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HomeMy WebLinkAboutR-09-0180Vop City of Miami Legislation < U R �O Resolution: R-09-0180 File Number: 09-00345 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com Final Action Date: 4/2/2009 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), AUTHORIZING A LOAN IN THE AMOUNT OF $800,000 FROM THE CITY OF MIAMI ("CITY") TO PARROT JUNGLE AND GARDENS OF WATSON ISLAND, INC. ("PARROT JUNGLE"), TO (1) ALLOW PARROT JUNGLE TO RETAIN A MINIMUM OF 400 EXISTING FULL-TIME JOBS, (2) SECURE THE CITY'S INTEREST AND OBLIGATION UNDER THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT SECTION 108 LOAN MADE TO PARROT JUNGLE, AND (3) PROTECT THE CITY'S COMMUNITY DEVELOPMENT BLOCK GRANT FUNDING; SUCH LOAN TO BE ON THE TERMS STATED ON EXHIBIT "A" ATTACHED AND INCORPORATED; AUTHORIZING THE CITY MANAGER TO EXECUTE THE NECESSARY DOCUMENTS FOR SAID PURPOSE. WHEREAS, the City of Miami ("City") entered into a Lease and Development Agreement with Parrot Jungle and Gardens of Watson Island, Inc. ("Parrot Jungle") on September 2, 1997 for an initial 45 year term with a 15 year option period ("Lease") for that certain real property located in the City, on as much as 18.6134 acres commonly known as Watson Island ("Lease Property"); and WHEREAS, on January 9, 2001, Miami -Dade County made a Department of Housing and Urban Development Section 108 loan to Parrot Jungle in an amount of $25 million for the construction and operation of the Parrot Jungle and Gardens of Watson Island Project ("HUD Loan"); and WHEREAS, on July 10, 2007, by Resolution Number R-07-0405, the City Commission approved an assumption by the City of an 80% interest and obligation in the HUD Loan; and WHEREAS, Parrot Jungle has created more than 400 full-time jobs in the City, in part due to the City's Community Development Block Grant ("CDBG") funding, which will be lost without an intervention by the City; and WHEREAS, the City is willing to loan Parrot Jungle $800,000 ("City Loan"), allocated from the City's General Fund Reserve Account, to (1) allow Parrot Jungle to retain a minimum of 400 existing full-time jobs, (2) secure the City's interest and obligation under the HUD Loan made to Parrot Jungle and (3) protect the City's CDBG funding; and WHEREAS, Parrot Jungle shall repay the City Loan in monthly installments of $16,667 per month for 48 consecutive months beginning 90 days after full execution of the loan documents between the City and Parrot Jungle; and WHEREAS, the City shall disburse the City Loan to Holland & Knight, LLC as escrow agent pursuant to an escrow agreement that requires that the escrow agent disburse the funds: (i) only to the Miami -Dade County Tax Collector, and (ii) together with other funds which, when aggregated wit City of Miand Page 1 of 2 File Id. 09-00345 (Version: 4) Printed On: 6/5/2017 File Number: 09-00345 Enactment Number: R-09-0180 the City Loan, are sufficient to pay the totality of real estate taxes outstanding on the Lease Property; and WHEREAS, the City Loan will be subject to: (i) a 48 -month deferral by the City Commission of the Minimum Annual Rent and Percentage Rent Parrot Jungle pays to the City under the Lease; and (ii) Parrot Jungle providing the City with access and such materials, as the City may request, to conduct an analysis of the business model for the purpose of improving the survivability of the Parrot Jungle and Gardens of Watson Island Project, thereby mitigating the City's exposure on the HUD Loan; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. A loan in the amount of $800,000 from the City of Miami ("City") to Parrot Jungle and Gardens of Watson Island, Inc. is approved. Section 3. Such loan shall be on the terms stated on Exhibit "A", attached and incorporated. Section 4. The City Manager is authorized {1 } to execute the necessary documents for the purpose set forth herein. Section 5. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.{2} Footnotes: {1} The herein authorization is further subject to compliance with all requirements that may be imposed by the City Attorney, including but not limited to those prescribed by applicable City Charter and Code provisions {2} If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission. City of Miami Page 2 of 2 File Id. 09-00345 Mersion: 4) Printed On: 6/5/2017