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HomeMy WebLinkAboutIII. Tab 4. Economic Impact Study and Environmental StudyNovember 16, 2008 Mr. Antonio Dominguez Paratus Group New York, New York Re: MUSP Impact Analysis -- Miami Art Museum Dear Mr. Dominguez: Miami Economic Associates, Inc. (MEAT) has performed analysis to estimate the fiscal and economic benefits that the development of the Miami Art Museum's new facility in Bicentennial Park will have upon the City of Miami. This letter summarizes the findings of our analysis. Fiscal Benefits The term "Fiscal benefits" refers to the positive impact that development of the Miami Art Museum's new facility will have on the finances of the City of Miami. The benefits that it will provide to the City will be both non-recurring and recurring in nature, as discussed below: Non-recurrinci Benefits Development of Miami Art Museum project will be implemented by a not-for-profit. The project, which will be located on owned by the City of Miami, has been defined by the City of Miami Commission as a "project of a government agency" and anticipates receiving a waiver from permit and impact fees. However, in the event the waiver is not granted, the amounts discussed below would be paid. Building Permit Fees With respect to building permit fees, the City typically charges $0.25 per square for non- residential projects with the fee applying to all space within the structure including its structured parking. The new Miami Art Museum facility will contain 117,971 square feet of enclosed space, resulting in the payment of building permit fees in the amount of $29,493. Additional fees for would be paid by the project's roofing, electrical, plumbing, 6861 S.W. 89th Terrace Miami, Florida 33156 Tel: (3051669.0229 Fax: (8661496-6107 Email: mealnkRtbellsouth.net Mr. Antonio Dominguez Paratus Group November 16, 2008 Page 2 mechanical and elevator contractors; however, the plans for the project are not sufficiently formulated to estimate these fees at this time. Finally, the project will pay a solid waste surcharge in the amount of $10,000. Impact Fees Typically non-residential projects constructed within the City of Miami are required to pay impact fees for police, fire and general services while projects located within the portion of the City where development activity is governed by the Downtown Miami Development of Regional Impact are required to pay supplemental fees. Finally, non- residential projects within the City of Miami are required to pay road impact fees to Miami -Dade County. The impact fee rate schedules of neither the City nor the County provide the rates at which these fees will be charged with the result that they cannot be estimated at this time. Recurring _Benefits Ad Valorem Taxes As stated previously, the Miami Art Museum is a not-for-profit entity; hence, it will not be required to pay ad valorem taxes on its new facility to the City of Miami nor Miami -Dade County nor the Miami -Dade County Public School District. Non -ad Valorem Revenues The City of Miami collects utility taxes and franchise fees from the providers of telephone, electric and other such services based on their revenues. The amount collected as a result of the development of the new Miami Art Museum will be dependent on the amount of these services used. Therefore, it can not be quantified at this time. The City will also collect parking surcharges from those members of the Museum's staff and visitors to the facility that park a vehicle within the City will working/visiting. Economic Benefits The term "Economic benefits" relates to the positive impact that development of the new Miami Art Museum facility will have on the economy of the City rather than its finances. The economic benefits it will provide will also be non-recurring and recurring in nature. Non-recurring Benefits It is estimated that approximately 50 percent of the $123.3 million that will be spent on hard and soft costs to develop the proposed project will be spent within the City of Miami, producing an overall economic impact approximating $92.4 million when the multiplier effect is considered. Project expenditures within the City of Miami will include an estimated $37.5 million for construction labor, an amount sufficient to pay approximately 720 construction workers Miami Economic Associates, Inc. 6861 S.W. 89th Terrace Miami, Florida 33156 Tel: (305) 669.0229 Fax: (305) 6698534 Email: mealnk@6ellsouth.net Mr. Antonio Dominguez Paratus Group November 16, 2008 Page 3 their average annual wage, which approximates $52,000. It is likely that a portion of the construction workers will be residents of the City of Miami. Recurring Visitor Expenditures The Miami Art Museum estimates that nearly 200,000 people will visit its new facility annually. Assuming the average visitor spends $40 during his/her visit for admission, parking, purchases in the museum shop and food and beverage, a total of nearly $8.0 million would be spent, resulting in a total economic impact approximating $12.0 million when the multiplier effect is considered. It should be noted that this estimate does not take into consideration the fact that some portion of visitors may spend additional money in shops within Downtown Miami while there to visit the museum. Employment A total of 119 people will be employed at the Miami Art Museum's new facility when it is completed, including 77 full-time workers. According to data compiled by the Florida Agency for Workforce Innovation, these workers, who will likely include City residents, will earn approximately $3.0 million annually. Closing The analysis performed by MEAI demonstrates that development of the Miami Art Museum's new facility in Bicentennial Park will be beneficial to the City of Miami both fiscally and economically. Sincerely, Miami Economic Associates, Inc. Andrew Dolkart President Miami Economic Associates, Inc. 6861 S.W. 89th Terrace Miami, Florida 33156 Tel: (305) 669.0229 Fax: (305) 669-6534 Email: mealnk@hellsouth.net *00 ,— t ) t 4 � THE SPINNAKER GROUP 501 SPiNN;AKi A W1 STON, N1.33326 NNAVNV.tl)espinnakergroupine.corn X954)347-0967 Fax (1)54)-217-3614 RE: Miami Art Museum MUSP Application Date: Nov. 3, 2008 Environmental Impact Analysis Statement (EIAS) To Whom it May Concern: This EIAS considers the environmental and social issues of economy, public services, environment, and housing supply within the immediate neighborhood. I have determined that the Miami Art Museum ("Project") located at N.E. 9th St. and I - 395 will have an overall positive environmental impact on the immediate neighborhood. This conclusion is based on review and consideration of portions of the Miami Art Museum MUSP application components provided by Paratus Group. Documents reviewed include a Traffic Study performed by David Plummer & Associates Inc, architectural drawings and site survey provided by Herzog and de Meuron (Architect), Landscape Plan provided by ArcbitectonieaGeo (Landscape Architect), Economic Attendance Potential and Consultants Operating Plan for the New Miami Ail Museum document provided by ConsultEcon, lastly Ove Arup & Partners Consulting Engineers PC provided a Basis of Design document. The Project's relationship to traffic flow, pedestrian movement and transportation access is examined by David Plummer & Associates and can be found in the MUSP application. While all study area corridors were found to operate at "acceptable levels of service" I believe it is essential to consider the following social and enviromnental concerns, s Impact on natural resources can be protected by channeling redevelopment to urban infill areas, with existing infrastructure. o The Miami Art Museum Project promotes public transit and alternative transportation use due to its close proximity to bus routes, and the metro rail system and public garages, 6 With many linkages to basic services and public transportation, there is great potential here to promote community connectivity through thoughtful roadway improvements and plamied pedestrian oriented hardscape. • Re opening the Bi Centennial Park Metro Mover Station should be encouraged. e The Project will be positioned to demonstrate positive social, environmental and community transformation by providing direct, safe connections to open space, local destinations and community centers. The traffic study suggests road improvements will not be required for the increased density being requested for this Project. Bike racks are included in the current project design. Bike access for this project has not been discussed. Hike lanes should be well marked, protected and provide direct access to transit corridors. Encouraging bicycles in urban areas and use of public transportation will reduce automobile dependence as well as the energy demaltd for transportation thereby cutting CO2 emissions, and allowing for a greater service life of existing vehicular infrastructure beyond the 2012 forecast provided for in the Traffic Study. The Traffic Study only covers the increased vehicular density at the time the project is proposed to be completed. Finally, existing traffic tallies (from 2007) may not liuildin- Commissioning - LE:EDTq, Consulting x` 064166"IG C(N.itA?SiK)t�tN6 THE SPINNAKER GROUP OAr accurately reflect traffic associated with sporting events, increased condominium occupancy adjacent to the site and the performing arts center activities. The Projects 117,971 square feet of indoor space and 78,310 square feet of outdoor space are designed to accommodate exhibition space, museum offices, classrooms, outdoor gardens, food service, retail space and a sculpture garden. This Project embraces a Live Work Play philosophy in line with a "new urbanism" growth model. In order to integrate this Project into the community and encourage pedestrian activities, the design team has included exterior plazas and walkways that allow for native plant varieties and vegetative space, shade and breezeways in order to integrate this Project into the community and encourage environmental and pedestrian friendly activities. A connection between hardscape and native habitat with the intention to maximize open space and restore native habitat has been utilized by this project team. Ground floor plaza areas are currently in the design where sitting, socializing, meeting and walking will be possible. • The proposed site for Miami Art Museum is a previously developed site and a public park. Additionally the project boundary is 25ft from a navigable waterway. These conditions should be addressed with a policy which allows access to the waterfront and museum open space to pedestrians and also protects the waterway from pollution, sedimentation, run off and provides vegetative support for native ecosystems. Since this site has been previously disturbed, damage to the environment is limited and more sensitive land can be preserved outside of the metropolitan core. ® The proposed Projects plan exceeds City's requirements for open space. o By using native plant varieties to increase the amount of vegetative open space this Project will help restore habitat in its dense urban surroundings. Many existing trees (at least 552) are slated to be removed when making way for this project. Examples of large, well developed, native vegetation provide ecologically valuable habitat. Consideration should been given towards preservation of well established, mature, native or adaptive, vegetation. The landscape plan reports a 150 tree deficit regarding the number of trees being replanted. Mature vegetation provides a greater eco system service. Older trees should be preserved and replanted as has been suggested in the Landscape Plan. New trees being plant should be as mature as possibly. The below ground parking spaces associated with the Miami Art Museum Project allows for a smaller building footprint and also will reduce the urban heat island effect for a Project of this size. Heat Island Effect occurs when warmer temperatures are experienced in urban landscapes compared to adjacent rural areas as a result of solar energy retention on constructed surfaces, Principal surfaces that contribute to heat island effect include streets, side walks and parking lots. These differences in temperature gradients between urban settings can be detrimental to habitat, wildlife and migration corridors. Additionally Heat Island Effect can create uncomfortable conditions for residents, transient users and occupants. Heat island effect will be further mitigated by the use of roofing materials and hardscapes with a high solar reflective index. Site lighting can also have an impact on nocturnal environments for people as well as wildlife and habitat. Reducing light pollution by limiting light trespass and up lighting can improve nocturnal environments and provide greater access to the night. sky. This will be accomplished by thoughtful placement of permanent lighting, such that it THE SPINNAKER GROUP ir_ i ; r, IA I �/ I r��, does not escape through windows, minimizing up lighting, using lower power densities then recommended by ASHRAE/ IESNA standards for exterior lighting, and by carefully designing site lighting that does not escape the site boundary horizontally or into the night sky. The Project's lighting plan has not been reviewed at this time however the Owner and Design Team has indicated that it is their intention to meet the leading national requirements addressing minimizing heat island effect and reducing light pollution. The orientation of this Project in relationship to the sun's path across the sky lends itself to efficient energy use. Energy modeling software will be used to compare proposed roofing materials, building orientation, glazing characteristics, insulation values and energy systems, in order to determine the most efficient and cost effective means for cooling the interior of the buildings while providing a product with high levels of comfort for occupants, transients and residents. However the Mechanical Engineers Basis of Design Document demonstrates that the designed orientation, Building Management System, Water Cooled Chillers, Lighting Strategy, Under Floor Air Distribution and Commissioning process will likely enable this project to achieve energy performance and hidoor personal comfort above baseline code compliance. Stonnwater will be managed with drainage wells and catch basins designed to recharge the Biscayne Aquifer. Sewage will be gravity feed to existing Miami Dade Water and Sewer Facilities for treatment. Contractors should be required to adhere to an Erosion and Sediment Control Plan before groundbreaking in order to reduce pollution from construction activities by controlling soil erosion, waterway sedimentation and airborne dust generation. Rain water harvesting, and low flow flush and flow fixtures will be used to alleviate the increase demand on municipal water service infrastructure for a Project of this size. A large reduction in internal potable water use is forecasted for this project. Additionally rainwater/condensate collection has been incorporated into the project design so that potable water use for landscape irrigation can be substantially reduced. It is unclear if the Project will provide occupants the ability to recycle workplace / food service / museum / retail trash will be provided for in this Project. Providing recycling in commercial projects is law in Miami Dade County. Through out the demolition and construction phases of this Project attention should be given towards recycling a significant percentage of the demolition and construction debris. It is my professional opinion that the proposed development site is appropriate and will have a favorable impact on economy, public services, environment and housing supply within the immediate neighborhood after reviewing the potential environmental impact associated with this Project. While developing the design for the Miami Art Museum and building on this site, consideration should be given towards using water efficiently, maximizing energy efficiency, using environmentally appropriate materials, and monitoring indoor environmental quality. In this way the impact of development will be ecologically balanced with the performance of our built environment. in er�id'ndi Jason Bion LEED AP The Spinnaker Group Environmental Consultants 786 8)7 7783