HomeMy WebLinkAboutEXHIBIT 1EXHIBIT A
Property Description
Property Folio No. 01-3114-043-0240
Property Address: 1371 W, 61 Street
Legal Description: Orchard Villa Ext PB 17-55 Lot 37 Blk 1
CITY OF MIAMI, FLORIDA
INTER -OFFICE MEMORANDUM
TO: Pedro G. Hernandez DATE: July 15, 2009 FILE:
City Manager
SUBJECT: Miami's River of Life
Findings and Recommendations
nsah, Director
FROM:*Department of Community Development REFERENCES
ENCLOSURES.
In accordance with Section 18-85 of the Code of the City of Miami, as amended (the "City
Code"), the Director of the Department of Community Development (the "Department") of
the City of Miami (the "City") for the reasons set forth below hereby finds and recommends
to the City Manager that competitive negotiation methods are neither practicable nor
advantageous for obtaining the services for supportive housing (a transitional independent
living facility) for female young adults transferring out of Florida's foster care systems
(including at -risk dependency and delinquency care systems) for development,
management and use (collectively the "Services") of the City -owned six unit residential
building located at 1371 Northwest 61St Street, Miami, Florida (the "Property" as defined
below), and requests the City Manager to recommend to the City Commission that the
recommendations and findings be adopted, and that the City enter into a Safe Harbor
Management Agreement for the Services at the Property with Miami's River of Life, Inc. , a
Florida not-for-profit corporation .
Background. Findings and Recommendations:
Pursuant to Resolution No. 04-0271 adopted on April 22, 2004 (attached and incorporated
hereby as Composite Exhibit "A"), the Miami City Commission authorized, inter alia, the
allocation in an amount not to exceed one million, eight hundred thousand dollars
($1,800,000) for land acquisition for the Model City Home Ownership Zone Pilot Project
from funds previously designated for Model City infrastructure improvements, in Fiscal
Year 2003 and Fiscal Year 2004 allocations of Homeland Defense/Neighborhood
Improvements Improvement Bond proceeds conditioned upon favorable decision of Bond
Counsel (attached and incorporated hereby as part of Composite Exhibit "A"). In
conjunction with Resolution No. 04-0271, such determination by Bond Counsel also
provided conditions for land acquisitions and concluded, inter glia, that the District 5
"Quality of Life" designation for Homeland Defense/Neighborhood Improvement Bond
proceeds could also be used, in order for land acquisitions to comply with the required
rules and regulations of the Internal Revenue Code of 1986, as amended (collectively, the
"Internal Revenue Code") and with the related City requirements for the Homeland
Defense/Neighborhood Capital Improvements Bond Program.
On September 23, 2004, pursuant to the authorization of Resolution No. 04-0271, the
Model City Trust acquired for one hundred and sixty thousand, seven hundred and fifty-
eight dollars and twenty-eight cents ($160,758.28) the multifamily rental property located
at 1371 Northwest 615t Street, Miami, Florida (the "Property") as part of the Model City
Home Ownership Zone Pilot Project. On March 10, 2008, the City of Miami ("City") issued
a request for proposals ("RFP"), for non-profit entities to acquire the City -owned Property,
for the provision of transitional housing for youth transitioning out of Florida's foster care
systems, and Miami's River of Life, Inc. ("MRL") submitted the only response to the RFP,
and that response met the minimum RFP threshold requirements.
MRL is a Florida and federal not for profit organization which for the past fourteen (14)
years has committed its resources to the care, protection, and progress of thousands of
youth in the State of Florida's Department of Juvenile Justice, Department of Children and
Families and other child protection systems. MRL has provided transitional living services
within the City and the Miami -Dade County area for 16 years. Its programs include career,
spiritual, intellectual, physical, emotional, educational, and social development skills (see
attached proposal and other information from MRL as Composite Exhibit B). After review
by an Evaluation Committee comprised of a resident of the Liberty City area, a
representative of the Liberty City Community Revitalization Trust, and an employee of the
City of Miami Department of Community Development, the City Commission pursuant to
Resolution No. 08-0253, adopted May 8, 2008 ("Resolution No. 08-0253"), decided to
accept the MRL proposal, with the intent to convey the Property to MRL.
Notwithstanding the above, (i) in accordance with the Internal Revenue Code guidelines
applicable to agreements involving governmental units and uses of bond -financed facilities
by a not-for-profit organization with tax-exempt status under Internal Revenue Code
Section 501(c)(3), and (ii) in consideration of the ongoing Homeland
Defense/Neighborhood Capital Improvements Bond Program and potential future City
needs, the City has determined to retain the Property and to enter into a Safe Harbor
Management Agreement for the Property with MRL, rather than to convey the Property.
The development, management, and use of the Property by MRL will be subject to the
following continuing compliance covenants, among others necessary to comply with the
Homeland Defense/Neighborhood Capital Improvements Bond Program, to be included in
the Safe Harbor Management Agreement: (i) the Property must be developed, managed,
and used for supportive housing for female young adults transferring out of Florida's
foster care system (including at -risk dependency and delinquency care systems); (ii)
priority must be given to young adults from the Liberty City area; (iii) MRL must retain its
State of Florida and Federal not-for-profit status throughout the initial term of the Safe
Harbor Management Agreement and any renewals thereof; (iv) the initial term shall be for
five (5) years, with up to two (2) options to renew for five (5) years each term; (v) neither
the City nor MRL shall pay or receive from each other any compensation for the
development, management and/or use of the Property; (vi) the City must approve in
writing in advance any change in development, management and/or use of the Property;
and (vii) MRL's rights to develop, manage and use the Property will terminate and the
rights to develop, manage, and use the Property shall revert to the City in the event the
Property ceases to be developed, managed and/or used for its intended purpose.
The proposed MRL "Independent & Transitional Living" program will serve young adult
females who are in need of transitional living on an average of 3 to 9 months, with
preference to be given to young female adults from the Liberty City area. MRL is in good
standing with the City. The Director of the Department recommends to the Administration
that it is in the best interests of the City to waive competitive bidding and to enter into a
Safe Harbor Management Agreement, with continuing compliance conditions and
provisions for the Property, to MRL for the development, management and use of the
Property for supportive housing (a transitional independent living facility) for female young
adults transferring out of Florida's foster care systems (including at -risk dependency and
delinquency care systems), with the further intention to convey the Property to MRL once
the IRS bond compliance period has ended, but with continuing public purpose covenants
to run with the land.
Should you or anyone else have any questions regarding the proposed Safe Harbor
Management Agreement for the Property, please contact me at 305-416-1978.