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HomeMy WebLinkAboutPre ResolutionCity of Miami Legislation Resolution: R-04-0758 City Hall 3500 Pan American Drive Miami, FL 33133 www.ci.miami.fl.u:s File Number: 04-01266 Final Action Date:11/18/2004 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), AUTHORIZING THE TRANSFER OF COMMUNITY DEVELOPMENT BLOCK GRANT ("CDBG") PROGRAM FUNDS, IN THE AMOUNT OF $2,000,000, FROM CLOSED OUT ACTIVITIES; ALLOCATING SAID FUNDS TO GOODWILL INDUSTRIES OF SOUTH FLORIDA, INC. ("GOODWILL") FOR THE ACQUISITION OF GRAYBAR, A BUILDING LOCATED ADJACENT TO GOODWILL'S HEADQUARTERS, TO CREATE JOB EMPLOYMENT OPPORTUNITIES FOR CITY OF MIAMI RESIDENTS AND INCREASE ECONOMIC GROWTH IN THE ALLAPATTAH AREA; TO GUARANTEE THE ALLOCATION OF 2005 CDBG FUNDS, IN THE AMOUNT OF $1,015,000, TO DISTRICT 5 CAPITAL IMPROVEMENT PROJECTS, UNLESS FUNDS BECOME AVAILABLE PRIOR TO THE 2005 CDBG ALLOCATION (DUE TO CLOSING OF CONTRACTS), THEN SAID FUNDS ARE TO BE AWARDED TO DISTRICT 5; AUTHORIZING THE CITY MANAGER TO EXECUTE A LOAN AGREEMENT FOR SAID PURPOSE. WHEREAS, the Administration is requesting that funds, in the amount of $2,000,000, be transferred from Community Development Block Grant ("CDBG") Program closed out activities; and WHEREAS, Goodwill Industries of South Florida Inc. ("Goodwill"), founded in 1959, currently provides rehabilitation, training and employment services to people with disabilities and other special needs population to help them become competitively employed and self supporting citizens; and WHEREAS, Goodwill was able to reduce its dependence on public funding from 39% to 7% and has a proven strong track record of economic development and job creation in the Allapattah area; and WHEREAS, Allapattah has a high level of poverty within a three-mile radius of Goodwill's main facility, and some 267,000 individuals live on $10,845 a year, which is 32% below the poverty level and 96,002 households have an average income of $21,141; and WHEREAS, Goodwill is requesting funds to purchase and fully equip a building located in the Allapattah area adjacent to Goodwill's headquarters located at 2121 Northwest 21 st Street, Miami, Florida; and WHEREAS, the building will be utilized to operate two Goodwill stores, with one store selling general merchandise (clothing, household, shoes, house wares, books, furniture and other items) and the other store designing, manufacturing and selling flags and banners on a national scale; and WHEREAS, it will create 200 new jobs in two years and a total of 400 jobs in three years for City of Miami ("City") residents; and WHEREAS, it will generate revenues to support the cost of operating a program at the Goodwill City of Miami Page I of 2 Printed On: 4/5/2005 File Number:: 04-01266 Enactment Number. R-04-07'58 building adjacent to the main facility and in ten years, it will serve a total of 2,168 different individuals to be employed from the combination of full time hires by Goodwill and also placements into competitive community employment, of which 75% of the 2,168 served will be City residents; and WHEREAS, it will generate a large volume of sales activity bringing in new business helping further economic development in Allapattah; and WHEREAS, the $2,000,000, will be a loan to Goodwill with an interest rate of 0% payable in 20 years; and WHEREAS, Goodwill will begin making payments six months from the date of the execution of the loan agreement; 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. The transfer of CDBG Program funds, in the amount of $2,000,000 from closed out activities and the allocation of said funds to Goodwill for the acquisition of Graybar, a building located adjacent to Goodwill's headquarters, to create job employment opportunities for City residents and increase economic growth in the Allapattah area, is authorized. Section 3. The allocation of 2005 CDBG funds, in the amount of $1,015,000, is guaranteed to be allocated to District 5 Capital Improvement Projects, unless funds become available prior to the 2005 CDBG allocation (due to closing of contracts), then said funds are to be awarded to District 5. Section 4. The City Manager is authorized{1} to execute a Loan Agreement for said purpose. 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 (10) 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 Printed On: 4/5/2005