIATION
ACKNO14LEDGING AND APPROVING THE RELINQUISHMENT
BY MIAMI CENTER ASSOCIATES, INC. OF ITS RIGHT
TO DEVELOP THE AIR SPACE ABOVE THE PROPOSED
CITY PARKING GARAGE IN CONNECTION WITH THE
CITY OF MIAMI/UNIVERSITY OF MIAMI JAMES L.
KNIGHT INTERNATIONAL CENTER
R-80-434
R-80-435
R-80-436
R-80-437
R-80-438
80-434
80-435
80-436
80-437
80-438