HomeMy WebLinkAboutCC 1978-07-28 MinutesCITY OF MIAMI
SPECIAL
COMMISSION
MINUTES
OF MEETING HEL2 oN JUL 2 8 1978
PREPARED $Y THE OFFICE OrinE CITY CLERIC
c I TY HALL.
RAVI' 6 0/16IE
CITY ci"Ak
ITEM NO,
1.
2.
3.
4 .
5.
6.
7.
B.
9.
SPECIAL MEETING
TABLE OF CONTENTS
SECOND READING ORDINANCE: AMEND SECTIONS 4 (a) & 13(b)
of the CITY CHARTER - Provide for enlarged CITY
COMMISSION - 5 to 9 Members.
RESOLUTION CALLING SPECIAL ELECTION: Submit to
qualified electors - ENLARGED CITY COMMISSION 5 to 9
Members.
AUTHORIZE CITY MANAGER TO RECEIVE BIDS & AWARD
CONTRACTS: ORANGE BOWL STADIUM -Lower Press -refurbish
Gate 14 Ticket Office Renovation.
BRIEF DISCUSSION: INTENT OF USE OF REVENUES RECEIVED
FROM SOUTHERN BELL FRANCHISE
CALL SPECIAL MEETING: Tuesday, August 1, 1978 -
3;30 P.M. to fill vacancy CIVIL SERVICE BOARD
DISCUSSION ITEM: SALE OF BEER IN THE ORANGE BOWL
PUBLIC HEARING: MARINA PROPOSALS - DINNER KEY &
MIAMARINA - CONSIDERATION OF WATERFRONT TRUST
SELECTION OF FIRMS FOR MANAGEMENT CONTRACTS FOR
OPERATION.
CONFIRMING RESOLUTION: INTENT FOR USE OF REVENUES
SOUTHERN BELL FRANCHISE.
PERSONAL APPEARANCE; JOYCE LYNCH - Continuing
problems in DAY CARE CENTERS - Referred to the
City Manager.
Ord. 8840
Res. 78-530
Res, 78-531
Discussion
Discussion
Discussion
Mot. 78-532
Mot. 78-533
Mot. 78-534
Mot. 78-535
Res. 78-536
Discussion
8-1 1
12
12-76
'gun 2 819781
MINUTES OF SPECIAL MEETING OF THE
CITY COMMISSION OF MIAMI, FLORIDA
* * * * * * * * * *
On the 28th day of July, 1978, the City Commission of Miami, Florida, met
at its regular meeting place in said City in Special Session to consider
business of public import.
The meeting was called to order at 4:30 P.M. o'clock by Mayor Maurice A. Ferre
with the following members of the Commission present:
ALSO PRESENT:
Commissioner Rose Gordon
Commissioner J. L. Plummer, Jr.
Commissioner (Rev.) Theodore R. Gibson
Vice Mayor Manolo Reboso
Mayor Maurice A. Ferre
Joseph R. Grassie, City Manager
R. L. Fosmoen, Assistant City Manager
George F. Knox, City Attorney
Ralph G. Ongie, City Clerk
Matty Hirai, Assistant City Clerk
An invocation was delivered by Reverend Theodore R. Gibson,
then led those present in a pledge of allegiance to the flag.
who
1. SECOND READING
ORDINANCE:
SPECIAL COMMISSION MEETING
AMEND SECTIONS 4(a) & 13(b) Of the
CITY CHARTER - Provide for enlarged
CITY COMMISSION - 5 to 9 members
Mayor Ferre; Good afternoon, ladies and gentlemen, this is a Special Commission
Meeting, you have the agenda before you. We are now on item 1l 1, which is the
ordinance on Second Reading amending Sections 4(a), 4 (b) and 13 (b) of the
City Charter to provide for an enlargedCity Commission from five to nine and
so on. As I recall, yesterday, Mr. Vice Mayor, I'll do the same thing I did
yesterday which is pass the gavel to you and make the motion at this time on
second reading.
Mr. Reboso: Okay, we have a motion on the floor.
Mr. Plummer: As yesterday, I second the motion.
Mr. Reboso: Okay, we have a motion and a second. City Attorney, will you please
read the ordinance.
CITY ATTORNEY READ THE ORDINANCE INTO THE RECORD.
Mr. Reboso: Call the roll, please.
AN ORDINANCE ENTITLED
AN ORDINANCE SETTING FORTH A PROPOSED CHARTER AMENDMENT
AMENDING SECTIONS 4 (a), 4 (b) AND 13 (b) OF THE CHARTER
OF THE CITY OF MIAMI TO PROVIDE FOR AN ENLARGED CITY
COMMISSION FROM FIVE TO NINE MEMBERS WITH THE FOUR
ADDITIONAL CITY COMMISSIONERS TO BE ELECTED FROM FOUR
DISTRICTS BEGINNING WITH THE 1979 REGULAR MUNICIPAL
ELECTION; PROVIDING FOR A METHOD OF ESTABLISHING THE
SAID DISTRICTS; PROVIDING FOR A FOUR YEAR TERM OF OFFICE
FOR SAID ADDITIONAL COMMISSIONERS; SUBMITTING THE PROPOSED
CHARTER AMENDMENT TO THE ELECTORS OF THE CITY OF MIAMI
AT THE SPECIAL MUNICIPAL ELECTION OF NOVEMBER 7, 1978
PROVIDING THAT THIS CHARTER AMENDMENT SHALL BE REFERRED
TO AS "PROPOSED MIAMI CHARTER AMENDMENT NO. 1"; CONTAINING
A REPEALER PROVISION AND A SEVERABILITY CLAUSE.
Passed on its first reading by title at the meeting of July 27th, it
was taken up for its second and final reading by title and adoption. On
motion of Mayor Ferre, seconded by Commissioner Plummer, the ordinance was
thereupon given its second and final reading by title and passed and adopted
by the following vote:
AYES: Mayor Maurice A. Ferre
Commissioner (Rev.) Theodore R. Gibson
*Commissioner Rose Gordon
*Commissioner J. L. Plummer, Jr.
Vice Mayor Manolo Reboso
NOES: None..
SAID ORDINANCE WAS DESIGNATED ORDINANCE NO. 8840.
The City•Attorney read the ordinance into the public record and announced
that copies were available to the members of the City Commission and to the
public.
ON ROLL CALL:
Ars. Gordon:
matter before
wish to have.
fir. Plummer:
I vote yes.
I stated yesterday that I have no opposition to placing a
the electors of the City of Miami and let them decide what they
I vote yes.
With the same comments I made yesterday in relation, as she did,
SPECIAL COMMISSION MEETING
2. RESOLUTION CALLING
SPECIAL ELECTION:
Submit to qualified electors -
ENLARGED CITY COMMISSION
5 to 9 members
Mayor Ferre:
I move item 2.
Mr. Reboso: Okay, Mayor Ferre move item 2.
Mr. Plummer: The only problem, I seconded the motion. Mr. Manager, I question
the wording, "providing for a Special Election" nRual_ly that connotation is
that there is going to be a cost involved. It is my understanding that this
is a regular election.
Mr. Grassie: It's the run-off election, that's correct...
Mr. Plummer: Okay, and it is not,in fact, a Special Election.
Mr. Knox: No, there are only two definitions that can be applied under the charter,
either Special Election or General Election.The General Election is on
November 2nd. Any other election is classified as anSpecial Election.
Mr. Plummer: Okay, with that clarification on the record and understanding,
of course, second the motion.
•
•
•
•
Mt. Rehm(); Okay, We, have a motion and a second. Call the question, please.
The following resolution was introduced by Mayor Ferre; who moved its
Adoption:
RESOLUTION NO. 78-530
A RESOLUTION CALLING AND PROVIDING FOR A SPECIAL
MUNICIPAL ELECTION TO BE HELD ON THE 5TH DAY OF
OCTOBER 1978, OR, IN THE ALTERNATIVE, ON NOVEMBER
7, 1978, FOR THE PURPOSE OF SUBMITTING TO THE
QUALIFIED ELECTORS OF THE CITY OF MIAMI FOR THEIR
APPROVAL OR DISAPPROVAL A MEASURE KNOWN AS ORDINANCE
NO. 8840, PASSED AND ADOPTED BY THE CITY COMMISSION
ON JULY 28, 1978, ENTITLED "AN ORDINANCE SETTING
FORTH A PROPOSED CHARTER AMENDMENT AMENDING SECTIONS
4 (a), 4 (b) AND 13 (b) OF THE CHARTER OF THE CITY
OF MIAMI TO PROVIDE FOR AN ENLARGED CITY COMMISSION
FROM FIVE TO NINE MEMBERS WITH THE FOUR ADDITIONAL
CITY COMMISSIONERS TO BE ELECTED FROM FOUR DISTRICTS
BEGINNING WITH THE 1979 REGULAR MUNICIPAL ELECTION;
PROVIDING FOR A METHOD OF ESTABLISHING THE SAID
DISTRICTS; PROVIDING FOR A FOUR YEAR TERM OF OFFICE
FOR SAID ADDITIONAL COMMISSIONERS; SUBMITTING THE
PROPOSED CHARTER AMENDMENT TO THE ELECTORS OF THE
CITY OF MLAMI AT THE SPECIAL MUNICIPAL ELECTION OF
OCTOBER 5, 1978; PROVIDING THAT THIS CHARTER AMENDMENT
SHALL BE REFERRED TO AS "PROPOSED MIAMI CHARTER AMENDMENT
NO. 1,; CONTAINING A REPEALER PROVISION AND A SEVERABILITY
CLAUSE.
(Here follows body of resolution, omitted here and on
file in the Office of the City Clerk).
Upon being seconded by Commissioner Plummer, the resolution was passed and
adopted by the following vote:
AYES:. Mayor Maurice A. Ferre
Commissioner (Rev.) Theodore R. Gibson
Commissioner Rose Gordon
Commissioner J. L. Plummer, Jr.
Vice Mayor Manolo Reboso
Mayor Ferre: Alright, Mr. Vice Mayor, I want to make a third motion, substi-
tuting from the 5th day of October, 1978, with the 2nd.day of November, 1978,
as an alternate, so thatJoyce Dieffenderfer can have her choice if in case
she can put it on the November ballot, I think you'll have more people voting
in November and it'll be more of a choice for the people of Miami and I would
leave that in her hands and trust that she chooses the best of the two dates.
Mr. Knox, are there any legal problems with that?
Mr. Knox: Well, there are two alternatives under the Charter in terms of
Charter Amendment Elections, one of them says that election shall be held at
the next general Election, the other alternative is that the election be held
at a special election called for that purpose. Perhaps, we could .Lnterlinea`e
in the resolution the alternative date.
Mayor Ferre: Okay, then I would offer that as a substitute motion for the
previous motion that passed that it would have in it either the 5th day of
October, 1978 or the 2nd day of November, 1978, I don't think we have to
say anything more than that.
Mr. Reboso: Okay, we have a motion on the floor.
3
Mr. Plummer:
It�g #ine with me just so that there's no misunderstanding.
Mayor Ferre: I mean, I would just hate for all of a sudden for Joyce to
say, well, you know, we really could have it on November 2nd, and then find
that we didn't pass it and then the Commission is out of session and all that.
Mr. Knox: Alright, it would be, "Calling for and providing a Special Municipal
Election to be held on the 5th day of October, 1978 or an alternative to be
held at the November 7th,General Election."
Mayor Ferre: Okay, I so move.
Mr. Reboso: We have a motion...,
Mr. Plummer: I second it.
Mr. Reboso: ... a motion and a second. Call the roll, please.
THIS PROPOSED AMENDMENT PROVIDING FOR ALTERNATIVE
DATE WAS INCORPORATED INTO RESOLUTION NO, 78-530.
Mayor Ferre: Item #3 has been withdrawn.
SPECIAL COMMISSION MEETING
AUTHIRIZE CITY
3. MANAGER TO RECEIVE
BIDS & AWARD
CONTRACTS:
ORANGE BOWL STADIUM
Lower Press Box-refurbishin=
Gate 14 Ticket Office
Renovation
Mayor Ferre: We're now on item 1i4, which is authorizing the Manager to
accept and receive bids and award contracts for the "Orange Bowl - Lower Press
Box - Refurbishing, etc...,any problems with that?
Mr. Plummer: I have a resolution here Mr. Grassie, but without any cost
attached.
Mr. Grimm: It's about a$115,000 project Commissioner, roughly estimated
$100,000 for the press box and about $15,000 for renovations of the Dolphins
Ticket Office. We intend to go out and get bids and come back before this
Commission to ratify the Manager's action.
Mr. Plummer: Okay, just for the record, so nobody has a misunderstanding,this
work will in no way impede the regular opening season of the Dolphins.
Mr. Grimm: Absolutely not.
Mr. Plummer: Alright, sir, with that I'll move it.
Mayor Ferre: We have a motion on item 114, is there a second?
Mr. Reboso: Second.
Mayor Ferre: Seconded by Commissioner Reboso. Further discussion? Call the
roll.
'JUL 2 R 147R
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Mffig
■M 1111111iiiMinommmum
The folic:Q.1ns resolution ups introduced by Commissioner Plummet`, who
tnoVed ita adoption;
RESOLUTION NO+ 784-531
A RESOLUTION AUTHORIZING THE CITY MANAGER
TO ACCEPT AND RECEIVE BIDS AND AWARD CONTRACTS
FOR THE "ORANGE BOWL <.LOWER PRESS BOX -
REFURBISHING PHASE I AND GATE 14 TICKET
OFFICE RENOVATION < 1978" AND THE "ORANGE
BOWL - LOWER PRESS BOX - REFURBIS.HING - PHASE
II - 1978"; WITH FUNDS THEREFOR TO BE EXPENDED
FROM THE "ORANGE BOWL ENTERPRISE FUND"; SUBJECT
TO THE APPROVAL OF THE CITY COMMISSION PRIOR TO
THE EXECUTION OF THE AFORESAID CONSTRUCTION CONTRACTS.
(Here follows body of resolution, omitted here and on
file in the Office of the City Clerk) .
Upon being seconded by Vice Mavor Reboso, the resolution was passed and
adopted by the following vote:
AYES; Commissioner J. L. Plummer, Jr.
Vice Mavor Manolo Reboso
Commissioner (Rev.) Theodore R. Gibson
Commissioner Rose Gordon
Mayor Maurice A. Ferre
NOES: None.
4. BRIEF
DISCUSSION:
SPECIAL COMMISSION MEETING
INTENT OF USE OF REVENUES RECEIVED
FROM SOUTHERN BELL FRANCHISE
Mayor Ferre: Now, we have before us the Southern BellFranchise fees. Yesterday we
asked the Manager to come back with some specific recommendations,that the
electors when they vote on it mould know what kind of projects these monies
would be used for. Now, Ruse, you had a recommendation.
Mrs. Gordon: I recommended that this he a matter for choice and that one of
the choices should be the reduction in the ad valorem tax and I don't see
anything in here that says that.
Mayor Ferre: Well, add it.
Mrs. Gordon: Nothing.
Mayor Ferre: Mr. Manager?
Mr. Grassie: There isn't anything in this particular resolution
that, Commissioner.
Mayor Ferre: Well, what's the difference?
Mr. Grassie: The practical impact of making that a promise in my estimation
is that you might as well not do this.
Myaor Ferre: Why?
Mr. Grassie: Simply, because you're substituting one dollar for another.
Mrs. Gordon: So what?, 1 mean let's face it the property owner has taken the
brunt of the burden fcr too long and now it's going to be spread perhaps to others
who don't have property and aren't paying a property tax. I don't think that
it's a matter of substituting one dollar for another, I think it's a matter of
practicality to try to find ways of reducing the millage and this is a way that
we possibly could,there are very few other ways.
Mayor Ferre; Well, I agree with the premise of that, however, let's not kid
JUL 2 81978.
ourselves. that there is a distinction between a regressiye and a progressive
type of a tax., A regressive tax and property taxes. are regressive in nature.
Now, let me tell you what happened with Proposition 13, as, Rey. Jess.e Jackson
so ably put the other day? do you know what happened?, out of the $8 billion
dollars supposedly saved,$3 billion went to large corporations outside, mostly
outside of the State of California, $2 billion dollars go to the Federal
Government in the total amount, "Saved by the so-called property taxes
owners in California .is $2 billion dollars", and so therefore to gain $2 billion
the State of California has given up $7 billion dollars.
t irs. Gordon: Well, Maurice, I understand what you're saying and yet,...
Mayor Ferre: I heard Jerry Brown...
Mrs. Gordon: ... and yet, I see by wording it the way we have that we preclude
any possibility of doing the other.
j'layor Ferre: I agree with that, Rose, and I'm perfectly willing to vote for
it, with a possible choice the reduction of ad valorem taxes.
Mr. Grassie: As we were drafting this, Mr. Mayor and members of the City
Commission, we concluded that we could not accomplish both of your objectives.
Now, we can do one or the other, which ever one you decide. We can ...
Mayor Ferre: I don't agree with that at all.
Mr. Grassie: Mr. Mayor, you cannot in my judgment, substitute one
dollar for another ending up with the same amount of dollars that have and
still have money which can be dedicated to support revenue bond issues. Now
you can't use the money for ...
Mayor Ferre: You didn't hear what Mrs. Gordon said. Mrs. Gordon said that
she wants on the ballot to put this as a choice that obviously a future
Commission is going to have,if you're telling the people that you're going
to go and spend money for neighborhood commercial redevelopment in Culmer,
Little Havana Specialty Center, Coconut Grove Parking, Sporting Facilities,
and a Downtown J. L. Knight Parking International Center/University of
Miami Parking Garage, that you also include as possibility the reduction of
ad valorem taxes.
Mr. Grassie: As an alt.ernaiivc?
Mayor Ferre: Sure, that will he number 6, so it would read as follows:
"That it is the intent of the City Commission that Southern Bell Franchise
Fees in excess of 1Z, that are received subsequent to an approval by the
Miami electors be used to provide financial backing for revenue bond issues.
. a) to reduce ad valorem taxes, or (b) to provide financial backing for
revenue bond issues and necessary feasibility studies for the projects which
shall include the following, boom, boom...
Mrs. Gordon: There would need to be an amendment also, in the paragraph
that introduces the resolution because it recites specifically public
construction revenue bond and I think that it would have to be reworded in
the title as well,to provide an alternative that the Commissioners could
choose either to utilize it for that or in the alternative that they could
give a millage reduction,and I don't think the way it's worded we have that
option.
Mr. Grassie: No, the way this is worded you do not have that option. This
wording tracks the ordinance which you have already adopted., Now, if you
want to provide that flexibility for yourself we're probably going to have
to go hack and change the ordinance also.
Mr. Plummer: Well, but Joe, let me try to paraphrase it in a different way.
it's not the wording for ourselves, This thing is for 30-years, you know,
I don't think anybody sitting up here thinks we're going to be here half that
long, and what we're doing here today..,,
Mrs. Gordon: You might J. L., but I won't,
Mr. Plummer: ... possibly is b.inding....
Red: Gibson: 'You know you know J.. t.
Mt. Plummer: Well, I'll speak for J. t.., you know, that the people into the
future we're living in a changing world.
Mr. Grassie: Well, you know, I'-m entirely in favor of providing flexibility.
The wording that we have tracks the present ordinance, If you would likes we
can try and go back and change the ordinance on an emergency basis today, and
then we will adopt this resolution.
Mrs. Gordon: Okay, we can do it later, we're going to be here..
Mr. Grassie: Well, we'd have to do both those things, because what We have
provided for is what you have in your ordinance.,
Mrs. Gordon: Okay.
Mayor Ferre: Alright, then, why don't you go ahead and do that and prepare it.
I'll give you a copy of what I wrote as to my recommendation as to how to do it
and you do it any way you want, and that was after the words, "he used (a) to
reduce ad valorem taxes or (b) to provide and so on." If you want to do this
another way come up with another recommendation. Alright, now, we have til
5, and there are several things that we have to talk about, oneis the beer
thing, yes, we have to pass a motion on that, don't we?
Mr. Plummer: We passed it last night.
Mayor Ferre: Oh, is that all done?
Mr. Grassie: I think you did that yesterday, Mr. Mayor,
Mayor Ferre: Oh, okay.
Mr. Plummer: For the record, did you contact the firm?
Mr. Grassie: No, I have not yet.
Mr. Plummer: Has the City contacted the firm?
Mr. Grassie: No, not yet.
Mayor Ferre: Well, you got to do it, because they've only got 14 days, Joe.
It was supposed to be done as of yesterday.
Mr. Grassie: Yes, Mayor, but we left here at 1:30 yesterday in morning. We've
been in budget sessions all morning.
(INAUDIBLE BACKGROUND COMMENTS)
Mayor Ferre: Well., I'll tell you what, we're going to take a recess right now
so you can accomplish that, will that give you time to do it?
Mr. Grassie: Well, no, I'll have a staff person do it„
Mayor Ferre: Well, I don't mean you personally.
Mrs. Gordon: What do you want done, Maurice?
Mayor Ferre: He's got to contact the Miami Dolphins, he hasn't done that yet.
Mrs. Gordon: Oh.
JUL 2 8197a
SPECIAL COMMISSION MEETING
Tuesday, August 1, 1978
5, CALL SPECIAL MEETING: 3:30 P.M. to fill vacancy
CIVIL SERVICE BOARD
Mayor Ferre: Mr. Grassie, Mr. Plummer, ...
Mr. Plummer: Excuse me.
Mayor Ferre: ... we have a problem that I want to, in the Civil Service Boatd;
and that as you know, and I think this is a matter of great honor to the City
that our own Mr. Argues has been selected by one of the candidates to run as
candidate for Lieutenant Governor and as a consequence he has. had to resign.
Mrs. Gordon: Has he left the position?
Mayor Ferre: Yes, he has and he has tendered his resignation. He has given it
to me in writing and of course, to the Civil Service Board.
Mrs. Gordon: Effective when?
Mayor Ferre: Effective immediately.
Mrs. Gordon: Okay.
Mayor Ferre: And, therefore there's a vacancy, and I think what we ought to do
is that I will open it up for nominations, you nominate who you think and then.
we'll do it the way we always do, we can write down...
Mrs. Gordon: ...Does the Civil Service Board meet in August?
Mayor Ferre: Well, there might be a meeting, and that's something that.
Mr. Plummer: Well, excuse me, it's immaterial.
Mayor Ferre: ... I'll ask Mr. Bond.
Mr. Plummer: Mr. Mayor, I am not in any way shape or
right now.
Mrs. Gordon: Neither. am I.
Mr. Plummer: Now, I'm sorry, this is the first. I,of course,knew that Mr. Argues
had been chosen but until you have just announced it, sir, I was unaware that he
resigned and until such time as I have had some time to ...
Mayor Ferre: Fine.
Mrs. Gordon: Me too.
Mr. Plummer: ... so it's, to me...
Mayor Ferre: We'll take it up in September then,...1 if you have any kind of
an emergency, I don't know,I will call the Commission and I will warn you that
I am very sorry if you are on vacation or out-of-town...
Mrs. Gordon: You're not leaving town, Mayor, are you ?
Mayor Ferre: If I can get three people here we will have a Special Commission
Meeting to appoint that member. I think it's a dangerous thing to do, to have
four members.
Hrs. Gordon: Maurice, when did you get the letter f ram him?
Mayor Ferre: The letter was this morning.
Mra. Gordon: We haven't had two minutes notice.
Mayor Ferre: Yes, well, but this is the last time we're going to meet until.'.
JUL 9 P 10711
MEM
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MMEW
MOW
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September, and I talked to Mr. Atques this morning and you know., Mr. Hans
Tanzler has. insisted that he resign because under the law he has too,
and,therefore,it creates and immediate vacancy.. I assume then the Civil
Service Board is not meeting.
(BACKGROUND COMMENTS)
Mayor Ferre: ...There are three meetings in August: Mrs Plummer, how much
time will you need ? Because I'll call a Special Commission Meeting, will
Monday be alright?
Mr. Plummer: Mr. Mayor, I'll be glad to let you know when I'm ready,sir.
Mayor Ferre: Well,Hr.Plummer, I don't mean to be rude to you, I will wait for
a certain amount of time and then 1 will call a Special Commission Meeting.
Mr. Plummer: Okay, fine.
Mayor Ferre: You know, 1 don't want to be arbitrary about this and I'll give
you as much time as is reasonable but I certainly want to appoint before that
next meeting. In fact, I, ... would you tell me when the next meeting is so he
can determine it right now?
UNIDENTIFIED SPEAKER: The next meeting is August 1st.
Mayor Ferre: Alright, I will call a Special Commission Meeting on Monday and
I'll give you the time right now.
Mr. Reboso: I'm am going out-of-town and arriving at about 5:00 o'clock in the
afternoon or something like that.
Mayor Ferre: You're leaving at 5?
Mr. Reboso: No, no,
Mayor Ferre: Oh
Mrs. Gordon; Monday' at
Mr. Reboso: Monday 'at r), I lave a program at 6:30 P.M.
Mayor Ferre: Oh Boy, out the problem is you're having a meeting on Tuesday.
Mrs. Gordon: Well. if a Commission can meet with four members, how come a
Civil Service Board would be so crippled that it couldn't be with four members?
Mayor Ferre: For a very simple reason is that you well know. Well, we certainly
don't want to have a Commission meeting, well, I can get Mr. Argues to withdraw,
perhaps, and be at that one other meeting, he can withdraw his resignation until
then.
Mr. Reboso: Can we have the meeting Tuesday at 8:00 o'clock?
Mrs. Gordon: When is the meeting after the 1st, Mr. Krause, the next meeting?
Mr. Krause: Mr. Mayor, members of the Commission, as you know, one of the
problems of the Civil Service Board meeting with an equal number of members is
that they conduct appeal hearings. There are three appeal hearings scheduled for
Tuesday of next week. If they come to a tie vote- there are certain legal
implications that that has, some of these things have been appealed to court, becomes
a very difficult kind of thing. I was asked two questions I guess, the first
meeting they have is Tuesday, August 1st. The next meeting they have in August
is Monday, August 14th, at which they have a re -hearing of an appeal that was
heard two years ago, which ended in a tie vote and went to court and has been
remanded by the court to the Board for a rehearing. The next day,Tuesday
August 15th is a regular meeting also with three appeal hearings scheduled for
that day.
Mrs. Gordon: Okay, Mr. Mayor,...
Mr. Plummer:
And there is a prohibition against re -scheduling?
JUL 28197
■
Mt. Krause: There's not a prohibition against re -scheduling. Many of these
case have been re -scheduled, and as a matter-vf-fact, the case that is
scheduled for the 15th which was heard two years ago, was re -scheduled.
The Judge ordered that it he heard on the 28th of July, but two witnesses were
unavailable to be subpoenaed so the Civil Service Board voted to re -schedule
that one for the 14th of August.
Mr. Plummer:
I guess it's all a matter of priorities, isn't it?
Mayor Ferre: Re -schedule .it.
Mr. Krause: I may say that 1 talked tothe Chairman this morning about the question
of whether the attorneys for these appellants should be advised of the oroblem of
four members and it was the Chairman's decision that the Board would have to
go forward with these hearings because so m':ch of this backlog results from the
fact that earlier meetings of the Board when there were fiye members resulted in
certain absences and hearings that had been scheduled previously have been
re -scheduled two or three times. It's my understanding that at least the
Chairman of the Board is prepared to go forward on Tuesday in the hopes that they
will be able to reach a majority vote rather than a tie vote.
Mr. Plummer: We wish them well.
Mayor Ferre: Oh, we're back to re -scheduling time. Then as I understand it
Commissioner Reboso, you'll he back at 5:00 o'clock, you've got a 6:30 television
appearance and the meeting is Tuesday at what time?
Mr. Krause: 9:00 o'clock, sir.
Mayor Ferre: I don't know how in the world you're going to appoint somebody
and have them here by 9:00 o'clock Tuesday to sit in on something as important
as these things are.
Mr. Plummer: That's exactly correct, and it's a very important and crucial
decision to make selecting the right person.
Mrs. Gordon: Absolutely, 1 agree, and I do agree that also we haven't had a five
days notice Mr. Mayor, so it isn't even proper for us to have to pull something
out of our heads.
Mayor Ferre: Mr. Krause, willyou tell the Chairman to cancel the meeting on
Tuesday.
Mr. Plummer: I think that would be very proper.
Mayor Ferre: We'll have to then meet, well, it won't be Tuesday because
Mrs. Gordon... 1 don't know whether, ... Mr. Knox, on an appointment I guF.s
5- day rule applies too.
Mr. Knox: Well, if this is a regular meeting, of course, the 5-day rule
has not apply to special meetings.
Mayor Ferre: This is a special meeting.
Mr. Knox: 5-day rule does not apply to special meetings.
Mayor Ferre: Well, in other words, if I call a special meeting there is no
5-day rule, okay, I get you. So then on Tuesday, we could call a special
meeting for this purpose, will that give you enough time, J. L.?
Mr. Plummer: Maurice, I hope it does, I really do, because,
like to get it done and behind us, but each and every one of
would like to proffer a name that we feel comfortable with.
Mayor Ferre: Is that alright with you, Father, Tuesday?
Rev. Gibson: Thursday?
Mayor Ferre: Tuesday?
(INAUDBILE BACKGROUND COMMENT)
10
you
us,
know, I'd
I'm sure
•
•
•
•
Mayor Ferre: Ros.el is that alright with you?
Mts. Gordon: Thursday?
Mayor Ferre: No, Tuesday,
Rev. Gibson: Tuesday?
Mayor Ferre: Tuesday, this coming Tuesday.
Mrs. Gordon: Thursday I'd be more available than I am on Tues.dayk
Mr. Reboso: The only day I'm going to be in town is Tuesday, I'm arriving on
Monday and leaving on Wednesday.
Rev. Gibson: If I were to go for Tuesday it must be before 11;00 or after
1;00.
Mayor Ferre: Before 11:00 or after 1:00.
Mrs.. Gordon: It would have to be after .1:00 then.
Rev. Gibson: Alright, 2:00 o'clock.
Mayor Ferre: Rose, what time do you have?
Mrs. Gordon: I'm tied up in the morning, all the morning. In
have something I'll try to cancel it but it won't be, I won't be
3:00 because 1 have a speech to make.
the afternoon I
through until
Mayor Ferre: Well, let's make it 3:30 to give you a little extra time.
Mrs. Gordon: Okay, alright,
Mayor Ferre: Father, is that alright with you?
Rev. Gibson: Fine.
Mayor Ferre: Manolo, is that alright with you?
Mr. Reboso: Yes.
Mayor Ferre; J. L., at 3:30?
Mr. Plummer: As far as 1 know. I don 't,have"August calendar is my problem,
my secretary is not in.
Mayor Ferre: Okay.
Mr. Plummer: As far as I know it's alright.
Mayor Ferre: Alright, we're going to have a Commission meeting Tuesday at
3:30 for the purposes of selecting a ... filling the vacancy in the Civil Service
Board. Okay, I think, it's almost 5:00, so can we begin a little earlier,
Mr. Manager?
Mrs. Gordon: Just a couple of minutes more,
SPECIAL COMMISSION MEETING
6. DISCUSSION ITEtl; SALE OF BEER -IN THE ORANGE BO"IL
Mr. Grassie:
Mayor Ferre:
#5.
Yea, Mayor.
It's your turn, you are ... it's your meeting. This is item
Mr. Grassie.: First., Mr. Mayor, a report on the question that you asked just
a minute ago with regard to the company having made an offer on beer in the
Orange Bowl,we have had a staff person contact them, they're agreeable to all
the terms that we have outlined in the .letter that would be going to the
Dolphins, the same terms that appeared in their first letter. We have not had
a chance to do the things that Commissioner Plummer asked, that is that we be
assured of their financial stability and their record in the catering field
and all of these things, of course, we have not had a chance to do but we
will try to get that done and ...
Mr. Plummer: Excuse me, Mr. Grassie, you know, I couldn't have been clearer
yesterday on the record and off the record that you had to be comfortable with
this company as I felt comfortable, but you know, I'm not an expert negotiator,
and I didn't go into any fine details with this company and I don't want this
City if you find a pitfall in this company.
Mr. Grassie: Excuse me, Commissioner, I'm not indicating to you that we have
any reservations about the company, it's simply a question of time. I haven't
had a chance to get those things done, that's all I'm indicating to you, but we
will get them done. It's just a question of time.
Mr. Plummer: Yes, but have you sent the letter to the Dolphins.
Mr. Grassie: No, I have not sent a letter to the Dolphins. The letter is, right
here.
Mr. Plummer: Excuse me, I misunderstood, sir. Okay.
Rev. Gibson: Can't we proceed?
Mr. Plummer: Well, Father, I don't want him to proceed in sending that letter
until such time as he feels as comfortable as I felt with the proposal. He's
professional, he's got a staff that can exa`Tine that company forward, backward
and sideways, and if he feels as comfortable, that was part of the motion then
the letter is asnt .,
SPECIAL MEETING
7. PUBLIC REARTN S:
MARINA PROPOSALS- DINNER KEY &
& MIAMARINA
CONSIDERATION•IF WATERFRONT TRUST
SELECTION OF FIRMS FOR MANAGEMENT
CONTRACTS FOR OPERATION
Mr. Grassie: Now, Mr. Mayor, and members of the City Commission, if you would
like to start the.portion of your meeting which is scheduled for 5;00 o'clock,
I would like to suggest this order of proceeding and this is conditioned mostly
by the precedent that we have. If you remember in the first meeting that we had
on this subject there were a number of people in the audience who wanted to speak
to the question. We were, because of the lateness of the day not able to hear
all of those presentations. What I would suggest to you is that we start with a
very brief statement of the recommendations of your staff,that we then,open up the
floor to all of those citizens who wanted to comment before, that we in third
place offer an opportunity to the group which has been interested in supporting
the Marina Trust proposal to make their presentation and I think that we had
promised them time and in fairness we should allow them to fully explore their
position. I think that we should also, as a fourth item, ask the parties that
have been making proposals to the City, whether they are willing to go forward
with their proposals under the circumstances of the recommendations, because the
recommendations do place some limitations and do represent some Variance from the
OF
original proposals and ip fifth places that we. open up to the City CoinMissioxt
for questions and for exploration of anything that you would like to have
clarified..
Mayor Ferre: Tell me again, where the trust fits in..
Mr. Grassie: Well, in order that we had outlined, after the initial
recommendation, and after the publir discussion, you would receivea-full
presentation on the trust question, get the position of the proposers with
regard to whether or not they're willing to continue their proposals under the
terms that we're outlining for you in the recommendation, and finally open up
for questions. One of the things that I would like to have the City Commission
have an opportunity_ to do is to question the financial advisors to the City,
Hough & Company.
Mayor Ferre: Are they here?
Mr. Grassie: They are here, and of course, you have their report, but you may
want to question them personally with regard to their results.
Mayor Ferre: Alright. Okay. I have one question of you before we get started
on the procedure, and then we can talk about the procedure and then we can .
the preliminary question is did the Administration make their recommendations
before or after, I mean, the Hough Organization's recommendation?
Mr. Grassie: After.
Mayor Ferre: After.
Mr. Grassie:
Yes.
Mayor Ferre: So you took the Hough recommendation`in your deliberations into
account.
Mr. Grassie: Oh, ylea
MayorFerre: I st.e
,they were very much apart of it.
Alright, Mr. Plummer, you had a...
Fr . `Plummer: `v,el i , Mr. Mayor, you know, I'm ... very upset by this letter which
is in front of rye, and if nothing more, I think should be read out of courtesy
to the writer, because obviously the Administration as well as, I think this
Commission put a lot of credence in a so-called advisory committee and...
Mayor Ferre: Plummer, would you read it into the record so that we'd have it?
Mr. Plummer: Alright, sir. This is a letter addressed to Mr. Grassie, dated
the 26th of July. "Dear Mr. Grassie: As a member of the Miami Marina Review
Committee, I would like to briefly present my opinions to you regarding the
lease/management proposals and marina trust proposal. I will be out-of-town
on Friday, July 28, 1978 and will not be able to attend the public hearing .
In addition to being a member of the Review Committee, I am the publisher of
GO BOATING, immediate past president of the Marine Council, 1st Vice President
of the Marine Industries Association of Florida, past Director of the Greater
Miami Marine Association and immediate past president of the Admirals of the
of the Fleet of Florida. There are four areas which I would like to address:
(1) Mr. Ike Iaconis (2) Dinner Key Marina (3) Miamarina and (4) the Marina Trust.
(Number one, and this is what bothers me tremendously, that's my comment.)
1. The statements of Mr. I.aconis at the June 22nd Commission meeting were not
entirely the views of the majority of the Review Committee. His bitter attack
on one of the proposers was entirely unjust and uncalled for and did not reflect
the views of myself or Mr. Sawyer, the other committee member. Also, his reference
to marina operations favorable to the Marina Trust proposals were again not
discussed by the committee and represents his own personal views. Mr. Iaconis
was selected Chairman of the Review Committee by a draw of straws and I feel that
he misused his position as chairman by expressing his personal views as that of
the report of the Committee, I believe he should have disqualified himself,
since we now know that he is an outspoken advocate of the Marina Trust which is
directly in conflict with the Lease/Management Proposals which he was to
objectively judge. 2. Dinner Key Marina. It is my opinion that the proposal
of Dinner Key Marina, Inc. offers the best in management and financial return
to the City. The experience of Mr. Spencer Meredith and Mr. Robert Carter in the
operation and management of the marina is considered to be superior.
3. Miamarina. Although Biscayne Recreation Development offers, the City
the greatest financial return, it my opinion that the proposal of the
New World Marina$,Ince, should be strongly considered., Their plan calla for
many innovative ideas that will greatly enchance Miami's reclamation of
being the "Yachting Capital of the World", a title which has been taken from
us by our neighbors to the North,Ft. Lauderdale. The yachting world knows
of Pier 66 and Bahia Mar. I believe that Miamarina can surpass this status
and New World Marinas,Inc. offers the best opportunity to achieve this.
This is one case where innovation should be considered,not just dollars..
4, Marina Trust. This proposal is born from the Marina Tenants Association
and is, in my opinion, organized solely to keep low rates at the City
marinas. I agree entirely with the comments of Mayor Ferre that the public
officials are elected to run the community, not to create authorities to do
the jobs and that in luxury or recreational facilities, that if you can
involve the private sector you are much better off. Mr. Pete Sawyer, the
third member of the Review Committee is out of the country at this time and will
not be present for July 28th hearing. He has, however, previously reviewed these
views and is in agreement with the opinions in this letter. Mr. Grassie, thank
you for this opportunity to serve the City of Miami. I particularly want to
commend Dick Fosmoen and Clark Merrill for their extraordinary cooperation. I
do hope that I can be of service to you and the City in the future.. Signed,
Sincerly, Richard R. Cummins, Member of the Review Committee." Now, my question,
Mr. Grassie, after you have read this letter and this represents the third or
possibly two-thirds of the thinking of a committee. I think it's 180 degrees in
the report that was made to this Commission. I really, I guess, what I'm saying
is I'd like you to comment..
Mr. Plummer: Does the Clerk have a copy?, I'll give you my copy.
Mr. Grassie: Commissioner Plummer, and members of the City Commission, it's
particular difficult to comment on this sort of thing because it's impossible
to do it without getting into personalities. I had relatively, brief contact
the advisory committee, my staff had daily contact with them when they were
meeting. I became aware towards the end of the process that there was a
difference of opinion with regard to what the City ought to do within that
committee of three people. I had not realized, I guess until I received this
letter that the reaction of two of the committee members was asstrong as apparently it
was after that report that you received the first time. The only immediate
reaction that I got was that the other two members did not want to serve any longer
with Mr. Iaconis, and consequently, I did not call the committee back together
after that meeting.
Mayor Ferre: Mr. Grassie, in the interest I think of expediting things, unless
Mr. Iaconis wants a personal privilege to answer, which I would allow him that
privilege if he wants it. I don't think that we're going to accomplish one
single thing by delaboring that point anymore than what the statement of the
letter, and it is not our committee. It is the committee that you appointed,
you've made your statement, Mr. what's his name, made his statement from
GO BOATING and Mr. Iaconis can make his, and then let's get on with the business
at hand.
Mr. Plummer: Mr. Mayor, please, the only reason that I brought this up and I was
asking Mr. Grassie to comment was I have to know how much emphasis was placed on
the committee report, because as proposed before this Commission, the committee
report, and I'm almost certain Mr. Iaconis indicated was the majority thinking
of the committee.
Mayor Ferre:
Mr. Grassie:
Mr. Plummer:
Well, then, if that's the case...
That is correct, Commissioner, of the two...
Excuse me, but yet, we have a letter saying that ain't true.
Mr. Grassie: No, that is exactly true, Mr. Iaconis, was the minority on that
committee. He said it was a majority report. It was a majority of two people,
the other two people.
Mr. Iaconis: No, that's
not correct, sir. My would you mind?
Mayor Ferre; Ike, I'm going to let you do it and I think you're completely
entitled to do it.
14
J U L 2 81978
fc iaconiat Thank you,
Mayor Ferre: And, I realize because your name is invoived
Mr. Iaconis: Yes, sir.
Mayor Ferre: ... this guy is giving some pretty strong accuastions, I understand
how I'm sure you feel, but the point is that we're going to sit here splitting
hairs and getting away from the thrust of something which is very important,
which is we have three recommendations on two marinas and the possibility of
creating a trust and that's really what we should address ourselves to.
Mr. Iaconis: I agree, Mr. Mayor. I'm taken backa bit by the letter but I'd
like to address it. In specific answer to the comment concerning a report. Ok.
there was a complete list of all of the pros and cons of each proposer that was
prepared by the committee. In the preparation of the report, I requested the
other two members to each take a part in the final presentation _they declined.
They said that I could do it and that we would agree upon the factors that would
be presented. We met and we discussed each and every one of the items that you
have read in the minutes of the meeting. There were several other items that
had been discussed that did not have a unanimous agreement that they should be
presented before the Commission, they were not presented before the Commission.
The only items presented before the Commission had the unanimous 100% agreement
by all three members of the committee prior to my standing before you. What did
happen was that when Mr. Meredith had a very poor presentation, one of the
members, Mr. Cummins came to me and said I better not make it any worse for
Spencer Meredith, and I said, that I would present my report exactly as we had
agreed and he was very disgruntled. Another comment made by Mr, Cummins to me
and I would wish to make it public at this time,was that when we attempted to
verify one of the items that Mr. Meredith made concerning his endorsement by
the Coconut Grove Sailing Club, he said, he had the endorsement of the Coconut
Grove Sailing Club and had spoken to the Board of Directors. I received a letter
from the Commodore of the Coconut Grove Sailing Club saying that in no way did
he endorse it and he gave me a copy of a letter of March 18, 1978, that said,
that Mr. Meredith we are not endorsing your proposal. Mr. Meredith did say so
at our presentations. When I discussed this with my fellow committee members
I was told by Mr. Cummins,'listen,the man is allowed to do that, after all there
are millions of dollars at stake. "Now, that in my estimation is something you
should be aware of. The two gentlemen are members of the Marine Council.
Mr. Meredith is a member of the Marine Council. The two gentlemen on the committee
are directors of the Marine Council. Mr. Meredith is a director of the Marine
Council. I represented the Marina Tenants on that committee , as I have been
requested by the good Reverend Gibson back in February, 1977, I assumed that I
was there representing the tenants and on an objective basis. Approximately,
four weeks before the committee was formed a group called the Miami Waterfront
Committee went to Mr. Grassie and in a form of a letter Mr. Grassie had the
names and addresses of all the members of that committee. One month before a
committee was formed my name was on that list. Two weeks before the committee
was formed we were to meet with Mr. Grassie, who became ill, instead we met with
Mr. Vince Grimm in the upstairs Conference Room. I was among those members
representing the Miami Waterfront Committee talking about an authority. Mr. Grimm
said the authority idea is no good because of several reasons and at that time
I had indicated my involvement with the Public Health Trust, and then we said the
trust doesn't take title but the authority does, and Mr. Grimm said that might
work, that's when the trust idea was borne, in Mr. Grimm's presence with the
members of the Miami Waterfront Committee and I was there,the day the Waterfront
Committee was formed,I asked Mr. Fosmoen if there would be any discussion concerning
the Public Waterfront Trust. He said, there would be none. We were to address
ourselves only to an evaluation of the proposals. Approximately, halfway through
the presentations on a Thursday evening I met with Mr. Grassie and I told him
of my involvement with the trust,although I felt that I was being totally
objective in my evaluation, he complimented me in what he had heard about my
contribution to the committee and said that that was no problem. If that's
considered a conflict or if that was considered being secret, then how come the
City didn't know that I was on the committee when a month before they had my
name and address?, I met with Mr. Grimm, I met with Mr. Fosmoen, and I met with
Mr. Grasaie, all during the course of this add before the course of this , Does,
that sound like I waa in conflict or secretlytrying to not make sure that the
trust was taken care of? boo, sir, no, ma'am. I cleared this all the way along
so that we would not have this now. What was supposed to happen was, that the
15
JUL 2 81978
two Members. of the Marine Council were supposed to bury the Marina Tenant
flan and it was two against pne., Unfortunately, it didni•t happen. Ik 11
stop right there..
Mr. Plummer: I'm in the business to bury.
Mayor Ferre: Alright, anything else on this?
Mr. Plummer: Just for the record, and I think.in the defense of Mr. laconic,
Mr. Cummins and Mr. Sawyer both were present here the day that he made his.
report.
Rev. Gibson:
ME
ME
. Mayor Ferre: Alright, I want to repeat again that this is the Manager's
■ committee that he appointed and as far as I'm concerned it's his problem.
I Can we now move along to the main thrust of what we're here convened about?
And Mr. Manager, I think the procedure that you outlined is acceptable. Is
it acceptable to you, the outline?
Right!
•
1
Mr. Plummer: And, they did not stand and ask to be recognized in any way. I
want to present both sides, because I remember and I'm trying to find now but I
definitely remember asking the question, was this the full report of the
committee.
Rev. Gibson: Right, right.
Mr. Plummer: So, I want that in the record when I, you know, I think we ought
to have it all on board.
Rev. Gibson: Mr. Mayor, I have some problems. You know, common sense tells
me that what we ought to do is to put on the table once and for all the trust.
Now, you can't be doing all that you're going to do and then after you've given
me all of that then talk about a trust. Let us get rid of the trust or let us
agree to have a trust. Let me tell you I run a church organization and I know
the danger of doing what you're talking about. Now, let's...
Mayor Ferre: I have no objections.
Rev. Gibson:
Mr. Mayor, ...
for instance, you have made some recommendations, listen,
Mayor Ferre: I'm listening.
Rev. Gibson: The staff has made some recommendations.
Mayor Ferre: Yes, sir, and...
Mr. Plummer: Prior to hearing the trust.
Rev. Gibson: Right!
Mayor Ferre: Now, wait, wait, wait a moment, no, no, I must not have read
properly and don't understand. Mr. Grassie, as I understand, your recommendations
took fully into the account what you thought the trust would accomplish. Now,
whether or not you heard a full presentation or an elaborate presentation or a
documented presentation that we're about to hear is something else but that
has nothing to do as I understand it with your specific recommendation. Now,
unless you're going to change your mindwhich,of course,, you're perfectly
entitled to do.
Mr. Grassie: I heard that story yesterday, Mayor.
Mayor Ferre: Huh?
Mr. Grassie: We heard that yesterday. Let's review the record for just
minute.
Mayor Ferre: Joe, before you make your comment I just want to repeat that I
think that that what Father Gibson has outlined is perfectly acceptable to me.
I have no objections on hearing the trust and bringing it to a conclusion and
putting it to a vote and then if the trust is created there's no need to hear
16
JUL 281978
anybody else,
Rev. Gibson: Right.,
Mr, Grassie: I agree.
Mayor Ferret I have no problems. wfth that.
Mr. Grassie: Let's review for just a moment the record, The City Conunissiun
months ago, nine months ago, decided to go out for proposals, we've done that,.
When we brought those proposals back to the City Commission I added one element
We brought to you three companies recommended by the Citizens Committee and I
added as a fourth alternative the possibility for you to consider the Marina
Trust, remember? Since then, and you determined at that time that based on the
presentations and the evidence in front of you you did not want to take a
position, you sent it back to the staff and asked us to make a specific
recommendation. At that point, we have gone through a process of three weeks
of analysis. You have about 60-pages of the result of that in front of you,
including a financial analysis by the Consultants to the City, the Hough Company.
Mrs. Gordon; Mr. Grassie, may I ask a question, please??
Mr. Grassie: Not until I'm finished, please Commissioner. All of that then
led to some specific recommendations, and what we have said to you is that there
is one company recommended for each of the two facilities among the three that
were identified by the Citizen's Committee and in addition to that, we comment
that in our opinion,at this time,based on where the City is and everything that
the City has done in terms of going out for proposals that it is not advisable
to consider the trust no'... Now that's our recommendation, you asked for it,
that's what we're recommending. In terms of the order in which you consider
these things that's entirely up to you.
Rev. Gibson: Alright.
Mrs. Gordon: I wanted to know whether the Consultants that analyzed the other
propositions also analyzed the benefits that would accrued to the City by virtue
of proceeding in a trust manner, the matter of a trust, the Hough Company.
Mr. Grassie: Well, there was no way for them to do that. The trust really is a
management and policy setting alternative. Now, we have no proposal that outlines
the dollars that are involved in the trust creation You know, it's simply not
an alternative that was available to them.
Mrs. Gordon: But, Mr. Grassie, what I'm trying to get to is that in this
analysis that they made they took hypothetical situations because all of the
proposals were not uniform and they had to take and design a model and utilize
the model in determining what the results would be that's what this recommendation
by this company is based on.. If they're taking a model then it seems to me they
should've made a model for a trust and come back and said, well, if you operate
with a trust and if you do this, that, and the next thing as it says in here for
there other things then you derive a profit of x-number of dollars.
'{.r. Grassie; But, you'd have to have a atartingpoint. You'd have to have
a proposal that would outline some dollars.
Mr. Plummer; The missing element here is that you are not aware that we are,
that Mr. Iaconis has come to, I assume every Commissioner and he is making a
propoaal here today on behalf of the trust with dollars and cents attached to it..
Mr. Grassie: Then, the answer to your question,Commissioner is that the reason
it was not considered is because we don't have it.
Mr. Plummer; Okay, an I think that's where the fallacy ...
Mayor Ferre; The chair 1s now going to try to rule that this has gone on for
half an hour, we haven't gotten off home plate, so I'm going to alter the
sequence Mr. Grassie if it's alright with you and follow Father's reeoM,Mendation
and we will hear first from the trust and then this Commission if it wishes can
decide either to put off a decision and hear the others or.decide whether or not
we're going to go to a trust route or what, so
JUL 28197g
M
MEC
MEW
Mr. Grassie; It sounds very good to me.
Mayor Ferre: I accept that. Sot would half an hour be sufficient Mti latonis?
Mr. Dixon, how much time do you feel you need?
Mr. Dixon: We need thrity-three minutes.
Mayor Ferre: You have thirty-three minutes. Alright, well, I'm going to just
make a statement so that nobody gets excited at 6:00 o'clock. At 6:00 o'clock
which is more than thirty-three minutes, we're going to move on, bring this
thing to a head,hopefully.
Mr. Cummins: Before we begin the presentation, let me mention that what you're
about to see represents the efforts of a group of concerned citizens working on
behalf of the public interest with no budget to speak of, spending many hours,
without any thought of compensation to provide an alternative to the lease
proposals. The committee wishes to keep the public property for the public
interest, and the profit generated from the operation of these marinas should
he for the citizens of Miami, who literally bwn this public property. The
presentation will take about thirty minutes and we request that the questions
and comments be held until the end of the presentation. What we have before us
is some of the area that is represented by the public waterfront of the City of
Miami, and we'd like to take a few minutes just to have the Commission and the
people in the audience reflect on the area that we are referring to.
Mr. Iaconis: Mr. Mayor and Commissioners, my name is Ike Iaconis, as has been
outlined by Mr. Cummins a few minutes ago. Tom Dixon and I representing the
Miami Waterfront Committee would like to present to you our concepts related to
formation of the Miami Waterfront Trust. However, what we'd like to do is to
begin with some recent history concerning the Marinas and the factors which led
to this presentation. Conditions at Dinner Key prior to the Chapter 50 Ordinance
included the facts that the docks were in various phases of deterioation being
20 to 30-years old. There hadn't been any rate increase from 1969 to 1976, but
there weren't any improvements either since all the excess revenue was put in
the City's General Fund and there were no reserves setup for any renovation.
The Marina conditions during this period included the fact that there has been
and currently exists that there is no long range planning of Marina activities.
There is a very low degree of coordination between Marina operations and City
Departments. For example, where is Mr. Jennings and Mr. Gai in this presentation?
Why didn't Mr. Grassie include these gentlemen in the discussion? They're no
where to be found. That indicates the type of low coordination that has been
going on in the City and Marinas for quite some time. There are no fiscal
controls provided •at the Marina operations level by the City Administration.
As a matter-of-fact, last year at the end of the fiscal year I had the revenue
and expense from Miamarina and Dinner Key before Mr. Jennings and Mr. Gai, and
six months later, they still did not have the year-end data concerning their
operation and when I showed it to them again,they said,they still didn't know
what the numbers were. They had no idea what they was spending. They had no
idea overall what they were taking in. We feel that this current attitude is
that of a caretaker management and that is a problem. The result is a minimum
operating effectiveness and a frustration both on the part of the City Commission,
as well as the tenants. At the time of the rate hearings in late 1976 and early
1977, citizens became involved and the Commission directed the City Manager to
open discussion with the Citizen's Group. The results of the joint committee
made-up of Mr. Vince Grimm and the City staff, Marina tenants, commercial tenants,
who had reached some administrative and some fiscal agreement was a new Chapter
5Q Ordinance, and I'd like to bring to your attention the specific elements of
the new ordinance that was adopted in February, 1977, went into effect in April,
1977, rates were to be based on cost and based on the budgeted cost so that there
would be no one way or the other concerning where the dollars came from to start
with. A reserve for replacement was initiated based on excess revenue over
expenses. Self -funding was provided for. We did not wish the citizens of Miami
to pay anything for the Marina, it should pay for itself and rather than have a
hassle on an annual basis with the City over rateincreaser for boththe tenant&
part as well as the Commission's part the Chapter 5Q Ordinance included an
automatic increase in rates based on budget data and as a matter of fact on
January 1, 1978i a 51 increase automatically vent into effect without the Commission
having to hear it, without any harangues from the tenants and it working. The
Commission's reaction was missed, and the result was.a section by the Commission
to put out a proposal for private leasings of Dinner Key and Miamarina. After the
proposals were received as of March 31, 1978, the City Manager appointed a Marina
18
Proposal Review Committee to provide an evaluation by marine oriented citizens
of the Marina Proposal.. After hearing approximately a dozen proposers and
presentations,the committee selected those presentations to receive further
consideration and as a footnote the items, presented to the Commission represented
the unanimous agreement of the committee. These proposals together with the
report of the pros and cons was presented at the June 22nd meeting and was
favorably received. I'd like to comment very, very briefly on the private
proposals. In summarytthe proposals appeared very difficult to compare because
of their diversity in responding to the City's request for proposals. Some were
elaborate t some were very sparse in terms of detail , some proposals did not
follow the rules setup by their request for proposals, and they became very
controversial. There was a management contract versus a lease. There was
extensive landside development which was not in the scope of the request for
proposals. There was the use of public funds, public bond funds, to renovate
private lease area. There were endorsements that were assumed to have been gotten
by a particular proposer ')ut,in fact, we could not find evidence of having those
endorsements. I referenced that earlier in my comments. Their were differing
facts that were presented by proposers in the different presentations. The
proposal had one set of facts, the Marina Review Committee heard that set of
facts and then the Commission heard in some cases a different set of facts,
changes were made in certain proposals after they had been submitted in order to
suit public opinion. ,This led to a serious concern about the future of the
waterfront in the hands of the private lessees, the public would be left out,
there would be an unnecessary middle man profit,exorbitant profit and cause a
30-year lockout of the public involvement in the waterfront improvements. A group
of citizens felt that there must be a better way. This group developed an
alternative. The group that was formed was the Miami Waterfront Committee and
the goals of this Waterfront Committee were as follows: they wish to assure that
the public property would be provided for the public interest. They wish to
develop a guide for the future use of the waterfront activities, they wish to
have the involvement of citizens similar to the Chapter 50 Ordinance involvement
similar to the Miami Review Committee involvement in the process of the
development, the management, the eo.'er ance of the waterfront areas, and perhaps,
they can help the City. Something la formation of the committee, just briefly
for you; The committee was formed in November, 1977, of public spirited citizens
who had marine related interests. The concern of the committee was the fracturing
of the waterfront and the limiting of the areas marine related potentials. The
committee after meeting with Mc. Vince Grimm adopted his suggestion that the most
logical conclusion was the creation of a Miami Waterfront Trust. And now ,to
introduce the trust, I'd like to introduce Mr. Tom Dixon.
Mr. Dixon: An overview of the trust shows you that the concept behind the trust
would be that it would be a public entity , that is that the property, the
marinas, any developments on the waterfront would remain public propery. That
citizens would be involved and participate in what happens with Miami's future
and also they would benefit from these improvements that would be made to
Miami's waterfront property .Also the creation and the appointment of the members
or the trustees of the waterfront trust would be appointed and have Commission
conformation, that is, I think at the last meeting was brought up that the buck
stops with the Commissioners and we would make sure that you would have the
input to appoint and nominate those members of the waterfront trust who would
serve for the citizens of Miami. The purpose of the trust would be to operate,
improve, and govern marine facilities and in addition, develop new facilities
in areas that are presently not being used to their fullest potential as you
will see later on. The goals of the trust, the public should benefit from public
property, Dinner Key, Miamarina belong to the citizens of Miami, they should not
be given away, the profits from them should not be given to private industry,
they are the property of the citizens of Miami. The trust would develop
additional Marina space. Presently, the Administration within the City has
shown a sore lack of effect to either upgrade the present facilities or create
additional Marina space. Thu trust's goal and intent would be to expand the
Marina space on property the City now owns, and to work towards the development
of a waterfront guide. A guide for the development of Miami's waterfront future
involving marine oriented, marine concern citizens in conjunction with private
consultants so that we could look to create a true waterfront area for the
citizens of the City of Miami. The trust would be composed of members who would
be nominated from these basic groups. We would have the marine users who would
possibly nominate three candidates to.become members of the trust, three from
the marine associations, civic groups, enviornmental groups, and public at large,
these nominations from each of these three groups then you would have the
opportunity to select that individual that you feel most qualified. There would
19
'JUL 28197
be one from the marine user, one from the marine associstions,.one from the Civic
groups,one from the environmental grouns.three from the public at laree.a total of 7
voting members of the trust, and in addition, there would be a representative
of the City, Manager's office, a representative of the Public Works Department,
and a respresentative of the Planning Department who would have non -voting
but would participate in the planning process for the trust, These trustees,
who would be appointed by you would serve staggered terms of office for
continuity of management. They would, of course, have to be protected so that
would not be any conflict of interest in any transactions that they may be
involved in and they would serve at no compensation and I think this is a key
ingredient that we believe there are citizens who are willing to step forward,
who are concerned with the future of the City of Miami as it relates to its
waterfront and are willing to participate,and I think the example that what
you're seeing today shows you how concerned the citizens of Miami really are.
What would be the duties and powers of this trust which will be created? And
first we can talk about the real property . TheCity of Miami would retain
ownership of the real property, the trust would obtain ownership of the personal
property so they could, for example, have the ownership of the typewriters, the
stationery equipment of that type. This authority would have the power to
contract, sue, hire, and borrow, this is where it differs from an advisory committee
or a Board because the trust.itself would have the power to enter into contracts,
to take action and to do things. The personnel could either come from the existing
Marina personnel, they could be people from the outside or they could be a
combination. We have proposed in our meetings with Mr. Grassie that there be a
transition period after the creation of this trust so that the existing employees
can be either filtered into the trust and work for the trust or could be placed
in appropriate positions within the City. The trust would have the authority to
set rates, enforce collections of rents, and accept gifts and grants, so that if
the State or the Federal Government decided to give grants to the creation and
development of Marine facilities the trust could receive the benefits of these.
I'd now like to turn the presentation back to Ike, to talk about financial
administration.
Mr. Iaconis: The financial administration of the trust would be as follows: The
fiscal year of the City would be applied to the fiscal year of the trust; the
budget approval would be in the same way in which current City Departments go
through their budget preparation and authorization stages; A revenue bond would
go through the City of Miami, taking advantage of the municipal rates as opposed
to the commercial rates; purchasing power of both the external area as well as
the public area utilizing, for example, the legal services, the accounting
services of the City of Miami would help keep expenses down. We would require,
as the City would,an audit by and external auditor as well as reviews of operations
by the City's internal auditor. We would also welcome the City Manager's staff
in reviewing the operations to assure that everything that the trust is supposed
to do is being accomplished and we would suggest that check points be set. There is
no question about the fact that the trust would be self -funding and we'll see in
a minute that the dollars and cents accruing now in the Marina's benefit is
substantial. The excess revenue that would be produced, that is the excess revenue
after paying all direct expenses, all indirect expenses, all cost of the bond, and
bond repayment as well as an appropriate return to the City ... that excess would
be put back into the Marina or turned over to the City. Now, let's talk about the
trust in terms of its model..Tbe model that we had for the creation of the waterfront
trust is the Public Health o E made County, the complex at Jackson Memorial Hospital.
The citizen's involvement in terms of the facilities is that approximately 5-years
ago, prior to the trust,the County ran the hospital department which was Jackson
Memorial Hospital. All costs on the basis of the catalog price for indigents was
paid by the County along �.i*th all bad debts. The County did not have any citizens
involvement and thereforeJas very, very difficult for the County Commission to get
any agreement as to what to do with Jackson Memorial, hence there were many delays
in decisions being made, additional money had to be spent, money was lost and it
was wasted. The creation of the Public Health Trust by the County eliminated that.
A 15--member Hoard,no compensation provided,governs the Public Health Trust today.
As a result of their involvement on a dollar-and.cents basis, the City now pays
only the cost at a 25% less cost to the County than it did before. In our view
this trust, this approach, the model was what we used in terms of our discussion of
the Waterfront Trust. The trust makes timely decisions, saves money and provides
close scrutiny. We would like to do the same thing with the Waterfront Trust. Now,
we talked about cost of the Public Health Trust. I'd like to talk about the fiscal
operation and show you the current revenue and expense of Dinner Key that determines
the present funding, and it should be noted and I understand that someone said;
How could Iaconia say that the Marina is paying its way and doing a heck of a job?"
20
I'd like to show You that for fiscal 1976-1977.Total revenue and these are the
figures, Mr. Plummer, that I finally got from the City, these are not my figures.
The total reyenue in 1976-77 was $388 and some odd thousand. The total expense
direct and indirect expenses., not only the direct cost of operating the Marina
but the indirect cost of the Marinate Manager and the Director of Facilities
offices was $288,000. The excess available and upon which an interest was paid
by the City to the Marina account, The reserve account came to over $100,0000
and I'd like to bring to your attention that in Fiscal 1976 for half cf that
time that the City was on the same rates that it had since 1969 and that only
a half of that fiscal year did we have the new rates and we still brought in
$100,000 of excess of revenue over expense. The 77-78 figures are even more
dramatic. A total revenue on an estimated basis based on having data through
May 31, 1978 shows a revenue of over $500,000;expenses both direct and indirect
of over $300,000,giving an excess available for renovation in this fiscal year
of $1S3,000. None of this money has been spent as of today. At the end of
September, 1978,we will have $293,000 plus interest paid for by the City at
6% to the Reserve Fund, That's quite a formidable operation using a nickel and a
dime. We'll talk more about that in a minute because that's the cost of the
Marina today and we are making that kind of money. Now, let's take a look at a
mythical Marina, similar to the Hough proposal and I'd like to mention that our
data was presented to the press several days before the Hough Report, as I under-
stand it,was presented to Mr. Grassie. When Mr. Grassie said that he did not
receive any data, I called Mr. Grassie approximately a week ago, I still have
yet to get a response to my telephone call. I called up his secretary to find out if
he had gotten the message and I was told he was a very busy man. I went personally
to his office in order to provide this data, which he had requested, I got no
response. I released this information last Friday to the newspapers. You will
find,interestly, that the Hough Report uses the same mythical number of slips and
that same number of feet. Okay, let's go from here. If we use a lease example
of 13c for live-aboards and 10e for non-live-ahoards with 500 slips in an
average of 45 ft. per slip, we get 22,500 ft. for purposes of apples -to -apples
comparison. The total revenue of the live-aboardsand non-live-ahoards
transient revenue, and the commercial interest, not including moorings, not
including the annex as we currently have it at the present time,would be over
a million dollars. The total expense was $310,000 on an estimated basis. You
will note that there was $308,000 last year. Since there are something like
$25,000 to $30,000 of property maintenance that was spent in this fiscal year
we would substract that if we had brand new peers and,therefore, that amount of
maintenance wouldn't be necessary. The total number of people at Dinner Key in
our estimation could be revised to be more efficient and therefore,taking hose
items into account and substracting them from the expense we wind up with a
number that is less than the current operation cost to the Marina. We then
sacked it in an inflation factor for two years from now, added another fudge
factor to assure that we had at least the amount that we had in the current
year and that's where we got the $310,000. The annual bond cost on the basis
of the City saying you must spend at least two million dollars and requested that
of the proposers, we used that as our guide. If the answer is you need four
million dollars you would simply double that annual cost,but for the sake of
an apples -to -apples comparison, we used the two million dollars as a starter.
If you give a minimum guarantee to the City of 15% which one proposer provided
and only $50,000 from another proposer. We used the larger of the two. If we
substract that amount at ten and thirteen cents, the net income, the dollars
in pocket after expenses to that proposer or those proposers would be over
$400,000 on an annual basis. Now, let's take a look at another mythical operation.
If we take an 18C for live-ahoards and a 20% reduction if you're a non -live -aboard
using the same factors, do no include moorings, do not include the annex revenue,
you wind up with $1.5 million. The total expense will be exactly the same for
purposes of our comparison. If you take a minimum guarantee of $180,000 and
granted that if we use a very complicated formula it could be something else
which we're not sure of, we figured at least $180,000 is guaranteed in the
proposals today. That would leave,ladies and gentlemen of the audience,
Mr. Mayor and Commissioners, over $800,000 on an annual basis to that particular
proposer. If, for example, you wish to say that the bond cost us $4 million
substract another $210,000 and it's still $600.000 on an annual basis. That's
why we're here tonight, the private interest, specifically at Dinner Key
Marina are going to line their pockets at your expense and we don't want it to
happen, that money should go back into the City , it should help the Marinas,
and we don't want to see that happen. I'd like to also mention that that $800,0,-)J
is $8 million dollars in a 10-year period so whoever gets this in terns of
JUL 2 81978
the private leases as we understand it we will automatically make that person
a millionaire. I think that a word of congratulations is in order to the
person who is going to get it. The trust example? and figuring that two
years from now with some inflationary factor it might be more. I would
like to show you on a very conservative basis using today's number3,1977-1978
numbers,wtth the rate increase as of January 1, 1978, a nickel for non -live -a-
boards and a dime for live- aboards, an outrageously small number according
to many of the opponents, it's impossible, how can you make any money at the
Marina based on those low rates? Let's show you how much the City can get
using the very same factors, we get a total revenue of only $787,000 with the
same total expense. We Wind upbeforea guarantee of over $300,000 with every-
thing being paid for and the annual bond cost because we take into account the
municipal bond that a maximum of 71%, the fact that it would cost the trust
less than it would cost the commercial lessee.. If we give a minimum guarantee
to the City which is at Least equal to the maximum/minimum guarantee of one of
the proposals at the ten and thirteen cents level, we will still have and I
inivite you to look at this very carefully ewe will still have $159,0001eft in
profit that can go back into another two million dollars of bonds or additional
expenses, we will have over $300,000 and that's at today's Marina prices, that
cannot be matched by Inc private lessees, they cannot be matched or it won't be
matched according to their proposals . What I'd like to do now is to turn this
back over to Tom, in terms of talking about bond ,financing, and the expansion
plans to he discussed by the trust.
Mr. Dixon: Here's a chart that shows an example of the additional coststhat are
involved if the private lessee has to borrow the money in a commercial money
market,. As an example, we 've used the figure of $2 million dollars, both for
the trust and for the private lessee. the difference is in the interest rates.
The private lessee would have to probably pay in today's market 10%. The trust,
because the bonds that would be issued, the revenue bonds, would be tax exempt,
could probably he issued at 71%. The terms are identical 30-years. The annual
payment, however, as you can see is $210,000 for the private lessee, $167,000
for the trust. The total interest over a 30-year bond period would be
$4,300,000 for the private lessee, $3 million dollars for the trust. Now let's
look at a comparison between these two, that is the annual cost for private
financing would be 25% per year more than what it would be for the trust. The
total interest over the 30-year period would be 42% more. As you can see, if
you go with the private lessee it's going to cost the voting public substantially
more than it would cost if you went with the trust concept. Now, let's look at
some expansion plans. We've looked at Dinner Key as an example of what the
revenue ...
Mayor Ferre: I'll tell you, is there anyway to go back to that, because I really
couldn't see with all those lights shining in my face. Could you go one... back
to those figures?
Mr. Dixon: They'd asked... Okay.
Mayor Ferre: Okay, that's what I want to go over.
Mr. Dixon: I think the Financial Consultant would satisfy these
involved with this daily in my work and these numbers are...
Mr. Iaconis: We reviewed this in terms of the Hough proposal area and
very close.
Mayor Ferre: Yes. Okay.
Mr. Dixon: We've looked at some expansion plans, I've taken and this is a
satellite photo of Biscayne Bay and we've said, you know, Miami is located in
an area that has the waterfront, it has the sunshine, it has the location, it
has every feature so that the City of Miami could become truly a boating capital
and so what I've done is taken a very cursory look at the City property, that
is the property the City presently owns,to see what could be done with it in
terms of Marina expansion. I have done this'as Ike has pointed out, we've
worked on this at no cost because we are concerned with Miami's waterfront
future. Yesterday, the Commission spent $15,000 for a similar study. We're
going to look at additional slips and moorings. We can look at Dinner Key,
there's a possibility of putting in a thousand additional moorings and r`]4ps in
the Dinner Key area. Bicentennial Park, Miamarina, we anticipate an additional
200 slips in each of these areas. There is presently at Bicentennial Park as
a satellite a 1,000.ft. of dock that is not being uaed because the City
22
JUL 2 81978
MM
MM
•
No
•
•
a
•
administration told us; the water is too deep. American Legion Park in North
Miami, the possibility of 100 slips there. Morningside Park - 250 slips.
Cuttis Park,which.is up the Miami River,would he idealy suited for a in-and-
out,rack storage system for email boats. Venetian Causeway as you can see
the bottom half of this slide, possible IOQ slips could go in here. And,
Virginia Key, the possibility of 1,300 slips. In summary, we're looking at
total slips and moorings of 3,700. Now, these are just estimates, and I'm sure
the study that Greenleaf/Telesca is going to come up with will reflect
exact numbers, Rut 1 think the key is that the opportunity for Miami to become
what it should become,which is a true boating capital,rests within the opportunity
of the trust. The City owns the land, citizens are willing to participate to
make it happen, we just have to have the opportunity to move forward. Now let's
look at the differences between the trust and the lessee. First, let's look at
the compensation to the trustees, As we've said, they would receive no compen-
sation because they're citizens and concerned with Miami's future. The lessee,
however, obviously as you've seentis concerned with profit. In one case,
$800,000 a year. The goals of the trust would be for the public interest. The
goals of the lessee obviously would be for private gain . What are the long
range benefits of a trust? Well, the increase and the expansion of the water-
front would benefit all citizens. The lessee, he's only going to look obviously
for the period his lease. Development plan, the trust as we've said would enter
and prepare a long range development guide. The leasing of Dinner Key and
Miamarina in our estimation is a patchwork attempt and it will not lead to any
constructive development of Miami's waterfront and possibly could cripple it for the
next 30-years. There's a question that has been brought up about ad valorem
taxation on the lease. The trust would be exempt. There are legal questions,
of course, with the lessee . Revenue bond financing,as you've seen,would cost
less than private financing, and of course, the lower rate would be available
to the trust, it would be more expensive for the lessee. There is a reverter
clause and that is a clause when the City of Miami obtained Dinner Key that said
if you lease or contract this property it will revert back to the grantee,
excuse me, the grantor, who was the internal improvement Fund. We're not sure
as to the applicability of this, but it will involve a legal problem. Government
grants, the trust would he eligible for government grants, the lessee would not.
The rates would be based on cost, not based on profits. The implementationtas
you will hear,could be immediate;and,of course, with the lessee there are legal
questions as to -the procedures that the City has followed and the proprietory
of the efforts and suggestions that have been made. And non-performance. We
propose that the waterfront trust could be revoked at the will of the Commission
if it does not perform to its expectations. If you enter into a long term lease
or management agreement you're going to have to sue for cause if there is non-
performance. Ultimately,the trust envisions that the City of Miami's property
and the City of Miami become(VISUAL ENDING WAS PROJECTED ON SCREEN).
I'd now like to turn the presentation over to Ike, so he can make someclosing
comments.
Mr. Iaconis: The presentation you've just seem is another example of public
spirit citizens involvement for the common good without a profit motive. We've
discussed the concerns. We believe we have an answer to handle those concerns.
It's an effective solution to take care of the concerns of the Commission, the
City Manager in what he's going to possibly do with the proposal he's just
presented to you tonight, the Marina tenants the boating public, we therefore
request the City Commission to do the following: Create the Miami Waterfront
Trust and make that trust revokable at your option. Permit the trust to
immediately direct the renovation and expansion of Miamarina and Dinner Key
Marina.Provide moorings as an immediate project for revenue but also to take
away the 3-year waiting list for slips that now exists. We would like you to
initiate the activities of this Trust with an immediate selection of an interim
governing beard effective October 1st, to put this plan into effect. We're
confident that this approach will work and we'd like to do it right this time.
I would like to have an expression of the audience to know if they believe that
and would like to have a Trust also, what do you think? Any questions or comment?
Mayor Ferre: 1 just want to congratulate you,Mr. Iaconis and Mr. Dixon,for one
of the very best presentations that I've ever seen done, very best. I'm glad to
see that the boating community is enthusiastic and that people feel as strong as
they obviously feel. Just out of curiosity, how many of you here actually own boats?
Okay, and how many of you actually lease apace from the City of Miami some place
or other at this point? Well, I'm glad that you're here to protect your interests
and to talk about something that's of interest to you, I appreciate that.
23
Mr, Dixon: Are there any questions of the Commission?
lfira, Gordon; I'd just simply like. to state in reiteration to what the Mayo,
said, 14n very impressed vithyouur presentation. It was very professional
and very comprehensive.,
Mr. Dixon; Thank you Rose and Mayor. I think in summary, what we're saying
to you is that there are concerned citizens•We've. put a tremendous amount of
time into. We feel that it is an opportunity for the City to become truly a
boating capital and all we ask is that you pass tonight, perhaps the initial
resolution to direct the Manager to prepare an ordinance and let's move forward
with this thing, we're prepared.
Mayor Ferre; Alright, Mr. Dixon, thank you. Are there any questions froth
members, of the Commission at this time?
Mrs.. Gordon: Any further questions?
Mayor Ferre: No questions. Any comments from... any questions from the
Administration at this point, any questions that you might want to... and then
I'll recognize you for comments and I'll be happy to start it out or wait until
you've all done it, anyway? Let's go to the questions first. Any questions?
J,. L., you want to.„.?
Mr. Plummer: The only comment Mr. Mayor, I hope that Mr. Iaconis has this very
fine presentation reduced to writing so that it can be submitted for evaluation.
Mr. Dixon: The Mayor and the Manager have a copy..
Mr. Plummer: Fine.
(INAUDIBLE BACKGROUND COMMENTS MADE OFF TEE PUBLIC RECORD).
Mayor Ferre: Ike, I'll express an opinion and get this thing rolling one
way or the other. You can substitute wherever you say,"trust', City of Miami."
Mr. Iaconis: Yes, sir.
Mayor Ferre: And, either accomplish or not accomplish the same thing.
Mr. Iaconis: Our impression is that if it could have been accomplished by the
City and the City wanted to do it,it could be ongoing. But we believe that since
it hasn't happened and aince there has been a frustration level by the City
Commission on what's going on with the Marinas , we believe that the approach of
the Trust would allow public spirited citizens to assist the City with the
operation of the Marinas.
Mayor Ferre: I think all of us,and that's the one thing that might be the only
thing that we may all agree on is that we all want to do something to improve
the waterfront usage in those areas that we want to use. Now, I might for
example, disagree, I don't think that Margaret Pace Park should ever be used,
ever,for Marinas. That's a green open park,period.And as long as I'm on this
Commission I'll vote against it every single time it comes up. I just would not
vote for that as a place for a Marina.
Mr. Dixon: Of course, you understand, though, that we were just bringing to
your attention what could be done.
Mayor Ferre: I understand. I understand. I just would be totally opposed to
putting Marinas at Bicentennial— New World Park, I'm just.uialterably opposed to
it.
Mr. Dixon: We'd be delighted to take that into account,Mr. Mayor.
Mayor Ferre: Yea, but the point is that I'm the one who gets elected and the
five people that are on this Board are the ones who get elected to make those
deciaiona.AAA we go to bat....I go to hat every two years and I know I get
latched out. I got called all kinda of names by aome people and then when I
voted the other ray I got called all kinds of names but I said, fine, listen,
I'11 be, up to bat next Novebber, you remember me, you can vote against me or
you run for public office or you do..‘ Now, do you know what the bottomline is?
The bottamline was -and you'll have your chance, you know+. the bottomlipe
24
1 remember one time 15 years ago, and I told you this. when you camme to see Me,
and the thing I've got to decide is the difference between an Authority and a
T mist, and that's, the thing that I don't quite yet know, and I might agree with
the creation of a T us.t. I atq unalterably and totally opposed to the creation
of any more Authorities.
Mr. Dixon: We agree.
Mayor Ferre; I don't believe in passing the buck. I don't believe in creating
citizen groups that are going to do what I'm elected to do or these people..
I'm not going to abdicate my responsibility. I just don't believe in public
Authorities anymore. I'm not, I don't people to misunderstand. I'm not
against, I don't want to eliminate the Off -Street Parking Authority. I don't
want to eliminate the Downtown Development Authority. I don't want to eliminate
the Water & Sewer Board, but I'm going to tell you this, if they were before me
now and I was, voting for them now,I wouldn't vote for the creation of a Downtown
Authority or an Off -Street Parking Authority or a Water & Sewer Board or the
airport..!hat was the name of that Airport Authority we had for years here?
Mrs. Gordon: Port Authority.
Mayor Ferre: The Port Authority•And I remember when that thing came up for
discussion I got involved in that public argument,as a citizen,and I remember
the argument. I started out saying, well, you know, those guys in that Airport
Authority are better qualified to run the airport than the County Commission;
Why? Well, because they have more time,they'il take more interest, they're
going to get more involved, but you know, and I hope I don't touch on
toes, but what happened was that those that were being served also somehow got
involved in the regulation process, like the Public Service Commission you know,
and there are a lot of questions on that, but...
Mr., Dixon: Mr. Mayor...
Mayor Ferre: ... I'm just about finished and I... you know, you talked thirty-
eight minutes and I didn't stop you at thirty and I'm going to stop in a minute
or two and we're just in a discussion purpose. Now, I remember when we went
through that soal searching in the community about whether or not to have an
Airport Authority and as you recall, the Commission, County Commission, finally
Voted against it and dissolved it and the reason was, the old question is who
keeps time on the time keeper? Now, you know, who controls the controllers?
who...? Now,there is no good answer. Nobody has ever found one in the history
of mankind but as old Tom Jefferson said,"our system is not the best and it's
far from being perfect", but by God,in the electoral process there's no
catch and that is -throw the bums out, if they don't do the job you get rid of
them,and I think that there's just no substitute for the public, there's no
substitute in government for the fact that you just stand up and you say okay,
here I am, if I'd done a bad job I'm out, run against me, and if I'd done a
good job then I go back into office and keep on doing it. And I think one way
or the other I get so concerned when I see these terrible turnouts in cities
around the United States, New York or California,and in Miami, but until
somebody shows me a better way to govern the City of Miami or Metropolitan Dade
County or the State of Florida, I'll tell you,I'm for the electoral process.
Mr. Dixon: Mr. Mayor, are you aware of the Public health Trust? Are you aware how
it's working?
Mayor Ferre: Yes, and I've talked to Bill Frates about that and I'Ve talked...
know, I serve on the Board of Trustees at the University in Miami, you want me
to tell you about the Public Health Trust.?
Mr. Plummer: I do.
Mrs. Gordon: Yes, what are you going to say?
Mayor Ferre: I'll give you an opinion. I'll give you an opinion on it, this is
just,again, a personal opinion. The Public Health Trust Fund was an absolute
necessity, absolute necessity because you have some very unique circumstances.
You have an indigent hospital taking care of the welfare needh of a community.
You have a major medical hospital taking care of private citis.ens demanding
superior medical attention that cannot be given in any other hospital in this
community, including Mercy.and Mt. Sinai. You have a teaching; hospital where a
25
You
JUL 2 81978
university is. trxing to train"doctors for the future and you have g specialized
Amedical center, and those four things are, by their very nature, eXclusionary Min
conflicting.,
Mr. Dixon: Conflicting you sa
Mayor Ferret Abeolettc l y t <:t:f lic•t ing, there ie not one medical center whether
itts Harvard Medical. School Or the Peter Beck Brigham Hospital or Methodist
oft KleeInstitute and 7 happen toknow a little bit about it because I served
nat
on particular committee of the 1hivers1ty of Miami's Board of Trustees, and the
one thing that came up over and over and over again is that when you serve the
indigent community you conflict with the University's interest, and the moment
you $erve the medical te'tc.hine profession then you conflict with the private
practice of the doctors and thEre.£ore,you have a game that's built-in that
nobody can win and the?r=a'e one: major problem and that is that it requires a
tremendous amount of Inowledgc because it's a complicated business and what
wee happening was that Jackson Memorial Hospital was serving the indigent needs,
the indigent needs of this community but it was not serving the purposes of the
University of Mian,i,and as a member of the Board of Trustees of the University
of Miami, I will tell you pibli.cly and openly that it was one of the smartest
and most: cleverly eent.7ived ways of circumventing the service of a public hospital
by balancing off the needs of a medical school for the benefit of the University
of Miami. That does not mean that the University of Miami does not serve a
public purpose but it does ratan that that's why that Public Trust was created
and it is doing that and I rongl tulate the University and the School of Medicine
which {'a'greatly improved and Dr. Mannie Papper and all of the people that are
involved,but that it serves the indigent community better,that remains to be
seen so as far as, public teustsare concerned they serve the particular interests
of particular grow;__:.
Mr, jaconis:And, so does the Marina Trust, We have a controversy. We have a
specific and unique area, Fii e eayne Bay, We have Dinner Key Marina, the Queen
of the Waterfront, and ei; ine it to private intereststo have them line their
pockets, especially on an t.xces)e. basis, means that we need a unique way to
handle it similar to the ee;i }eie_ problems of the Public Health Trust and that
is why we are ister:;_;ted in having a Trust at this timetto take care of
those unique needs of this particular community. We're not talking indigents
here but we're talking a different community, the waterfront community. There
is ciontroversy, The weterttcnt belne given to private interest and have them
gobble up the waterfront or to have it sere the public purpose: Mayor, the
• Trust 'is dynamitetlt really can help and I think you should really listen, listen
hard and appreciate the ;act that The trust can take care of the problems that
are facing you tonight, The dilemma that you have in being able to have the
private interest say that the Commission is going to go their way and the lining
of the pockets is going to happen. Is that going to be at the expense of the
public good: We don't want that to happen. Let's make it work,that's what we are
saying to you,let's try it.lf you don't like it,revoke ittbut once you give it
away for 30--years or for 4-years or another 4-years or whatever has been
--suggested, okay, then you have to lire with it.If you don't like the Trust, if
it's not up to atandards,revoke it and try something else you lose nothing,
there's no money coming from the pockets of the City.
Mayor Ferret Ike, let's see if we can move to something that perhaps, might
give us a road to progress and trove in a directiontbecause we may be talking
pure theory here as far as the Manager is concerned and we may have to end up
with sowe kind of either a public trust oe the City of Miami doing this on its
own. The Manager has come back with a recommendation based on the Hough recommenda-
tions,twothat I've read,and I'm sure the rest of the Commission has looked into
it which tray not be acceptable to anybody...
Mr. laconis: That's true H. Mayor.
Mayor Ferre: ... because itchanges the premise of long-term leases to short-
term leases.
Mr. Laconia: That's correct.. The ratings were based on the 30-year leases and
Mr, City Manager is using it on a 4-year basis, apples and oranges.,
Mayor Ferre: Ok.. Now, 1 think before we progress any further, and this is just my
personal opinion Mr. Manage-r, is that we ought to get the principals here and say as
the Manager recommends the premise, not the selection of who, but he's talking about
going back to something which is short-term contracts, it may not be financiable.
26
•
•
MU
'JUL 9 Q in-
The private sector that ate bidding on this thing may say, well, 1 jtts.t have
no interest in it, and then? don't you see that we may have a completely
different ballgame here: Then, the question would be if... and perhaps it_might
be time for me to make this statement. I've done an awful lot of soul searching
and thinking about this in' discussion and the one thing that 1 am sure of is
that I am against 30-year tlong,-term leases.
Mr. Iaconis
Thank you Mr. Mayor,
Mayor Ferre: Yes. And, that's the one thing that I think, that step I'Ve
taken. How many other steps we'll take beyond that I don't know, 1 just can't
go for a 30-year lease.
Mr. Iaconis Then, what you're saying is we should withdraw the request tot
proposal.
Mayor Ferre: No, I'm not saying that. I'm saying that I just oannot,at this
point,accept a 30-year lease and therefore, we go back to short-term leases.
If,the short-term lease function, now follow me because this gets kind of
boggy -down here, If the short-term leases are the only thing that this
Commission would accept,I don't know what the consensus is on this Commission,
and if the private sector says -I can't put up $3 million dollars for a five-
year lease,then we may be back to either the City doing this and then going
out on a management contract, or a public trust with a very short lease that
can be defused in thirty seconds flat whenever three members of this Commission
decide to do that in the future.
Mr. laconis The revocability of the Trust, the approach that we're
suggesting and we will honor that.
Mayor Ferre: So we may be putting the cart before the horse or...
Mr. Iaconis: You see with the Trust,your honor, you can go immediately, it's
an arm of the City, the public spirited citizens would assist the City,if you
don't like it,take it back. It doesn't cost you anything, the leases, the
management contracts are legal entities and that if you don't have a problem in
terrs of cost von're stncti with thit lease. There are problems with that. The
revocability of the Trust minimizes that.
Rev. Gibson: Mr. Mayor, memlvert.: of the Commission, I want to express myself.
I remember when the boating public came down here sometime ago and they were
in an uproar, they were very, very angry. I have told this to several people.
I've made only two commitments since I've been on this Commission. Number one,
remember when the man who built the building on Flagler, that Metropolitan
Dade County now occupies...
Mr. Plummer: Revitz's.
Rev. Gibson: Yes. When he was down here and we weren't doing what he wanted us
to do, I said to him, I said, Mr. Revitz please trust me when you come back,we'll
have it together for you.And he came back, I think we were a little slow and then
he stood up there and he says, Reverend, he said,when I was down here, he said,
no, no, I'm just... example, he says, Reverend, when I was down here you asked
me to trust you, I trusted you, now I expect you to deliver. I said, okay, sir,1
said I'm ready to keep my commitment,and shortly thereafter we did the thing
that he had come for us to do. When you were down here wanting to take this
building apart because you alleged and 1 think it was more than an alleged as
fact remains the presentation this ... now, evening showed that we were collecting
a little more money than we put back into the facility and you were very, very
angry and I beg you to trust me that we were going to improve these facilities
and I thought it did and I think 1t did quieted you down and I said I promise you,
I promise you. I want to make sure everybody understands this=I'm prepared to
keep my commitment and promise. I happen to be the one guy on this Commission
who hasconsistently nudged this administration about getting those docks put
in first class shape. I promise you tonight that I will let nothing deter me
from that, okay. I may not be here tomorrow, I mean Plummer may have a job, but
I promise you tonight I'm prepared to take the necessary steps to keep my commitment
Now,with that in mind I find it rather difficult, I want you to hear thin
Mr. Mayor, I find it rather difficult to have said to you the public, you the
money managers and people who invest your money, who spend your money, over a
period of time I said to you, you go get some proposals bring them back here to
me for me to vote upon. I made that suggestion to you in good faith. I find it
2
J U L 2 81978
difficult to ask an indi ✓id r:l . or a company of people to spenu ti►eir money. 1
wouldn't mind 1f it was city money, your money, because you know, you're
talking, but to have a group of people, the three companies nowt who went
out here in good conscience believing that we were going the route that we
said we were going. In other words, they went out all over this country and
looked around and got experts and technicians and put it on paper and showed it
to us and then in the midst of it we say, look we want to go the Trust route.
Alright, let me explain so thatyou don't get excited. Theodore Gibson
believes that in good coriscierp:e and just keeping your word, you don't change
the rule of the game in the middle of the game, so what I want to see happen is
that you go ahead and proceed a -pronto to repair this facility and having repaired the
facility or rebuild It., whatever you're going to do, then come back here and
.,. if you think a; that time a Publlc Trust is the thing I have no objection.
I have some serious objections and I have an awful, awful time voting for a
Public Trust having asked people to spend their money if I expect your tax money
I would feel. diff=rent.ly 1'd say okay, you know it belongs to all of us, okay.
Now, again you have no problem with me with the Trust later on,b.ut right now I
want to proceed a -pronto t.:n repair these docks, keep my commitment with you so
thativou know, if tomorrow ai;_I I'm not here I would have done it and I want
to be fair to those people who have spent their money. Now, I don't know how
anybody else feels. I've told you how I feel and I'm also ready to express my
feeling in the form of rr
Mayor Ferre: Well, I'll recognize you. Let everybody else express their opinion
and then if you want I'll recognize you for a motion if you want. Alright,
anybody who wants to express - before.
Mr. Plumiler; Mr. Ma or, the only thing 1 would express,here again I'm
not a financial expert and I'm nut a boating expert. I would hope that this
Commission would sQ r fit that so,;w that we have been presented by the Trust with
dollars and cents in a prnpuai ti,at the same procedure be followed with the
Trust as it is with the other three proposals as sending it to the so-called
experts, the Hough Company,for E;valuation and let me go ahead and pursue one
other.
Mayor Ferre: We had nothin
your own.
with that. You chose that Hough outfit on
if my comments gave any indication that I was
n 'I ,., please let me correct it in a hurry.
Mayor Ferre: ' No, I didn't get that out of your comments,J. L., I'm so ry...
Mr. Plummer: It was selected by the Manager, I'm sure, but what I'm saying is
Mr. Mayor that this proposal of the Trust be sent to Hough for evaluation and
coulinuing on because the recou.reudations of the Managertin my estimation,are
like a fifth proposal and I got some serious questions with basic mathematics
whether that will even fly or float. 1 would like both of these proposals,
new proposals if you wiil.,to be sent to Hough for evaluation as was done with
the other three proposals, so I think in all fairness so that this Commission
can have one train of think1nf, or one source of good information that I would
hope that these other proposals w)uld be sent likewise for evaluation.
Mr. Laconia: Thank you, Mr. ?Jammer..
Mayor Ferre: One of the proposals ... you're talking about one proposal,
which is a Trust proposal,
Mr. Plummer: No, sir. In my estimation what the Manager has recommended in
the form of a memo to me in reality is a fifth proposal.
Mayor Ferre: Oh, I ate.
Mr. Plummer: Alright., sir. In other words, the Manager has discounted the
private. He has discounted the Trust and he has made his own, which I like
because it's healthy, you know, we get all of this information, and in my
estimation this is one more proposal. Now as I said before,...
Mayor Ferre: My only problem 'with that, J. L., I'm just thinking out loud..
Plummer: Please do.
28
al 281978
VO � r 'erre: ...is, you know, we get elected elected to listen and make decisious,
gof somebody called"the administration"and most of the time... well, listen
to me now, then what we do is. we throw j.t over to the. administration and you
say, alright administration we're part time , you're full-time you got the
money and the staff and the people, you analyze it and come back with your
recommendation. Alright, now, we did'nt select Hough, the Manager selected
Hough. We didn't select the Advisory Committee, the Manager selected the
Advisory Committee, that's his problem_ Now he comes back with a recommenda-
tion which I assume has been well thought out. Now, either we have faith in
the Manager or we give him a vote of no faith, you know, and get rid of the
Manager's system of government and goto atheocracy or some other kind of a
government or we assume that that's the way it functions and he's come up
with a recommendation and this Commission should vote it's conviction one way
or the other.
Mr. Plummer: You know, you lost me somewhere there from the boats'to tiring the
Manager is a long road.
Mayor Ferre: Well, what I'm saying is that's what you have the Manager for he's
come up with a recommendation.
Mr. Plummer: Yes, but here again, Mr. Mayor, the Manager was
this information which has just been presented tonight,
not privileged to
Mayor Ferre: Wait, wait, what is this, this is a last minute letter,
the first time we've seen this?
Mrs. Gordon: Yes.
Mr. Grassie: I got this?Mr. Mayortabout twenty minute: ago.
Mayor Ferre: Well, let's take three minutes off to read it.
Mr. Grassie: Mr. Hough is here and if you would like, in response to
Commissioner Plummer's question...
Mayor Ferre: What he's saying is that he foresaw what you were going to do...
Mr. Grassie: ... keep in mind that the staff has had this proposal for, I don't
know, a few hours or a day or something like that.
Mayor Ferre: Mr. Grassie, since members of the public are interested in this
and we only have five copies so far ...
Mr. Grassie: What I'm suggesting is that let the company present it.
Mayor Ferre: I will do that. I'm going to do that in a second, but for the
interest of everybody understanding what we're talking about I'm going to
redo the record, the letter addressed to you July 28th, which is today.
"To: Mr. Joseph Grassie , From: William R. Hough, signed by Ray Condon._
William R. Hough & Co. has reviewed materials prepared by the Miami Waterfront
Trust for use in a news conference on July 26, 1978. Unfortunately, a detailed
proposal has not been submitted as of this date. Our comments will be limited
as the content of the material was very general and incomplete. The material
submitted did include an income projection and expense projection and a
comparison between Waterfront Trust and other proposals. While the projections
did not include a statement of assumption, we did note several problem areas
and they are as follows: 1. Projected expense figures for 1977-78 fall short
of our projection by approximate 10% or $30,000 per annum. 2. Income projections
for 1977-78 are prepared by the trust are below our projections by approximately
$35,000. 3. The comparison of proposals assumes that private corporations
cannot take advantage of tax free revenue bonds. This assumption is incorrect.
4. The comparison of proposals indicate a two million dollar bond issue. We
can only assume that the proposal does not call for new peers, as did the other
proposals. The projected size of a bond issue for a new Marina is approximately
$4,250,000. 5. The rates, slip rental submitted by the other proposals was
based on a capital expenditure in excess of $2 million dollars and thus, any
comparison to the Trust proposal would not be equitable. 6. None of the
proposals minimum guarantees to the City reflect a total participation of the
City in the revenue to be realized. There are other areas that would be
considered in a more detailed analysis. There was no information provided on
the proposed management and staff of the Marina. The expense of 'a revenue bond
29
.1111 O o ,non
�fi
t••
• BEEN
is a function of the quality of the management{ It is, ifnpetative that there be
a strong,experiencedmanagement team. I hope the above information is of some
help to you.. We would welcome the opportunity to review a more detailed proposal
submitted by the Miami. Waterfront Trust. Sincerely and Respectfully,
Ray Condon." Alright, Mt. Condon, I think the Manager wanted to ask the Hough
Company to elaborate on this.
Mr. Grassie: Well, only it the spirit of responding to Commissioner Plummer
question. 1, as I say, I had not read this until you just read, so I didn't
know what was in the letter.
Mr. Condon: I ' m Ray Condon If William R . Hough & Company.
Mr. Salida: I'm Jer
Mrs, Gordon: What
Mayor Fet.:
Mr. Salida
Ma y o r 1`e r
Mr. Condon
pal ticular?
Mayor
F'erre:
with William R. Hough.
Jerry Sa1l..1c', 21t1 ll i to R. 'llough',
IseE
Having read the 1.c tte t+ do you want us to respond to anything itf
The Manager is the one
who asked you to come forward, so.
Mr. Grassie: ldei 1 , l rrrr�i a ,t ..ar t.f t.:ip at.ed that you would read the letter,and
cc nsegoent 1 I tti::+r1,►:t. `hapitrd ience would understand the main comments here
that, possibly they would dc, that verbally and now you have read it, if you would
1 ike them to expand on it iu anyway they can?
Mayor Ferro: 1 think the .letter is very clear as to your position and basically
what you say is that: you have ai.x areas where you disagree but that you don't
have enough information to i eo1l,r come to a conclusion, but that which is what
Plummer was saying before, but 1 think that really skirts the basic issue and
that is one of the philosophy of government, do we want to go to a Trust
approach or do we want tr.) k,i: Oat and let the private sector develop these
marinas and it's just: that. sirnplc.
Mrt:. Gordon: Well, do you want us to speak to our personal philosophies
cord on
Hr. Mayor? I mean,if you're talking about personal philosophy,
'm inthe trust c_uucept because in r,y, opinion you have control. 'You nave no control
once you give the property wider a lease or management contract, particularly ,
where you anticipate or hope to develop an extensive network of facilities and
that is the reason why 1 thought thatehere is merit in pursuing the Trust concept
to its fullest. 1 don't think we have a full analysis tonight, but I think we
,;ihould be able to have a full analysis before we make a decision of any kind
and this would be my proposal , that we go ahead and ask for a full analysis
bused upon all things being equal, rates, income, expenses, etc., then what is
ti,e_bottoml.ine as far a5 net profits goes to the City.
Mr. Condon: As we've: said, that the only
thing
ethat
r tawe rreviewed
dewere
reptheo look
proposals as we saw them. We wound up our
at this one. If it were you knew to give us all of the information that we
need that we thought we got from the other proposers, and evaluate it on the
badis of something complete and uri tt.en. One of our real problems treally ,was
that we didn't knoll' anythiri about the management background that could be
anticipated and that'll terribly important in a revenue producingCity project
bodythis. Now so far as, giving up control of the projectby
the body in a management contrac;t,that doesn't have to be very worrisome because the
bond resolution would have to be written to issue these bonds and it wouldnd
be written in much a way that you'd have your prerogatives because the
holder would want to know that you're still in control.
Mrs. Gordon: Mr. Condon, may 1 ask a question of you, would anybody manage
without profit that you know of?
Mr. Condon; There are several non-profit corporations,,
Mrs. Gordon: Those that yvu analyzed are they non-prgfit corporations?
30
Mt, Condor t Yegy Wei .... ► 1 want you to understattd k..
Mrs.. Gordon: That you analyzed for the. City?
Mr, Condon: Yes, we would go through an analysis on that We'd want to be Bute
of the law on this. You have to bear in mind that we were brought in at a
very late on this and didn't have the benefit of a lot of background and
perhaps seriously, we didn't have the benefit of consultation with engineers
and attorneys and we'd want to be reassured on all of this and actually when
you select the people you want to work with,as I see it,it's just the beginning
of the deal. There's a negotiation that has to take place and it goes through
the issuance of a bond issue. There's a bond resolution that has to take place.
There has to be an engineering report because you can't sell bonds for market with-
out a qualified engineer acceptable to the bond market giving a feasibility
report, so there's much to be done really when you select the operators that
you want to work with,that's really the beginning of putting something together.
Mr. Plummer: That's if the City sells the bonds.
Mr. Condon: Yes.
Mr. Plummer: If the private developer sold his own bonds then that would not be
a criteria and no necessary mandate for us to do,
Mr. Condon: No, but then,Commissioner Plummer,what you'd want to do is be sure
that he had the wherewithal to borrow the amount of money needed to complete the
project against which the revenues from which he was going to pay you here.
Mr. Plummer: always the bottomline, sir.
Mrs. Gordon:, Alright, one more question to you Mr. Condon, because you seem to
think the management factor is a very important factor, quality of managtnent.
But the fact that you would be dealing with an entity which would be created by
the City for a specific purpose, don't you believe it's possible that the City
could develop a good management team of volunteer , participants, citizens,
public spirited, don't you think they might be just as qualified ...
Mr. Condon: You mean as...
Mrs. Gordon: ... as any other management group?
Mr. Condon: What do you mean, I'm not sure I understand the question?
Mrs. Gordon: The membership of the Trust being selected from very qualified
people able to do a particular job involved would then give a stronger management
Trust as there would be another entity that would be hired for that purpose.
Mr. Condon: Well, you mean as a consulting firm perhaps that...?
Mrs. Gordon: No, you analyzedtwo or three propositons and I'm saying that if the
City put together a package made up of people who would be selected...
Mr. Condon: I see.
Mrs. Gordon:...with particular skills to be apart of this Public Trust, this
entity that you know, therefore, the management factor could be equal on either
•i.de in my opinion.
Mr. Condon; It seems that this City should be capable of putting together a
management team with the skills necessary to do that, Does that answer your
question?
Mayor Ferre: The question of leases, private property in government,is one that
we have many examples of in Miami, the City of Miami itself for example, has a
long term lease for the Rusty Pelican. Now, the Rusty Pelican is something that
corporation came up, put up its money, built and I can't get into the darn place
myself, I have to wait all the time in line to get in by the number of people
that are always waiting
Mr. Plummer: But you don't tip.
Mayor Ferre; I don't know whether a committee couldtve done that or whether you
31
JUL 9R107
Ye
know, the fact is that Specialty Restaurant has, a track record to do that
kind of restaurants, and they do it well and the City of Miami is making a
lot of money, the public is heing served, the private sector is also doing
well, but I donut personally have any objections to that as long.as the
public Is served and that's, exactly the kind of a situation, for example,
we got into with_WatsonIsland, Watson Island is a proposed long-term lease,
Miamarina is another one and we have all kinds of these long-term leases to
do things. We have Wometco out here that has its Seaquarium. Now whether or
not they're paying taxes or not that's another lawsuit, another problem but
that's got nothing to do with the fact that there many public properties that
are involved also with the public purpose. You know, Proposition 13 as
Dan Paul, yes, that's the point, Proposition 13, as Dan Paul said on channel 10
last Sunday,is a lot more than just a tax revolt, it's a lot more than a tax
revolt because basically what's happening in places like New York City is that
people are beginning t(.1 say all we want are basic services, police, fire, and
garbage pick-up,and all tlres.c othei things that you guys are getting involved
in,such as social services, And all these things of putting up facilities and
sports facilities and ail thess things you let somebody else do that, you know,
so there's something that t: >'+:e got to think about very carefully is the kind of
message that we think Preposition 13 is all about Now, we've had three opinions
so far, and I think we , ct ; : t, to ,*et , two more opinions and then see what the will
of the rajc'city is anC. tcf a vote and move along.
Mr. Plummer: May 1
to review the reconLnc
Mr. Condon:
Mr. P1
Mr. Condon, did you have the opportunity
Manager?
re t to t commient on
Mr. Condon I think :ne fol I�we 1
considered in our re °meiendati�,n
of it.
.'INAUDIBLE COMMENTS i'L CFI: 'J hh
tt:c r.x. l erre: Yes, but you see
tir. Plummer: That's'
ly the question
'r
Mr. Plummer:
his recommendations?
ecommendation,'however, we had not
trust I can't respond to that part
PUBLIC RECORD)
Ike, we maybe wasting an awful lot of time .
t"1 was hoeing you would comment on, you know. Mr. Condon,
nager is proposing to initially put out on four
Okay, it's four plus, plus a short-term, whatever short-term is.
Mr. Crassie : Could I
Commission?
make a
Mr. Plummer: Please do.
ying comment, Mr. Mayor and members of the
Mr. Grassic: When we received proposals from the private sector we got two
kinds of proposals, one that the private sector raise, the money and the other
that the City raise the money but that we have long-term private management.
The essence of what is in my vecorimendation to you is that the City adopt the
alternative of the public raising of money through a revenue bond issue. Now,
that is the technique that would be used by the Trust,necessarily, that's the
only wee they would rc;i:e money. It is the technique that would be used by
the City if it were doing it itself, and it is the technique that was proposed
by one of the private propotcrs. So in terms of the source of the money, we're
talking about a revenue 13ue, What I'm talking about in terms of management
is that with a City revenue ittsuc:,where you do not expect a private sector to
invest their own money, it: is reasonable then to give them a shorter term to
manage the facility because cAhc•.' do not have the obligation to recoup their
private investment. What. I'zi baying is that if we're talking about a revenue
issue,which is by tar the cheapest money in terms of building the facility and is
the way that it will he financed in three of the alternatives, if we're talking
about a revenue issue of the City then you have the option of offering the private
sector a shorter term,and that was the extent of my recommendation.
Ht. Condon; Mr. Plummer, I :wean.. what I said, I didn't take into consideration
Ir. Grasaie idea about ar four year lease, however, I do have a point -of --view
t-.:t the length of a lease.
3,
Mta Plummer: Please express..,.
Mt. Condon: I think 30 and 40 Years is too 1enge We didn't really address
ourselves to the proper term of a lease but I've had that in my Mind in regard:
Mr. Plummer: What would you say is a minimum year lease? I think the average,
Mr. Grassie, would I be correct that the investment was in the five to six
million dollar category, is that a ball. park?
Mr. Grassie: The City's investment would be in that category, yes.
Mr. Plummer: Let's say a six million dollars project, what would you say would
be a minimum amount of years of a lease for amortization?
Mr. Condon: Well, there's really nothing for the management to recapture in the
way of money. They haven't put out anything in the way of money, they've put out
their time and talent to come up to this point which is worth money but so far
as dollars expenditures) would imagine that would be kind of minima] so that
there's little he has to have to recapture that would require the justification
for a very long-term lease,and you asked me a question of, what did I think of
the term of the lease under those circumstances?, I haven't thought about it
seriously enoueh,I could probably come Up with an answer but my associate might
even have a different number of years as an answer but I think that the long,
long lease is too long and I think that when I said that this is geared at the
point now when you select somebody you really begin studying the deal that that's
going to be part of the negotiation and it's one of the things that I have in
mind always that should be looked into,the length of the lease.
Mayor Ferre: I want to make sure that we all understand exactly what the Manager
is recommending that we do and I think just for the purposes of focusing on it
let's just rattle them off. Number one,that the City immediately proceed to
negotiate short-term management contract with Biscayne Recreation for the operation
of Miamarina. Two, that the City begin negotiations with Dinner Key Marina on a
construction management contract for Dinner Key not to exceed four years and then
additional short-term operating management contract for the entire facility.
Three, that the City proceed to raise the capital required to improve Dinner Key
and Miamarina through the issuance of Revenue Bonds guaranteed by the improvement
facilities.Four,that the City work with the successful management firm of Dinner
Key in the preparation of necessary plans to obtain permits for the expansion of
Dinner Key in accordance with the accepted Marina design standards. Five, that the
City begin negotiations with Coconut Grove Sailing Club for its expansion and
relocation. Six, that the City work with the successful management firm of
Dinner Key and with the Coconut Grove Sailing Club to expand both mooring facilities
in the Dinner Key area immediately. Seven, that the City Manager be authorized to
appoint an advisory committee to assist the City in the development of a Marina
Master Plan for the City. Now, where we're at is we're trying to get a consensus
as to whether or not to proceed on the Trust basis. If we go to the Trust;then
that's a new ball game, if we don't go to the Trust then I would recommend that
we start with one and go right down to seven and vote on these things and either
defeat them or move along so let's bring it to a head. What't?...Plummer, there's
three of us that have expressed opinions, you and Reboso have not at this point,
if you want, otherwise I'll do it any way that you want. I'm limiting this to
the members of the Commission at this point.
(BACKGROUND COMMENT MADE OFF THE PUBLIC RECORD).
Mayor Ferre: Sir, I have the right,as the Chairman of this Board,to do what I
think is the appropriate way, now the Commission can overrule me, but you cannot
and at this point I am giving the extension of the courtesy to Mr. Plummer and
Mr. Reboso and you are out -of -order, now sit down. You're out -of -order, sir.
Mr. Plummer: Mr. Mayor, I will reserve comment until I have had the total
input, I think what you're really asking at this time is for the Commission to
express itself vis-a-vis gust or no --Trust and I want to go more into depth with
the Trust than I want to go more in-depth to the Manager's recommendation so I
would reserve my comment until such time as I',ve had to do that.
Mayor Ferre: Mr. Reboso?
Mr. Reboso: Mr. Mayor, in my opinion, this proposal came to the Marina Tenants'
Association was to keep the low rates of the City's Marina, so at this time i am
33
Mil 99 107t)
inclined to follow the ref.erranendations of the administration in favor of
private contract management in contrast looking for the proposals involved
in thecreation of the Marina Trust.
Mayor Ferre: Alright, now, this Is a public hearing and 1 will hear from
anybody who wants to speak in a moment. We're going to get to that. At this
point and 1 think what rm've heard basically is four opinions and one
reservation with regards to the Trust. Now, how does the Commission... -and
I'll ask for your guidance -- how do you want to move now?
Mrs. Gordon, Public her
Roy, Gibson: let
of minutes and thin 1
Mayor Ferre:.
okay.
Mayor Ferre: Let's not get i.nt
is that acceptable to everybo l
stion of the Trust for now,
of the Manager's recommendation
this let's take a five minutes break and...
Mayor Ferre: Well, Wait, writ, 1'et's set the guidelines of what we're going to
do, because we've bunts at tli .s ,now for an hour and a half. Now, how many people
would like, to speak on tb s 'Issue- along, the trust issue, raise your hands, please,
those of you that wish to speak, 1,...2,3,4,5,6,7,8,9,10,11,12,13, 13, alright,
now does anybody need to speak more than three minutes of those 13?...Ma'am, I'm
just asking a question, cb-.1 anybody wish to speak more than three minutes?
You do?, well, how many.miuutes would you like to :peak? ... five minutes, six.
Anybody else? Alright, this lady has six minutes and everybody else will have
.hree minutes and .if y=; .' l ;ame ;over b,2re and give the Clerk your name and
there's 13 of you as I saw it, and we'll take a five minute break while you do
that and then we'll start hearing public comments.
(THE COMMISSION TOOK A FIVE i;it I T1.S RECESS).
Mayor Ferre: If you'll tdk;. y.'u7 ..eats we'll proceed, it's now 7:00 o'clock P.M.
Would you please take your seats? Alright, lir. Clerk, would you tell us who the
first speaker is? No, you don't need to bring me the list, you read it, just
read it off, who is the first speaker?
Mr. Ongie : Jack Lowell.
Mr. Lowell: Members of the Coruuission. My name is Jack Lowell, I'm President
of the Coconut Grove Chamber of Commerce. I reside at 3600 Stewart Avenue in
Coconut Grove. I sent each of, you a letter on behalf of the Chamber of Commerce
setting forth the Chambers position as opposed to the Waterfront Trust, a public
trust procedure for Dinner Key.,
Mr. Plummer: Opposed.
Mr. Lowell: Opposed.
Mrs. Gordon: Why?
Mr. Lowell: Our feeling is that the Commission has approved a Master Plan in 1472
and nothing has happened and that if you try and pursue the public trust route
nothing is going to happen either and I think it's time to get something done.
We're a little concerned that the financial projections which have been required
of the other applicants have tsvt been done by the Trust and when questioned on
these things they've been rather vague, and my own personal experience has been
that these items are the weakest part on any public or semi—public authority.
think in t.he iinau.iai aeL t.uc it'c u very weak stay to go. I would also like
to 107 that as far as the specific proposals before your we're in favor of the
exi,a,r144oh of the Marina facilities and would like to see if any other expansion
14 done; gee tt liMited to one additional restaurant and 1f there are any shops
included they would he Marine -related facilities and that cons.ideration be given
3 j
.ill= 00 in70
f
to the Marine Suppliers from Coconut Grove doing business. now, Again; I
reiterate the Board of the Chamber of Commerce has, voted not only not to
aupport the public trust but to recommend that if a Trust is formed in
the. future that the Dinner Key facilitiea not be included in the public trusts
Thank you.
Mayor Ferre: Alright, sir, next speaker.
Mrs. Gordon: Mr. Lowell; may I ask you a question? , Mr, Lowell, may I ask you
a question? (repeat), Will you tell me when it was that the Chamber examined
the Trust agreement concept and how long ago that was?
Mr. Lowell; Mr. Dixon, spoke to a general meeting of the Chamber about two or
three months ago and he also appeared at a Board meeting about two or three
week$ ago to speak to us again and at that point, the Chamber reconsidered the
issue of the Trust and did not change its vote at all.
Mayor Ferre: Any other questions? Alright, the next speaker: Mr. Clerk?
Mr, Ongie. Fred Roth,
Mayor Ferre: Mr. Roth? Now, Mr. Roth, it's your turn to talk?
Mr. Roth: Mr. Mayor, let me first apologize to you.
Mayor Ferre: It's_ alright, you don't have to do that.
Mr. Roth: We've been here before as you well know, but please accept my
apologies., I just felt that the public ... I misunderstood you, I thought you
were ready for a vote and I thought this was a public hearing. This, of course,
Mr. Mayor, the whole idea of a public trust, although, it wasn't called that
originated with you two years ago when we were here, remember? Father Gibson,
if you'll recall, you and I had quite a conservation about electrical bills here
about a year ago, right?
Rev. Gibson: Yes, sir.
Mr. Roth: I was really amazed at your statement, if I quote you correctly,
that you're concerned about the money that the potential lessees'have spent in
putting together their proposals . Father Gibson, this is a free enterprise
system they paid their money and they're going to take their chances, I'm
really not worried about them. Do you know what I'm worried about Father Gibson,
you're giving away $800,000 a year for three years,$2.4 million dollars of my
money, You are willing to give away my property, not your property, my property.
What would your church members say if you proposed this to them?- They would not
b.e at all concerned about the lessees'that are sitting here, and neither am I
let's keep that $2.4 million dollars in the City of Miami. And, I would like to
make another point on lessees.
Mr. Plummer: Mr. Roth, could you do it a little softer?
Mr. Roth; Mr. Plummer, thank you, I get carried away as you know.
Mr. Plummer: Yes, but my head after 1:00 A.M. this morning being here
can't take it again.
Mr. Roth: Sir, I had a 10- hour day too.
Mr. Plummer: We had a 17-hour day yesterday.
Mr. Roth: My apologies.
Mr. Plummer: I didn't ask for apologles,just a little softer.
Mr. Roth: While we're on the subject of lessees'; the City of Miami has had
4 lot of giucceaa with lessees' in other endeavors but might I bring to your
attention, sir and madwn,that within 1,000 yards of here you have a lessee, who
is not able to pay the rent on the Marina facility you leased to him, Lady and
gentlemen, I'm in the property management business, I manage buildings that have
g3 leases in them and if they don't pay their rent on the lot day of the month
we get them out, we don't go back and renegotiate the rent two years later, which
is what I heard here a month or so ago at the City Commission meeting somebody in
35
JUL 2R197R
•
•
•
ME
the Administration said, " Oh: we're going to change it around because it was
front loaded, it was heavy on the front, now we're going to change it around
and put it to the rear". What's, the leas,ee doing putting that money in his
Swiss Bank? Matta:my money, Father Gibson. That's my property Father Gibson,
it is not yours to give away and this is what you are proposing.. Now, 1 have
one final comment, I see my three minutes is gone, Mr. Mayor. I have served on
a Waterfront Committee, I have served on a Tenants Committee, as you all
well know, and I must make one statement as a private citizen. I too, have
been trying to get information and I must make this statement, that the public
does not share the confidence that this Commission shares in your City Manager.
Thank you.
Mayor Ferre: Alzieb next. speaker, Mr. Clerk.
EE Mr. Ongir: Tim Filingmm
ME
Rey. Gibson: Mr. Mayor,
Em too, so this is a ��rt
Mayor; kern::
he or she can
Mr, ongie Jim Wellington
Mayor Ferre: Jim Wellington, o c
Mr. Ellington: I'rr. 'I'ta:, E11ix,&ton. I'm just a taxpayer, you know I don't
represent any group: l don't really have any influence behind me. I'm a boat
owner and this is my nLighhenhoods In listening to this session tonight I. don't
really think that a dt:...sir:. can he made yet. The gentleman from William R.
Hough and I happen to Le i.rrvt:lved in the same type of business and hold that
company in high rcgatd, ;yet :it' stated than they came in a little bit late and
that they didn't have the bevel it of roast lting engineers and so forth. I agree
with Cunm;isionr-; Fti t, t:,otcion that perhaps based on the presenta-
tion made tor,il;itt it e ez _t r 0,o e-ssi..nal but this should he looked into a little
bit more rc'g�+..?ai t a:t�r : t..Also ;- :-A l iicpe i'ui not out of line just based on
what 'I've read in the :. w ,l r�i:,si uit' of these proposals sound pretty ridiculous
to me. I don't, you know, to put a Latin Food Restaurant with a Coconut Grove
Sailing is, I mean, you're trying to build up S.W. 8th Street to Latin quarters,
if yc,r.r're intere;,tec{ i.r1 T at is Restaurants go help those people and I don't see
building bridgesacress, yeu know, the. Bay is going to ruin aesthetically. I
just think that we should improve, that we should improve the Bay area, the
Coconut Grove area, so that there's not a tremendous waiting list,so the people
don't have to pay boat owners don't have to pay exorbitant rates and I also
agree with Rose Gordon tht:t 1 thin we could put together a team, you know ,to
manage_ it, it's a boating community and it's, you know ,let's keep it that way.
nn..
Alright., r
be asp*a r1
lot
my
Mr. Ongie; Jim Wellington.
me share this wl th the speaker, I'm 'a property owner
lwraperty too:
Item. Who's the speaker 'following
hat so that
Mr. Wellington: James Wellington, Audaban Society. We support the concept of
the Riverfront Trust in principle and also speaking as a private person I do,
and 1 -would not like to see that land given away where it would be inaccessible
and very difficult for those that do not have boats to either view or use or just to
obaer•ve, thank you.
}ir. tingle: The neat speaker is Marilyn Reed.
Mayor Ferre: Mrs. Reed has six minutes rather than three, okay.
Mra. Reed: My name is Mai.il,l bLod,I reside in Coconut Grove. I'm representing
Friends of the Everglades, Save BiMcayne Bay, Inc., and a group of homeowners,
who reside in Central Grove. I cannot emphasize enough in the strongest language
pos.aih.le our opposition to the public facilities proposed to be turned over to
private development under any c-ondirions, whether by lease, by management or
otherwise. The City --owned marine facilities belong to the public, not to the
Cgiwiz.sion. The people hold a huge investment in these public properties and
the City has no h:tsinesb tura1og these public facilities over to private interest
for their private profit atthe expense of the public and the taxpayii.g citizens
of this community. fioteovie , the City does not own the Bay. It is a atate park
an aquatic perserve protected by law. It belongs to all the people, not just the
City to do with as it pleaseai the boundary line of the water column is the main
high water line under the act that protects the Bay, The proposed plans which
38
you then presented by private developers are nothing more than profit making
schemes fox the developer and they're rushing their greed to be considered as
a successful applicant.,Tbey failed to consult with environmental groups., they
failed to thoroughly investigate the possibility of getting permits from State
I
and Federal agencies, they spent their money, they took their chances without
thorough investigation. We have no sympathy for them in their outlaying of
' expenditures. It is the capitalistic formula of risk -taking. For many years
m scheme after scheme has cropped -up to grab the public lands and facilities.
We have been through racing domes, the"Big Moe",wild west tour shows, many
interama's shopping malls, pizza parlors, theme parks and now this.
i Environmentally, none of these projects are acceptable, nor will they stand up
in the light of Federal and State laws for permitting. Mr. Meredith
according t the press, in Miami Herald,has been ranked the b.est on the basis
of quote, and this was in the Herald,"environmental,aesthetic economic and
other considerations by what standards,Mr. Grassie,did you measure the environmental
concerns, by what rules, by what laws, and by what meeting with any of the
leading environmental groups? Mr. Meredith has just been cited by the Department
of Environmental Regulation Management of Dade County for polluting the Bay.
Indeed, these same violations also put him in violation of the State and Federal
Water Quality and pollution laws, as well as., Florida Statute 258.165 which
prohibits affluentsfrom being dumped into the Bay.. This is hardly the proper
type management group for any Bayfront properties owned by the public. It is
ironic that Mr. Meredith is contributing to the destruction of the Bay, also
sits on the Bay Rules Writing Committee,with me, underthe Chapter 258.165 the
legislative intent of which is quote,from the act,"that Biscayne Bay be perserved
in an essentially naturalcondition so that it's biological and aesthetic values
may endure for the enjoyi.,ant of future generations. It is also interesting that
we in Dade County, in conjunction with the Department of Environmental Regulation
in Tallahassee and Dade County agencies, are embarking on a long-range program
of Biscayne Bay restoration with the first workshop schedule for August 26th
at the Museum of Science. We have obtained the seed money from the State
Legislature in the 1978 session and we'll have matching grants for Bay restoration
from the Federal Government. Why is it the City of Miami always sits like an
island onto itself and never coordinates either with the laws for the Bay or their
rules or with any of the environmental groups or agencies who work so hard to
improve the Bay for everybody's benefit. I would like to remind you that in
considering the increasing of slip space ,that you must also consider where these
boats are going to be safely harbored during time of storm and hurricane. As
boat registration has increased in this county, the available spaces for boat
storage in time a storm has decreased, to just say that you're going to build
many more Marinas without considering numerically available storage is to court
disaster. Dr. Neil Frank, at the University of Miami ,is daily about
this problem. The time has come to take a different course and that course
must be to support the concept of a public trust to manage the public's Bayfront
properties. The environmental groups I am representing here, Friends of the
Everglades, Save Biscayne Bay. totalling 3500 members support this concept. It
is the only viable alternative from the standpoint of economics, the environment
and most important,the public interest in welfare. We are unalterably opposed
to private developers taking over the public property and urge that you consider
the ramifications of long-term opposition,which will come during the permitting
process from the environmental groupsand concerned citizens towardprivate development
applications that as to dredge and thereby destroy bay bottom or to fill in this
bay with islands, causeways, and other such schemes which are prohibited by law.
The other day the came over and informed Mr. Merrill of this and I think
you should talk to Mr. Merrill about these proposals. The public trust has my
personal support as a City of Miami resident and taxpayer, it has, the support of
the groups I represent here today for their management concept., We are willing tp
continue to work with them as weLve done in the past few weeks, to help them
achieve their goals which are indeed in the public interest and not for private
gain at the expense of the public environment and the Bay. Thank you.
Mr. Ongie: The next speaker is Bob Danforth.
Mr, Danforth: Well, I feel it's an impossible act to follow, What could I say
except that Mr.. Mayor? you have stated on several occasions? as a matter of fact
several timea tonight,that you do not wish to give up the responsibility t.,
1f I can find your exact wording here. --you cannot give the responsib.igty to
others? the elected officials of the ..,., that thlts Charter cannot pass the buck.
I believe. you even said that? when I brought up a Similar kind of thing that it
doesn't matter who runs, that who you turn over the management to if you are
turning over the management you are turning over the responsibility, the trust
01
that I have seen is the only thing that you maintain the responsibility.''
Mr. Ongie; The next speaker is Joe Taylor.
Mr. Taylor: Commissioners, I'm Joe Taylor, I'"m the President of, the Organized
Fishermen of Florida of the Biscayne Chapter. Of all the plans that I've
heard here and unfortunately none of them are complete that you can make a
total appraisal on but out of all the proposals that was heard here the management
plan most assuredly appears to use to be the most constructive development plan for
the Dinner Key Marina, the other plans don't incorporate the features, they speak
and address themselves to profit,the speak and address themselves to the specific
areas of Dinner Key/Miamaliii:I. ihc Trust Dtvei.opment addresses itself to the
total City needs and this ir a real vital issue here, it's not simply Dinner Key
and Miamarina, but the whale issue and because we have dropped so far behind,one
thing as, a commercial fisherman that I'm extremely afraid of is that we have
created a price structure and dockage,literally created,b.y our inactivity in
developing Marine facilities,, boating facilities. Now, as a
boat owner who is engaged in e public servl ee,we are basically at Dinner Key
Providing bait for the spe t`fishing industr.y.We haven't had a rate increase in
8-years, we are producing bait at 8-years ago -prices. Now, one of these called
projections ,the one recom;.Yenued 1,y the City Manager, Mr. Grassie, and in his
mind, I'rn certain It was the bast would incorporate a price tag of some $240.00
per month at a prcjectiau of $.20 per day,per foot, per a 40ft. slip. This has
gotto go into our cost. We can't afford it, that is a tremendous bite. Now, the
development plan offers a rate structure which will be much less than that. From
what I've seen tonight it ia the most viable plan of all. There is no f:uestion
about they fact that it lacks details but of allthe plans I've seen it's got more
detail and it's gotmere viability thaa anything we've got so I recommend it to
you and as a commercial i :isherruan and supporting this group we are in agreement
with the development plan as o►^posed to the others. Thank you.
Mayor F'erre : Next speaker.
Mr. Ongie: The next speaker is Jack Stanates.
.S a ties: ladies .0 :. i? F;o2't lif it, t.h.' motives of the things I wanted to say have
already been said, butI would like to remind you all that when you're talking
about seiNing the public with the land use of the Marina out here you got to
remember what public you're serving because you made an example, Mr. Mayor, of
the Rusty Pelican and the Rusty Pelican has been, you know, taken over by a
private: organization and is serving a part of the public but it's the part of the
public that can spend $20.00 to go out to eat and it's not serving the part of the
public that used to swim there...
Mayor Ferre: I stand corrected, how about Captain Dick's?
Mr. Stanates: What about it? ... What I'd like to say is from what I understood
what the plans are some people would like to turn this area into a "high class
Marina free of undesirables"and that's a lot of the people, you know, who'd like to
use and I think those are the people who would stand to lose a lot from having this
turned into something like that? you know, so you know, I'm kind of nervous I've
never addressed the Commission before, I'd just like to say that, you know, that
'ou'ye got to remember that if they turn it into a big high class organization
there's going to be a lot of people who really enjoy the waterfront and like it
like it is and they're going to tend to rose it you know, I think that's what
going, to happen. Thank you all very much.
Mr. Ongie: The next speaker is Sherry Cowell.
Ma. Cowell: Mr. Mayor and Cominissiou. This is the first time I also am addressing
the Commission and I'm very nervous. 1 am not a boat owner, but I like the water
and I think the waterfront iinti all it's aurrounding areas belongs to the people.
This country has seen What private corporations do, they take money, they have
their tax loopholes, etc., I think if we the people are aaying that we care enough
to volunteer and he a part of and work for the City and the waterfront than you
should heed the people who vote for you and go for the Trust, it's for the people
and the City of Miami.
Ungie; The next speaker ill R. Skinner.
ri:_.. Skinner; H}' name it Renarda Skinner, and 1 repreaent the fangrove Chapter of
the Isaac Walton I..eaue of A.meri.ca. We are also 1n aupport of the concept of the
:,uhIir treat.
•
mmmw
mmmw
JUL 281978
Mt. Ongie: The next speaker is Joanne Holtzhouser.
Ms. Holtzhouser; I'm Joanne. Holtzhouser, I liye At 4230 Ingtcab*tn Hw r. Coconut
Grove. I'm President of the Coconut Grove Ciyic Club.t I wish I could say this.
is the first time I'Ve addressed the Commission, I really can'•t Ray that we
support any of the plans.., The Civic Club Board has not taken a position for or
against any of them ,so what I'•tn going to say is my view as President of the
Civic Club. having been on the Board for 12-years now. The Russell -Melton plan
was an outgrowthtin a manner of speaking,of what we started as some of you may
MI know about 11-years ago and looking at Coconut Grove and the people who live in
it with the help of professionals,Building on that in part and in -put from its
own departments, the City of Miami came up with various plans., The Russell
mm
Melton Plan we thought was a good plan; at the time there were some environmental
concerns. I shared those concerns. The night that it was adopted in principle
MM in these Chambers there were probably 300 or 400 of us who went home thinking that
MI
■ we were now going to see the waterfront area of Coconut Grove substantially
developed for the citizens of Coconut Grove, the City of Miami, Dade County and
tourists,meaning that all income levels and all people would have some access
of some areas of it. This has not come to pass, it's a matter of great concern to
the Civic Club Board and our members that it hasn't been able to come to this
point. One of my problems with the Public Trust is I'd like to have some way of
feeling this wasn't going to be another 5,6,7 years down the pike and we're still
not going to have any development. It may be that they can substantially satisfy
people that this won't happenthat they will move. I've looked at the plans out I want
three developers. We had one developer come to us, ask for a hearing which we gave
him and he discussed it in detail. The point of the Civic Club's involvement right
now is not to advocate that you take the Trust or any of the three plans but I want
to get on the record that there are several things that we substantially will fight
for consistently, that is just what 1 have said ,the access by all categories of the
public to the waterfront area. We will also be specific that we did not,as
Mayor Ferre and the others remember ,approved the Rusty Trust, we fought it every way
we could, we did not fight it legally, because quite frankly we were involved in a
very expensive lawsuit about Fair Isle and we could not pursue it, we would have had
the money. We do not wish to see another Rusty 'Trust, just in the spring of...
i
•
Mayor Ferre: Another what ?
Ms. Holtzhouser: Rusty Trust.
Mrs. Gordon: What's that?
Ms. Holtzhouser: Your hanger over here which Tripp Russell referred
Rusty trust, I've always like that.
Mrs. Gordon: 0hl
Mr. Plummer: The Rose Gordon Exhibition Hall.
Mrs. Gordon: 0h, no you don't put that on me, no way!
Ms. Holtzhouser: Actually, I think we were calling it the "Maurice Ferre
Sailboat", I was trying not to say that.
ilayor Ferre: I think you'll be happy when you see the end result.
Ms. Holtzhouser: Al, come on. I had pleasure of chairing a dinner in February,
which we were able to hold at the Coconut Grove Sailing Club . There were 260
4ailors there from all over the country for a lighting fleet. One of the men who
was there is an international sailor, he owns a very famous nautical enterprise in
another Steta and he was charmed, as were the people there, at the beauty of the
Qcene, the moonlight, the Bay, everything, but the next day as we drove up to
Dinner Key, he turned to that and he said, but what is that? We don't want
another international viaitor here saying' what is that"to something else that
goes,up on the Bayfront, no matter how well landscaped it is,that's what it is,
it's that. Me,alsA, as we drove over the Causeway to Rey Biscayne said, and
"What is that7"And"that"happened to be Fair Isle which looked even worst from a
boat. This is what the Coconut Grove Civic Club_istalking about. We want
enough involvement by the people in an ongoing way to say, we have a right to the
waterfront, we have a right to the land attendantto the waterfront. We want
apecifically,at this point to say that the City, as I understand it, has plans
for the Coconut Grove Sailing Club to move. In my personal opinion, the Coconut
Grove Sailing Club is in an optimum place, both for the Sailing Club and to the
City of Matra, meaning all of u!?, from the City, it's a beautiful spot, it's
one that does us good as. far dst publicity goes., If that is moved, if the
Civic Club_ agrees, to move it and the City agrees to Tnove its 1.'ut hete to tell
you that putting a Spanish Restaurant, an American Restaurant, a Greek
Restaurant, l don't care what restaurant on that spot,tae will fight. That isa
park spot'nnd it deserver, to be a park. If you want to move the Sailing Club
we want something there et substantially the same nature, and that goes for all
the strip If you let it out to private interest let us have some say-so in
keeping it good for all of us, which doesn't mean one can't be high price and
another )ow cost, but giye us a chance,that's what we're asking for,is really
none of the above. Thank you.
Mr. Ongie: The next sneaker Is Paul Schabacker.,
Mr, Schabackt:r: Mr. f'ayc;r, l'm Paul Schabacker. I have a little bit of experience
v.ith a public trus.t, namely, the Public Health Trust, that's what I would like to
share with you just at: this ,;towent,. I don't know anything about Marina management.
Until abr..ut three months ago, I was Associate Executive Director of the Health
Systems Agency and I have trees a senior level staff person of that agency for
almost 9-yearts and it's pre;de:u;>Eior agency, the Health Planning Council. As such, I
was very participant in the yfirit;u& actions that occurred in the development of
the Public Health Trust that now manages Jackson Memorial Hospital. I was
participant in the development of the concept, participant with the people that
developed the concept at: staff level discussions, Interim Governing Board, I was
participant in passing of the enabling legislation in Tallahassee that allowed the
Public Health Trust to come into existence, I was participant in watching the
development of the Govt'raing board and Interim Governing Board for the Public
Health Trust,and I have, been quite participant and observant in watching the
progress and successes and of the difficulties that the Public Health Trust
has encountered. At. the tire,of the development of the Public Health Trust and
part of the reason for its devtrlopneat was the considerable difficulty Jackson
Memorial Hospital was experiencing, considerable financial difficulty, difficulties
in relationship with the i live. city of Miami Medical Schooland of most importance
and most crucial at the moment,was the threat of loss of accreditation by the Joint
Co,mission i,ccredttat n ; f Hoaal t a s , (.JCAH) ,which would have been a diaster for
this community, The Public Health, Trust was an effort to come into what was going
ON around the country in turning over the management of a community facility such
as -a hospital to a corm, ty be aid that could have closer management participation
than the far away City t oun;:1 J or county Commission ,or whichever. I was being done
in Chicago, Cook County HH;;spf t:fi, i.n Detroit, in many other cities around the
country and a Public Health Trust was then setup in this county. There have been
considerable successes. in faeti to a large extent, Public Health Trust has turned
around some of those difficulties at Jackson Hospital, their financial difficulties
are considerably improved, their ability to getpayments,they have established their
re -accreditation and they have finally settled a long-term relationship agreement
with the University of Miami Medical School. There could have been a sale for
giving away Jackson Hospital to i.rivate management, you can be sure there were
i;ertons that wanted that, there were outside corporations,profiteering corporations
in the health business, and wuu).d hr,ve liked to.Can you imagine what we'd had in
health cost in this community had that occurred. A Public Health Trust,as we see
it at. .Jackson,has bees quite successful. They've attracted substantial volunteer
members to manage it, people of this stature such as Mr. William Singer, Mr. William
I"ratee, Monsignor Walsh, just to mention a few of them and there is no question
that. these persons could serve the community in the public interest. A Trust can
work if the public will put their trust in it.
Hr. Ongie: The next speaker is Toi Pinney.
Mr. Pittney: My name is Tor Plane; , I'n, one of about two hundred odd people who
live more or less full-time in the Brea called the Anchorage out here, I live on
6 boat.. We deal with this waterfront every day.Mnst of us, I think long-time
rtaidents. I've lived here fur about 4-years and I've been working here. I'm
a voting citizen. We're all really concerned about the changes going on in the
saatertront here. Hone of us scants to ace it turned into another Ft, Lauderdale,
with a lot of tall hui)dinga. and a Jot of concrete. This is a really beautiful
bayfront hexe, If You give it to the people who want to make money, they're going
to pave it over and they -re going to makea lot of money with it, That'll not
going to help aby of the people that want to liye hereand enjoy its So I just
wanted to express that opinion from the Anchorage.
40
JUL 2 81978
Mr. 0ngie: The neat speaker is Soul Rosenberg..
Mr. Rosenberg: My name is. Soul Rgs.enb.erg., I live in Coconut Grove.
Mr. Fred Stanton Smith, who is the President of the Tigertail Association asked
me to read the following statement; "The general memherahip of the Tigertail
Association, a Homevwnera Association of 500 members in Coconut
Grovfitheircted
its elected Board of Directors, to hold a special meeting tc
develop-
mentuss of the City of Miami's Waterfront. At the meeting it was unanimously voted
to make known to the City Commission the position of the Tigertail Association.,
The Association is greatly in favor of the expansion of on -water facilities, such
as boat ramps, moorings, docks, but only specialized on land amenitiessuch as a
true character seafood restaurant. We are opposed to landside development that is
not marine related or recreation oriented. With respect to the waterfront trust,
we believe that a full and in-depth study should be made,a professionally -directed,
experienced, public-spirited public turst in similar in structure to the Port
Authority, Parking Authority and public health trus.t would be highly beneficial.
For these reasons the. Tigertail Association believes that no award of lease or
management agreement should be undertaken until the City Manager has completed and
presented to the City Commission a comprehensive study of the trust concept as it
relates to the Dinner Key Marina and Miamarina". Thank you.
41
JUL 281978
•
Mr. Ongire The neXt sp aker'is 1 rank tilbrittbn
Mr, Frank Albritton: •Mi
Mayor, members of the Commission and general public,'
tonight we have before ors a very difficult decision and I hope that the decision
is now to give Public Trust a better chance. I have to go with the trust in my
heart because I think one ingredient of the integrity to me is so important, what's
involved. And the integrity displayed behind the scenes of different proposers
not tryinu to sidetrack the issue, but. I think there are legitimate questions to
be raised as to what this really represents. Is this your purpose to discuss
what the r c=.commend:atian i a? st.pi>a red to he. about. or is it just for the trust right
at this p:oint7 ... Well, then maybe we can raise these questions later and I
think they have to be addressed and I know everybody's opinion and what I say is
in all due respect and my appreciation to all of you but I've been around here a
lone time and I do not like what is happening. I'm not against development, we
need new piers, we need new docks, moorings. There is a question of competency
as to the trust and I really do not feel that it has been properly explored or
really given an oppertnnity to work out: more details and I hope you would consider
thi5 as ..a viable a1te..nat.ive. Thank you.
Mx. Ong t t.. The next speaker i s Tore Post .
Mr. Tom Post: Mr. Mayor and Corsn.issioners,' my name is Tom Post. I represent a
group that did bid on leasing one of the facilities. That particular facility
wasMiamarina.- We were not selected as the Manager's choice from the review but
I wan t.; speak for just. a aeobnd about the trust concept and I wanted to point
rut in: particular ar, attachment that. was included in the Manager's packet and I
hope that each one of you received that attachment. Do you know whether they have
received that at all? It. is an attachment two on the front of it is an inter-
office *memorandum from Mx. Grassie to Mr. Fosmoen and it contains a detailed break-
down of the marina trust :oncept and I think some very cogent comments concerning
marry of the questions that need to be asked in connection with the trust and I
hope that you all will just give it some review.
tar. Plummer: Before you go any further and get everybody totally confused, the
comments in the paper in which you're looking at are not comments of the staff or
of Mr. Grassie. What you're looking at, sir, is the letter that was sent to the
administration by Mr. Spencer Meredith and they are his comments.
Mx. Post: That's correct, all I'm saying is that it was an addenda to the Man-
ager's report and I think that certain questions were raised in that memorandum
which are very cogent to this- decision that you're about to make and I'm sorry if
I inferred that it was the City.Manager's, it was not but I think he took it under
consideration in making his final decision. The one question, however, which has
not really been raised tonight is the question of whether, in fact, the City can
at this point in time establish a trust or is some need for state legislation
required such as the legislation that was required to implement the trust for
Jackson Mamorial Hospital. We have a couple of eminent constitutional authorities
here today and maybe that question should be proposed to Mr. Paul and Mr. Dubbin.
In connection with the figures that were presented to the Commission a few minutes
ago,I'ra a little bit concerned about those figures as well. Those are the economic
figures that you saw in that slide presentation a while ago because I think those
figures differ drastically from what the City of Miami finance sheets show which
were given to me at the labt City Commission Meeting on this subject by the Finance
Department here in the City. For example, they show any profit from Miamarina to
be less than $36,000 for an eight -mouth period with nothing being spent in terms
of replacement, refurbishing, repair. Even the lowest bid that has been submitted
by even the lowest bidder for that marina is substantially above that type of
revenue return and all of the bidders have indicated that they will do substantial
.ork in improving various facilities for the boaters and the recreational commun-
ity. Arad one thing that I'm concerned about as representing a group, I want to
n..ke sure that the public knows that we want people to come to Miamarina if we
42
i
JUL 28197q
should be the bidder. We want people to come to the marina and I think all the
bidders do that, nobody is trying to shut out the public. We also indicated
that we do not have a rate increase. And one final thing and then I'll stop
and that is I happen to be a taxpayer of Miami, I don't live at Dinner Key so,
therefore, I pay an ad valorem tax. Now there are people who are living at Din-
ner Key and who have been living there,according to Hector Gai,for as long as 18
years an Iiveaboards. And those people have yet to pay one penny to the City for
any police, fire, library, museum, social services in any form as it relates to
an ad valorem tax. And all the proposals will bring income into the City and
tax as revenue to the City and will substantially help the City in its financial
burden.
Mayor Ferre: All right, next speaker.
Mr. Ongie: The last speaker is Allen Bliss.
Mr. Allen Bliss: I'u. Allen Bliss I live at 1402 S. Bayshore. Mr. Mayor and Commissioner,
I have a sailboat rental at Dinner Key that Mayor Ferre helped save when the rates
were going to go way up. I'm for the trust but as much as being for the trust I'm
opposed to turning it over to private enterprise. In other words I wouldn't mind
if the City continued to run it for the money that's coming in as much as I don't want
to see private enterprise take it over. Part of the reasons are that you were able
to help us stay in business over here with the sailboat rental business. Some-
body, for instance, made a contract on the Dinner Key Marina parking lot, it was
in December they started tearing up the parking lot and right now there are still
piles of dirt where nobody can park in front of our business. Anybody that owns
a business knows that you need parking. The other thing is the fact that while
Mr. Meredith and I are on the Marine Council - I'm on the Marine Council also -
he said he'd stand on his record and I don't think we're going to get the service
that we could get from a trust where the people on the trust, outboarding people,
would have a strong interest in improving the services. We have things like a
lift to pick boats out of the water for people who can't afford to pay $180 a
month to work on their boat because they work on weekends. They can't bring their
boats home like they used to be able to do. It's two years the hoist has been out
of operation even though a contract with the City states that all machinery is sup-
posed to be in operation. There's a wall up there now so you can't go in and work
on a work line, there is less parking than there was before and yet there are 200
dry slips there that should have parking I believe, I think anybody else would have
to. The barricade is there now and you can't bring new boats and use the slings,
those slings are very important to a lot of people and they're not being used.
People now >;r_e using the island to paint the bottoms of their boats. They used
to because they couldn't afford to go to marinas now they go because they can't
get sailboats picked up in the slings so they can move them around to do things
and I just think the boating public oriented group like the trust would be answer-
able to the Commission much more closely than anybody that's got any kind of a
contract where specific performance is not easy to guarantee for us. Thank you.
Mayor Ferre: All right, was that the last speaker?
Mr. Ongie: Yes, sir.
Mayor Ferre: All right, thank you ladies and gentlemen, now that we've heard from
the public on this matter it is back to the Commission and what is the will of
this Commission? We've been on this three hours now.
Mr. Plummer: Mr. Mayor, I think at this point, or we've reached a point just for
the edification of the Commission as is listed here I think *4 is in order and
that is a statement by proposers regarding the willingness to accept possibly the
Manager's proposal and see what they have to say because you know- if they all say
"no" - different ball game.
Mayor Ferre: That's where I was two hours ago. Ok, I have no objections to doing
it exactly that way and I think that is a reasonable approach, Mr. Manager, why
don't you conduct that.
Mr. Grassie: Mr. Mayor and members of the City Commission, I would suggest in
order to accomplish that purpose that we start ill the order of the recommendations
that are in front of you that we ask Biscayne Recreation to address their proposal,
make a comment on it if they wish and also to cement on the alternative pf having
a different kind of funding than they had initially proposed and whether they would
like to be considered for a management lease.
Mayor Ferre: All right.
43
JUL 2 8197a
Mr. Paul Walker: Mr. Mayor and Commissioners, been a new ball game. You've
been talking about it all evening and this one is really new or we might say
that it is a new day.
Mr. Plummer: Paul Walker, what is your name?
Mr. Walker: Paul Walker.
?i�.ror Ferre: Mr. Walker-, how long will you need to make your presentation?
Mr. Walker: Ten minutes.
Mayor Ferre: All right, is thatthe total presentation?
MT. Walker.: Total. We passed out a paper and on this paper are the comments that
I'm going to make and I want to take the Commission's time to discuss our proposal,
:shy we proposed it this way. When the City requested proposals from interested
parties and outlined the conditiens under which proposals would be accepted our
company complied with tht2 specifications in every respect and was the only proposer
to do so. I want to quote several sections of the City of Miami's lease proposal
specifications particularly as they pertain to Dinner Key Marina from Mr. Grassie's
letter. "The City of Miami has adopted a Master Plan for the Dinner Key area which
will be used as a guide fez future development. The attached general conditions
and documents describe the information to be submitted and sample lease provisions
should provide a general understanding of the type of lease to be negotiated."
The;c; are right from the City of Miami's specifications. These are from the pro-
posal documents. "Ali proposals shall be submitted in accordance with the instruc-
tions to proposers as contained in the proposal invitation documents (and these
at page 2, paragraph 2) in an effort to achieve the objectives of the Master City
Plan stated in paragraphs 2(d), 2(e), (f) , (g)" and so forth, pages 34 and 35 of the
Master Flan these are also in another part_ of the City of Miami specifications
but they pertain to the existing volume and flow of water, the need for more slips
which we all know by 1965.,and the objective of adding these 630 slips, incidentally
are to be located on off -shorty islands - and this is in our specifications - 2(g)
review of the project area reveals that while the islands can be used for recrea-
t:Aon,it i virtually im p.ssib.ie fox the average person to benefit since they are
now inaccessible except by boat_ Uowr here we're coming to something very important
to us and this is again on page "It is estimated by the City that the improve-
ments required to be made to the existing facilities will require an expenditure
of approximately $2,000,Dt0 by the successful proposer and that the marina expan-
sion will require an expenditure of approximately another $5,000,000 by the suc-
cessful proposer. Peoposetb should have the financial capability to provide fund-
ing of at least this amount." And I want to stop right here because here is where
we were given a low blow. The Hough Company made a recommendation to the City Man-
ager,which he wrote up and passed on to you,that is based on revenue funding, bonds.
Everyth nu in the specifications that we worked on for over a year, that we submitted
to the Citytwas based on private funding as we were instructed and every bidder
was instructed to use private funding. No where nor anyplace in the specifications
was any mention ever made of a bond issue. One proposer came up with a bond issue
and that became the thing that everyone else was tested against, held up against
and you saw it in the trust presentation, the difference between private funding, pri-
vate financing and a bond issue. We know that our proposal is by far the best if
we were able to use revenue bonds. In addition to that, the $2,000,000 that we
were going to use for all the decks and the electricity and the water and every-
thing else that needed to be done was coming to us from banks and insurance compan-
ies and we were going to pay 11% for this money. I don't know what kind of finan-
cial experts the William Hough Company are when they don't read the fine print in
a contract or they don't know that they're working on proposals where specifications
have been spelled out, and there is a hell of a lot of them here, and these speci-
fications do not bay anything about bond issues and then we're put on a sheet and
listed nnmher 3 against in a game that we're not even playing. If the City of
Miami desires - let's show them the chart - if the City now desires to fund this
project from revenue bond issues instead of public funds we are willing and able
to fund our project this way. And not only that, we will give the City the differ-
c.nee in the cost of private money and bond money and that will be added to our fee
whether it is 3--1./2% or 4% or 2 1/22 or 32. The way we figure it now, this will increase
the income to the City under our program by a minimum of $72,000. There is some-
thing more that I can't understand about the Hough Company as long as I'm passing
i that is I have read a lot of financial proformas in my lifetime and I have
:limed a lot of retail operations and when we open a retail operation we have a
2r.•..'fornea for year 1, year 2, year 3 and if we can go far enough down by the time
ee get our opening expenses taker, care of it always looks good. The Hough Company
4.-,;e. down about 5 years to put together some kind of figures because they didn't
44
JUL 2 81978
take year 1 or year 2 or year 3, they took year 4 or 5 or 6. Under bond issue
financing,Biscayne Recreation Development Company is perfectly willing to reduce
its lease requirements from 40 years to 12 years or 10 years or whatever is sensi-
blesplus a 10 year option for renewal. We believe that a four-year program is
unrealistic. In our opinionsit will take more than that to get the permits and
to get moving on the things that we want to do. We have had numerous occasions
where we've met with the regulatory agencies and we have worked out designs that
I believe are adaptable to meet all of the requirements. Our estimation of pro-
posed slips is extremely conservative and, in fact, we believe that the possibil-
ity for more slips is most likely based upon studies that we have had than
Several other things I would like to bring before this Commission, first our guar-
antee of $150,000 is from day one. Dinner Key Marina does not spend or guarantee
anything until they complete the docks. That may be year two, three, five, they
may never complete the last one. Their payment to the City is not on gross receints
but on the first 25% of income available for distribution or 50% of net pre-
tax profits. They didn't have any profits for the years that they were operating
Grove Key Marina through 1976 so how do you knowsin the Citysthat they're going
to have any profits in Dinner Key? The Hough reports keep using the word hypothet-
ical - hypothetical, this is the real hypothetical case. As a businessman in-
volved in day-to-day activities of real estate and leasing,I did not know any owner
who would lease to a proposer any property for a share of the operator's profit
as determined by the operator. Leases,in the real worldsare made with a guarantee
or a percentage of sales on gross income whichever is greater. Most of yousunlike
the staff,are business people. You have businesses to run, you know something about
leasing and management. Every other lease that the City has,as far as I know1is
based on a percentage. Biscayne Recreation Company arrived at its plan for develop-
ment and expansion from days of consultation with professional people of the agencies
responsible for hearing and approving such projects, many plans were worked
on and some discarded. We have been mindful of the environmental concerns exist-
ent in our proposal. We have retained the best environmental experts in appeal
to guide and advise us in our design and structure in order to assure that no dam-
age is done to the area. Dr. Teesesof the University of Miasnisand his associate
Dr. Lodge have guided and advised us so that not only do we not injure the life
existent in our waters but we actually enhance the growth of fish and plant life.
We have been told by a member of the corps of engineers, "Gentlemen, I like your
plan because your plan is the only one that has any potential for increasing the
size of the marina and fulfilling some of the needs of the boating public." Thank
you.
Mayor Ferre: Mr. Grassie.
Mr. Grassie: I think a word of clarification is in order because the question of
a four-year lease has been mentioned several times. If we look at the recommenda-
tion,what we are talking about is a four-year construction lease plus a short-term
management lease on top of it. The assumption at Dinner Key is that it will take
approximately four years to make the overall major improvements that need to be
made because you cannot put everybody out of the piers and do all of the work at
once, you have to phase it. So we're talking about 4 years for contruction, not
more than that, plus a short-term lease after that.
Mrs. Gordon: Mr. Grassie, I would like you to respond to the charge that the in-
come to the City under ;-,e proposal would be from day one and the other would be
at some point down two or three years and also the basis for the revenue that the
City would derive. Would you speak to those two points, please?
Mr. Grassie: Yes, but the next person who should speak is probably a representative
of Dinner Key Marina and it may be more appropriate for them to address this
chargesas you put it, you know I think they should speak to that.
Mayor Ferre: And if he doesn't cover it we're going to come back to you. All
right.
Mr. Homer Marlowe: Good evening Mr. Mayor and Commissioners. I'm Homer Marlowe,
one of the Dinner Key Marina group, Spencer Meredith's Group so-called.
Mayor Ferre: Mr. Marlow, how long will you need to make your presentation?
Mr. Marlowe: I'm only going to need just two minutes to make a few remarks and
then,specifics, I'll let Mr. Meredith answer.
Mayor Ferre: Mr. Meredith, are you going to take time to make a presentation of°
any kind or do you just want to answer?
45
JUL 281978
Mr. Spencer Meredith: I think it would be more productive if I answered direct
questions that were posed either earlier or by members of the Commission.
Mayor Ferre: A11 right.
Mr. Marlowe: In that regard I would like to call the Commission's attention
respectfully to one portion of the bid, Section 5 of the proposals on page 8.
The wording goes something like this: "Redevelopment proposals must be public
waterfront recreation oriented and he confined to public waterfront related
,etivities. Within these general guidelines proposers may feel free to exercise
heir creative imagination." This was part of the bid. When we put out our
;proposal initially we addressed ourselves to three principal areas, the redoing,
t.l:e replacement of the do;:k { nd i don't think that any really competent engine
t.ering firm will tell ynn that the docks can be repaired and lasted a sufficient
length of time, they must be replaced either by public money or by private money
r. by revenue bend financing which sort of blends the two together. In addition
to which, using your creative imagination , some of the members of the Commis-
sion, in fact, the_Ccaarission itself has expressed the need for perhaps res-
•, urar t.is and other facilities because you certainly did when you had the Rusty
skean, you certainly did when you. approved Monty Trainer's Restaurant, and you
;.:trtainly did when you put in Miarnarina restaurants there. We addressed these
hinge; like a shopping list%if you please. The docks were a single facility,
the restaurant shopping area to me was a single facility, the hotel that came
up somewhere in the line was a single facility. When the public rose up in hue
and cry that they didn't want any type of development like that we forthwith
withdrew it and addressee ourselves only to the replacement of the docks and
=-doing of the waterfront shoreline itself together with the moorings. We have
been unjustly criticized for having raised these specters using our creative
imagination because we gave you a shopping list and you could take from it what
ou wanted. The public said no, we backed off and we're not going to raise the
specter of restaurants or hotels again and we'll address ourselves totally to
the docks. Within that frameworkjthe proposal of Biscayne Development to devel-
I: the center islands out here ii, order to derive maximum revenue that they
:s-oject on their so many slips into the thousands requires the use of a 65-foot
-idge that would start out somewhere on Dixie Highway to come over to that
-land. And I have a letter here from the Coast Guard saying exactly what the
a:nuirements would Le to develop center islands here for boat slips. Also, we
.'e a basic income projection in revenue and I'm going to pass all this out
t-v the Commissioners as soon as I finish making my remarks while Mr Meredith
oncludes but basically we want to do the docks and replace them. If you, the
itynis going to provide the financing and be totally responsible for it we'll
:_:_:r.t.ainiy go along and will go along with the what the Manager recommends. On
as other hand,if the City is not going to provide the financingli.e.lwe have
oo be responsible for the placing and the responsibility of revenue bondstthen
e're told by our bond experts that it will require a minimum 30-year lease
because the debt service on a short return would be so horrendous that there would
he no benefit derived by the City from it.
Mr. Meredith: There is an answer.
car. Marlowe: With that in mind I'd like to turn the remainder of the remarks
:aver to Mr. Meredith.
ter. Meredith: Homer teas some material there that he is going to pass out, one
of them I think is the letter that we received from the Coast Guard regarding
the subject of general bridges in the entire Dinner Key area specifically a
bridge to the north island for use as a public park and a bridge to the south
island for: use as a public park and then a potential bridge to the center
islands for any projected development out there. The result of the investiga-
tions on our part was that it was not feasible to develop the center group of
island; for additional boat slips and so we did not address that. That is aside
from a variety of other environmental conditions that were raised. There is
another piece of paper that he has given you which answers the question as to
what kind of revenues the City would derive from the first day that we started
in operation and these revenues, incidentally, and the income to the City is
derived entirely from the proposal that we made to the City, now you start out
basically with five old piers and they graduallytover a two year period of time,
get replaced with seven new piers and so there is a constantly increasing cash
flow as you work through this period. The revenues to the City are shown there
a_;d they peak at the end to wthat is roughly, our figures are slightly higher
than the figures that were produced by William Hough and Company because they
.iseti a model and it had less slips in it. We're using actually what we projected
:ihich is 527 wet slips and 375 moorings so our figures are, therefore, larger.
46
J U L 281978
I think there is another significant point and that is that there were three ele-
ments of compensation to the City. One of them had to do with 25% after debt
service...and any taxes in the event that they were there and the reason for that
is that the City would benefit from any savings in financing that we were able
to negotiate with the City and that was the purpose of it rather than stating
it on the basis of a gross figure. There was also a minimum annual guarantee
which I believe is the highest guarantee that was put in by any proposer and in
addition to that there was a safeguard which was put in not being, I'm being
very honest now not because I think this is a feasible thing but I think it
was put in as a safeguard that at no time would we ever be able to make more
money than the City. We said the minimum would be 50%. In other words the City
would always derive 50% of net free tax profit as an absolute minimum. So it
put a cap on any potential earning. I don't think that that is a realistic thing
because our experience in the marina business, and we have four directors all
of whom are in marine industries at this present moment) does not indicate that
the marina business is as great a gold mine as some people would have us believe.
It should be obvious that I do not agree with the figures, the proforma figures
that were presented by the trust. They don't match with the type of information
that we have generated or are experience in the business. At any rate,I think
those are the key elements. There are probably several questions that have
come up, but I just want to say one other thing and that is that in regard to
the Manager's recommendation that it be a four year construction contract to be
followed by a management contract, that is acceptable to us on the basis that
the City takes an active role in the financing. This was not our intention
when we made the bid, we made the assumption -as did the other bidders -that it
was our responsibility to provide financing. We were using the vehicle of reve-
nue bond financing just as Richard Bertram did in today's paper. You saw that
they used an industrial revenue bond to finance the expansion of their facilit-
ies. The county isn't going to pay for that bond in the event it goes bad,
Richard Bertram is going to pay for it. We worked on that same assumption in
all of our conversations with our underwriters, all the people we've talked to,
bond counsel has decided that was the way we should look at it so we did. Now,
Mr. Grassie, I think has done a wise thing. He said 30 years is a long time
and he's come in with an alternative and that is the City take an active roll
in the financing. If that is the case,then the responsibility that we have is
vastly diminished and I think it would be unfair to work on the basis of plan-
ning a long-term lease if we're not reponsible for the money. If the City is
taking an active roll we certainly accept his proposal. So it is a feasible
thing to do on that basis. I would like to say another thing, and this is an
interesting experience because it started out with,I guess,six proposals on
Dinner Key which were narrowed down to three and then a new proposal would come
in which is the Waterfront Trust and now we see everyone changing their proposals
and I don't know exactly where we are.
Mr. Marlowe: Do you want to ask some questions though, before our presentation
is up? Maybe they have some.
Mr. Meredith: Yes, the only other thing that I'm going to say, and I address
this to my good friend at the Miami Herald,and that is that I think she is the
only one that knows that I've been cited for anything because I don't know it yet
since I haven't been notified. So I have not been cited for doing anything
bad to the waters of Biscayne Bay. I haven't received a letter Alex, and I
talked to Colon Morrisey1who is the head of Durham! and he said that he was not
citing me, he said that we're doing a study on the marinas in Dade County and
I'm writing you a letter, let's get together in approximately 15 days and we
will sit down and analyze your operation with the idea of developing some stand-
ards and guidelines that we can pass to the marine community, and I said, Colon,
let's do that, it's a great opportunity because then we'll take those proposals
to the Marine Council and we'll suggest to the industry in Dade County that they
be adopted and I think it is a good idea and I believe that. I'm involved
in a number of communities which are specifically involved with water quality in
Biscayne Bay and conservation, ecology - I've got a record in that that goes
back many years. We do a number of things at our facility to avoid pollution
and if anybody can improve it I'm happy to work with them and I'm happy to pro-
pose it as a practical solution to an industry problem.
Mr. Marlowe: Mr. Mayor, may I have one minute in closing? W. Mayor, when this
concept originally came up utilizing our fertile imaginations as the bid advised
us to do,to be creative,we sat down and conceived C1) the possibility of revenue
bond financing. We also conceived the idea of a management type of contract
versus a lease because within the purview of the grant or the deed from the State
of Florida to the City of Miami in 19491there seemed to be a prohibition against
leasing out the bay bottom to private interests. We thought that that might
47
invite litigation that would he unnecessary. We also put down a long-range type
of financing with a fifty-fifty split to the City, we were going to re -do your
entire docks for you and this was very interesting now, after the whole thing
had been sifted down every one recommends that our proposal - and the only one
submitted,incidentally,under the creative imagination invitation to bid, is the
best - and now isn't it very preculiar that everyone else now comes along and
says yes, we'll do it on a revenue bond too, we'11 also go for a management con-
tract too. You know what? We're the only people that did that, it's a little
unfair of them to come along now after having submitted their bids and say yes,
we'll take your's and run with it, Thank you.
Mayor Ferre: Alt right, sir, Mr, Grassie.
Mr. Grassie: If the Commission has no questions to address to Mr. Meredith we
could ask the third company,which is New World Mari.na,to address the question.
Mayor Ferre: All right, Now World Marinas.
Mr. Tom Post: Mr. Mayor and Commissioners, I'm sure that Dinner Key is the
diamond and Miamarina may be the piece of coal left over but I hope that the
Commission will determine which of the bidders should receive Dinner Key if
that is, of course, first so that Miamarina could be reviewed last because we're
the only one that bid for Miamarina solely. We did not bid at all on Dinner
Key. I just want to make a couple of comments in connection with Miamarina and
our organization. I'd like to remind the Commission who the people are that
make up New World Marinas. Pr.in<::ipally,the president is Gladys Dubbin,who is
here with us and Dorothy Dubbin, her sister; Admiral Stephens, who as you all
know was the director of the Port; myselffas an attorney,and just in reference
to our qualificationsl Mould simply point out that in the memorandum from the
City Manager in reviewing this matter the City Manager's staff indicated that
eur corporation is well qualified to operate and manage Miamarina. The second
thing, if we're talking about a short-term lease we will again reiterate what
we said in the past, there will be no rate increase as far as we're concerned
i a short-term leasetand we're the only ones who has told this Commission that
there will be no rate increase. Thirdly, we will pay any appropriately assessed
ad valorem tax, and it is imp„rt:ant to remember that because that revenue goes
back to the City and is added to the money that the City will derive if the
marina is ieasedtover and above our bid. Fourthly, a question which has not
been raised by ary of the other people or discussed in any of the other proposals
at all but which Father Gilson raised some time ago,and that is we agree to keep
all the employees that are now at Miamarina and to continue to give them a posi-
tion, a job with the marina so Lit no one who is there will lose at all in terms
of employment. Fifth, I think the letter that you heard from Mr. Cummins is very
important in that we have proposed a lot of facilities, a lot of new imaginative
creative works to make Miamarina into a full service marina. We've talked about
adding a fuel system, a pump -out facility) to take care of the sewage problems
that the boaters of this community havetand particularly under the new federal
Coast Guard requirements for marine sanitation devices, there is a great need
ter oeslp-out facilities and there is only one in this entire community. We will
add that to Miamarina. We will also add a Ship's Store facilities whereby
people can get information on the City, we will bring in and add more slips to
the area, we will do a terrific beautification job on the marina and all of
these improvements will not be at the cost of the City. I want to go to the
bid itself and particularly to the study that was done on the financing. The
Bough study only took into consideration revenue from the slip rental. They
ignored the fact that we are proposing all of these additional facilities which
will bring Income in from gas sales, coke sales, cigarette sales, sundry sales,
marine equipment sales. We also indicated that the City would receive its share
of whatever brokerage commission was done at the marina in terms of vessel sales,
and when you take those additional factors into consideration because Miamarina
does not have those facilities now but should we become the successful lessee
of the premises these facilities will allow a much greater revenue upon which
the City will take its percentage and will, in fact, raise our bid to well over
$100,000 as a minimum which makes us as competitive with any other bidder that has
placed their bid before you when you take that factor into consideration along
with the additional revenue coming in from any ad valorem tax that we would pay.
I want to point out one particular clause in the City Manager's Report and that
is on page 12 the City Manager notes that New World Marinas, Inc. its bid pro-
vides that seldom opportunity of awarding a City contract to a minority bidder.
we want to remind you again of the importance of that. I know the concern of
the. Commission for. its Affirmative Action Program, we want to bring that out.
We're not really talking about substantially different revenues inn any of the
bids but we are talking about a minority contractor in this particular case and
48
this gives the City an opportunity to take some affirmative action in connection
with minority contractors. Also, New World Marina has gone down to Miamarina,
discussed their plans with the tenants at Miamarina and at the last meeting we
submitted to you a petition from the tenants at the marina supporting our pro-
posal. I'm going to again pass out copies of that to you along with a list of
all the various proposals that we have indicated to you we would like to make at
Miamarina so as to make it a beautiful facility, an attractive recreational facil-
ity for this community, a facility that all the citizens can utilize and one that
the City can truly be proud of. Thank you.
Mayor Ferre: All right, Mr. Grassie?
Mr. Grassie: That is the three companies that are here, Mr. Mayor.
Mayor Ferre: All right, there are other members of the public that have requested
to be heard. One of them is Mr. Al Sakolsky, we also have the gentleman from the
Friends of the Earth, Isaac Walton. All right, who else would like to speak that
has not spoken? We'll go into a second round later on. Mr. Paul, Ms. Treister.
All right, let's find out the time parameters. How long do you want to speak, Mr.
Sakolsky? (INAUDIBLE RESPONSE) Seven minutes. Ma'am, how long do you want to speak?
(INAUDIBLE RESPONSE) Three, one, seven, five. You're on rebuttal, that will come next.
Mr. Treister, (INAUDIBLE RESPONSE) five. Well, let's just start. We'll just sweep around
this way and go and let everybody have their chance. I'll try to remember the time tl-at
you need to speak. Al, try to make it less than seven minutes because you seven usually
ends up being fifteen. We're going to get Mrs. Gordon's questions answered after
we go sweep around...
Mrs. Gordon: No, I did not, Mr. Grassie, you said you would answer the questions
that I posed before after Mr. Meredith spoke. Well, I think the questions that I
asked before are directed specifically to the items related to the returns.
Mayor Ferre: Rose, no matter what the answer is going to be all of these people,
this gentleman from the Sierra Club wants to have his say and, you know, so let's just
go on down, you're first. You had one minute, right?
Mr. Robert Freeman: My name is Robert Freeman. I am a resident of Yacht Harbor
Condominium and on behalf of the residents of Yacht Harbor Condominium we are op-
posed to any land -side construction on the strip between 27th Avenue down through
where Coconut Grove Sailing Club is. That is park area and we feel it should be
maintained as a park area.
Mayor Ferre: We understand. All right, this young lady here, the gentleman from
t.t. Sierra Club.
M.z. Alexander Stone: My name is Alexander Stone.
ME r Ferre: Mr. Stone, you said you needed seven minutes as I recall.
Mr. Stone: Yes, that should be enough. I live in Coral Gables and I'm to deliver
a joint statement of the Marine Wilderness Society and the Sierra Club Florida
Cnapter of Marine Conservation Committee in regards to the proposed redevelopment
and expansion of Dinner Key Marina and I'm going to talk from an angle that no one
else seems to have gotten around to talking to about yet which is the environmental
angle. We recognize the pressing need for additional wet boat storage in Dade
County. A large proportion of both of our organizations memberships own boats and
we're all in agreement that the shortage of boat slips and moorings in our area is
serious. So therefore, we support the City's intent to expand Dinner Key facilit-
ies from their current 371 boat capacity to a new 500 plus. However, we also main-
tain that this goal can be attained and must be attained with the absolute minimum
impact possible on the ecology and topography of our r.ibmerged lands within that
area and their attendant islands. So to this affect. we earnestly request that the
City Commission incorporate the following considerations into their final proposal
choice for the expansion of Dinner Key Marina. First, we believe that it is quite
unnecessary to undertake construction or development on any of the spoil islands
in order to attain a 500 slip marina. Furthermore, in our viewtit is completely
unacceptable and we categorically oppose it. At least twoyif not all three of the
proposals now before youyinclude plans that provide a 500 boat slip count within
the present mainland based marina basin meaning no necessary construction on the
off -shore islands for that 500 boat count. Now this meets the basic bid require-
ments of the City adequately without touching the spoil islands. Now as an aside
in this respect we are in total opposition to the relocation of the Coconut Grove
sailing Club to a site on South Island. Mr. Mark Ruvinywho is the outgoing commo-
dore of the Coconut Grove Sailing Clubyhas informed me that they would like to
remain where they are and their preference is not to relocate. Now from our eval-
Lions such relocation to South Island would bring serious and frivolous harm to
49
JUL 28 197$
the ecology of South island. Now we will also steadfastly work to defeat any
attempts to provide aut.umot.ive access to any spoil islands or to clear and/or
fill any sections o any spoil islands for the purpose of constructing develop-
ment of facilities that do not address themselves to the marina question. Now,
additional wet boat storageowe.l.l beyond the initial 500 goal,is easily attainable
by the use of moorings. This again reenforces our position that no spoil island
development is required for a reasonable expansion of the marina. As far as moor-
ing, are concernedlwe support their establishment as long as it does not involve
any destructive dredgin4 car any other measures that. will severely and adversely
affect the bay bottom eccicxly, Now at least one of the proposals before you for
Dinner Key shows that 200 brand new peg moorings can be set up within the inside
perimeter of the spoil island:: without artificial breakwaters and without dredging.
Now we reject. any dreciying t �r:uld the judicious minimum required for the naviga-
tional maintenance of the main basin and presently existing channels. Now by the
judicious allocation of mooring space based on varying boat draft the existing
bottom contours will, in fact, yield over 200 such mooring spaces while still main-
taining the environmental integrity of the submerged lands. And all of these are
points that I believe ceeht to he taken into account seriously because so far all
I hear is dollars and cent, how much money, where does the money come from, who
is going to control the money and who is going to end up with the money and this
is a whole new set of consi.iea.ations here that I very seriously would like you to
address with whatever proposal you finally decide upon. Now to those who contend
that these submerged lards are dead 'I must tell them that they're not. The grass
beds surrounding sections of the spoil islands provide a habitat for Sea Trout,
Mutton Snapper and Mangrove Snapper. The Mangrove concentrations on North Island
and parts of the other islande support abundant Hermit Crab populations, numerous
invertebrate species and the juvenile fry of many fishes and the waters and silt
bottom itself are habitats for minnows, mullet, oysters. algae. plants and more. There-
fore, againydredginy for anything other than navigational maintenance should be
really out of the question aside from the fact. that it is unnecessary and any clear-
ing or filling of Mangroves and shallow bottoms surrounding the spoil islands is
also objectionable for the same reasons. So what if anything can or should be
done with the spoil islands Our earnest recommendation is that you set aside the
spoil islands as limited use parks and wildlife preserves. Contrary to at least
one proposal before vc;u,we o not consider Center Island to be a logical choice
for a wildlife preserve. This island is the one that is the most visited now, it
i_s the only spoil island that. has and beaches that could be made available to the
public and that are available now for the traditional careening of boats. That_
island is the most accessible one to the public and, therefore, we are convinced
that Center Island is ouch more appropriately suited to limited park use. On the
other hand, South Island is the ideal and most logical choice for a true wildlife
preserve. It offers enough area to function properly as a preserve, it is more
isolated, less frequented than the other spoil islands and most importantly it has
acquired its own bird colonies and other varied fauna in a stabilized habitat.
Therefore, we strongly urge the City Commission to incorporate into their final
choice of proposal a wildlife refuge and preserve on South Island. i in discussions
with Mr. Richard Cummings who is a past president of the Marine Council and member
of the City's screening committee for these proposals he agreed with us that the
beating public's overriding concern is that wet boat storage at Dinner Key be sig-
:uficantly increased and that boating support facilities be upgraded and efficiently
managed. Now following the recommendations that I have just very sketchily out-
lined here would certainly be compatible with this objective. It is clear that
blips and peg moorings can be combined to almost double the present capacity nt
Dinner Key without filling spoil islands and wrecking their habitats, without dredg-
ing that will seriously affect natural bottom ecology, without needless and detri-
mental vehicular access to or construction on any of the islands. So therefore,
we,as the Marine Wilderness Society and the Sierra Club Florida Chapter's Marine
Conservation Co mittee.very respectfully would like to suggest and insist that the
expansion of Dinner Key Marina proceed in such a manner as to minimize environmental
.Impact and to demonstrate due consideration for the ecological integrity of our
hay, its submerged lands and attendant islands. I thank you for your time.
mayor Ferre: All right, who is the next speaker as we move along? All right,
ma'am, you wanted three minutes as 1 recall.
me. Marion Reed: Right. ray name is Marion Reed and I am representing the Miami
Sierra Club. We want you to know that we heartily endorse the statement you just
heard. In addition, the Miami Sierra Club wants to emphasize our total opposition
to any construction or development on any of the spoil islands. We caution you
against breakwaters and artificial reefs unless studies can show that their hydro-
i 4 ,i cal. impact, meaning the changes in effect of water flow, Will not adversely
affect the sand beaches on Center Island or the topography of any island's shore.
Let us preserve this vital part of Biscayne Bay in the spirit of the Biscayne Bay
Aqu1tic preserve Act which provides that Biscayne Hay be preserved in an essen-
tally natural condition f.0 that. its biological and aesthetic values may endure
JUL 2h197R
,o_ ire generations. That is our hope as members of the Sierra Club and also
'ens of Miami. Thank you.
tre: All right. As I recall you wanted two minutes.
rr Holland: Yes, sir. Mr. Mayor and members of the council, my name is
Holland. I live on Pier V, I've been here about a year. One thing that I'd
bring up that I think is very important, I've heard all the proposals, for
ust and the other three. I personally am tired of falling through rotten
1.'m tired of losing refrigerators full of food because the electricity goes
tired of going and using second class facilities in the basement of this
can see only one proposal that has been offered here all night that can
give us some immediate relief - That's the public Marine Trust. The
these people that have come up with ideas it's going to take a long time
!hey get started and it is too long. The trust can start now and I think
1e way it should be.
re: Now the next spokesman I guess is Mr. Paul. I guess you're next and
as I recall seven minutes I think you said.
aul: No, I said I can do it in five but I think I can do it in less than
Mayor, my name is Dan Paul. I want to take the Commission back to a
story. A few years ago we had a $40,000,000 bond issue called the Parks
e Bond Issue. I was the co-chairman of that particular bond issue and
lat to the public and convinced them to pass a bond issue to acquire the
and to preserve the waterfront in the public domain in perpetuity,
an to provide money to develop that waterfront for the benefit of the
There was no mention and no hint of any kind when we were out with the
)n's approval that we had any intention or the Commission had any inten-
leasing this to private profit -making businesses. I for one would have
:-ved as the co-chairman of the Parks for People Bond Issue if I had thought
kind of proposal was anywhere in the offing. And I think forgetting
proposals that you have before you you have already made an obligation
rmitment to the citizens of this community who voted that bond issue to
o title, to retain the facilities and to operate them yourselves. It
complete breech of that public trust and I certainly am sure that the
ager is not here to tell you that he and his staff or a staff that he can
are incompetent to manage the public facilities. If so, then there are
is of government that can do it but I'm sure that the City Manager is
capable of managing and running these facilities and not providing some
ofit-making venture for private interests. The shoreline of Biscayne
> important to be leased to the highest bidder. In addition, you're over
:o very important provision of the Florida Constitution which prohibits
from engaging in a joint venture with private enterprise and your manage -
acts are exactly that and if you talk about producing anything on the
r:t you are going to tie this up into litigation for years because I guar -
that the public will not sit still and permit you to go into a joint
'Issuing revenue bonds with private interests in total violation of the
O nstitutional provision. The money, as mentioned earlier,has at last been
i.ted by the State of Florida for a Master Plan for Biscayne Bay and you
ing pipe dreams if you think you're going to get any fill or dredge per-
7 that Master Plan has been completed because you will not. There isn't
in the world that you'll get them. So all of these proposals have totally
the realities of the Biscayne Aquatic Preserve and of -the requirement for a
'l.an for Biscayne Bay. The City is already experiencing tremendous difficulties
pting to obtain, and has for the last two or three years, a permit to do some
r.ont of Bayfront Park because there is no Master Plan and all the groups which
ee business of protecting the bay are not going to permit any fill to take
til that Master Plan has been drafted and we know where we're going. Last -
insult to injury I think,is the idea that these proposals should come
-free management contracts or tax-free leases on the public leasehold
e an exception for the proposal that has been presented by Mr. Post because
the only one that I've heard that stood up here and said they're willing
heir taxes like all the rest of the citizens for the services that they
and I think the City would be grossly negligent and guilty to enter into
of scheme to permit people to evade payment of real property taxes. The
y of the real property tax has been compromised enough in this community
the City of Miami participating any further. But there is one thing that
o be sure that's clarified before I sit down because I'm not clear from
Manager recommends and I'd like the Manager to speak to this himself. Is
in the Manager's proposal that you are recommending no construction of
on the upland?
51
JUL 2 8 19 78
Mir@X
=IBM
MBE-
. generations. That is our hope as members of the Sierra Club and also
'ens Of Miami. Thank you.
err: All right. As I recall you wanted two minutes.
Holland: Yes, sir. Mr. Mayor and members of the council, my name is
Holland. I live on Pier V, I've been here about a year. One thing that I'd
tc bring up that I think is very important, I've heard all the proposals, for
ust and the other three. I personally am tired of falling through rotten
. I'm tired of losing refrigerators full of food because the electricity goes
• tired of going and using second class facilities in the basement of this
can see only one proposal that has been offered here al] night that can
give us some immediate relief - That's the public Marine Trust. The
•these people that have come up with ideas it's going to take a long time
HF!Hthey get started and it is too long. The trust can start now and I think
he way it should be.
re: Now the next spokesman I guess is Mr. Paul. I guess you're next and
• as I recall seven minutes I think you said.
*LFaul: No, I said I can do it in five but I think I can do it in less than
• Mayer, my name is Dan Paul. I want to take the Commission back to a
ritory. A few years ago we had a $40,000,000 bond issue called the Parks
Fiond Issue. I was the co-chairman of that particular bond issue and
out to the public and convinced them to pass a bond issue to acquire the
and to preserve the waterfront in the public domain in perpetuity,
u)n to provide money to develop that waterfront for the benefit of the
. -
There was no mention and no hint of any kind when we were out with the
approval that we had any intention or the Commission had any inten-
:-...easing this to private profit -making businesses. I for one would have
-.7ved as the co-chairman of the Parks for People Bond Issue if I had thought
•kind of proposal was anywhere in the offing. And I think forgetting
proposals that you have before you you have already made an obligation
tment to the citizens of this community who voted that bond issue to
• title, to retain the facilities and to operate them yourselves. It
a complete breech of that public trust and I certainly am sure that the
'•:.;iger is not here to tell you that he and his staff or a staff that he can
a.re incompetent to manage the public facilities. If so, then there are
of government that can do it but I'm sure that the City Manager is
capable of managing and running these facilities and not providing some
fit -making venture for private interests. The shoreline of Biscayne
important to be leased to the highest bidder. In addition, you're over
mle very important provision of the Florida Constitution which prohibits
y from engaging in a joint venture with private enterprise and your manage -
acts are exactly that and if you talk about producing anything on the
you are going to tie this up into litigation for years because I guar -
that the public will not sit still and permit you to go into a joint
Hissuing revenue bonds with private interests in total violation of the
r..:)nstitutional provision. The moneylas mentioned earlier,has at last been
td by the State of Florida for a Master Plan for Biscayne Bay and you
ng pipe dreams if you think you're going to get any fill or dredge per -
that Master Plan has been completed because you will not. There isn't
in the world that you'll get them. So all of these proposals have totally
he realities of the Biscayne Aquatic Preserve and of -the requirement for a
an for Biscayne Bay. The City is already experiencing tremendous difficulties
pting to obtain, and has for the last two or three years, a permit to do some
ont of Bayfront Park because there is no Master Plan and all the groups which
• business of protecting the bay are not going to permit any fill to take
•::*• Pil that Master Plan has been drafted and we know where we're going. Last-
• insult to injury I think1is the idea that these proposals should come
at -free management contracts or tax-free leases on the public leasehold
• an exception for the proposal that has been presented by Mr. Post because
'he only one that I've heard that stood up here and said they're willing
netr taxes like all the rest of the citizens for the services that they
and I think the City would be grossly negligent and guilty to enter into
of scheme to permit people to evade payment of real property taxes. The
• of the real property tax has been compromised enough in this community
the City of Miami participating any further. But there is one thing that
be sure that's clarified before I sit down because I'm not clear from
tlanager recommends and I'd like the Manager to speak to this himself. Is
Sn the Manager's proposal that you are recommending no construction of
nn the upland?
* *
.. *
* The original from which this microfilm
w;is taken was awfully poor. 51
.
This is the best photograph we
* conld obtain.
JUL 28 1978
Mr. Grassie: These recommendations do not include any mention of what you call
the upland which I presume is anything separate from water shore development.
Mr. Paul: Well, I don't know what you mean. Separate from the docks development:
I know one of the proposals referred to a restaurant on the uplands and I want to
be sure those are no longer a part of the proposal.
Mr. Grassie: That has not been included in our financial consideration, it has
nut been included in any of t}7e evaluations that we have made.
?tr. Paul: Mr. Mayor and members of the Commission, that is all that I have to
say atthis time.
Mayor Ferre: A11 right,-M
Mt. Kenneth Treister: Mr. Mayor and fellow Contmissioners, Mr. City Manager, my
name is Kenneth Treister. I have to ask that question again because,Mr. City Man-
ager.y i was _lust told by one of the participants, I think both participants that
are here, Mr. Spencer Meredith and Mr. Bob that they do propose a
restaurant in the Seminole Building to the south of our presence tonight and both
of them think they have a restaurant in the proposal, you say there isn't a res-
taurant in the proposal. I'm against the restaurant on the landside development,
I would like to know is that in their proposal, as they think it is, or is it not
in their proposal as you think it is?
Mr. Grassie: I presume it would be best, to ask them what they think is in their
proposal but if you remember the proposals included many proposed constructions
some of which have since been withdrawn Now, there is a question as to whether or not
the City is going to treat the Seminole end of this property as a separate project,
It is very likely chat it a• illtparticularly because the Coconut Grove Sailing Club
has an interest in that whole shoreline and we probably would want to agree with
them with regard to how that should be improved. So the likelihood is that Sem-
inole will be excluded es. it werettrom the basic pier development which is going
to take place right outside of Dinner Fey. There may be some hope on the part
of some of the proposers to put additional restaurant facilities down; what I indi-
cated to the previous speaker was that in the financial evaluation that we have
made we have not considered any income from restaurants and whatever proposal they
may want: to make at a negotiating stage of that type has not been considered in
their favor so that is not one of the elements of our consideration of their pro-
posals.
Mayor Ferre: ... We'll recognize you as the next speaker, Mr. Gottlieb.
Mr. Treister: Well, so there is no misunderstanding, and I can just paraphrase•
what the City Manager said, he in his financial considerations did not consider a
restaurant. I understand the proposers did and I just don't want the City Commis -
in their wisdom to vote for a proposal and end up with a restaurant on the
land that we didn't understand tonight was part of the proposal.
Ferre: Mr. Treister, I'll tell you I think no matter what happens tonight
how this Commission votes in any way I think we've got so many steps ahead that
c:h:t gentleman is going to be falling through that dock for many many years to
nr.e and your food I'm afraid}is going to be rotting on many many occasions in
,car to come. This is to put it in the mildest form a very difficult community
get anything underway in.
Fir. Treister: We11tMr. Mayor, 1 think I can solve this one problem because I did
r:pe k to both proposers and I think they're willing to stand up here tonight! now>
clarify this restaurant idea. And let me just paraphrase it by saying that
S::ntinole Building here has a sandwich shop catering to the marine interest
erhich is fine and I think it is proper that it continue to do that and I think it
is also proper that if the City Manager wishes and the Commission that that be up-
graded. What I would like to ask right now is that both proposers that are here
would agree that that Seminole Sandwich Shop be solely for the use of the marine
interests, that it have no tables and chairs, thereby inviting the outside public
which causes all the problems that we were talking about earlier, traffic, taxis,
service, garbage, taking up the park space, destroying the green grass that we have
5!,1 it I can ask both proposers I think they told me outside that they would agree
t- that and if that is true I would welcome Spencer to say it and Murray Dubbin,if
is le true if you would agree to that and eliminate seating from the restaurant,
i other words make it only a marine..
52
JUL 281978
Mayor Terre: M. Treister, we'll deal with that issue if we have to at the proper
time and I'm conducting the meeting and I'm perfectly willing to let you make
any Statements you want but I'm not willing to let you conduct the meeting by
asking and soliciting answers. Now those things will be addressed if we get there
and I'm going to tell you!in my frank opinion,we're not going to get anywhere neat
that point from the way this thing is going. So your words will be taken into
consideration at the proper time.
Mr. Treister: All right, thank you. I apologize for usurping your job but I
just didn't want any, I think we have an agreement here and I didn't want any mis-
understanding later.
Mayor Ferre: I think if we get that far I give you my word that the question will
be asked and I'll ask for them to put it on the record. Ok?
Mr. Treister: Thank you very much.
Mayor Ferre: Now, who have we forgotten? Oh, Al Sakolsky. Seven minutes, Al
Sakolsky.
UNIDENTIFIED SPEAKER: Excuse me, Mr. Mayor, I'd like to ask one question of Mr.
Sakolsky. I understood Danny Paul represented him and has already spoken.
Mx. Al Sakolsky: He represents our group, Mr. Marlowe, now if you'll sit down you've
had your ten minutes.
Mr. Marlowe: Ok.
Mayor Ferre: Seven.
Mr. Marlowe: And you're part of that group.
!''.r. Sakolsky: You've got it brother. And by the way, Hotner, if they're going to
play dirty football I'm going to be on the first string.
Mayor Ferre: Please, Mr. Sakolsky, speak to the issue and let's...
Mr. Sakolsky: Ok, let me get back into the context here. I came here with roses
in one hand and a sword in the other - I've decided to use neither one. Let me
say this, my colleagues, everybody here tonight is concerned about one thing -
Spencer Meredith. This man has been on that waterfront, a three-year 'easel which
turned into a seven-year lease, which turned into a thirty-year lease without bidd-
ing properly by any authorities of the city. This man has managed to slip memoran-
dums into the City Manager's brief which was distributed to the Commission, I have
no doubt that this group has architect and author the four. the seven. the ten
year proposal that Mr. Fosmoen and Mr. Grassie have so elegantly put before this
Commission and I want to say this: Our groupowhich involves all of the property
owners on Bayshore Drivelwhich involves all the boating community)do not believe
for one moment that this is going to stop with the public taking of public lands
by private individuals with just a marina. And I tell you this now tonight and I
mean it, Maurice, that if this Commission votes to give away the public land then
I call for a referendum.
Mayor Ferre: Ok, who is the next speaker here? I never saw Al Sakolsky leave
four or five minutes on the table.
Mr. Plummer: Mr. Mayor, I would like the opportunity, everybody else has had it,
Mr. Sakolsky got seven minutes, another got five and I think it's time there was
five for J. L.
mayor Ferre: Ok, J. L. J. L. wants five. Do you want to take a five minute break?
Five minute break.
Mrs. Gordon: This gentleman, Maurice, was promised that he could speak to the
same subject before when he was up on the trust item. I think it would be a court-
esy to hear him now before we break.
Mayor Ferre: We'll certainly hear you as soon as Mr. Plummer has the courtesy of
going to the bathroom. You wouldn't deny him that, would you? Ok. You wouldn't
either, Rose, would you?
Mis. Gordon: I wouldn't dare!
53
JUL 2 8197R
mama
Thereupon the City Commission took a five minute break and reconvened with
all Commissioners present.
Mr. Frank Albritton: Mr. Mayor and tneihbets of the Commission, my name is Frank
Albritton. What I would like to ask of you, l ain at this point a little bit con"
fused.
Mr. Plummer: Join the crowd.
Mr. Albritton: What is the process, and 1 don't mean this in disrespect...
Mayor Ferre: Well, I think whet has happened is first we heard the discussion
on the Trust and then we heard the public speak on that and then we heard the
three proposals that the management is recommending and we heard from them and
then we opened it up for anybody else who wanted to make a statement since this
is a public hearing on the general area and I think we're almost concluded on
that I hope after you've spoken for the second time. Now, I think beyond that
the Commission is going to, I'm going to close the public hearing of it and we're
just going to get to d point where the Commission asks questions and eventually
we're going to come to some kind of a conclusion on it and I hope it is not too
far away from that because we've been at it for five hours.
Mr. Albritton: Well, do you think you'll vote on it tonight?
Mayor Ferre: I think we're going to vote for it in just a few minutes after you
finish talking, I think.
Mr. Albritton: Do you all feel as Commissioners that, I'm sure you're all aware
of some of the controversies involved in the process and especially the way I
think the bidding procedure was handled and I don't understand all the technical-
ities of the bid or lease procedure but do you all feel that it is fair enough
in the Commissioners minds that we have explored all those discrepancies and all
the discrepancies have been brought to the forefront until we clearly know exact-
ly what we're voting on? And a point of reference is this: Mr. Treister mentioned
he was rather vague as far as the landside development. Now Mr. Meredith, and
just as a point of clarification because I'm trying to really understand what
they are dropping or what they are addressing to the landside in his last Commis-
sion Meeting Mr. Meredith said that he is dropping part (B) of his landside and
I'm sorry I think I have all the material here and I do not understand what part
of the landside is. I think that is just one question and then that begets
another and I'm just afraid that: maybe all the discrepancies have not been brought
to the forefront enough so to render an intelligent decision.
Mayor Ferre: I agree. Anything else?
Si. Albritton: Well, after the conclusion of thisswill it be your decision to
vote as far as what your procedure..?
M::;' e Ferre: I don't know what the will of this Commission is going to be. I
would hope that this thing would be brought to some kind of a conclusion one way
or the other this evening.
Mr. Albritton: And whatever your decision is that we will have time to came back
and reply or rebutt or will it be final tonight?
Mayor Ferre: I don't see that an awful lot of questions that are still up in the
air tnat have not been answered, Mrs. Gordon asked a whole series of questions,
Mr. Treister has made some questions and you just asked another one which goes
in conjunction with what he asked - they have to be answered. What I'm trying
to do is just get everybody to ask what they have to...
Mr. Albritton: As long as 1 feel that we will, I'm not wanting to take up more
of your time, but discuss these discrepancies in specifics rather than general
at maybe a later date and I would implore you that at this point it is so confus-
ing between what this is, what the Commission meetings, the meetings that I attend
on the Marine Review Committee and the proposals. I apologize but I don't under-
stand what the recommendations here would be. Thank you.
Mayer Ferre: You're not alone. A11 right, Mr. Bliss wants to speak. This is
your second time around.
Mr. Allen Bliss: This is only going to be three lines. When we heard the speakers
over here they were doing such a good job on whether it is going to be legal or
whether it is proper and I think you mentioned that the docks will be falling down
51
on Piet 5 before you reached a final decision. Everybody agreed that the Trust
could start right now, couldn't the trust start now and then you could still go
along and six months or a year down the road these people could straighten out?
Mayor Ferre: All right. This is your second time around.
Mr. Joe Taylor: I apologize for coming up here twice,
1 ino troduced
exmyself
selfobefn ore,
I'm Joe Taylor, commercial fisherman. We were supposed
ent
here today from the Department of Natural Resources to address some issues which
are pertinent to your decision here today on dockage. Unfortunately, he hasn't
arrived and, therefore, he can't speak. I would like to give you some information
of which you may or may not be aware of, in any event not having any department
who is able to function as a marine development organization I seriously doubt that
some of the things pertaining to commercial interests especially tomarine
oriented
interests. Now in the area of financing and development, whether you're aware
f
it or not special grants are being given and are available to develop commercial
dockage for fishing interests. Now in this sense what I'm saying is you could get
some free dockage out of this operation to provide commercial facilities
iattno
no
cost to the City if you would take advantage of these things.
case of a private lessee these funds simply are not available. Now since we're
dealing not simply with a resource that is engaged in supplying our tourist indus-
try we're dealing with what constitutes food, man's most basic need. We therefore,
have to address ourselves to things of this nature and while the City of Miami cer-
tainly can't assume the responsibility of dockage for everyone they do have a por-
tion of that responn,ibilit.y which they must provide and the federal governments
more than willing ana byvarious programs is able to put moneyinto these programs
thereby relieving the debt to the City. There are many things that could come out
of either a City management or a development management such as the Marine Trust
which we've been talking about here tonight, but there is a lot more to some of
these things that would not be available with a lease agreement. So I thought I
would like to bring that to your attention. Thank you for hearing me.
Mayor Ferre: Thank you, sir. I think now everybody has had an opportunity to
peak twice and what have you. So at this point I think we're through with the
public hearing section of it and we're just going to get the Commission's questions
and see if we can move along. (Continued next page)
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JUL 2 81978
Mayor Terre: Mr. Grassie, Mrs. Gordon asked you a series of questions a little
while ago and then Mr. Iaconis wanted them answered in the middle of the public
hearing and I was able to control that for a little bit and now I think he is
entitled, she is entitled to an answer and this is the time, Mr. Iaconis where
you'll get your answers.
Mr. Grassie: As I understand the question that was being asked, Mr. Mayor and mem-
bers of the City Commission, they related to a point made by Mr. Walker in which
he asked about the reasonableness of calculating income on the Dinner Key Marina
proposal by taking a year down the line, by taking a year in the future, after the
construction of new facilities was completed rather than taking the approach that
he preferred which was as I understand it to work on the guarantee from year one.
Nqw assuming that is the duestion,the answer with regard to the way in which the
financial result of these proposals was calculated was arrived at by the Hough Com-
pany. What they did was try to be as fair as they could to all of the proposals
keeping in mind that there is a great deal of difference between them, they're
not the same thing. They're not outlined on the same basis, even the devices for
financing are different. So what the company tried to do was having very differ-
ent proposals to work with and try to put them on a footing which would be more or
less fair to everyone they made a choice and the choice was to deal with average
income assuming that - especially if you're talking about a thirty year agreement
that is what is really a concern to the City Commission, also, particularly import-
ant since not all of the proposals said the same thing with regard to renovation
of existing facilities or construction of new ones. Now having that in mind their
choice was to try and put everybody on a uniform basis and to take a year down the
road for their calculation of. income. That was simply their financial judgement.
Rev. Gibson: Let me ask a question, Mr. Grassie. I hope I'm not misunderstood.
I heard that gentleman say something that bothered me from this written document.
I'm terribly worried. He talked about his money arriving at the figure from his
pocket and that another company talked about arriving at the figure from our pocket.
That bothered me. Isn't that what you said when you made your presentation?
UNIDENTIFIED SPEAKER: Basically, yes.
Rev. Gibson: All right. You know and that really bothered me because at that
point in time you were not using the same yardstick, one was a three-foot yard-
stick and another one was just one -foot and that bothered me.
Mr. Grassie: Well, there is a lot of truth in what you say in this sense, Commis-
sioner, in that the City C:omnission has asked that we give you an evaluation and
recommendations on an inch yardstick and a three foot yardstick and a ten foot
yardstick. You know you have asked us to somehow make some kind of an intelligent
recommendation with regard to things that are very different. We have tried to
Jo that.. What we have chosen as a device for comparing the money aspects of the
proposal is the professional judgement of the financial consultants for the City.
These are not consultants that I have chosen for this job, by the way, they are
the financial consultants that serve the City year in and year out. These people
established a model which tried to put all of the proposals on as uniform and fair
a footing as they could. Now I think that anyone may be able to quarrel with their
professional judgement hut I think that they tried to do this in an honest way.
Rev. Gibson: All right, let me put it another way. If you tell me that Theodore
Gibson, I'm going to do this job with public money I know at that point in time I
don't have to worry about hustling for the money and paying for it. Isn't that
right? Where is that professional firm? Sir, you in that striped suit over there,
both of you, you know this bothers me. I just don't like people coming in...
Mr. Grassie: In fairness, Commissioner, they're not the ones who are talking about
whether it should be private money or public money....
Rev. Gibson: But they are the people who gave you a judgement.
UNIDENTIFIED SPEAKER: Listen, I think we can clarify....
Rev. Gibson: Wait a minute, no, I'm going to ask you to clarify that that's why
I brought you up here. Look, what happened to me - now I'm a layman I'm not a...
You know this is a real business genius up here, Ok? He and Rose and Plummer and
Reboso. I'm not. Ok, listen to this.
Mr. Plummer: But you're the only one that's got any money!
56
JUL 2 8 "
Rev. Gibson: Let me tell you if I were offering a proposal coming out with my
money I have to C.Y.A. Okay? Oh, you know what that means.
UNIDENTIFIED SPEAKER: I think I understand.
Rev. Gibson: Now if I'm spending the City's money that's a different story. Ish't
that right? Now I want you to address the issue, that is tell me - I know what
you told the Manager, you know he understands that because he does that for a liv
ing. You explain to me so that:I could be intelligent, do you understand?
UNIDENTIFIED SPEAKER: I understand.
Rev. Gibson: And now make sure you deal with the proposal on the basis of using
taxpayers' money for our credit, make sure that you speak to the issue based on
their money. Okay.
UNIDENTIFIED SPEAKER: what we attempted to do again because the proposals that
were submitted were so different in their concepts both on what their planned ex-
penditures were going to be and also in their method of financing. The proposed
revenues to the City were also different, the schedules. Biscayne Recreation's
proposal was based strictly on gross revenues. So what we did when we created our
model is that we applied their formula based on gross revenues which means no ex-
penses were taken out, not debt service expenses nor operational expenses just
strictly gross revenue. So in the case the point that was made really is a mute
point because we never considered the type of financing that they were utilizing,
we looked strictly on a gross revenue basis for their particular example. We
created a bond issue only because - and this is in our model - one of the proposers
stated that they were going to use tax-free revenue bonds. They also stated that
the revenue to the City was going to be based on net revenues so we had to expense
out the operational expenses and also their expense to pay for the bond issue.
When we applied their formula we applied it on net revenues but the formula of
Biscayne Recreation, and the point that was made that we were comparing apples to
orangesreally is incorrect in this instance because we applied a gross revenue fig-
ure and that does not, that doesn't even consider the method of financing.
Rev. Gibson: Ok, let me say this - wait a minute, I want to pursue this because I
don't want him to think that I don't know how to count. A very interesting thing,
if you talk about net in my book that's after you've paid all your expenses. Who
in the devil is going to control that? How do I know whether they tell me the
truth? Now if you talk about gross it won't make any difference if I had $50,000,
it would be $50,000 and if you're talking about net you can have all the hidden
agendas that you can write in the book. That's what I'm trying to say and I'm
disturbed at the way, you know, as a layman. I'm disturbed.
UNIDENTIFIED SPEAKER: Well,the only thing we had hoped is that since it would be
using a tax-free revenue bond financing plan that there would be built in the nec-
essary safeguards to at least hopefully overcome, I can't stand here and say that
there isn't anyway in the world that you're going to be able to control the opera-
tional expenses and that sort of thing and be completely 100% guaranteed.
Rev. Gibson: Right, but you see what I'm saying to you is I don't have to worry
about their expenditure. Isn't that the way it is? But I must worry about the
other. Do you see what I'm talking about? As a layman, man, I don't need to go
to Harvard to learn how to count, I learned how to count at Booker T. You know?
Very simple.
Mr. Plummer: Father, what you're missing is if a person is dishonest they're going
to be dishonest on the net as they are on the gross because, Father, in the church
you never learned about a word called "skimming". Ok? So you can play with the
gross. We read about that in Vegas all the time.
Rev. Gibson: J. L., but you know I would hope that the people who come here to do
business with us would come in court with clean hands.
Mr. Plummer. Father, that's what I'm saying. If a person is basically honest, and
we're accepting that on the premise until we know different then we can be just as
honest on a net as we can on a gross.
Rev. Gibson: No, no, J. L.
Mayor Ferre: You know ladies and gentlemen, I think that we could spend I'm sure
the next three or four hours arguing that and many other technical points that I'm
sure are all very very important. We haven't begun to address the ecological prob-
lems, the econimic/financial considerations, the Public Trust considerations, the
51
fairness of one bid versus the other consideration, the alternates, I think we
still have questions that haven't been answered about the restaurants and where
they're going to be located if at all. We're a long long way from any kind of
a solution as I see it. Now, Mr. Grassie, what do you recommend, and then I think
we ought to open it up for the Commission, for somebody to start making some mot-
ions around here and get this thing moving one way or the other. What is your
recommendation at this stage of the game?
Mr. Grassie: One clarification and then the recommendation, and this addresses
what I think is a concern to Father. Gibson when he was talking about our money and
their money. The basic policy choice, Commissioner, is one which you have to make
I think based on whether or not you want to have the facility operated for 30 years
by someone - a private person - based on using their money or the alternative of
having public money used and then being able to sign either by doing it yourself,
by having the Public Trust concept do it or by using private lease management.
In any of those devices you can do something for a short period of time, a rela-
tive short period of time and the policy choice that was being offered you between
public and private money is the choice between doing something for five years or
thirty years and that is something that you would have to decide in terms of what
is more important to you. The recommendation that I was making to the City Com-
mission that it is more important for you to have the option of signing a short
term agreement with whomever than it is to have the advantage of using the private
money. That is simply a recommendation, not something you have to agree with obvious-
ly but that was the position that I was taking. It is more important that you have
the option of changing your mind within a period of five years than it is to simply
use the private money. Now, within that context the recommendation has been that
the City initiate negotiations with Biscayne Recreation on the management of Miam-
arina.
Mr. Plummer: Please state what is in your mind or in your recommendation, be more
definitive on short term.
Mr. Grassie: I would characterize short term, although it is negotiable, as being
roughly five years, that the City negotiate with Dinner Key Marina on the manage-
ment of Dinner Key because major reconstruction is involved there, we would prob-
ably have to have two agreements one which covered management and construction for
a period which I would hope would not exceed four years and then a short term agree-
ment after that. Third, we already spoke of the question of raising the money
f.::blicly in order to retain for the public the option of changing its mind with
regard to how the facility is run. That involves revenue bonds. Those are the
major recommendations. in addition we speak of the question of negotiating with
Coconut Grove Sailing Club and arriving at an agreement suitable to them and to
the City, also to the question of expanding moorings in the immediate future right
out here outside of Dinner Key and establishing an advisory committee of citizens
concerned not only with the immediate marina developments but also with the marina
facilities throughout the City. And this is in conjunction with the study that
— you authorized yesterday. Those things then constitute the basic recommendations
that we would make to you.
Mrs. Gordon: Mr. Mayor, first of all I favor the first approach being a thorough
investigation and I mean a total and complete investigation of the feasibility of
the public marine trust and I would so move.
Mayor Ferre: We have a motion on the floor, is there a second? There is a motion
on the floor is there a second to the motion? Is there a second to the motion?
Hearing none the motion dies for lack of a second.
Rev. Gibson: Mr. Mayor, I move you, sir, that we go to the position as we started
out of permitting one of these private - one, I didn't say the one you said either,
I'm talking about one of these private firms to go on and forthwith proceed to
renovate that dock that was promised years ago.
Mayor Ferre: Are you talking now about Dinner Key? He's talking strictly about
Dinner Key.
Rev. Gibson: I'm talking about this place here.
Mayor Ferre: Not Miaaia.rina.
Rev. Gibson: No, sir, this one here.
Mayor Ferre: Your motion is that the Manager be instructed to contract
of the private firms to renovate.
58
JUL 2 81978
Rev. Gibson: Renovate, bid, the intent was to build or rebuild whatever whether
it was to build or rebuild or renovate to do the work here first with one of the
private companies. Now whether you call that renovate partially and rebuild pat-
tially I don't care.
Mr. Reboso: Let me see if your motion is clear to me. One of the firms that we
select?
Rev. Gibson: Yes, one of the firms that we the Commission select.
Mayor Ferre: A11 right, there is a motion, is there a second? There iS a secon&
on the motion. All right, under discussion.
Mrs. Gordon: I heard a lot of testimony here tonight and I sat here as you sat
here for the past four hours and I think the majority of the conversation that I
heard tonight indicated a real serious concern on the part of an awful lot of peo-
ple for us at least to give a thorough airing to a concept that they believe in
thoroughly and I heard Mr. Paul's comments and I didn't take them as lightly maybe
as some of the rest of you did but I think his comments indicated that there won't
be no development done on the Dinner Key docks by any private individuals or manage-
ment companies because there is going to be a suit placed against anything that you
might propose to do there in that manner and I'm not going to be a party to any of
this that you're going to go along with. I'm going to thoroughly vote against it
because if at least you have investigated or would be willing to at least give a
thorough study to the concept of a public trust then if it proves to be not feas-
ible and you went the other route nobody could fault you for it but you're not giv-
ing it a chance.
Mayor Ferre: Mr. Plummer?
Mr. Plummer: That was not Mrs. Gordon's motion. Now you know I started this even-
ing off at the conclusion of the presentations of the trust by saying that I thought
that their proposals should be evaluated. That's an awful lot different, Rose, than
investigating the trust.
Mrs. Gordon: I said an in depth study of the Public Marine Trust as to its feasi-
bility. Now I don't knew how else you could word it. If you want to word it other-
wise I'll second your motion.
Kr. Plummer: Well, there is already a motion on the floor, Rose, which is in order.
But under discussicn let me say that I still firmly believe that in fairness to me
for an intelligent vote 1 think that I have heard this gentleman here somewhat al-
ready disagreeing with what was proposed this evening. Now I would like to have
the benefit of the thinking of people that are much more learned than I am to eval-
uate this proposal. And I don't see any reason that both of these motions can't
be compatible. Ok?
Mrs. Gordon: How can you tie it up with private hands?
Mr. Plummer: Very simple, negotiations does not mean completion. You can evaluate
the trust and the motion is very broad.
Mayor Ferre: Hey, J. L., listen.... We all want to go to heaven but nobody wants
to die and you know it just has to be, you have to vote your convictions whatever
it is. You have to say it like it is. Now if you believe then fine.
Mr. Plummer: Mr. Mayor, for you to get to heaven you've got to buy your ticket
from me.
Mayor Ferre: I don't quite agree with that.
Mr. Plummer: You're right, because I can only sell you a ticket to another place.
Mayor Ferre: You assumed a lot of responsibility on that one, Mr. Plummer.
Mr. Plummer: No, because you'll never make it to purgatory. Mr. Mayor, what I'm
saying, Father's motion did not specify a company - well yes it did it specified
private. I'm sorry, it is not compatible. I'm sorry.
Mayor Ferre: We have a motion and we have a second and we're under discussion.
Mrs. Gordon: It may not be exactly to the motion if you'll permit me, Mr. Mayor.
Mayor Ferre: Go right ahead, Rose.
59
J U L 2 81978
Mrs. Gordon: Just to ask Mr. Plummer a question and also since I offered the
motion and apparently the wording didn't please Mr. Plummer at the time, I won-
der if My fellow commissioners would let us go back to that point in time.
Mayor Ferre: You have the maker and the seconder of the motion, if they want to
withdraw the motion it is up to them. ... Rose wants you to withdraw the motion
so that she can rephrase her motion about the question of the study of the trust..:
Mrs. Gordon: Because Plummer didn't like the way I had worded it apparently.
Rev. Gibson: Rose, I love you. It won't make any difference how you word that
motion I'm going to make a motion to proceed. Look, we've been here all these
years promising these people that we're going to improve these facilities. I
want to say to you what I would say to a parishioner, you would be better off
doing this work now and immediately or simultaneously move to study the public
trust so that if you give these people a short term lease whoever they are
you would have investigated and explored and be ready not only for this piece of
land but any other land then you move on. All right, here is what you do. You'll
be investigating the public trust and then you end on up spending all of that
time - time will be lost. 1 want to see this facility improved forthwith. That's
where I am. Now if you want me to withdraw knowing I'm ready to make the motion
over again I'll defer to my fellow Commissioner with the full understanding that
you know that's where I'm going. Now you tell me. I'll be polite, my mother
taught me.
Mayor Ferre: Are you withdrawing the motion?
Rev. Gibson: Wait a minute, I want an answer.
UNIDENTIFIED SPEAKER: Rev. Gibson, there is now $250,000 in a fund to improve
Dinner Key. Why has it now been developed? We are standing ready as a committee<
to meet with the administration and say this is what you should do with it.
Rev. Gibson: Mr. Dixon, at thi, point in time I'm going to listen to my fellow
Commissioner and let her respond.
Mayor Ferre: Mr. Dixon, if we start doing this everybody is going to want to
speak and I've closed off the public hearing, I did it out of courtesy I didn't.
want to be rude to you but please. It is in the hands of the Commission now so
let's...
Mrs. Gordon: J. L., word it the way you would like to have it.
Mayor Ferre: Well wait a moment, are you withdrawing your motion?
Rev. Gibson: No, sir, not until she tells me what she wants.
Mrs. Gordon: Well, I want him to word it because I'm satisfied if he'll word it
it is ok with me.
Mr. Plummer: Very simply, Father, to evaluate and report back to this Commission
the proposal presented this evening by the trust.
Mrs. Gordon: Ok, and ]'11 second that motion.
Mayor Ferre: I'm afraid that you're not going to be able to do that until Father
Gibson withdraws his motion if he wants to.
Mr. Plummer: If he doesn't he doesn't, that's all.
Rev. Gibson: Everybody knows where I stand. To me it is an activity in futility.
Let me say why I'm not willing to recant. You need to understand I told you ear-
lier. Look, you had your day, we listened to you attentively. I never interrupted
you. See, all my friends now want to tell me what I ought to be saying. Look,
when we started out here we started out with the fu1.1 knowledge, no trust was
ever mentioned. This is what I keep saying. Now I said to you that if you do
this work I would offer the motion the very next minute that you go ahead and
evaluate and explore trusts and after you know you get this fixed up you've got
all these other pieces of land to be fixed up. I said you could then evaluate
whether or not you want: to put the rest of it, this and all the rest of it in a
trust.
60
JUL 2F 1978
Mayor Ferre: May I remind my fellow members of the Commission that it doesn't
really much matter which way you make this motion because at this juncture as I
see it the vote is two to two and, therefore, the chair has the final and decid,-
ing vote. So you do it any way you want.
Rev. Gibson: Well all right, I'll withdraw. Listen, I'll be a gentle man and
withdraw.
Mrs. Gordon: That's what I call a smart Man. J. L., make the motion and I'll
second it.
Mr. Plummer: Rose, I don't have to make the motion if you say the authorship
is not important and I just want to put one thing on the record one more time.
Mr. Mayor, I don't want anybody to walk away from here under any misconceptions
that I am in favor of the trust hut I think to make a vote intelligently we must.
have all of the information. So if you want a motion my motion is very simple:
It would be a motion to the administration to surrender the proposal made here
this evening by the trust, the same people that he surrendered the private pro-
posals for evaluation pitd report back to this commission.
Mrs. Gordon: Ok, and second that and under discussion, Mr. Grassie, could
you tell me how much money you have in the fund that's set aside for improvements
to the marina?
Mr. Grassie: We have, Commissioner Gordon, $100,000 of improvement work which
has been waiting for over a month now to go out to bid waiting for this process
to get accomplished. We have, the last time I saw a report it was just under
$200,000 total.
Mrs. Gordon: And that is the intention to proceed to do this maintenance work
that has to be done because that's probably all you can do with that much money?
Mr. Grassie: Very frankly, it has been designed, bid specs are ready...
Mrs. Gordon: Ok, that ought to make Father Gibson feel better because he is very
concerned that gentleman is going to fall through again lose some more food.
Mr. Grassie: The only reason we're holding it is because of the obvious adverse
reaction if we're talking about going out on lease and making improvements just
before we go out on lease. Aside from that we're ready to go.
Mayor Ferre: Mr. Grassie, as I understand it you stand on your recommendation
that we proceed on a short term basis with the private sector and you want the
authorization to start negotiations to come back to the Commission at which time
we're going to go through this all over again I would assume.
:Mr. Grassie: That is correct, that is my recommendation.
Mayor Ferre: All right, is there any further discussion on the motion as pre-
sented? Call the roll.
The preceding motion introduced by Commissioner Plummer and seconded by
Commissioner Gordon failed to pass by the following vote -
AYES: Mr. Plummer and Mrs. Gordon.
NOES: Mr. Reboso, Rev. Gibson and Mayor Ferre.
Mayor Ferre: Now I'll pass the gavel over to the Vice -Mayor and I'd like to be
recognized to make a motion. I'd like to make the following motion: That Mr.
Grassie be instructed to proceed with negotiations on a short term -management
contract for Miamarina with Biscayne Recreation for the operation of that partic-
ular property and this is a management operational contract and I move that.
Mr. Reboso: We have a motion on the floor.
Mayor Ferre: ... No...from number one, that Biscayne Recreation for the opera-
tion of Miamarina. In other words they will operate Miamarind. That's where I
am.
Mrs. Gordon: I want to ask Mr. Knox a question. Did you get a setond?
Mayor Ferre: No.
61
JUL 281978
Mr. Reboso: We have a motion on the floor. Hearing no second the Motion dies
for lack of a second.
Mayor Ferre: I move that the... I'm sorry, Father.
Rev. Gibson: Mr. Mayor, I move that the manager be instructed to negotiate With
Biscayne Recreation for carrying out of this work here.
Mayor Ferre: Who?
Rev. Gibson: Biscayne Recreation for the carrying out of this work here.
Mr. Reboso: Excuse me, Mr. Mayor, `.)ut are we not going to follow the same pro-
cedure we have always used in selecting and put one, two and three?
Mayor Ferre: I'm perfectly willing to do and vote any way that the majority of
this Commission wishes to vote. I'm recognizing people to make motions, if they
get a second we can put it to a vote, if we don't they die and then we go on to
the next one. Now I've answered your question, do you want to propose that as
a way to vote? I'll accept that after this motion either passes or fails.
Rev. Gibson: I will ...
Mr. Reboso: That we vote in Dinner Key on one, two and three.
Rev. Cibson: Yes, I'll go that.
Mr. Reboso: Ok, I second that motion.
Mayor Ferre: You're seconding his motion that Dinner Key be developed b
cayne Recreation?
Mr. Reboso: No, write one, two or three by whomever we select.
Mayor Ferre: Now let's see what we're voting on now is procedure.
Mrs. Gordon: Somebody is going to get snookered.
Mayor Ferre: Now we're voting on procedure, is that correct?
Rev. Gibson: Yes.
Mrs. Gordon: Mr. Knox...
Mr. Reboso: It is the same procedure we have....
Mayor Ferre: Excuse me Rose, we have a procedural motion here and that is the
Commission proceed to vote on Miamarina and Dinner Key?
Rev. Gibson: No, I want to deal with this one first. This is where my promise
was made, here.
Mayor Ferre: The motion is that with regards to the Dinner Key area of the marina
that the Commission vote by the selection of the three proponents on the basis of
one, two and three and that the number one selection would get three votes, num-
ber two selection gets two votes and the third selection gets one vote and that
the company who has the majority of the votes on a clear basis be selected as the
developer for that particular property. Is that correct, Father Gibson?
Mr. Plummer: It's called roulette elimination.
Mayor Ferre: That's the sense of the motion, is that correct?
Mr. Reboso: We have to call the roll to see if...
Mayor Ferre: To see if we're going to follow that procedure, Your number one'
selection gets three, number two gets two and the third one gets one vote.
Rev. Gibson:
Mayor Ferre:
always voted
And number one gets three.
That's right. In other words it's a diminutive the same way we've
here, the procedure we've...
62
JUL 281978,
Mts. Gordon: Mr. Mayor, May 1 get a legal question answered before this goes
any further, please?
Mayor Terre: Yes, I'll recognize you in a moment now.
Mr. Reboso: Call the question.
Mayor Ferre: No, because Mrs. Gordon has a legal question which 1 think she is
entitled to ask. I want to make sure that's the sense of your motion, Father
Gibson.
Rev. Gibson: In other words you're telling me - let me make sure - I put down
number one, number two, number three and number one gets three votes.
Mayor Ferre: That's right.
Rev. Gibson: All right, I'll buy that.
Mayor Ferre: The way we've always done it here.
Mr. Plummer: Wait a minute, Grassie is going to throw you all into a tizzy.
Mr. Grassie: Mr. Mayor, if you are accepting the recommendation with regard to
short term leasing then the Ecclestone Company would not be willing to partici-
pate so in that case you have only two proposals.
Mayor Ferre: I assumed that that was the case.
Mr. Grassie: They have not shown up and they would not be interested
a short term.
Mayor Ferre: I assumed that was the case.
Mr. Grassie: So you have Dinner Key Marina and you have Biscayne Recreation with
regard to Dinner Key.
Mrs. Gordon: Mr. Knox, may I ask you a question now? You heard Mr. Dan Paul's
comments and I want you to respond to his statements which said that we would be
placing ourselves in legal jeopardy if we proceded to lease this property to any
private interest whether it be in a management contract or in a lease, so would
you speak to that please so the records will reflect that we have been advised
of our legal procedure and our legal possible jeopardy or relieved of any jeop-
ardy by your statements.
Mr. Knox: There is a legal distinction between a management agreement and a
lease agreement. The Constitution of the State of Florida provides that no
government entity, specifically no municipality may enter into a joint venture
with a private corporation and there are exceptions. One of the exceptions is
if this joint venture is undertaken for a public purpose and Mr. Paul when he
made reference to Article B, Provisions of the Constitution he omitted any refer-
ence to the fact that there is a permissibility within the Constitution where
these activities are undertaken for a public purpose.
Mayor Ferre: So the answer is that legally the City of Miami can contract for
the management of a facility like a golf course or a marina, is that correct?
Mr. Knox: That is correct.
Mayor Ferre: Any other legal questions, Mrs. Gordon?
Mrs. Gordon: No, but the record now has the reflection, Our attorney gave an
opinion for whatever you wish to do at that point.
Mayor Ferre: A valid question, good. All right, on the motion of Father Gibson
seconded by Commissioner Reboso on procedure, further discussion? Call the roll.
JUL 28 1978
Mr. Ofigiet Rev. Gibson.
Rev, Gibson: Yes.
Mrs. Gordon: No.
Mr. Plummer: What the motion is ..that we follow the Normal procedure we a1wayt.
have in voting?
Mayor Ferre: No, it's a
Mr. Plummer:Yes.
(BACKGROUND COMMENTS)
Mayor Ferre: Yes.
Mr. Ongie: Mr. Reboso.
Mr. Reboso: Yes.
Mr. Ongie: Mayor Ferre.
(MRS. GORDON INTERJECTS): Let my "no" vote not reflect that Idon't want to
follow normal procedure, if I were in favor of following that procedure..my
"no" vote reflects the fact that I am not interested in the leasing of the
property or the contract for management,that I'm interested in pursuing the
concept of operating and managing the property through a public Trust.
Mayor Ferre: She has already voted, she was just making a statement on her
vote. The other one that hasn't voted is me. And the vote now is three to
one, so obviously this is passed, and in casting my vote, which is negative,
I want to explain that the situation we have before us is not the normal selection
of a contractor or architec or the development of a piece of property, or a
building, or some other thing of that nature. What we have before is a an extremely
complicated matter dealing with all types of ecological questions, and all types
of terms that have not been property delineated, and I think before we bring it
to a vote, those things have to specifically placed, and the Manager has to be
given specific instructions, which is exactly what I have been trying to do, and
I am perfectly willing to go right down the line as I have been saying all along
Mr. Plummer,so don't throw up your hands.
Mr. Plummer: But you didn't incorporate that in you motion. You had the floor
and made a motion, and....
selection of the...
Mayor Ferre: I started with number one, and,..if I would have ended up with
number seven. I was going to accept all of the Manager's recommendations. Now
my position is very clear,..so you know,..you cast your vote, you are entitled
to your opinion. I am giving you the reason as to why I cast a no vote. I vote no.
Now, we are back to the question of the selection....
(BACKGROUND COMMENTS)
Mr. Plummer: Yes, but what I am trying to say ,...
Mr. Grassie: You are on the prevailing side.
Mayor Ferre: Plummer, you,...
Mr. Plummer: 1 am trying to ask for a clarification if it is all right.
(INAUDIBLE)
Mr. Plummer: Based on this, I have no choice, I have to go to affirm. Mr. Mayor
I am sorry that I am going to throw even more confusion, but I will plead my
ignorance as to the confusion existing here, that I am a part of it, but I would
not be in favor, by my previous vote would indicate, of naming a firm this evening
prior to my first motion, and that was to have an evaluation of the trust.
Mayor Ferre: You lost.
Mr. Plummer: I understand that sir. I am saying that that is an indication of
IIIIIIIIIIIIIIIIIIIIIIIIIII11IIIIIIIIIII11IIIIIIIIIIIIIIIIII1IIIIIIIIIIIUII■1IIIIIIIIII
my feeling: 1 would prefer to recast My Vote, and I am told that t can,
doing such my hand will not be forced this evening to name a firm.
Mrs. Gordon: Right. Congratulations.
Mr. Plummer: When Rose congratlates me I know I am in trouble.
Mayor Ferre: Well, the fact is we have done th impossible. We are on both sides
of the issue at this point.
Mr. Plummer: No. The issue to me Mr. Mayor, because you know my basic philosophy
but I want to tell you my basic philosophy in case anybody misses it, is that I
don't like to see the city in competition with private enterprise. Now, that is
No. 1. But Mr. Iaconis in his presentation made some pertinent points this evening
that I think have merit and I want it either discounted or not, and I am not smart
enough to do it, and I'll tell you so, and I would want to be in a position of not
naming anyone until such time as that evaluation has been done. Mr. Mayor I must
change my vote which, not unfortunately, would be on the prevailing side to not
use this method of voting.
THEREUPON THE PRECEDING MOTION introduced by Rev. Gibson and
seconded by Commissioner Reboso failed to pass by the following
vote:
AYES: Mr. Reboso and Rev. Gibson.
NOES: Mrs. Gordon, Mayor Ferre and Mr. Plummer.
Mrs. Gordon: Then the motion fails. Are we open for another motion?
another motion?
Mayor Ferre: The motion has failed.
Rev. Gibson: Then you mean that we are not going to vote tonight.
Mayor Ferre: That's right.
Rev. Gibson: That's what you mean.
Mr. Plummer: Father exactly what I'm saying because my first motion so indicated
that we not vote until we have all of the facts.
Rev. Gibson: No, no.Plummer listen,..Plummer listen,...you know, I want to make
sure I understand you. If you tell me you don't want to vote that's one thing.
Now when you say you don't want to use this method of voting, that's not the
same thing.
Mr. Plummer: Father if I use the method as proposed, I am forced,because I
cannot abstain.
Rev. Gibson: No, no.Plummer, what I am saying is, if you want to change your
vote, don't talk about you don't want to use the method because we aren't using
any method now that we haven't been using since I've been on the Commission.
Mr. Plummer: You're wrong, Father.
JUL 281978
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Rev. Gibson: If you're saying that don't want to vote until you get infortatioii+
that's a different story.
Mr. Plummer: Well, that's what I said in my first motion that failed.
Rev. Gibson: Then make a motion to that affectand you know but you see, Plummer,.
you mislead the public.
Mr. Plummer: No.
you don't... Look, if you say you are not going
Rev. Gibson: Yes you will if to vote on this method now because the method is simply the method that we have
used by getting all the contractors around here.
Mr. Plummer: I agree.
s
Rev. Gibson: Now, so all I want you to dOso that we don't look bad I ou want to wait until you get hope
alllof the
that you withdraw your vote and say that y
information.
Mr. Plummer: That's right.
Rev. Gibson: All right, that's a different story.
Mrs. Gordon: J. L., I think it is proper that we should offer the motion that
you offered before but then incorporate into ithe
eservationsarectheethe Mayor or has
s
with regards to the ecology and that wayall questions
Mayor and you and I,can be answered.
Mr. Plummer: Yes, well you know Rose, by the motion of the Mayor I can make a
lot of points that have not been answered. If we go the route that Mr. Grassie
is proposing and that is to go on a short term lease with a private company, and
I must admit that appeals to me. Ok? ... No, I can't without all the informa-
tion. Mr. Crassie, I've got to know from you and from the Mayor if he is the
maker of the motion (1) what are you going to negotiate. Is it going to be ex-
panded to 500 spaces or just re -doing what is there? Is there going to be a rate
increase, decrease or nothing? All of the things....
Mayor Ferre: I would like to remind... Mr. Grassie, before you answer that I
would like to remind Commissioner Plummer like in all contracts the Manager goes
and negotiates with the party that we have selected then he comes back with a
recommendation half of which we don't pay any attention to half of the time
so as witnessed the Dolphins and witness the Orange Bowl and many many other
things. Now he is going to come back with some recommendations as to how we're
going to solve this problem. It may be that he may come back and say, "I've
come to an impass, I can't come to an agreement with Biscayne Recreation" or
"They won't accept a four year contract" or God knows What. And then he has to
come back here with his recommendations. I would extend the public hearing
gs urhere
poses, all the questions have to be answered. Kenny Treister is going
at every single meeting, I don't know where heisbne ow,
mere kaingvg su1eerymthatent the
tremast-
ke
isn't there. The Sierra Club is going to
sure that the outer island is not going to be used. You're not going to want it
dredged, you don't want something else and you want the thing repaired, the wood
repaired and the other one wants the electrical box changed and all of these
things are going to have to be satisifed before we get
to the
a final line. Thve-
is long point is, ladies and gentlemen, that this community9
ment in our marine facilities. The point is that the City of Miami has been for
whatever reasons going back incapable of doing it. The point is that we philo-
sophically accepted the premise that we were going to go out to the private sec-
ack
tor toz 4threcommendations end to sdwe whichere onesowegto shouldme select aand have the nd then eithernacceptt
analyze ,
66
JUL 2 8197a
his recommendations or go another direction. That doesn't mean that Dan Paul
isn't going to have his say in court or Sokolsky isn't going to have his refer-
endum and you're not going to have whatever you're going to have and so on. And
that is just life you know. That is the way the ball bounces. That is the way
these things go and the point is that if we continue floudering in what we're
doing we're going to end up doing nothing, those piers are going to continue
to rot, we're not going to have any new direction in this thing. It is long
overdue. It is long overdue for us to move along and do something about the
improvements. Now my only problem, Father Gibson and Manolo, on your motion
and the reason why I voted against it is that I think you are putting the cart
before the horse and I think that that is why I recommend strongly to you that
we follow the procedure that has been outlined by the Manager. That does not
mean this is a final, now if you don't wish to choose Biscayne Recreation and
you want to substitute somebody else that's fine. We can do it at that point
but that's a question you see which in my opinion is secondary and not primary
at this point.
Rev. Gibson: But Mr. Mayor, if I followed the Manager's recommendation listen
to what you're telling me to do. You don't give me a choice. Read the Manager':
recommendation into the record for the public.
Mayor Ferre: I'm perfectly willing - I've already done that.
Rev. Gibson: No, no. Evidently we aren't talking about the same thing. Read
what he says.
Mayor Ferre: "After considerable evaluation of the proposals that were presented
to the City for the management of Miamarina and the development and management
of Dinner Key and after a thorough evaluation of the separate alternatives of
..e-- creating a marina trust to be responsible for all marina development and opera-
tion within the City the recommendation of the City Manager is as follows:
(1) The City immediately proceed to negotiate" not to finalize, to negotiate,
"short term management contract with Biscayne Recreation for the operation of
Miamarina. (2) That the City begin negotiations with Dinner Key Marina, Inc.
on a construction/management contract..."
Rev. Gibson: Wait a minute, let me interrupt you. I'll tell you what, you put
Biscayne number cne and that other one number two and you may get me voting.
That's what I'm saying. Look, my concern is if these companies are capable as
the Manager says it is, you know I remember the history of voting around here.
I remember how we voted on that police station down there. Look that's where
we differ, Mr. Mayor.
Mayor Ferre: I didn't follow you. Do you mean you want to vote on #2 first and
then # 1?
tev. Gibson: You sae, all I did is I nominated who I wanted and I was willing
to vote on every item the Manager recommended.
Mayor Ferre: Well why don't we just start with one and end up with seven? That's
what I'm trying to do.
Mrs. Gordon: Mr. Mayor, may I ask you what it was that you stated before when
you voted no you had a concern about? Will you repeat what your concern was so
I might make a note of it?
Mayor Ferre: Well, Rose, if you're asking that seriously...
Mrs. Gordon: I'm serious, I just want to remember, I'm losing all of you because
you're flip-flopping back and forth I don't know where you are, where you're com-
ing from.
Mayor Ferre: My position is abundantly clear. I am willing to take a position
and to vote. I think that we have to as far as I'm concerned first of all vote
on the structure of this as to what it is that we're instructing the Manager to
do and secondarily on the decision as to who is going to do it. I don't want to
do it in reverse which is to say who is going to do what, I mean who is going to
get Dinner Key and then go and define what it is that they're going to do in Din-
ner Key. I mean that to me is absurd. I think we ought to take one at a time
the first one - and I don't mind reversing it - the first one here is Miamarina.
What is it that we're going to instruct the Manager to do? All right? And then
we vote on that. Okay? Because I've got a lot of if's, I want to put a lot of
67
conditions on it and then after that we select who it is that is going to do the
job. Okay? Then comes the next one, Dinner Key and we're going to put in all
the Conditions as to what is going to_happen in Dinner Key then we select who
is going to do the job. And as far as I'm concerned I'm willing to go on it tight
now.
Rev. Gibson: Let me respond. You know I'm not as smart as I think I am some-
times, I'll leave all the provisions the Manager has in what he has there. When
I nominated that other company whatever the Manager said that that other company
was to have done the company that I nominated the same rules and regulations the
Manager stipulated would have prevailed. That's what I'm saying but what I want
to make sure the public understands is,I'm not ready to accept.
Mr. Grassie:
I wonder, Mr. Mayor, if I could....
Mayor Ferre: Murray, in the interest of perhaps trying to, I'll tell you if you
speak I have to open this up to everybody else, has an equal right to speak.
Now that means another hour here. I mean it's got to be that way. ....
Hey wait a minute, Mr. Iaconis, there is no way I can let you do that without
opening this up to everybody else.
Mr. Grassie: Mr. Mayor, I wonder if it might help your present discussion if you
were able to turn to page 14 where we list the companies in question. I simply
wanted to remind you of one of the things that we talked with you about the first
time and you I believe agreed with and that is that if you decide to select pri-
vate companies with whom to negotiatelthat you ought to select....
Mayor Ferre: Wait a minute, Mr. Grassie. Mr. Plummer, do you want to say it into
the microphones so it is on the record?
Mr. Plummer: Yes. Look, maybe I'm trying to define myself but Mr. Mayor, and
Mr. Manager, I find myself in a very difficult position because I was the one
who initially proposed this many many moons ago to get this thing out of the
derelict condition that it is in and get something that we can all be proud of.
We have a disagreement on how much it is going to be but that's healthy. Let me
tell you what I'm willing to vote upon right now. Okay? I'm willing to vote to
send everything to you to negotiate but before you make a recommendation back to
this commission I am most insistent that I must have the facts back on the trust,
I've got to discount that in my mind as not being a viable alternative.
Mr. Grassie: We can give you that, Commissioner.
Mr. Plummer: Ok, now if you can say to me that you can turn this proposal by
the trust over to Hough and they can come back in a couple of weeks with an answer
to the Commission and I can have the opportunity to review their recommendations,
their evaluations I don't want to slow the process down because philosophically
I say I don't like the City in competition with private enterprise but I've got
to discount the fact that the credibility of the trust is not there. I can vote
to send it to you for negotiation, I can vote for that. Okay? And you know so
there is no kidding around that's probably the way I'm going to go.
Mr. Grassie: Then following up on that could I simply remind you of what we
talked about the last time. We have only two companies left for Dinner Key and
two companies left for Miamarina. What we suggested to you the last time was
that you vote first on the companies for Dinner Key, that being a more important
problem and that you not give both locations to the same organization. So I'm
simply reminding you of that because you have fewer choices that you had before
and if you proceed in that order then you know you'll end up with even fewer.
Mrs. Gordon: Mr. Grassie, may I ask you a question? And that relates to how
you reached your conclusion with regards to your recommendations, if you don't
mind please to tell us, how did you reach a conclusion on the recommendations
and how you would proceed to negotiate, with whom would you negotiate?
Mr. Grassie: Are you asking the question with regard to what I just aaid7
Mrs. Gordon: To that and also to your previous recommendations that if, in fact,
the majority of this commission were to ask you to negotiate who would you be
negotiating with?
Mr. Grassie: I would start in the order that I have listed them, that is for
Miamarina Biscayne Development Company first, since Ecclestone has dropped out
68
New World Marinas next. In the case of Dinner Key, Dinner Key Marina first,
since Ecclestone has dropped out Biscayne Recreation Development next.
Mrs. Gordon: Why would you pick that order? Why did you select that order, that's
what I want to know.
Mr. Grassie: Well, the answer to that question, Commissioner, is the burden of
the 60 or 70 pages that we gave of of both the Hough Company and the staff evaluat
tions have come to tt_at conclusion. And in discussions with both my own staff
and with Hough representatives who are our financial advisors I have agree with
the tenor of all of their work and made the recommendation to you.
Mrs. Gordon: But isn't it true that in their evaluation they evaluated it on the
basis of private money versus revenue bonds which, in fact, is not a fair evalua-
tion because it isn't the case. If you're both going to be on revenue bonds then
the total of revenue will be changed for the Biscayne organization.
Mr. Grassie: Well, but it will be improved.
Mrs. Gordon: It will be improved but then why would you want to still negotiate
with Dinner Key Marina as number one choice because if was evaluated on the basis
of the revenue bonds Biscayne would be a better revenue producer than the other
one? It's a fact.
Mr. Plummer: No, Rose, I don't agree with that because he has already asked each
and every company if they would accept his proposal and part of his proposal is
the City bonds that they have accepted.
Mrs. Gordon: Yes, they have accepted it but their revenue will be greatly enhanced
if they are going to use the revenue than this report indicates. This is not a
_rue report based upon the facts as they stand tonight. I believe the fair and
honest thing for us to do would be to do nothing tonight and it is after 10:00
O'Clock and we should go home and we should come back after you as the Manager
have re-evaluated together with theHough company the proposals as they're now
structured and at the same time give us a true in depth evaluation of the trust
and you don't need a motion to do that.
Mayor Ferre: You know where we're going now on this thing? Nowhere. And what
is going to happen is that we're going to end up just floundering around doing
nothing.
Mr. Grassie: No, I don't think, Commissioner, Gordon, that what you have said is
true in terms of what can be accomplished. Now if what you're saying is that you
want us to negotiate with both companies at the same time to determine from whom
we can derive the best agreement that is very difficult for the companies. You
know they're not going to like that very much.
rlrs. Gordon: No, sir, I didn't say that I just said you should go back and re-
evaluate this report. This report is based on a premise that doesn't exist any-
more.
Mr. Grassie: Mrs. Gordon, please. One of the things that I've tried to impress
on you a little earlier is that you have asked us to evaluate proposals that are
very different. Now in order to try to do that for you intelligently we have made
a model assumption. We've tried to keep things as fair and as equal as possible.
What you're asking me to do is to go back and evaluate the proposals making my
own assumptions about what these people are willing to do. What I'm saying to
you is that that is not reasonable. The only way I can do that is to talk with
them and ask them whether they agree with what I think they should do. Now the
only way that I can do that for two proposals is to negotiate with the two compan-
ies at the same time and I'm willing to do that if they are but in the private
sector that is a very difficult situation to get yourself into.
Mayor Ferre: I don't know how in the world you can do that. Are you going to
accept something like that, Paul?
Mr. Walker: I don't understand what it is I'm supposed to do.
Mayor Ferre: Well what they're talking about is to negotiate with both of you
simultaneously on both of those marinas. We can't do that.
Mrs. Gordon: I believe that is not what I was stating. What I was saying was
that in this analysis there was a form developed for a comparative. That forth that
was developed was based upon one company providing private capital which meant a
69
higher interest rate and the other one was going to be provided with capital by
revenue bonds which was going to have a lower cost factor and also an interest
creating factor which was going to be given to them as a credit. Now, I'm saying
that if, in fact, their financial structure were to be changed to a public fund-
ing and that they were given credit for interest that was going to be accruing to
the reserve then their basis would be higher than the basis of the other firm that
you made as a number one choice.
Mayor Ferre: There are no motions on the floor at this time and I want to know
what the will of this Commission is because it is 10:15 and this is absurd. We
ought to come to a conclusion one way or the other.
Mr. Plummer: Well why don't you, you were going to make a proposal.
Mayor Ferre: I already have, Plummer, do you want me to make it again?
Mr. Plummer: You were going to make your proposal, Mr. Mayor, and add your stip-
ulations to it and I have expressed to you that I have no problems with sending
it to the Manager for negotiation as long as I have a report back in two weeks so
that I can have the evaluation of the trust.
Mayor Ferre: I'm sorry I was slow. I pass the gavel over to the Vice -Mayor and I
am about to make the following motion and I'll take it on Dinner Key first so that
we don't hav€ any problems on that. I move that the City Manager be instructed
to negotiated with "X", which we will determine next, a contract for a management
contract for Dinner Key, a construction management contract for Dinner Key not to exceed
four years and an additional short term operating management contract for the en-
tire facility provided, however, that before he comes back to the Commission that
he have a committee made up of members, one each appointed from the Sierra Club,
the Audubon Society, Friends of the Everglades - that ought to be enough - to
make sure that those environmental Conditions that are important be considered. Further,'
more, that the contract delineate specifically the usage of all property including
the bait shop, any possible usage of any other property on land, that it be fully
expressed at a public hearing which I'm going to continue this public hearing so
that whenever you come back with whatever the contract is that it can be thoroughly
reviewed in public one more time, that the Law Department thoroughly review the
legal aspects of it to make sure that it i; constitutional in nature, that it does
not violate any of the basic laws of Florida and that if the Law Department feels
that it needs outside legal aounsel,that it be authorized to so retain outside
legal counsel and lastly, two more things, that the Hough Company be requested to
review one more time the proposals and come back with further recommendation and
lastly that the Users' Committee as presented by Mr. Dixon and Mr. Iaconis, that
they be requested to make a relatively small Users' Committee to act as an advisory
group to the administration on this item. Now, I think I have covered everything
that's been discussed tonight.
Mr. Plummer: Is it then understood since it is not in your motion that the Hough
Company is going to do an evaluation of the trust?
Mayor Ferre: J. L., I think you know if you want to vote on that issue you have
that....
Mr. Grassie: We can do that, there is no reason why we can't.
Mayor Ferre: I have no objection to it, that's fine. That's fine. You know we
may end up .... We're going to do that as soon as we vote on this and then we're
going to put this item up for a vote on the selection of who one and two is going
to be.
Mrs. Gordon: Why don't you put it in the same motion?
Mayor Ferre: No, because I think they are separate items. I want to get this
established, and then I think we are ready to vote on the selection. All right.
Thgt's the motionthat I Wet,
Mr. Reboao: We have a motion.
Mr. Plummer: I have no problem with that. I'll second the motion.
Mayor Perre: I call the vote. Mr. Chairman I call the vote.
Mr. Reboso: Did you say that after the vote we are going to select?
70
JUL 2 8 79'$
The following motion was introduced by Mayor Ferre, who moved its
adoption:
MOTION NO. 78-532
A MOTION AUTHORIZING AND DIRECTING THE CITY MANAGER TO NEGOTIATE
WITH A COMPANY (AS STIPULATED IN M-78-533) FOR A CONSTRUCTION
MANAGEMENT CONTRACT FOR THE OPERATION OF DINNER KEY MARINA FOR A
PERIOD NOT TO EXCEED FOUR (4) YEARS PLUS AN ADDITIONAL SHORT-
TERM OPERATING MANAGEMENT CONTRACT FOR THE ENTIRE FACILITY; PRO-
VIDED, HOWEVER, THAT BEFORE THE CITY MANAGER COMES BACK TO THE
CITY COMMISSION WITH SUCH CONTRACT, HE ESTABLISH A COMMITTEE COM-
PRISED OF ONE MEMBER EACH, APPOINTED, FROM "THE SIERRA CLUB,"
"THE AUDUBON SOCIETY," "FRIENDS OF THE EVERGLADES," ETC., TO MAKE
SURE THAT THOSE ENVIRONMENTAL CONDITIONS THAT ARE IMPORTANT BE
CONSIDERED; FURTHERMORE, THAT THE CONTRACT DELINEATE SPECIFICALLY
THE USAGE OF ALL THE PROPERTY, INCLUDING THE BAIT SHOP, AND ANY
OTHER USAGE OF ANY OTHER PROPERTY CN LAND, SO THAT IT MAY ALL BE
FULLY EXPRESSED AT A PUBLIC HEARING WHEN THE MANAGER'S RECOMMEN-
DATIONS ARE PRESENTED; THAT THE LAW DEPARTMENT THOROUGHLY REVIEW
ALL LEGAL ASPECTS TO MAKE SURE THAT THEY ARE CONSTITUTIONAL IN
NATURE AND NOT IN CONFLICT WITH FLORIDA LAW. FUTHER, AUTHORIZING
THE LAW DEPARTMENT TO RETAIN OUTSIDE COUNSEL IF THEY DEEM IT
NECESSARY, AND FURTHER DIRECTING THAT THE HOUGH COMPANY BE RE-
QUESTED TO REVIEW THE PROPOSAL ONE MORE TIME INCLUDING THE PRO-
POSED CREATION OF THE "MIAMI WATERFRONT TRUST," AND THAT THEY
COME BACK WITH FURTHER RECOMMENDATIONS TO THE COMMISSION. LASTLY,
THAT THE "USERS' COMMITTEE", AS REPRESENTED BY MR. DIXON AND
MR. IACONIS BE REQUESTED TO MAKE A RELATIVELY SMALL USERS' COM-
MITTEE TO ACT AS AN ADVISORY GROUP TO THE ADMINISTRATION ON THIS
ITEM.
Upon being seconded by Commissioner Plummer, the motion was passed and
adopted by the following vote:
AYES: Mayor Ferre, Rev. Gibson, Mr. Plummer and Vice -Mayer Reboso.
NOES: Mrs. Gordon.
ON ROLL CALL:
Mrs. Gordon: I vote no, I previously stated my objections to the procedure and I
state it again.
Mr. Plummer: I vote yes as long as I have the assurances that the trust is going
to be evaluated.
Mayor Ferre: Now, since we have only two firms I don't see that we have to go
through any procedure of voting on a piece of paper, it is very simple. One of
those firms is going to get three votes so I'm open for a motion.
Mr. Reboso: But Commissioner Gordon said that she votes no, that means that you're
not voting at all? ...
Mr. Plummer: Whatever name is put up, she would vote no twice.
Mrs. Gordon: When the time comes for me to vote I'll make my wishes known.
Mayor Ferre: Ok. The chair is now open for a motion.
Mr. Plummer: Mr. Mayor, I'll make a motion that we follow the recommendation of
the Manager in relation to Dinner Key, to send it for the purposes of negotiation.
Mayor Ferre: Now what are you talking about, Item #2?
Mr. Plummer: For Dinner Key.
Mayor Ferre: You're saying that the selection of Dinner Key Marina, Inc.?
Mr. Plummer: Yes, sir.
Mayor Ferre: A11 right, there is a motion on the floor to that effect, is there
a second? Is there a second? Par the last time on Item #2 which is the selec-
tion of the management firm for the Manager to negotiate on Dinner Key Marina; Inc.
I'm asking if there is a second on that motion. All right, there is no second on
the motion. For lack of a second on the motion it dies. There is only one firm
left, who is going to make the motion?
71
JUL 2 81978
Rev. Gibson: Mr. Mayor, I'd like to nominate Biscayne Recreation to do the work
down here.
Mayor Ferre: There is a motion on Biscayne Recreation to do the work at Dinner
Key on Item 4$2, Dinner Key Marina. You make a lot of assumptions, Mrs. Gordon,
and most of the time they're rather low blows that have no sense and are personal
in nature and I resent it. Now I know it is late in the evening and you don't
know what I'm going to do.
Mr. Reboso: I second the motion.
Mayor Ferre: There is a second on the motion, without further discussion, that
the Dinner Key Marina Le given to Biscayne Recreation on a management contract
basis and that the Manager negotiate as for the previous motion and come back to
this Commission. Further discussion, call the roll.
The following motion was introduced by Commissioner Gibson, who moved its.
adoption:
MOTION NO. 78-533
A MOTION AUTHORIZING AND DIRECTING THE CITY MANAGER TO NEGOTIATE
WITH BISCAYNE RECREATION COMPANY A MANAGEMENT CONTRACT FOR THE
OPERATION OF DINNER KEY MARINA PURSUANT TO CONDITIONS CONTAINED IN
IN M-78-532.
Upon being seconded by Commissioner Reboso, the motion was passed and
adopted by the following vote:
AYES: Rev. Gibson, Mr. Reboso and Mayor Ferre.
NOES: Mrs. Gordon and Mr. Plummer.
ON ROLL CALL:
Mrs. Gordon: I'm not voting for any companies tonight, I've stated it before and
I state it again.
Mayor Ferre: A point of order on this, Mr. City Attorney, as I remember the Char-
ter all members of this Commission have to vote on items unless they have a speci-
fic conflict of interest.
Mrs. Gordon: I voted, I voted no.
Mayor Ferre: Oh, Ok.
Mr. Plummer: I indicated before I'm going to follow the recommendations of the
Manager and the Hough Company, I would have to vote no. I am in favor of Biscayne
for the other facility.
Mayor Ferre: My choice is to go with Dinner Key Marina, Inc. but if I vote no on
this we're going to be back to ground zero. In the interest of getting this, I
really don't think that it makes that much of a difference which one of these firms
get the Dinner Key Marina contract. I think they are both qualified, I have no
problems in getting the Manager, obviously I asked on the other thing, the vote
was very clear so there is no question about it. So at this point I vote with the
motion. Now, Mr. Manager, you are instructed to proceed in negotiations and see
what happens on that and we'll see what comes back. ... What? ... All right.
Now obviously you can't come I assume, members of the Commission, that the order
from this Commission is that the Manager proceed to negotiate first with Biscayne
recreation and secondly with Dinner Key Marina, Inc if you can't reach an agree-
ment with Biscayne Recreation. Is that correct? Father Gibson? Members of the
Commission, do I understand this correctly? Ok. Now with regards to the Miainarina
I assume that the same requirements of the previous motion are there., in other
words all the considerations both of an ecological, legal nature and so on. Ok?
Mr. Reboso:
Mayor Ferre:
Mr. Reboso:
Rev. Gibson:
Are you open for motions'.
Yes, I'm open for motions.
I move the new world marina for miamarina.
I second the motion.
Mayor Ferre: Now there are two firms that are competing on that, Mr. Manager.
Mr. Grassie: The other
ber one recommendation,
recommended to you that
firm, Mr. Mayor, is Biscayne Development which was our num-
however, that also conflicts with the fact that we also
you not give both facilities to the same company.
'72
JUL 2 81978
Mayor Ferre: Well, what is your feeling on this New World?
Mr. Grassie: I think that they are the most innovative of the three proposals
that we got, however, simply taking their proposal at face value they were the
lowest return to the City but in terms of what they had proposed to do we were
very pleased with them. In other words the innovations that they proposed were
very worthwhile.
Mayor Ferre: So in other words you would agree as you did on the other that you
can negotiate with either one of these firms?
•
•
Mr. Grassie: Yes, since you've already selected Biscayne Recreation I think that
I would have to be obliged to recommend to you that the second facility go to Wew
World Marinas, Inc.
Mayor Ferre: All right, call the roll.
• The following motion was introduced by Commissioner Reboso, who moved its
• adoption:
•
MOTION NO. 78-534
A MOTION AUTHORIZING AND DIRECTING THE CITY MANACER TO NEGOTIATE
WITH "NEW WORLD MARINAS" A MANAGEMENT CONTRACT FOR THE OPERATION
•
OF MIAMARINA.
Upon being seconded by Commissioner Gibson, the motion was passed and
adopted by the following vote:
AYE;: Mr. Reboso, Rev. Gibson and Mayor Ferre.
NOES: Mrs. Gordon and Mr. Plummer.
•
1
•
•
•
•
ON ROLL CALL:
Mrs. Gordon: This vote that I vote no does not have a reflection on the capabil-
ities or abilities of the firm, my objection is only based on the fact that I don't
want to lease or give or let management contracts on any of our marina lands.
Mr. Plummer: I vote no simply because as I said before I'm following the recom-
mendation of the Manager and the Hough Company and I like the proposal of this
side of the front seat and I'm sorry but I have to vote no on this.
Mayor Ferre: All right, what else is there to come up before this Commission at
this time, Mr. Manager?
Mr. Grassie: There is nothing that has to come up, 1 know that it is late,
would ask...
fayor Ferre: Well, we have the Coconut Grove Sailing Club.
Mrs. Gcrdon: Mr. Manager, we have to vote on this franchise resolution which we
delayed....
Mr. Grassie: Yes, we have the franchise resolution, there is one more thing with
regard to marinas that I would ask you. I would like to invite bids for at least
$100,000 worth of improvements so that we can get that on your agenda for Dinner
Key the first meeting of September. I would like to be authorized to go out for
those bids. Keep in mind that we are talking about a process that involves public
money now. We have the trust fund set aside which can only be spent to improve
Dinner Key and we would like to be able to go ahead and do that. We'd like to be
able to take bids on that.
Mayor Ferre: On which again?
Mr. Grassie: On Dinner Key on the Dinner Key Marinas to spend about $100,000 to
improve that facility.
Mayor Ferre: How can you improve that facility if you may be knocking it down and
building a new....
Mr. Grassie: The kind of thing that has to be done as a safety question.
They are really safety items, Mr. Mayor.
Mayor Ferre: You mean we have to go spend the money and then tear it down?
73
JUL 281978
MERV
Mt. Grassie: No, we're not going to spend it where you're going to teat it down.
Mayor Ferre: Oh, 1 see. Tell me what the motion is that you want us to pass
authorise you to spend a hundred...?
Mr. Grassie: Well, it is just the question of whether we can go but to bids to
do necessary short-term improvements.
Mrs. Gordon: Mr. Iaconis?
Mayor Ferre: Mrs. Gordon, please, you are out of order, I will recognize you
after we get through with this. My God you have to interrupt everything! Now
Mr. Manager, would you finish the statement so we can get off of this and then
I'll recognize Mrs. Gordon.
Mrs. Gordon: It is only for information, Mr. Manager, it's not to interrupt you.
Mayor Ferre: Would you finish, please?
Mr. Grassie: The question I was asking the City Commission was whether you would
like us to go out with the short-term maintenance that needs to be done on the
piers at Dinner Key. We have $100,000 that has already been deigned and we would
like to get that work started, we'd like to have it on your agenda for the first
meeting of September if you approve.
Mayor Ferre: So you're asking for the sense of the Commission. Is there a motion
to that affect?
Mrs. Gordon: Do you have any objections to my asking for some information?
Mayor Ferre: No, go right ahead.
Mrs. Gordon: Mr. Iaconis, would you answer a question if I pose it to you,
sir.
Mayor Ferre: As long as it is in reference, Mr. Iaconis.
Mrs. Gordon: In relation to the $100,000 expenditure.
Mayor Ferre: That's right.
Mrs. Gordon: And before I vote on it I need to have some expert opinion. In
your knowledge of the condisthe
thatmarina
expenditwhat
re weneeds
haveobeenbe dasked towould
you make your statement withregard to
approve?
Mr. Iaconis: Yes, ma'am. We have already talked to Mr. Grassie to hold up on a
temporary basis until there was some discussion as we had tonight. There are
some pilings as I understand it, there is some work that should be done
butdnote
to the extent of $100,000 worth as I have read the request for proposals
bid structure. Our suggestion in terms of what we would do is to find out what
is going to happen with either the private leases or the trust or whatever was
going to happen and then if that were the case if there is going to be a total
renovation according to one leaser then that expense for $100,000 would be essen-
tially wasted. There are some items, there are X-number of pilings but not 165
as outlined that Ere totally for safety reasons...
Mayor Ferre: Well, let's do it this way, Mr. Grassie, why don't you do it in con-
junction with the committee of Mr. Dixon and Iaconis and the users, which is what
they are, and if they have any major disagreement1then you will hold that up until
the Commission can discuss it.
Mr. Grassie: Certainly, we're really trying to respond to CommiSsioner Gibson's
concern that we get some work done and if the users feel that they would like to
have that postponed that's no problem.
Mrs. Gordon: Bring it to us at the fist meeting in September.
Mr. Grassie: Fine.
Mayor Ferre: Fine.
Mr. Grassie: Now we do have the formalization of the Sell Franchise ResolUtift
that we would like to put in front of you:
Mayor Ferre: Wait a moment, we haven't voted on this thing, don't you wart
motion to this affect?
NOTE: Commissioner Reboso left the meeting at 10:30 O'Clock P.M.
Mr. Grassie: Certainly if you wish.
Mayor Ferre: I assume you want that because... Father Gibson moves, Plummer
seconds that the Manager be instructed to start coming up with the recommendations
for improvements on the Dinner Key Marina and do it in conjunction with the Users'
Committee and come back to this Commission with a resolution at the next meeting
in September. Is that correct?
Mrs. Gordon: You mean a recommendation, Maurice?
Mayor Ferre: With a recommendation and a resolution so that we could vote on it
to get the improvements under way.
Mr. Grassie: Are we talking about a bid award?
Mayor Ferre: I would imagine if you can come to an agreement with Mr. Iaconis
yes you can come to a bid award.
Mr. Grassie: Well, with the Users' Committee I don't know whether we can agree
with Mx. Iaconis or not but certainly...
Mayor Fexre: Who is the Chairman of the Users' Committee?
Mr. Iaconis: When you say Users' Committe, are you talking about the Marina
Tenants' Association?
Mayor Ferre: Yes, the Marina Tenants' Association.
Mr. Iaconis: That's an interesting question. I would say that.
Mr. Plummer: Who's got the longest straw.
Mr. Iaconis: Mr. Plummer, I'm sure you've won many bets on that.
Mayor Ferre: What is the answer to that?
Mr. Iaconis: Let me say that Mr. Dixon and I have represented the Marina Tenants'
Association in the past...
Mayor Ferre: Well, until I hear otherwise from the Marina Tenants' Association
of Dinner Key I assume that you are the authorized representative. If that changes
then....
Mr. Iaconis: I can say this, I am one of the authorized representatives of the
Marina Tenants' Association. Mr. Dixon is the immediate past President.
Mayor Ferre: Who is the President now?
Mx. Iaconis: Ok, the President has floated away so at this particular point..
Mayor Ferre: You'd better get the tenants together....
Mr. Grassie: I'll talk to the officers, Mr. Mayor, whoever the officers want to
serve.
Mayor Ferre: Whoever the President and the other officers are that's who you deal
with.
Mr. Iaconis: I am an official pier representative and Mr. Dixon has assumed the
responsibility.
Mayor Ferre: Mr. Iaconis, we're not going to get into that that's up to the ten-
ants to decide who they want representing them ...and come back to us.
75
EL
JUL 2 81978
The folid)Wihq Motion Was introduced by Commissioner Gibson, who Moved its
adoption:
MOTION NO, 78-535
A MOTION INSTRUCTING THE CITY MANAGER TO COME BACK TO THE CITY
COMMISSION WITH A RECOMMENDATION FOR IMPROVEMENTS ON "DINNER KEY
MARINA" IN CONJUNCTION WITH THE "USERS' COMMITTEE" AND TO DO SO
BY DRAFTIDG SAME IN THE FORM OF A RESOLUTION TO BE CONSIDERED
AT THE FIRST COMMISSION MEETING IN £EPTEMBER.
Upon being seconded by Commissioner Plummer, the motion was passed and
adopted the following vote:
AYES: Ri "ibson, Mrs. Gordon, Mr. Plummer and Mayor Ferre.
NOES: Nom.
ABSENT: Mr.
oso.
SPECIAL COMMISSION MEETING
INTENT FOR USE OF REVENUES
8. CONFIRMING SOUTHERN BELL FRANCHISE
RESOLUTION:
Mayor Ferre: What else do you have, Mr. Manager?
Mr. Grassie: The formalization of the resolution that you asked for yesterday
having to do with designating purposes for the Bell Franchise funds if these
are adopted by a referendum vote. What this does is incorporate all of the pro-
visions that we had outlined to you before with regard to a specific project
and it also incorporates language suggested by Commissioner Gordon having to
do with the first 1% being within the discretion of the City Commission to de-
vote to the reduction of property taxes, in essence an offset against the prop-
erty taxes. Now that is the first 1% and it is a portion of it which would be
discretionary with the City Commission.
Mrs. Gordon: I'll move it. This addresses itself to a multitude of uses that
this could be put to, all of the public purposes, all of them that would be nec-
essary and also would reduce the Ad Valorem tax bite on the City to some degree.
Correct?
Mr. Grassie: That's correct, Commissioner.
Mayor Ferre: I'm going to tell you something, this is completely and totally
different from what this Commission talked about and I specifically took my
copy and wrote on it and that's not what this thing says. Now I'm not voting
for this. This is not what we wrote and I gave it to you in writing. It said
Ad Valorem reduction or and then improvements or products and this is not that
at all. Now what goes on around here?
Mr. Grassie: Are we talking about the add -on second and third percentages?
Mayor Ferre: Have you read this, sir?
Mr. Grassie: Yes, I have. It is a more complex question than can easily be
resolved doing it in the middle of another meeting. If we do anything about
the wording of the language on the 2nd and 3rd percentages we have to change
your ordinance, we have to change the language that you have approved for the
ballot already, we have to go back to Southern Bell and get their agreement to
it and you know that just can't be done between now and 20 minutes from now.
What we have done is the thing that is possible. We have tried to accomodate
your request, Commissioner Gordon's request and we've given you flexibility with
regard to the first 1% because that is not addressed by the new vote.
Mayor Ferre: All right, ok, now I understand. All right, Mrs. Gordon move&,
Gibson seconds, further discussion on this resolution as presented? Call the
roll.
76
AL 2 81978
�EIN1IIIIIIIIIIIIIIIIIIIIIIIIIII■ IIIIIIIII IIIIIIIIIIIIII11111imi■iit
The followin9 resolution Was introduced by Commissioner Gordon, who t,oPed
its adoption:
RESOLUTION NO. 78-536
A RESOLUTION DECLARING THE INTENT OF THE CITY COMMISSION
THAT PART OF THE SOUTHERN BELL FRANCHISE FEES FROM THE FIRST
ONE PERCENT (1%) BE USED FOR THE DIRECT REDUCTION OF AD
VALOREM PROPERTY TAXES WITHIN THE CITY OF MIAMI; AND THE
FURTHER INTENT OF THE CITY COMMISSION THAT ALL SOUTHERN BELL
FRANCHISE FEES IN EXCESS OF ONE PERCENT (1%) BE USED FOR THE
PURPOSE OF PROVIDING FINANCIAL BACKING OF PUBLIC CONSTRUCTION
REVENUE BOND ISSUES, AND FOR PROJECT FEASIBILITY STUDIES,
INCLUDING NEIGHBORHOOD COMMERCIAL REDEVELOPMENT BUSINESSES
AND MINORITY PARTICIPATION IN CERTAIN AREAS OF ECONOMIC
STRESS IN THE CITY, AND THE IMPROVEMENT OF SPORTS FACILITIES
WITHIN 'IHE CITY AND VARIOUS PARKING GARAGES AS NEEDED THROUGH-
OUT THE CITY.
(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 Rose Gordon
Commissioner J. L. Plummer, Jr.
Commissioner (Rev.) Theodore Gibson
Mayor Maurice A. Ferre
NOES: NONE.
ABSENT: Commissioner Manolo Reboso
Mayor Ferre: Mr. Grassie, there has been no discussion tonight on the Coconut
Grove Sailing Club and I assume that when you come back you will address that
issue at that time.
Mr. Grassie: That is correct.
this public hearing is continued until such time as you
are doing here is we are continuing the public hearing
meet on the same subject and I'm sure we'll be back.
Mayor Ferre: And that
come back. So what we
until the next time we
Mrs. Gordon: Also, may I ask a question, Mr. Grassie, these
negotiations
asat you're
going to carry on, are not going to carry on any the upland
all,
correct?
Mayor Ferre: That's correct.
Mr. Grassie: My understanding is that the upland areas are not part of what we
are considering at this time. We're talking about the marinas.
Mrs. Gordon: Ok, just the marinas, the improvements in the water.
Mr. Grassie: That is correct and boat related things like the Dockmaster's, you
know anything that is related to the marinas.
SPECIAL COMMISSION MEETING
JOYCE
9' PERSONAL APPEARANCEt ContinuingH.aroblems in
DAY CARE CENTERS
Ref- •d 1-
Mayor Ferre: I'm sorry to do this but Joyce Lynch has been here all day for six
hours waiting to be recognized on the day care centers and I promised her that
I would and I didn't do it on purpose, Joyce, I recognize you at this point. Go
ahead. And in the future speak out a little bit sooner because it was just com-
pletely slip of my mind.
Mr. Plummer: I'm not going anywhere, I'm waiting.
Ms. Lynch: Good. All right, well we were just wondering if anybody decided that
they wanted to listen.
Mayor Ferre: We want to listen, Joyce, I'm sorry. It has been a long couple of
days, we were here until 1:00 O'Clock last night, we're very tired. You know
these ere emotional moments when people argue about things. I know how upset
you are and how important it is to you so go ahead. Mr. Grassie, this Commission
Meeting is not over. Mr. Walker, do you mind, sir? I'm sorry but we're still
in session and I've called this as a special session to hear Ms. Lynch who has
been here five or six hours waiting to be heard on the day care centers. Go
ahead.
Ms. Lynch: What we're talking about tonight is fraud and child abuse. Ok?
Mr. Plummer: Let me sit down first.
Ms. Lynch: Do I have your attention now?
Mayor Ferre: Oh my God.
Mr. Plummer: Now tell us you were kidding.
Ms. Lynch: I'm not kidding.
Mayor Ferre: Those are very heavy words, Joyce.
Ms. Lynch: I know they're heavy words and maybe I now have your attention in
order to discuss it because five months ago when we came to you in February and
we started saying there were problems in the day care centers and then in May
you waived your magic wand and said "We'll create a new department and the child-
ren will be fine." Mr. Plummer, you're smiling and I have to admit it, you're
right because obviously Mr. Grassie, you did intend to do away with the day care
centers. What we saw as a preliminary budget no centers can run on. When the
City Commission made a commitment to the Haitian children and the Day Care Prog-
ram is not even planning to have an Edison Little River Day Care Center for next
year this is what has come to pass. When yot. promised the Department of Leisure
Services without any extra overhead in administration, what T saw in the Office
of Budget and Management was not what I would call inexcessive administration.
What we're talking about, and I just want to get down to basics, we asked you
for grass and Mr. Grassie said no grass ar.d we didn't get it. We asked you for
a bus, Mr. Grassie said no bus and we didn't get it. We asked that the CETA
people be removed, the Human Resources audit said the additional people that are
clogging up the centers should be removed and we didn't get it. Robbie Chandler
tried to stand up here and talk to you and you said you'd give her a hearing and
she didn't get it. Now today we are faced with a situation that is the worst
yet. An administrator has been named because she has come out to each of the
centers individually and announced that she has been named to the new position
of Day Care Administrator and this woman has effectively continued a vendetta
not only against myself but my organization as well and I am going to tell you
the names of seven people now that I guarantee you will be fires within four
weeks with the same tactics that were used to fire the previous Day Care Adminis-
trator and I want this for the record. There were seven individuals who were
involved in the Day Care Central Office and Centers Supervisors and I'm going to
name them now: Nellie Humphrey the Supervisor from Shennandoah Day Care Center,
nyrka de Llanos who used to be the Parents' Coordinator, Wilhelmina Black who
Eat
a
used to be the Assistant Administrator for the Department, Beatrice Hudnell who
is the Center Supervisor now at Moore Day Care Center, Joanne Ellis, a Social
Worker and Elinor Dixon the former nurse who is now the Assistant Social Worker.
These people within the last ten days have received within a minimum of two to
four memos of reprimand and they're being set up and I'm telling you right here
and now in public form by the time you get back in September these people will
be gcne and they don't have Civil Service due process because they're not Civil
Service employees and they are being gotten rid of right now. Now, we asked
that we would go back to Leisure Services because of Mr. Howard, we had a meet-
ing with Mi. Howard. He did not recognize the Parents' Coalition, however, the
Dinner Key Cruising Club can use the facilities of the Captain's Room in the
Parks and Recreation Department without any charge. The Parents' Coalition has
requested the use of the Day Care Centers and we were told that we would be
charged every time that we wanted to use the Day Care Centers to discuss the
Day Care Program. Now this is only the beginning. I don't want to harrass you
anymore tonight but this situation has got to be stopped or we'll close the
centers. You gave us hope and we walked away just at that Meeting on May 25th.
You said everything is going to be solved. Well it isn't solved and it is get-
ting worse and it's two days ago Carmen Evans said that my children shouldn't
be in the Day Care Centers in the City of Miami because I made too much money
and they should be in a private center. This is why your day care fees aren't
higher because you're effectively eliminating middle class participation in the
Day Care Centers. It seems that there is a definite move on to make this a
Title XX low income program which completely destroys the philosophy of the
program. And when my kids first started in this center three years ago I chose
the program among private centers because of that philosophy. Now what we've
done is destroy the program and that's exactly what we told you in March. So
when you come back in September the budgets are going to be signed and sealed
and we're going to have to fight with organizations in the community for Federal
Revenue Sharing Funds and we're not going to get it.
Mayor Ferre: Mr. Graysie?
Mr. Grassie: Yes, sir.
Mayor Ferre: I really think, and I hate to put this burden on you because I
know you have the budget and you have all of these problems but this has really
become a major major problem for the City of Miami, at least I perceive it to
be that. I may be wrong and maybe Ms. Lynch is exaggerating, I don't know. I
think she has a tendency to do that because you start off your statements by
saying that you want to talk about child abuse and you know child abuse....
Ms. Lynch: Let me tell you what happened as far as child abuse.
Mayor Ferre: You know that is kind of a strong statement to start off with.
Ms. Lynch: There were teachers fighting in Shennandoah Day Care Center on Mon-
day using profanity, using word:: like shit, damn and a few others that are more
choice than that in front of children and they were not reprimanded.
Mayor Ferre: Well Ok, I think we really have to bring it to a head and try to
solve this thing and see what's going on. And if she's out of order and if she's
wrong then I think it is encumbent, I don't want to hear it anymore from Mr.
Parkins or Mr. Al Howard or anybody else, I want to hear it from you. You tell
me, and I for one have no question that you're going to tell it like it is which
you always do. Now would you lock into this thing personally and come back to
this Commission? You just tell us.
Mr. Plummer: That's all well and good. Ok? And I want to tell you something.
I personally have faith in Mr. Grassie but Maurice, to ask Mr. Grassie to do
such when Joyce is convinced that the man is trying to destroy the program is
not the answer. Now I see two sides. Ok? I see two sides. Whatever Mr. Grassie
comes back with and tells me, whatever he says Joyce is convinced that the man
is trying to do away with the program.
Ms. Lynch: No, I'm not saying that I'm giving you facts. Other groups are
allowed to use City facilities without paying and we because of our feelings
are being charged. This is a fact. This is a meeting with_Mr. Howard.
Mayor Ferre: You know I don't know, I'm not accepting what Mrs. Lynch is saying
as being fact. If it is a fact, if that kind of language is being used by
teachers I just don't think that there is any place in the City of Miami Child
79
J IJ L 2 81978
Cate Program for people ttat ran:lot control their tempers or whatever and resort
to that type of tactic. 'There is just absolutely simply no excuse. And if that
happened then I think we have to know about it and we have to know what is going
on. Who is running this program? Who is disciplining, who is setting the pace,
where are we going?
Mr. Plummer: Well, I'm going to tell you something, Ok? You know I've come the
full picture scope of the from being known as anti -Day Care to somewhat coming
to the totally opposite side. I want to tell you something, here's where I'm
at. I'm at the point where either Mr. Grassie, as I say I have faith in what
he says, comes back with a full report and gives me every assurance that this
is what's going to be or :'m going to make you a motion to close them completely
and totally start from scratch. Now let me tell you something, if I've got to
send my child and expose shim to possibly alleged what you say or not send him
I'm going to keep him home. Now Ok?
Ms. Lynch: Exactly. Fine..,
Mayor Ferre: Is there anything else you want to tell us at this point, Joyce?
Ms. Lynch: There are otL r thi.r,gs but the point is....
Mr. Plummer: Well let me tell you what to do so we don't have to drag this
thing out any further. I would appreciate that you make every one of your
points in writing tomorrow and you hand those to Mr. Grassie so that when he
does an investigation for this Commission he can address every one of those
points. But I want to tell you something, Joyce.
Ms. Lynch: Fine.
Rev. Gibson: Tomorrow is Saturday. Say Monday,...
Mr. Plummer: I'm sorry, Monday is correct.
Ms. Lynch: What we woui_. ] ike cio is be in on the investigation.
Mr. Plummer: Nc, abs iu`.. Y not. I want you to make your points and I want to
•
let him do the investigation,
Mayor Ferre: No, absc ,n;t=].Y not, Joyce. This is something that is in the Man-
ager's hands. Let the Manager case back and tell us. We're not going to ...
Ms. Lynch: Fine, we'll mare specific points, specific allegations in writing
to yourselves and the. :` Mana'je^ .
Mr. Plummer: Fine, I have no problem with that.
Mayor Ferre: All right.. is there anything else to come up before this Commis-
sion at this time?
Mr. Plummer: Wait a minute, yes, what about Mr. Krause?
Mr. Grassie: Well, Mr. Krause wa:.4 here for three hours but....
Mayor Ferre: Yes, but :'J1 tell you in all fairness to Plummer, Plummer wanted
to bring it out and I sail, "O. L., let's wait until the end of the meeting."
It was my fault, I apologize, we'll have to take it up next time.
There being no further business to come before the City Commis-
sion, the meeting was adjourned at 10:50 O'Clock P.M.
ATTEST:
Ralph G. Ong.i.e
CITY CLERK
Matta Hi.nac
ASSItTANT CITY CLERK
80
Maun.ice A. Fenne
MAYOR
JUL 281971
r
CITY OF MIAMI
DOCUMENT
INDEX MEETING DATE:
July 28, 1978
ITEM NO
1
3
4
DOCUMENT IDENTIFICATION
COMMISSION
ACTION
RETRIEVAL
CODE NO.
0010
COMISSION AGENDA AND CITY CLERK REPORT
CALLING AND PROVIDING FOR A SPECIAL MUNICIPAL ELECTION
TO BE HELD ON THE 5TH DAY OF OCTOBER 1978 FOR THE PUR-
POSE OF SUBMITTING TO THE QUALIFIED ELECTORS OF THE
CITY OF MIAMI FOR THEIR APPROVAL OR DISAPPROVAL A
MEASURE KNO4N AS ORDINANCE NO. 8840
AUTHORIZING THE CITY MANAGER TO ACCEPT AND RECEIVE BIDS
AND AWARD CONTRACTS FOR THE "ORANGE BOWL -LOWER PRESS
BOX -REFURBISHING -PHASE I AND GATE 14 TICKET OFFICE RENO
VATION-1978".
DECLARING THE INTENT OF THE CITY COMMISSION THAT PART
OF THE SOUTHERN BELL FRANCHISE FEES FROM THE FIRST ONE
PERCENT (1%) BE USED FOR THE DIRECT REDUCTION OF
AD VALOREM PROPERTY TAXES WITHIN THE CITY OF MIAMI
R-78-530
R-78-531
R-78-536
78-530
78-531
78-536