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HomeMy WebLinkAboutCC 2007-12-13 MinutesCity of Miami City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com IF Ali Meeting Minutes Thursday, December 13, 2007 9:00 AM SUPPLEMENTAL City Hall Commission Chambers City Commission Manuel A. Diaz, Mayor Joe Sanchez, Chair Michelle Spence -Jones, Vice -Chair Angel Gonzalez, Commissioner District One Marc David Sarnoff, Commissioner District Two Tomas Regalado, Commissioner District Four Pedro G. Hernandez, City Manager Jorge L. Fernandez, City Attorney Priscilla A. Thompson, City Clerk City Commission Meeting Minutes December 13, 2007 SP.1 07-01437 Department of Capital Improvements Program PUBLIC HEARING RESOLUTION A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), BY A FOUR -FIFTHS (4/5THS) AFFIRMATIVE VOTE, AFTER AN ADVERTISED PUBLIC HEARING, RATIFYING, APPROVING AND CONFIRMING THE CITY MANAGER'S EMERGENCY FINDINGS; WAIVING COMPETITIVE SEALED BIDDING PROCEDURES PURSUANT TO SECTION 18-90 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED; WAIVING THE THREE DAY PROTEST PERIOD FOR SOLICITATION AND AWARDS PURSUANT TO SECTION 18-104 (A); APPROVING THE USE OF COMPETITIVE NEGOTIATIONS FOR THE PURPOSES OF NEGOTIATING AN AGREEMENT FOR ASSET DISPOSITION SERVICES FOR THE "ORANGE BOWL DEMOLITION PROJECT, B-30153F"; AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT(S) WITH DREAMS PRODUCTS, INC. DOING BUSINESS AS MOUNTED MEMORIES, IN SUBSTANTIALLY THE ATTACHED FORM OR IN A FORM ACCEPTABLE TO THE CITY ATTORNEY RELATING TO THE SALE AND DISPOSITION OF ORANGE BOWL ASSETS; FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH SCHNEIDER INDUSTRIES, INC. IN THE EVENT THAT DREAMS PRODUCTS, INC. D/B/A MOUNTED MEMORIES DOES NOT EXECUTE THE AGREEMENT WITHIN SEVEN DAYS OF COMMISSION APPROVAL. 07-01437 Legislation.pdf 07-01437 Exhibit .pdf 07-01437 Summary Form.pdf 07-01437 Ad .pdf 07-01437 Memo.pdf 07-01437 Memo 2.pdf Motion by Commissioner Gonzalez, seconded by Commissioner Sarnoff, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 4 - Commissioner Gonzalez, Sarnoff, Sanchez and Regalado Absent: 1 - Commissioner Spence -Jones R-07-0714 Chair Sanchez: All right, let's go ahead and start with RE.1. RE.1, Mr. City Manager, you're recognized. Pedro G. Hernandez (City Manager): Mr. Chairman, if you allow me to, since I have the folks here right next to me, start with the ones that I have at the bottom at that list, SP.1 and SP.2? Chair Sanchez: All right. Mr. Hernandez: Because, in essence, they're continuation to the items that we were discussing before lunch -- Chair Sanchez: SP.1 and SP.2 are -- Mr. Hernandez: -- which -- City ofMiami Page 2 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Chair Sanchez: -- both items pertaining to the Orange Bowl. Mr. Hernandez: It's the salvage of the Orange Bowl and the demolition of the Orange Bowl, and based on the discussions that we had this morning, I think it's imperative that I be able to move forward with those two items. Commissioner Sarnoff SP.1, SP.2. Chair Sanchez: SP.1-- are they a resolution or --? Mr. Hernandez: They're both resolutions. Chair Sanchez: Okay, let's go ahead and take that up. Mr. Hernandez: And the first one deals with the salvage, and it's a recommendation to Mounted -- what is the name? Unidentified Speaker: Mounted Memories. Mr. Hernandez: Mounted Memories, and what we want to do is to be able to have them on board, ready to start right out -- right at the beginning of the year with the salvage operation that includes the inventory and then the marketing and sale of events within the Orange Bowl, and then the second item deals with the actual demolition that we plan to start, I would say, towards the middle -- end ofMarch; and on the demolition contract, the price that we have there for it is 2.8 million with contingencies for three months. If we elect to do it in a longer period, like four months, it's going to cost less, and if we do it in five months, it's going to cost even less, but the one that I recommend is to go with the three months. If we, in coordinating with baseball, find that we have more time, then we can select, let's say, the option that will give us either the four or the five months so we can save money. Chair Sanchez: All right. SP.1, are there any questions on this item? Commissioner Gonzalez: No. Chair Sanchez: All right, let's go ahead and open it up to the public. Anyone from the public wishing to address this item, please step forward and be recognized. Seeing none, hearing none, the public hearing is closed; coming back to the Commission. Is there any discussion on the item? Is there a motion or a second? Commissioner Gonzalez: I'll move -- Commissioner Sarnoff So move. Commissioner Gonzalez: -- SP.1. Chair Sanchez: All right. Commissioner Sarnoff Second. Chair Sanchez: There's a motion by Commissioner Gonzalez, second by Commissioner Sarnoff. The item is under discussion. Commissioner Regalado: Yes. Chair Sanchez: Commissioner Regalado, you're recognized. City ofMiami Page 3 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 SP.2 07-01438 Department of Capital Improvements Program Commissioner Regalado: Thank you, Mr. Chairman. As you know, Mr. Manager, you have sent a memo regarding the -- some ideas that people have gotten that this is a no bid -- Mr. Hernandez: Right. Commissioner Regalado: -- so I wish you put on the record what the process, even if it takes two or three minutes, because it is important. As a matter of fact, the Urban League yesterday passed a resolution saying do not approve it because -- Mr. Hernandez: Right. Commissioner Regalado: -- it's a no bid; it's going to cost more, and I think it's important that you explain, as you explain it to me, and you (UNINTELLIGIBLE). Mr. Hernandez: Thank you, Commissioner. I'm glad to have that opportunity. Our City Code today says that if we use the competitive negotiation method of procurement that -- and -- for an item that is more than 50,000, that when we bring it to the City Commission, it has to be listed as a bid waiver. When, in reality, this has not been one. These two projects were nationally advertised. On the demolition contract we received 15 proposals. They were short-listed by a group of City employees that I appointed to do the review to analyze their qualifications, their financial wherewithal, their ability to do the project for us. The -- they selected three. Those three were brought in, and we conducted negotiations with all three; and we analyze their proposal, their approach to the demolition, together with their price; and the idea was to come up with what we felt would be the best value for the City. We feel that that's what we have achieved, and that's what you have here before us. It also applies in the same way to the salvage operation, so they were open processes. There was competition, and it's very legal and very, I would say, well done, and the results, I think, are very good, very competitive. Chair Sanchez: All right. This requires a four fifth vote, all right? Any discussion on the item? There's a motion and a second. It's a resolution. All in favor, say "aye." The Commission (Collectively): Aye. Chair Sanchez: Anyone in opposition, having the same right, say "nay." Motion carries, 4/0. RESOLUTION A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), BY A FOUR -FIFTHS (4/5THS) AFFIRMATIVE VOTE, AFTER AN ADVERTISED PUBLIC HEARING, RATIFYING, APPROVING AND CONFIRMING THE CITY MANAGER'S EMERGENCY FINDINGS; WAIVING COMPETITIVE SEALED BIDDING PROCEDURES PURSUANT TO SECTION 18-89 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED; WAIVING THE THREE DAY PROTEST PERIOD FOR SOLICITATION AND AWARDS PURSUANT TO SECTION 18-104 (A); APPROVING THE USE OF A COMPETITIVE NEGOTIATIONS PROCUREMENT METHOD FOR THE PURPOSES OF NEGOTIATING AN AGREEMENT FOR GENERAL CONTRACTING SERVICES FOR THE "ORANGE BOWL DEMOLITION PROJECT, B-30153F"; AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH DECOMMISSIONING AND ENVIRONMENTAL MANAGEMENT COMPANY, INC. (DEMCO), IN SUBSTANTIALLY THE ATTACHED FORM, IN AN AMOUNT NOT TO EXCEED $2,817,660 FOR SAID PURPOSES, CONSISTING OF A MAXIMUM NEGOTIATED FEE OF $2,348,050 PLUS A TWENTY PERCENT (20%) OWNER'S CONTINGENCY City ofMiami Page 4 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 OF $469,610; FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH BRANDENBURG INDUSTRIAL SERVICE COMPANY, IN SUBSTANTIALLY THE ATTACHED FORM, IN AN AMOUNT NOT TO EXCEED $3,888,600 FOR SAID PURPOSES, CONSISTING OF A MAXIMUM NEGOTIATED FEE OF $3,240,500 PLUS A TWENTY PERCENT (20%) OWNER'S CONTINGENCY OF $648,100 IN THE EVENT THAT DEMCO DOES NOT EXECUTE THE AGREEMENT WITHIN SEVEN DAYS OF COMMISSION APPROVAL; ALLOCATING FUNDS FOR EITHER SCENARIO FROM CAPITAL IMPROVEMENT PROJECT NO. B-30153F. 07-01438 Legislation.pdf 07-01438 Exhibit.pdf 07-01438 Summary Form.pdf 07-01438 Ad.pdf 07-01438 Memo.pdf 07-01438 Memo 2.pdf Motion by Commissioner Gonzalez, seconded by Commissioner Sarnoff, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 5 - Commissioner Gonzalez, Sarnoff, Sanchez, Regalado and Spence -Jones R-07-0715 Chair Sanchez: All right, let's take up the following item, which is also -- is that --? That's the demolition. Pedro G. Hernandez (City Manager): Right. Commissioner Gonzalez: I'll move SP.2. Chair Sanchez: SP.2. There's a motion to move SP.2. The motion is made, for the record, by Commissioner Gonzalez, second by Marc -- Commissioner Sarnoff. Before we open up for discussion, public hearing. Anyone from the public wishing to address this item, please step forward and be recognized. Okay. Are all --? All of you are going to be speaking on the item? Unidentified Speaker: No, sir. Chair Sanchez: Okay. All right, so we'll allow you some time since -- five minutes -- James Bush: Okay, that's good. Chair Sanchez: -- is that enough? Mr. Bush: Yeah. Yeah. My name is James Bush. I live at 3824 Northwest 15th Avenue. I'm here today representing the labor's union. Some years -- I'd like to say thanks to the Commission for being able to hear us. I lost some of my people today that was with us from different communities. We're here today. We're going to represent Little Havana, Little Haiti, Overtown, Allapattah, Liberty City, all of those areas we feel should be affected by this work that's going to be done at the Orange Bowl. These people that are with me have been through the labor's training. We did -- we do training all over this country. We do training in asbestos, cutting and burning, OSHA (Occupational Training and Health Administration), and we make sure that our people are trained , and we do that -- and we say that this job coming up right in this community, we want to be a part of that. We want this Commission to -- I know you'll have the final say on it, and we would appreciate the efforts of everybody here. We'd like to have the say of -- people in this community having that work, being able to be able to do things in their community. We want to see this city grow, but we don't want to watch it grow. We want to get out there and City ofMiami Page 5 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 work hard and help it grow. We want to support this community because this is our backyard. This is our neighborhood. I've been here for 61 years in Dade County, and this is my home; and these young people here, they've taken the training, they've been through serious training; some of them operate equipment, all forms of construction these people have been in, and we would like to be a part of the demolition of that project. We also represent the Jobs with Justice, public good for public money, and we'd like to see the public in this community take advantage of this and be a part of this. We see enough people coming into this community working here that don't even live in this community. We'd like to see the people that live in this community, the local jobs, get the jobs that are here. I spent the past 44 years in the labor's union, and I've seen this town grow; and I want to continue seeing it grow by seeing these young people get jobs in this community; watch it work; watch it grow. We have members from all over these -- all the communities in the City ofMiami that come to our training, and people are capable and able to do this job; and I would just like to say that with that demolition, we know it's going to be a tough job because some years ago, we did some work down there removing some asbestos out of there some years ago, and that's going to be a tough job, but these men are prepared to do it. We got young ladies that work with us, too; they're prepared to do it; they're trained to do it, and I must say that on our background, we haven't had a member of our union be lost in construction in probably the last 30 years because we stress safety, and we know that that's what this Commission is about, safety, people doing the jobs, being capable and able to do the jobs, and they're educated to do it, and we would like to be a part of that, and we'd like to see the Commission do that for us. We're a neighborhood people. We're from all parts of the City, and we want to see this city grow. We want to help it grow. We want to work hard and make it grow. We want to be a part of it, and we want this Commission to help us do that, and we thank you. Chair Sanchez: Thank you, sir. Commissioner Gonzalez: Thank you, sir. Mr. Bush: Yes, sir. Commissioner Sarnoff Mr. Manager -- Chair Sanchez: Okay. Commissioner Sarnoff -- doesn't -- isn't part of the bonus in this particular contract, that you're providing a bonus retainers that if they use 25 percent of the local workforce, that is part of their bonus? Mr. Hernandez: Yes, sir, that's right. My understanding -- Gary, you better address it. You probably have better details than I have. Gary Fabrikant (Assistant Director): Gary Fabrikant, Department of Capital Improvements. Commissioner, you are correct. We negotiated a provision within this agreement where we would use the contractor's own money, their retainage as a bonus provision. Two of the components of it are the 18.5 percent subcontracting, as well as maximum efforts in the use of local workforce -- Chair Sanchez: What was the other -- Mr. Fabrikant: -- and each of those two weights -- I'm sorry. Chair Sanchez: -- percentage? It was the 18.5? Mr. Fabrikant: The maximum use of local workforce. They have -- each of these items will have a 25 percent of the total. They have to prove to the City, and the City, at its sole discretion, will City ofMiami Page 6 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 determine if they have used their maximum efforts to use local workforce and met the 18 and a half percent goal where we only set an actual 10 percent goal for use of local small businesses. Commissioner Gonzalez: All right. How can we ensure that these union members have the opportunity to meet with the company selected or -- you know, so they can start negotiating and see if they can be hired to do part of the work? Hr. Fabrikant: I will be glad to talk to him in a couple of minutes and make -- Commissioner Gonzalez: Okay. Hr. Fabrikant: -- those arrangements. Commissioner Gonzalez: Well, you give him your card so he can -- okay. All right. Chair Sanchez: All right, there's language in there to ensure that, you know, there's maximum -- at least 25 percent of local employment, which is something that we strive here for, and then, of course, the 18.5 to use this (UNINTELLIGIBLE) subcontractors, which hopefully, they'll be local subcontractors -- Hr. Fabrikant: That's the requirement. Chair Sanchez: -- so there's language in there to make sure -- just get with whoever you need to get, and hopefully, you know, you could do some work there and not see it or watch it, but be a part of it. Hr. Bush: Be a part of it. Thank you. Chair Sanchez: All right. Any other discussion on the item? All right. Vice Chair Spence -Jones: I do. Chair Sanchez: Yes. Vice Chair Spence -Jones: I mean, I have just some comments on it, if you don't mind? Chair Sanchez: Vice Chair, you're recognized. Vice Chair Spence -Jones: I apologize for being tardy getting back. I'm glad to see that the union is here and will take a -- take part of it. That was one of the main issues or concerns that had, butt wanted to ask -- Gary? I just wanted to ask you one quick question. I know that when I got my briefing on this issue, the one thing that had a concern with was all the waivers on it, and I was very clear about that issue; and I know in -- and I know that we're frying to move pass that to, you know, at least begin to address the new facility going in and all of that. I just had real concerns with all of the different waivers that were attached to this without having a full process that went out for more than one individual. Now, I was told -- I just want to make sure you put it on the record, and I don't know if you have already -- that there was more than one group that actually went out for the bid on this. Hr. Fabrikant: I'm sorry? Hr. Hernandez: Commissioner, we just did -- Commissioner Regalado asked me to actually -- Vice Chair Spence -Jones: Yeah. I -- City ofMiami Page 7 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Mr. Hernandez: -- put that on the record -- Vice Chair Spence -Jones: Right. Mr. Hernandez: -- and in essence, it was an extensive, very open process, very competitive. On the salvaging, we had 15 app -- proposals and on the demolition, we had five; and we ended up negotiating with them, and we have before you what we feel is the best value. Vice Chair Spence -Jones: Okay, and the reason for the emergency? Mr. Hernandez: Well, we had to move forward as soon as possible because, as you know, we have the last event at the Orange Bowl scheduled for January 4, and we're trying to have the site ready for the new development of the Orange Bowl by, I would say, July, August at the latest. Vice Chair Spence -Jones: Okay, and that was my only issue. I wanted to really make sure the unions were taken care of and they're fine, right? Right, unions? Mr. Bush: Yes. Vice Chair Spence -Jones: Okay. Chair Sanchez: All right. This is a resolution requiring a four fifth vote. There is a motion and a second for the record. The public hearing was opened and closed. All in favor, say "aye." The Commission (Collectively): Aye. Chair Sanchez: Anyone in opposition, having the same right, say "nay." Motion carries. That takes -- City ofMiami Page 8 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 DISCUSSION SP.3 07-01455 DISCUSSION ITEM DISCUSSION OF THE STATUS OF NEGOTIATIONS WITH THE COUNTY REGARDING THE GLOBAL RESOLUTION RELATING TO THE COMMUNITY REDEVELOPMENT AREA EXTENSIONS AND ASSOCIATED EXPENDITURE ALLOCATIONS. 07-01455 Summary Form.pdf 07-01455-Submittal-Condition Subsequent Document.pdf 07-01455-Submittal-Copy of Resolution for File Number 07-01455a.pdf 07-01455-Submittal-Document regarding Substantive Changes to Global Interlocal.pdf DISCUSSED Discussion on the item resulted in the resolution below. 07-01455a RESOLUTION A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), AUTHORIZING THE CITY MANAGER TO EXECUTE AN INTERLOCAL AGREEMENT BETWEEN THE OMNI DISTRICT COMMUNITY REDEVELOPMENT AGENCY, THE SOUTHEAST/OVERTOWN PARK WEST COMMUNITY REDEVELOPMENT AGENCY, THE CITY OF MIAMI AND MIAMI-DADE COUNTY RELATIVE TO THE IMPLEMENTATION AND FUNDING OF PROJECTS OF GREAT INTEREST TO ALL PARTIES. 07-01455a Legislation.pdf 07-01455a Exhibit.pdf Motion by Commissioner Sarnoff, seconded by Vice Chair Spence -Jones, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 4 - Commissioner Gonzalez, Sarnoff, Sanchez and Spence -Jones Noes: 1 - Commissioner Regalado R-07-0716 Chair Sanchez: All right. We're going to go ahead as a point of privilege take up item -- supplement item, which is SP.3. Well go ahead and take that one up. I'm sure there's going to be plenty of presentations, so why don't we save the discussions for last. We'll probably try to get out of here two or three. Maybe we'll get your staff to order you to lunch because I don't think we're going to be taking a lunch break today. It's going to be a very long, long day, so that's what we let elected for. Okay. We're waiting for two Commissioners, then we'll go ahead and start. What we're going to do is we'll wait for the Mayor to come down; I'm sure there's going to be a presentation. I'm sure the City and the County are going to speak on the issue, and then what we'll do is we'll open it up to the public, and the public will have an opportunity to address this Commission pertaining to whatever concerns you may have. What I am respectfully requesting is that we afford you two minutes because of the time today, and basically, the voluminous agenda that we have pertaining to a lot of other very important, in many way [sic], items that are going to require a lot of public input and participation, so if we could get Commissioner Spence -Jones to come up, we could go ahead and start with the presentation. Is - - how do you want to work this? Does the Mayor want to go first? Does the County want to go City ofMiami Page 9 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 first? Does the Marlin [sic] want to go first? Who wants to go first? You guys want to flip a coin? Pedro G. Hernandez (City Manager): Mr. Chairman, the Mayor would go first. Chair Sanchez: All right. All right, once again, I'm -- all right. Anyone who will be addressing this Commission, please sign up with the City Clerk so you could speak. Now, while we wait, is there any items that we could take that are noncontroversial that we could just take up? Commissioner Sarnoff Today, I doubt it. Commissioner Regalado: We can take Crosswind. Chair Sanchez: Oh, yeah. All right, let's -- how about RE.1, the Ponce Medical Plaza, is that a problem? All right, the Mayor is here, so let's go ahead and go with this item. I'm just -- all right. Mr. Mayor, you're recognized for the record on this item. Mayor Manuel A. Diaz: Thank you, Mr. Chairman and fellows Commissioners. I believe we're all fully aware of the fact that there are continuing constraints on budgets through decreasing property tax revenues and just the natural market corrections that are occurring; that we're seeing obviously a slowing economy, and we know that that's going to affect jobs and employment in our city. I know Commissioner Gonzalez, who always point out that once the development boom slows down where are all those people going to find jobs on a going forward basis? So with these decreased revenues, a slowing economy, tighter budgets, I think all of this creates a responsibility on us, and as elected officials, I think we owe a duty to provide -- to continue to provide the service and amenities that make the city worth living in. I think we owe the people we represent a duty to promote and deliver various projects of local and regional importance, and very, very importantly, I also believe that we owe a duty to create jobs and to create opportunities for our citizenry to keep our local economy strong, so with this in mind, the City has been in negotiations with the County to find common ground on several areas of importance to our cities, including increasing the supply of affordable housing, reinvestment in local and regional infrastructure projects such as the Port Tunnel, Streetcar, the redevelopment of Bicentennial Park, the Orange Bowl all into great civic spaces, and providing ongoing support to our home for the arts, the Performing Arts Center. These are projects that are investments in our city's future, bringing jobs, economic prosperity, and future stability. Our negotiations have resulted in a proposal that addresses the need to fund these citywide investments by maximizing existing revenue sources, namely using our community redevelopment areas. The agreement first proposes to extend the life of the Omni and Southeast Overtown Parkwest CRAs (Community Redevelopment Agencies) to the year 2030. In addition, we are proposing the extension of the geographic boundaries of both the Omni and the Overtown Parkwest CRAs. We're also extending and expanding these CRAs, and I believe that, finally, when we do so, that we will align them with their original intended purpose as a source for major reinvestments into the urban core of our community. Some of the benefits: In the Omni, the Omni west -- Park -- the Omni Parkwest CRA is set to expire -- No. I'm sorry. The Omni CRA is set to expire in 2027. The expansion and the three-year extension to 2030 will create an additional $394 million in tax increment revenue. This will give the needed resources for investment projects, such as the PAC (Performing Arts Center), Orange Bowl, Port Tunnel, and Museum Park. The proposal allows for a contribution of 35 percent of tax increment revenue to pay for debt service operation, maintenance, et cetera, on the Performing Arts Center, and a $50 million towards the contribution of the port tunnel project. The City derives a direct financial benefit because the confribution allows many of the existing park bonds that are currently backed by pledges of CDT (Convention Development Tax) and TDT (Tourist Development Tax) dollars to be freed, and this confribution allows that money to be used instead to support the redevelopment of the Orange Bowl site. Additionally, the County has committed to repealing the current Tourist Development Tax, the TDT ordinance, which would permanently restore our City ofMiami Page 10 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 City's control over this revenue stream. CRA funds will also be used to build and maintain a Museum Park, freeing up again other money that would generally come from the City's city general funds, and this is essentially how it works with the rest of the projects. The increased funds will also go to fund all CIP (Capital Improvements Project) projects within the CRA, freeing up money for use in other areas of the city. Finally, expected revenues are about $1.1 billion from 2008 to 2030, and all of this can be allocated by you on a going forward basis for job creation, infrastructure, affordable and workforce housing, and also using some of these funds for the payments required under the Parrot Jungle debt, which in turn, frees those monies up because today, we're using general fund dollars for that purpose. Moving over to the Overtown CRA, that is -- that CRA is currently set to expire -- there's some one- or two-year difference on this possibly, but set to expire in the year 2014. This 17year extension will generate over a billion dollars in tax increment district to this area. We propose that in consideration of this extension, that in the year in 2014, which is the first year of the extension, that we cap the expenditures, the utilization of the TIF (Tax Increment Fund) revenues at 50 percent of existing identified projects which are a part of the record, and this cap will result in an additional $327 million coming back to the City's general fund, which can be used for hiring police or doing other works that you may need throughout the entire City. This also returns to the County almost $200 million, and as part -- you cut me off? Chair Sanchez: Yes, I did. I apologize. Mayor Diaz: Am I taking too long? Commissioner Sarnoff Yeah. He's only on a temporary basis. Mayor Diaz: And as part of this agreement, the County will then give us $20 million that can be used to a streetcar projects [sic]. CRA funds through 2013 will be allocated to address needed priorities. Thirty million dollars that Commissioner Spence -Jones and I have committed, which will generate $300 million based on our current historic leverage ratio; $300 million of affordable housing in this area, 25 million for infrastructure, 10 million for job creation/economic development, 8.5 million for parks, and 1.5 million for arts and cultural efforts. The expected revenues from 2008 to 2030 are over $600 million and can be used, again, for the same sorts of priorities, be it affordable and workforce housing, job creation, infrastructure and parks. Finally, all present and future, again CIP projects -- just like in the Omni -- located within the district will be paid for in accordance with these numbers with those funds so that Overtown money will stay in Overtown. This is important to know because it applies to both CRAs, making sure that CRA money stays within the CRA and not -- it's not only in keeping with its intended purpose, but really, it's what I believe makes sense. It is the CRAs that are created and used to regenerate and fire up economic engines in cities, and the bottom line is that these investments will put people to work. I put together all these projects to determine the amount of jobs that are generated by these projects and the economic impacts to this area, and I will tell you that if you put all these projects together, there are 25, 000 jobs that are created through a combination of all of these projects, and the economic impact to our city is $30 billion, and that's without even using a multiplication effect. I believe that it's time to make these investments we need if we're to continue to be competitive as a city and as a region, and continue to attract and retain the economic engines that will get us the opportunity to ensure the future success of our city, and I ask for approval of the global interlocal agreement. Thank you, Mr. Chairman. Chair Sanchez: All right. Thank you, and I apologize for turning the mike off. Mr. County Manager, always a pleasure to have you here. George Burgess (County Manager): It's a pleasure -- Chair Sanchez: Recognize you for the record -- City ofMiami Page 11 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Mr. Burgess: -- to -- Chair Sanchez: -- to speak on this agreement. Mr. Burgess: Yeah. I'm George Burgess, the County Manager, and it is a pleasure to be here. The Mayor said it well. I think what it's important -- whatl think is wonderful is the fact you have City and County government working together recognizing that investment in the urban core is good for the City, and if it's good for the City, it's good for the region, and it is about job creation. It's about public sector economic investment to hopefully continue to stimulate private investment. There's a renaissance that's happening in downtown Miami, and maybe there's a slowdown, but it will continue, and those public sector investments that we make fuel that private investment, and that private investment creates value, creates incremental value; and that incremental value can go to continue to fuel the investment; and if we do it the right way, it can actually be a positive snowball effect, and we really view it this way. You do have funding that's going to support the catalytic project for the Omni redevelopment area, the Performing Art [sic] Center, and also, at the same time, free release funding that can be used to support the development of a ballpark at the Orange Bowl for the Florida -- for the soon -to -be hopefully Miami Marlins. You have through the modification of the redevelopment district boundaries and the extension of the years funding that can be used to provide the local match for the tunnel, which is hugely important to the port, butt submit it's also hugely important to the City to get those 18 wheelers off of city sfreets so that private investment will continue, and pedestrian/friendly development is not compatible with 18 wheelers on city sfreets. We also have two spectacular museums that are funded from a combination of general obligation bond money and private sector giving. Those spectacular park -- museums, one you've seen a rendering on recently, need to be on a park that is deserving, not just a plot of green land, but a spectacular waterfront park, A la Millennium Park in Chicago, let's say. This allows those fundings -- that funding from the redevelopment district to go to support the development ofMuseum Park. The Overtown redevelopment disfrict, Parkwest Overtown, for ten years or more, in its inception, its early years, it had a negative or no increment. What we're talking about now is once we've seen things happen and value created downtown, now is the time to extend the life of that disfrict and modify its boundaries so you can actually put real affordable housing that will benefit the residents of Overtown and that investment downtown created by getting trucks off of city streets, those investments in high rises that create value in that redevelopment disfrict is the incremental value that can go into housing in an enlarged Overtown district. There are a lot of things that are intertwined and it's complex, but it's also incredibly simple in that you have a lot of public sector investments clustered to continue, hopefully, to fuel a very bullish investment that's been occurring over the years, the recent years in the City ofMiami. As the County, we see the value of investment in the urban core and continuing to see people wanting to live closer to where they work, to see the city grow. It's good for the region, and we have been very much partners on working on this for some time; and we're committing to continue in that regard; and at the appropriate time, I'd be glad to answer any questions you might have on any elements of this interlocal. Thank you. Chair Sanchez: All right, other speakers. Is there any presentation of any kind? I think the Marlins are a key player. Mr. Samson, maybe you need to say something. David Samson: Thank you very much, Mr. Chairman. My name is David Samson, the president of the soon -to -be Miami Marlins, and I wanted to say that it has been a interesting long road and a pleasure working with the elected officials, both the City and the County, and as a team, we are extraordinarily supportive of this global interlocal because we're about to become engrained in a community that is really going to continue to prosper and thrive for the foreseeable feature because of these things that are happening, and we've always wanted to have a first-class facility and a first-class place, and this is exactly the road down which we are now heading; and moving toward an agreement on baseball is exactly where we're headed as part of all of the things that City ofMiami Page 12 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 you are looking at; and I would simply say that as a member of this community and as a baseball team, we certainly look forward to working with you and having your support on this issue; and I, too, am happy to answer any questions at all on any subject. Chair Sanchez: All right, thank you. Anyone else wishing to speak on this item -- Chamber -- please step up. Hank Klein: Thank you, Mr. Chairman. My name is Hank Klein. I have the pleasure and honor of being the Chairman of the Greater Miami Chamber of Commerce. The Chamber represents close to 6,000 individuals and 3,000 businesses in this community. We are the spokesperson and the leadership of this business community. The items in this global package are the items that are important to us and have been for many years. We support this. We feel that this is legacy creating. The port tunnel, the rail car, the Marlins stadium, and everything else is important to the revitalization and the refurbishment and the rejuvenation of downtown Miami, so on behalf of the Chamber of Commerce, we urge you to support this, to pass this, and to work forward and to move forward in making this happen. Thank you very much. Chair Sanchez: Thank you. Anyone else? Mr. Hernandez: Mr. Chair? Chair Sanchez: Yes. James McQueen: Yes. James McQueen, 25 West Flagler. You know, I just want to make a few quick comments, and you know, it looks to me that once again the people of Overtown wound up -- wind up suffering. I look at this global agreement, I see Performing Arts Center, Port Tunnel, Museum Park project, Streetcar project, Orange Bowl stadium, and a baseball project, butt see absolutely nothing for the people of Overtown. Now, you Commissioners have a responsibility not only to watching out for the business community, but also to watching out for the citizens who have elected you. A lot of those citizens live Overtown, and so before you pass this agreement, I would hope that you take your time; I hope that you consider the fact that Overtown has been ignored for a long, long time; and now that we're about to realize some dollars, they seem all to be going someplace other than Overtown. Thank you very much. Chair Sanchez: All right, thank you. Yes, sir. Please, anyone who wishes to address this Commission on this item, please stand up; just state your name and address for the record and address the Commission. Jesus Ojito: Okay. My name is Jesus Ojito. (Comments in Spanish). Chair Sanchez: Do we have a translator? Priscilla A. Thompson (City Clerk): Yes, we do. Chair Sanchez: Okay. Ojito, one moment. One moment. Mr. Ojito (as translated by Spanish interpreter Rene Ramos): The name of the thousands of signatures that I represent, I come to ask the Administrator, the Mayor and the Commissioner, to support these beautiful projects that's going to make history for the City ofMiami. This town needs -- wants a stadium. I know they're going to have the vision. This is not an industrial city. This is a city that lives off the tourists and need all the resources that they have to attract more tourism. Therefore, all these projects that are being presented today in the names of the thousands of people signatures that I have, I ask you to take under consideration the time that you going to cast your vote to remember the progress of the City ofMiami. Thank you very much, and I hope that it's the best for the City ofMiami. City ofMiami Page 13 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Ms. Thompson: Chair, I need a name for the record, please. Chair Sanchez: Ojito. Jesus Ojito. Mr. Ojito: Jesus Ojito. Commissioner Sarnoff Ojito. Chair Sanchez: Ojito. All right. Anyone else wishing to address the Commission? Mayor Diaz: Commissioner, thank you, but I thought it was important to clear the record on something that was just said. There are those of us who actually believe that perhaps the Overtown Southeast/Parkwest is the biggest winner in this global deal. As I mentioned earlier in my statement, this CRA expires in five years. In the next five years, you can expect $80 million for the revitalization of Overtown. That is it. Chair Sanchez: That's it. Mayor Diaz: When you extend it to 2030, that number becomes a billon dollars, okay, number one. Number two, none of these projects are taking a penny from the Southeast Overtown/Parkwest, not the museum, not the tunnel, not the street -- none of those projects, not the Marlins, nobody. No money comes out for any of those projects. In fact, the projects are funded exclusively by Omni, and in fact, I would argue that those projects will continue to create the redevelopment that you need in Overtown and Parkwest to keep increasing the increment that comes from that CRA, and finally, what I'll say, as I mentioned earlier also, it's 25, 000 jobs, 25,000. That's a lot ofjobs, and I assume that a lot of those jobs are held by African Americans. Chair Sanchez: All right. Anyone else? Are you going to speak? Unidentified Speaker: (UNINTELLIGIBLE) take comment? Chair Sanchez: Yes, sir. Yeah, yeah. Well, the public hearing is open. Anyone from the public who wishes to address this, please step forward. I mean -- okay. Two minutes, though. I got to give you two minutes. All right, sir, go ahead. State your name. Fred Joseph: Fred Joseph, Omni Advisory Board. Let me just give you a small little breakdown on the Omni area that you're asking for all the funds to come from. During the riots nobody would come there. After the riots, from '80s to the '90s, nobody would come there. We had to push down crack houses, get male and female prostitutes off the streets. Our funding started at three small units at $3, 000 in taxes; now we're up to $9, 000 in taxes. We were asked last night to fund city street re -- improvement because the City ofMiami, so we've -- you voted to fund city streets that the City ofMiami doesn't have the money; hopefully, we'll get it back; some sewage, roads, water, sewer, redevelopment in the Omni areas all we've ever strived for. To move your boundaries has to be an economic engine that helps. How does it help? You want to go to Watson Island. You want to pay off a debt on a jungle island that if they filled up from now to the time this agreement is done could not service the debt you put on them from the get go, at best. On their best day, it's Easter Egg hunt, and that's the only time they ever are full. You go to the park. The park service is a wonderful thing. You talk about creation ofjobs. There are going to be construction jobs for the tunnel. There's going to be construction jobs for the park, but there will not be administrating jobs. CRA money is not allowed to be used for administration. If you go back to your inception of CRA, it's for the district not to expand out. We go till 2017. We don't go to 2027. Two thousand seventeen, if you left us the money that's coming in there now, we would be able to improve our own infrastructure ourselves. Mr. Commissioner, Chairman, please, and Commissioners, we are not a piggy bank. Yes, we'll help City ofMiami Page 14 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 the Performing Arts because we pledged that in the '80s. I was on the committees. We pledged our tax money and that helped the engine. We pledged Margaret Pace Park. None of those condominium buildings would have come there with a tent cities of the homeless. Chair Sanchez: In conclusion. Go ahead. Mr. Joseph: Please understand what you're looking at. These monies are for you to use inside the Omni for that improvement, not to expand us and call it something else. We'll support you, but please understand, the Orange Bowl is so far out of our community, and all we're asking for is for you to understand what a CRA is. It's not a piggy bank. Chair Sanchez: Thank you. Commissioner Sarnoff Mr. Chair. Mr. Joseph. Mr. Joseph: Yes, sir. Commissioner Sarnoff If you just factor in the expansion, both geographically and in terms of the chronology, and if you look at the TIF that's going to be generated, it's not a negative outcome for the CRA of Omni. Mr. Joseph: You're absolutely correct, it's not a negative outcome if that tunnel's not a bay in six. Commissioner Sarnoff Well, even if the tunnel -- Mr. Joseph: If that park -- I'm sorry, Commissioner. Commissioner Sarnoff -- goes over budget, it is not the City ofMiami's problem; it's actually the developer's problem, and I can give you the percentages when we get to that, because it's a very well -structured deal. Mr. Joseph: Yes. Commissioner Sarnoff Everybody has this post -apocalyptic PAC (Performing Arts Center) attitude, and I understand it, but you can also learn from your mistakes and you can also learn, with all due respect to the County, not to allow the County to run a project; to allow private development run the project, put them at risk, and allow them to shoulder the $200 million burden if it goes over budget, so your suggestion -- and I just want to make sure everybody's speaking accurately. Mr. Joseph: Thank you. Commissioner Sarnoff By expanding the chronology and the distance of the Omni, you're actually improving it, you're actually creating more TIF revenues; and that's my understanding. Jungle Island, unfortunately, every Commissioner sitting up here, I suggest to you, was not a party to the deals that were made back then, and our left shouldering the burden of that on the general operations budget, one way or another, the City ofMiami taxpayers are paying for previous Commissioners' or previous Managers' decisions, and that's government. I mean, there are issues that will continue to deal with as everybody else has dealt with that you cannot help but live by people whose shoulders you sit upon, you know. There are many Commissioners before me that wouldn't have done what they did, but they're there, so we're left with the Omni actually improving its TIF revenue and creating a larger TIF for the City. Mr. Joseph: May answer? City ofMiami Page 15 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Commissioner Sarnoff Sure. Mr. Joseph: On the TIF side, we did ask where the TIF would be improved by the expansion? Tunnel will not give Omni a tax return. Commissioner Sarnoff Flagstone won't? Mr. Joseph: I'm sorry? Flagstone still hasn't come out of ground. We're not denying what could come out of ground;; hasn't come out yet. Flagstone has been paying additional fees to keep themselves alive. The Museum Park will not generate any TIF, Commissioner. The Orange Bowl will not generate any TIF back to the Omni, and the 17-year -- the ten-year they're offering -- or 12 years they're offering expansion, which we would agree with the expansion would, as we wanted to go north by five blocks and into Northwest 7th west, so we could expand into workforce housing; offer it there, and pick up the new condos may be filled up over the next four or five years. I'm not disagreeing with you, but don't see -- Commissioner Sarnoff You're just -- you and I -- Mr. Joseph: -- your revenue stream. Commissioner Sarnoff Yeah. You're just saying expand a different direction. Mr. Joseph: Correct. Where -- Commissioner Sarnoff Okay. Mr. Joseph: -- you're going to expand the TIF. Commissioner Sarnoff I understand. Mr. Joseph: Your park -- they've never offered me one explanation where a dollar from that TIF from the park on 29 acres is going to come back to Omni. I'm not going to disagree that if it came from Overtown or Parkwest, I would have no argument, butl don't see where they're going to pick up any benefit from it. As far as the Parrot Jungle, it was not your Administration, nor was it -- it was the County that brought that to bear, and you don't owe the money; they do. You only guaranteed that they would pay it, so it's one pocket or the other they're frying to get out of it, I understand that and I appreciate it, but we didn't create it. Chair Sanchez: Yes, sir. Commissioner Sarnoff Okay. Chair Sanchez: And just on another note, Mr. Joseph. Mr. Joseph: Yes, sir. Chair Sanchez: The Orange Bowl, for the -- Mr. Joseph: Yes, sir. Chair Sanchez: -- baseball stadium -- Commissioner Sarnoff It's not. City ofMiami Page 16 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Chair Sanchez: -- they're not using any TIF money. Commissioner Sarnoff Correct, they're not -- Chair Sanchez: Zippo TIF money. All that money's coming from the CDT, the TDT, and the bond money, so there's no TIF money being used for the Orange Bowl. We just want to clarify things to make sure -- Commissioner Sarnoff Right. Mr. Joseph: But aren't they offering to relieve some things, like Parrot Jungle for that (UNINTELLIGIBLE) ? Chair Sanchez: No, no, but that has nothing to do with it. The TDT -- Mr. Joseph: I'm sorry; that's not how I read it. Chair Sanchez: -- the County has held -- it has nothing to do -- no money from the TIF, from the Omni or Southeast is going towards the Orange Bowl. That's not true. Mr. Joseph: Okay. Chair Sanchez: Let's clear that. Mr. Joseph: Because I -- when they clarified, they said -- Chair Sanchez: No, no, no. It's clarified right here -- Mr. Joseph: -- Overtown. Chair Sanchez: -- because I've been reading the agreement -- Mr. Joseph: Thank you. Chair Sanchez: -- (UNINTELLIGIBLE). I just want to clarify that. Mr. Joseph: I appreciate it. Chair Sanchez: Okay. Ma'am, you're recognized for the record. Elaine Black: Elaine Black, Liberty City Trust. Our focus is to ensure that residents of the Liberty City community, the Overtown community, and other urban communities in the City of Miami gets jobs as a result of this, so we want to ensure that there is a jobs program, a training program, and also a mechanism for subcontractors currently living and working in the City of Miami to get jobs, so as we look at this project, I just want to ensure that jobs and subcontracting opportunities are here for the residents of the Liberty City area for our community. Thank you. Chair Sanchez: Thank you. Roy Hardemon: Roy Hardemon, 655 North 48 Street. This projects [sic] is not only a global agreement, but it's a global warming for the black community, simply because, you know, we in Liberty City, Overtown, we argue for nickels to fix up our streets and to fix our neighborhoods so we can really bring some meaningful jobs and business opportunities, but we can sit up here and hash and argue over a baseball stadium and a tunnel when the black community is slowly going City ofMiami Page 17 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 under. We going to be in the tunnel in a minute, and I urge you all to help us help my community as well as you sit up here and talk about this tunnel and this expansion of the CRA to help some businesses where you got lives, black lives, and I'm very upset right now that what I'm hearing and we ain't getting nothing. Commissioner Sarnoff So you would -- so you're advocating to us to keep Southeast Overtown/ Park [sic] just where it is and let it go in '017? Hr. Hardemon: What I'm saying is simply this here. What you're talking about -- Commissioner Sarnoff Right. Hr. Hardemon: -- is not helping our communities -- Commissioner Sarnoff Well -- Hr. Hardemon: -- and I need some help, but yes. Commissioner Sarnoff -- so you're suggesting that we just leave things in place? Vice Chair Spence -Jones: No. I think what he's probably suggesting, Commissioner Sarnoff -- I don't think there's a question around the expansion of the life -- of the boundaries, I mean. By all means, we know that we need that in order for the Overtown area to at least go to the next level. I think the question becomes more about the $522 million that's going to be generated from that area; the fact that it should be remain in that particular community because at that particular -- at this particular moment or this particular time, that -- those communities had been waiting for -- finally for something to happen. I think that what he's -- the statement that he's making is those dollars that are generated, that half a billion dollars, he feels that it needs to stay within the area -- Commissioner Sarnoff But not -- Vice Chair Spence -Jones: -- but guess when we -- Commissioner Sarnoff -- but Southeast Overtown/Parkwest is not utilizing any of its TIF revenue for any of these projects. Vice Chair Spence -Jones: No. That's -- Commissioner Sarnoff I mean, as everybody -- Vice Chair Spence -Jones: -- right, right. He's -- I don't think -- let them -- I don't think that's what his comment is. Let's finish the -- when it comes back to us, then we can get into all the details. Commissioner Sarnoff No. I want to understand this as it goes on. Chair Sanchez: We'll -- yeah, we'll address this. Commissioner Sarnoff All right. Vice Chair Spence -Jones: Thank you. Chair Sanchez: All right, let's go through the presentation and -- a good point. City ofMiami Page 18 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Luis Herrera: Good afternoon. My name is Luis Herrera, president of Vizcaya Homeowner Association, and my question is why they put all these project together and none'll be separated? Because the sfreetcar, the Orange Bowl, and the tunnel all together, it's not common sense to the people coming down here because I got a lot of signatures against the sfreetcar. The tunnel is completed different to this project, and I don't know why they put it all together so we can discuss it every one separate, and the opinion of the different people is completed different. I'm in favor of the Marlin [sic], but I'm against the tunnel and I against the streetcar because we don't need it. Either we don't need it -- either the tunnel either. We can fix the problem of the trucks out of the island. We could get a ramp to the -- straight to the 95, and I can talk to you about truck drivers because I'm a professional fruck driver; belong to the union, and all the questions they asking in the tunnel against the union, and that's not true. It's a part of the (UNINTELLIGIBLE) -- I mean, the island from the union and another belong to the union, so it's a simple way make a ramp to the -- straight to 95, we will solve the problem and save a lot of money to the City and to the taxpayers, too. Thank you. Elvis Cruz: Elvis Cruz, 631 Northeast 57 Street. Commissioners, I'm very troubled by this turn of events. I just found out about this in today's paper. This is a huge, huge deal, and we just find out about it in the paper this morning. There's an aspect of this that is highly unethical and most likely illegal, and that is the expansion of the CRA to include Watson Island and Bicentennial Park. In order to expand the CRA, that land has to be declared slum and blight, and yet, we all know those parks, and they're not slum and blight, but what routinely happens across the country is that a consultant is brought in to declare land slum and blight, and the funny thing is, when you pay a consultant and they know in advance what it is you're trying to find, miraculously the consultant tends to find it, but even if the consultant does find slum and blight, what are we saying? That the City ofMiami, which has owned this land for decades, has been a landlord to slum and blight? How can we then turn around and tell private property owners that their property is not well maintained and they have to come before the Code Enforcement Board when the City itself has owned slum and blight properties? This is Alice in Wonderland. This makes no sense at all. This is completely illogical. I would ask you to please take a deep breath, give us time, please don't spring things on the public the night before, and follow your conscience. Protect the public interest. Thank You. Chair Sanchez: All right. Anyone else before we close the public hearing? Once we close the public hearing -- Mr. Hernandez: Mr. Chairman. Chair Sanchez: All right. Mr. Hernandez: If you allow me to put some facts on the record. Chair Sanchez: Well, let's go ahead and -- once again -- Commissioner Sarnoff Close to public hearing. Chair Sanchez: -- I want to close to public hearing. Is there anyone from the public who wants to address this Commission? The public hearing is closed at this time. It comes back to the Commission. Mr. City Manager, you're recognized for the record. Mr. Hernandez: Thank you, Mr. Chairman. Mr. Chairman, this whole, I think, global approach to many significant projects that will impact the City and the County for years to come, yes, it's based on expansion and extensions of CRAs that we all know that we need to go through a finding of necessity and the slum and blight analysis and so forth. The Omni CRA right now runs until 2027; we're adding three years to it. It is projected that through 2030, the available amount would be 1,796 million or 1.796 billion. From the PAC, the proposal is to fund these City ofMiami Page 19 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 major projects. From the 1.7 billion -- Commissioner Sarnoff Billion. Mr. Hernandez: -- 484 --I said billion? Commissioner Sarnoff It's billion, you meant. Chair Sanchez: Billion. Mr. Hernandez: Yeah, 1.7, 1.8 billion -- Chair Sanchez: Yeah. Mr. Hernandez: -- billion -- Commissioner Sarnoff Billions. (UNINTELLIGIBLE) the big money, yeah. Mr. Hernandez: -- or 1,796 million. The contribution to the PAC, which is based at a 35 percent of the CRA income with a cap at 25 million per year, that from now through 2030 would be 484 million. The port tunnel, which the Administration is recommending that the City pay as you go between 2013, which is -- or 2012, which is the date in which the tunnel is supposed to be completed, that we pay from that date through 2030, and that those payments have a present value of 88 million. By the way, the State has been, I would say, flexible with the City in asking for our commitment. We can either pay him now or we can pay him at the end of construction, or we can pay, like if it was a mortgage, over the 17 years, between 2013 and 2030. Present value of the port tunnel is 88 million. Museum Park. We have different ways to do Museum Park. Our plan would be to also do it on a pay -as -you go, except that we want to initiate that project as early as possible. We're contemplating other means that will get us the cash upfront to be able to start construction in 2009. The present value could be in the range of 130 million. Commissioner Sarnoff That includes -- Mr. Hernandez: That's cash flow. I'm sorry. Commissioner Sarnoff -- but that includes $2 million a year of upkeep and maintenance. Mr. Hernandez: That's included there in the event that that can be used if that fashion, yes. Commissioner Sarnoff Right. The actual number, I think -- Mr. Hernandez: It's in the range of 60 million -- Commissioner Sarnoff Right. Mr. Hernandez: -- for the improvements, and the $2 million a year for maintenance. Commissioner Sarnoff Which means we'll be able to actually maintain a park. Mr. Hernandez: Correct. Commissioner Regalado: Mr. Chair? Chair Sanchez: Mr. City Manager -- City ofMiami Page 20 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Mr. Hernandez: And -- Chair Sanchez: -- you're done? Mr. Hernandez: Yes. Chair Sanchez: I'm sorry. Mr. Hernandez: No, no. Commissioner Regalado: Okay. Mr. Hernandez: I'm -- The contribution to the PAC does release convention development tax and tourist development tax. Those are the monies that then allow for the City and the County to have the necessary funding in order to be able to fund the baseball stadium. The amount release, it's 158 million, the equivalent of 158 million of CDT and TDT. Once we do all those projects from the Omni CRA, the balance for the Omni CRA through 2030, it's $1 billion, which is obviously, I would say, sufficient to do all the infrastructure needs and all the other projects contemplated for the Omni CRA, from infrasfructure to economic development to parks, open spaces, arts, culture, security. We're also proposing to use the Omni CRA to pay the loan that we have on the Parrot Jungle today, County/City, and that's about two and a half million dollars a year, plus or minus. Once that's paid out of that source, it means that this City will have those monies coming back into the general fund. With respect to Overtown/Parkwest, Southeast Overtown/Parkwest, right now it expires in 2013, six years away. The proposal is to extend it to 2030. When you do that extension, the additional funds coming into the Southeast Overtown/Parkwest CRA is just over a billion dollars. The idea with the additional revenues coming into the Southeast Overtown/Parkwest is to use 50 percent of that to stay at the CRA and the other 50 percent to go back to the City and the County. That means that an additional 326 million would be coming back to the City and 196 million to the County. There was a reference made to the streetcar, and I need to be very clear on that. Yes, we do have a streetcar project that we have been planning. However, that project still has to go through the State approval process and also has to be approved and added to the long-range transportation plan by the Metropolitan Planning Organization. As part of this global agreement, the County's providing 20 million towards that project. The net amount to the Southeast Overtown/Parkwest as a result of the extension of that CRA is 605 million net, and the idea, of course, would be that these monies could be used for housing, for infrasfructure, job creation, economic development, parks, arts and culture. The calculations that we have done -- because you may say, well, how did you come up with all those numbers? And these calculations have been, I would say, on the conservative side because we have used projects that are now in the ground or under construction. We're not using projects that may be down in the future we're not certain of. We're using projects that are there now. Also, in working with Larry Spring, I asked him to make sure that his numbers take into account the potential impact of tax reform initiatives, and he has done so. I think that overall we're -- we -- and I can understand sometimes the skepticism that you hear from people coming to the podium. We're on the verge of being able to set the tone for the vision of the City and the County for the next 20/30 years, and I think that this is a win -win for all, for the City and the County, and I would like to ask Larry Spring to put into the record some changes that we have to the global agreement that was given to you. Larry. Larry Spring (City Manager's Office): Commissioners, Larry Spring, chieffinancial officer. From the version of the global agreement that was provided, I believe yesterday, there were a few changes, about five changes, and I wanted to go and put them specifically on the record. The first, the City bonding of CDT for the baseball stadium has been reduced from $39 million to $10 million. The County's bonding of TDT for baseball has increased from $48 million to $88 million, and the County's bonding of CDT has decreased from $29 million to $10 million. The streetcar contribution from the County was reduced from 35 million to 20 million. The last -- well, two more. The agreement does not approve the extension of the reverter, but requires that City ofMiami Page 21 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 the County place an item on the agenda to consider the extension, and finally, paragraph 10 of the interlocal document has been substituted with the following language. The City, the County, and the Team agree that the funding commitments to the PAC as set forth in this agreement and in the first amendment to the Omni CRA interlocal and to the new Orange Bowl or contemplated herein shall be void unless a binding agreement for baseball -- for the baseball project, the baseball stadium agreement contain the following provisions is executed. The total project cost 515 million. The Team's contribution shall not be less than 155 million. The Team will not request more than 6, 000 parking spaces at the new Orange Bowl site. The Team, the County, and the City will act in good faith and will be reasonable in negotiating the baseball stadium agreement. Those are the changes. Chair Sanchez: Okay. Before I -- Mr. Spring: Yes, and those changes were handed out. Chair Sanchez: Okay, but before I allow Commissioner Regalado to ask questions on it, I have some questions on these changes, and I was reading the agreement, Larry, and these amendments. I just -- if you could go to `B, " which is the port tunnel. Somehow I was more comfortable with the cap. Explain. Did you remove the cap from the port tunnel on `B"? Mr. Spring: No, we did not. Chair Sanchez: So the cap is still there? Mr. Spring: Yes. Chair Sanchez: All right. Because in the deleted, it says the Omni CRA will not be required to make any contributions in excess of the amount set forth herein. Mr. Spring: The reason why that language was changed in this document was because it was in conflict with the actual tunnel agree -- what the parameters of the tunnel agreement state -- Chair Sanchez: All right. Mr. Spring: -- but we are limited to a $50 million present value cash contribution. Chair Sanchez: All right, so you've answered that question, and this is based on the changes that were made to this agreement, all right. Then go to number 4. Commissioner Sarnoff Wait. Can I just --? Chair Sanchez: Sure. Commissioner Sarnoff So then you're saying that it is 50 million? Mr. Spring: Yes. That $88 million number approximates a cash flow that will be paid from substantial completion of the port through 2030, so -- Commissioner Sarnoff So as we take -- Mr. Spring: -- that's the difference. Commissioner Sarnoff -- consideration and deliberations, we should be thinking 50 million? Mr. Spring: Present value. City ofMiami Page 22 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Commissioner Sarnoff Okay. Chair Sanchez: All right, and then you go down to the last where it says on the Parrot Jungle, Section 108, and you deleted the language that it stated in no event shall the Omni CRA payment exceed 80 percent of the 108 loan debt service payment not made by the borrower. What -- elaborate a little bit on that? Mr. Spring: And that is really a concession between the parties, the City and the County. We are both obligated to make a hundred percent of the deferred interest payments from now through 2012, so as joint parties, we're saying we would like for that to be considered to come from the CRA. It still has to go through a process of compliance with the CRA development amendment and certain other steps, so it is not a foregone conclusion that it is approved. Chair Sanchez: And the other change was on the streetcar, which wentfrom 20 million -- Commissioner Sarnoff To 20 million. Chair Sanchez: -- so there's a reduction -- Commissioner Sarnoff From 35 -- Chair Sanchez: -- yeah. It was 35; it went down to 20 -- Mr. Spring: Went to 20. Chair Sanchez: -- which is a reduction of 15 million less -- Mr. Spring: Yes. Chair Sanchez: -- but after looking at the agreement, the tail end is on the stadium side, where we benefitfrom -- Mr. Spring: Yes. Chair Sanchez: -- it in the TIF. Mr. Spring: We would, we would. Chair Sanchez: Okay. Mr. Spring: Yes. We gain better -- a better bonding position on the stadium. Chair Sanchez: And the contributions to the baseball stadium on our behalf stay the same? Mr. Spring: At -- well, actually, as I read them into the record. Chair Sanchez: All right. Mr. Spring: Our obligation has been reduced slightly. Our bonding obligation has been reduced slightly -- actually, more than slightly -- by about almost $40 million. Chair Sanchez: And then the City will fund 50 million from CDT revenues? Mr. Spring: Right. City ofMiami Page 23 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Chair Sanchez: All right. Any other -- I just had questions on the agreement. Commissioner Sarnoff Right. Mr. Spring: Just for the record, the County is going -- the TDT that normally would be coming to the City, the 20 percent, the County has stepped up and decided to do the bonding on that. That will allow us greater capacity in the City to do other things, but bonding needs that we have citywide, so that was a benefit to the City. Chair Sanchez: All right. Commissioner Regalado. Commissioner Regalado: Thank you very much, Mr. Chairman. The last time I read here about such an ambitious and important and expensive project was when the County was placing in the ballot the GOB (General Obligation Bond) bonds, $3 billion, with one small difference. The County allowed 1.2 million voters to decide on this big -ticket items, and by the way, it separated them in eight different categories. Now this morning we're being asked to vote on billions of dollars in project, maybe not billions; hundreds of millions of dollars in project, so five persons will be ask to decide how the City ofMiami is going to spend hundreds of millions of dollars in the next decades and with a difference; we don't have categories. It's either you take it or leave it. Myself I fully support the stadium for the Marlins. I was hoping that some day we'll be discussing that, and I was hoping to rally after the stadium, but now I think -- maybe I'm mistaken -- that we're being asked to vote in every of the items. We got lucky, but they could -- because they could have thrown also the Ferris wheel that the County wanted to build in the port and include it in this big -ticket items. I just think that it's wrong for us to vote on this global agreement and not do it project by project. I think that the people ofMiami should decide whether or not we want to participate in all these projects for one reason. We've been talking here -- or people have been talking here about billions and hundreds of millions coming to TIF and TAF and TUF, and what probably the people out there doesn't know is that this money that you are projecting for one small area of the City -- Omni, the park museum -- that money will not be going to the federal -- to the general fund in the next decades, so the next Managers and Mayors and Commissioners will not be able to use that money for police or fire or every other issue that the City has, so this is a citywide issue, and Commissioner Spence -Jones was right when she said about the Flagler Dog Track. This is a citywide issue. It is a citywide issue. This is a citywide issue. The people ofMiami should have the opportunity to decide whether or not we want to bail out the Performing Art [sic] Centers [sic], whether or not we want to participate in the museum. Mind you, the people ofMiami did vote to help the park museum on the referendum for the bonds in 2001, but that's an amount that now has grown. To say that $800 million -- $876 million or -- by the year 2030, more than a billion dollar will be generated by the TIF, and we could use that is not -- is saying only half of the truth. It is important that we say to the people that this money will not be going to the general fund in the next 20 years, but instead, it will be going to different projects. I would just hope that we can separate several of this issue. I will just hope that we can soon vote for a Marlin stadium in the Orange Bowl, which is, I'm sure, what all we want. I would hope that we can probably discuss the tunnel and the options, but I'll tell you something. I cannot even think of voting for an agreement where we have so much money going to so many projects all at the same time. Somebody said that this is a win -win situation. It's a win -win situation for the County because the Manager had been told by his Commissioners, don't even come back here to get more money for the PAC. The City of Miami has been committing $1.4 million to the PAC, and now we are being asked to give dozens of millions of dollars, a cap of 25 millions of dollars, so I brought this little white elephant to remind you of the PAC, and I just have one. We should have -- I should have brought more. It's wrong for us to commit money that the general fund of the City ofMiami should have for many needs. When I ask the Manager -- and I have to say that he has been tremendous helpful in trying to explain to me. I'm just dumb. I don't understand all this. When I ask him, well, what if, in January 29, the people of the state of Florida approve amendment number 1? What happens City ofMiami Page 24 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 in terms of residential in the Omni area going to the $50, 000 homestead exemption? Well, what ifMarco Rubio and his people gets the signature and places on the 2009 election -- general election what they want to accomplish, the 1.3 cap on the property taxes? What -- if this happen -- so what's happening to all these grandiose plan? We -- the Manager said they will do the numbers. I'm sure that you have done the number. I don't know the numbers, but -- I mean, it happens. It could happen. We don't know what the people are going to do on January 29, and to me, I'm amazed. I got to tell you that I am amazed. I mean, to do this when we are about to be bombarded by advertising on television and media and radio with a different tax that have been organized to fight amendment number 1, when people hear if you vote yes on amendment 1, you will put -- you'll be put on hold when you call 911, the park entrance will be $10 and it could be up to $25, there will be a fire -- a volunteer fire department. That's the bullet points that the campaign against amendment number 1 will have. When people are bombarded with that and then we are approving hundreds of billions of dollars, it would be very difficult to explain every resident of the City ofMiami what is TIF and what is money; what is coming to the Omni and what is coming to the City. I just wanted to finish because I know many people want to -- my colleagues, and I wish to listen to my colleagues, butt just have one question to the Manager. Mr. Manager, suppose that there is a will in this Board that say, well, Mr. Manager, I -- we don't want to vote, or we like to defer this, does this mean that the plans for the Marlins collapse? Does this mean that the deadline for the tunnel comes into the picture and the project is gone? So I just want to understand if we don't approve the global -- and I didn't say global. I said global -- what is happening to the different project? Can we just keep talking to the Marlins and decide if we want to do a stadium in the Orange Bowl? Mr. Hernandez: Commissioner, I'll address the tunnel first. I think with respect to the tunnel, without this global agreement that addresses or proposes the use of CRA dollars to fund the tunnel, we would have to be, in essence, willing to commit general fund revenues to support the tunnel. I totally support the tunnel on its merit, and I think that the City should support it, but I'd rather use CRA monies than hit our general fund. With respect to baseball, the CRA dollars are needed to, in essence, provide the support to the PAC. The PAC, whether white elephant or not, it's a City ofMiami facility; owned by the County, but it's in the City, and when people come to Miami in cruise ships and planes and they go to downtown Miami, that's the PAC, and they think it's ours. It's part of downtown. Commissioner Regalado: Not if they know the uniforms of the police, because Miami -Dade police, it's the one in charge of security -- Mr. Hernandez: Well -- Commissioner Regalado: -- inside with air condition, and our cops are outside with the sun and the sweat and the traffic. Mr. Hernandez: That's -- I understand. That's another issue, but in essence, if we don't have the monies to be able to free up the CDT and TDT dollars, we will not be able to fund baseball. Commissioner Regalado: So what you're saying is -- Mr. Hernandez: We cannot do -- Commissioner Regalado: -- nothing? Mr. Hernandez: Right. We cannot do baseball, and definitely, to do the tunnel -- Commissioner Regalado: We cannot do baseball. Mr. Hernandez: -- I would have to use general fund. City ofMiami Page 25 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Commissioner Regalado: We cannot do tunnel. We cannot do -- if we don't support the PAC -- Mr. Hernandez: We cannot do -- Commissioner Regalado: -- if we don't -- Mr. Hernandez: -- Museum Park. Commissioner Regalado: Wow. Chair Sanchez: Say it. Commissioner Regalado: That is heavy. Chair Sanchez: Say it. Mr. Burgess: It's heavy. The answer on the -- to reinforce what Pete was saying, without commenting on the asset that we have in the Omni area that is the catalytic project that's creating enormous value, which is the Performing Arts Center, and it's a jewel. Providing the redevelopment district funding at a higher percentage to the Performing Arts Center frees up tourist -related taxes that are used as a significant and fundamental part of the financing plan for baseball. Baseball can't happen without this arrangement. Commissioner Regalado: Well, I don't know, Mr. Manager. I thought that the gap was a $60 million from the Legislature, and now we're told that the gap is because we don't approve the global agreement. I mean, like telling us -- Chair Sanchez: They (UNINTELLIGIBLE) hold TDT. Commissioner Regalado: -- okay, the money from -- for the tunnel is going to go away to other cities throughout the state, even though we have in Miami -Dade County the biggest state legislature delegation in all the counties, and we have the Speaker of the House of Representative in Miami -Dade County, which I'm sure they will fight for, but that's another story, so I want to understand. We kill the global, we kill everything? Mr. Hernandez: Yes. Commissioner Regalado: Okay, but then you know that -- that's very unfair. That's very unfair to put this Commission in this position. Chair Sanchez: All right. Commissioner Regalado: Thank you. Chair Sanchez: Commissioner Gonzalez. Commissioner Gonzalez: Following what you said, Commissioner Regalado, the Marlins stadium is being hold hostage. Either we have a global agreement or we don't have a Marlins stadium. It's that simple, and that's the way they have prepared this package. There are a whole bunch of issues, and I have a lot of concerns with this. I mean, like you say, I would like to be able to vote on each of these items separate, and I don't like -- you know, I don't like to be put into a corner and pressured to do something because other people want me to do that, and that's the way it's -- this is being handled. I understand that we're losing cargo business to other ports and that's important. I mean, we need to preserve cargo business in our port, but also I know City ofMiami Page 26 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 there is a concern about the cruise companies that out of the port now, that they are -- supposedly, they're going to -- I was told that they're going to be charged extra amount of dollars. Do we also want to lose the cruise business to follow (UNINTELLIGIBLE) or to another port? Maybe you want to do that. I don't know. I really believe that there could be other remedies to the traffic of the trucks to the port, like maybe building a bridge, maybe allowing the trucks to go into the port at night. They don't want to work at night. They don't want to use the port at night. I do have problems spending, you know, that amount of dollars on a tunnel. Supposedly, this agreement is going to free up some money for the general fund. Is that correct, Mr. Manager? Mr. Hernandez: Yes, sir. Commissioner Gonzalez: Do we know how much money is going to be free up? Mr. Hernandez: Three hundred and twenty-six million. Commissioner Gonzalez: Three hundred and twenty -- three hundred and -- Mr. Hernandez: That will go back to the City. Commissioner Gonzalez: -- twenty-six million dollars. Do you know how this money is going to be used? How it's going -- because we have the Omni people here claiming ownership of the Omni, which is fine. I don't have a problem with that. They don't want anything in the Omni that disturb them. They just want to be exclusive. You know, fine. That's great. We have the Overtown people claiming for jobs, for more money, for more projects; fine, too, but what is -- what happen to the rest of the City? What happen to Little Havana? What happen to Allapattah, Flagami? Commissioner -- Shenandoah? What happen --? What kind of benefits are these areas going to receive from this monster of global agreement? Because you know, it seems like the -- it seems like everything is going to a one destination, you know, and it reminds me of years back in the City ofMiami where everything used to be downtown, downtown, downtown, downtown, downtown, and the inner cities and the neighborhoods were neglected and abandoned, and you know, they destroy selves throughout the last 30 years or 40 years, okay. Are we going back to that same theory of the past of downtown, downtown, downtown, downtown? I believe downtown is great, but there are other areas that compose the City of Miami that also pay taxes, that also contribute to the economy of the City ofMiami, you know. Are we going to neglect those people? What are we going to give those people? Mr. Hernandez: You know, Commissioner, if you allow me, we're not. One of the main reasons that we have that feature in the global is to be able to have monies coming back to the City that then this Commission could determine how to use in areas that are not, let's say, near downtown. I know that the bulk of the work is going into downtown area, like for example, the tunnel, the Museum Park, et cetera. We have the -- Commissioner Gonzalez: Let me tell you. For the County, it's very easy. It's very easy for the County to commit $700 million, $1 billion, $3 billion, whatever amount of dollars. Do you know why? Because coming budget time when they are short the money, right away they increase property value by a 100, 000, by 200, 000, by 60,000; they increase property value, and you know, they collect the money, and they pay their debts and no problem. We don't have that capacity. We don't have that capacity, you know. We're stuck with what we have, so it's very easy, you know -- and then, you know what's really bad about it is that then we, the five of us sitting in this dais here, are blamed because the property taxes are high, because property value is high, and people don't realize and people don't differentiate between County and City government. They say government, government, you know, so I do have serious concern on this package. I do have serious concern, and I believe that it's very unfair. Because the only thing that the majority of the citizens of the City ofMiami, and maybe the County, agreed on and City ofMiami Page 27 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 really wished for is the Marlins stadium, but telling people that in order to have a Marlins stadium, you have to have a tunnel and you have to support the Performing Arts Center and subsidize it for the next 40 years, and you have to have a streetcar. I don't know why we have to have rails because we had it before. When I came to this country in 1960, there were rails in the street of the City ofMiami, and they were removed, and we want to go back to the past. Why? Why can't we have trolleys, like they do have in Coral Gables, like they have --? I have a brochure in my office. I was looking at different big cities where they have trolleys. Mr. Hernandez: Commissioner, that project has not been approved. The State has to approve it. The MPO (Metropolitan Planning Organization) has to approve it. Commissioner Gonzalez: Hasn't been approved, but it's here. Mr. Hernandez: Well, in the event that we have those approvals in place, it's only when the County is considering to help, once we have that in place -- Commissioner Gonzalez: Well -- Mr. Hernandez: -- and the projects that we have here in this package are projects that we all question have a tremendous economic impact to the City ofMiami. It means jobs to people. Rather than going to Broward or North Carolina -- Commissioner Gonzalez: Well, let me tell you. Mr. Hernandez: -- they can stay here. Commissioner Gonzalez: I -- let me tell you. I do have serious problems with all the amount of jobs that you talking about in here, and as somebody said, maybe during consfruction you could have all of these jobs, maybe, maybe, but after these facilities have been built to claim that you're going to have 1, 700 jobs in one of these projects and another 1, 700 jobs in another project, that's absurd. Do you know what it takes to have 1, 700 jobs in one project? Come on. Who are you frying to kid? Come on, you know. Mr. Hernandez: But I think, Commissioner, that the timing couldn't be better. We're going through a slowdown in the consfruction industry. We have a lot of people here that depend on construction to bring food to their tables. These projects all, you know -- Commissioner Gonzalez: Another question that I have is the Orange Bowl project include a soccer stadium or are we just talking about a Marlins stadium? Do we have a complex or we're going to have just the Marlins stadium? What do we have? I mean, it's so many things. Like Commissioner Regalado said, this should have been taken one project by project -- Mr. Hernandez: Commissioner, we have a -- Commissioner Gonzalez: -- and let us decide. Mr. Hernandez: -- in the global, we have -- the City has control over the rest of the site outside of the baseball stadium, and yes, we do have the opportunity to do a soccer complex, we do have the opportunity to develop the park and to bring retail, to bring a hotel, to really develop that site into a sports complex that we can all be proud of and it will enhance the whole neighborhood around it. Commissioner Gonzalez: In addition to that, let me tell you something. I'm almost positive that we had that -- most of my colleagues at the County Commission are in favor of a Marlins stadium, but I'm not so sure that the majority of the County Commission is in favor of this City ofMiami Page 28 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 agreement. Actually, this agreement should have -- had gone to the County first -- be approved by the County first and then bring back to us for approval, not us approving something thatl don't know how it's going to -- you know, it's -- for some Commissioners in the County, this is not what they want. I can tell you that much. Hr. Hernandez: Commissioner, to be honest, it's difficult and it takes time to come to an agreement on that many terms. We do have an agreement with the Administration. Commissioner Gonzalez: Well -- but let me tell you. Hr. Hernandez: We -- it's a question of timing. Commissioner Gonzalez: That's another question that had. What is the rush? Is the world going to end tonight? Hr. Hernandez: Well -- Commissioner Gonzalez: Because if it's going to end tonight, I'm going to excuse myself and I'm going to leave because I want to -- you know, I want to leave for the next few hours that we have. Is the world going to end tonight? Hr. Hernandez: I hope -- Commissioner Gonzalez: Is the world going to end up tomorrow? Hr. Hernandez: -- not, sir. Commissioner Gonzalez: Why did we have to have this today? Hr. Hernandez: Okay. Commissioner Gonzalez: Why did it had to be approve today? Hr. Hernandez: Okay. The tunnel -- Commissioner Gonzalez: Is the County going to go bankrupt tomorrow? Hr. Hernandez: -- project -- Commissioner Gonzalez: Is the CRA going to disappear? Are you going to --? Hr. Hernandez: If we don't have an approval on the tunnel project today -- Commissioner Gonzalez: Come on, people. Hr. Hernandez: -- this is the end of the tunnel project right here and now. Vice Chair Spence -Jones: But isn't it a separate -- Commissioner Gonzalez: Well -- Vice Chair Spence -Jones: project on -- it's all right -- Commissioner Gonzalez: No, no. City ofMiami Page 29 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Vice Chair Spence -Jones: -- a separate item on the -- Commissioner Gonzalez: Listen. Vice Chair Spence -Jones: -- agenda anyway. Commissioner Gonzalez: Are you telling me that if we don't approve the tunnel in the Miami -Dade County, or the City ofMiami for a better name, okay, the whole state of Florida is going to come to a collapse? Mr. Hernandez: No. They'll take their money -- Commissioner Gonzalez: Is the County going to collapse? Mr. Hernandez: -- and go someplace else is what will happen. Commissioner Gonzalez: Is the port -- the port is going to go someplace else? Mr. Hernandez: No. Commissioner Regalado: Mr. Manager, for your information and for Commissioner Gonzalez and everyone here, I'm sure that he spoke to you because he said he was going to call everyone here, but yesterday, I saw Chairman Bruno Barreiro and he said that on Tuesday he's sponsoring a resolution supporting the Marlins stadium at the Orange Bowl as a stand-alone project, no global agreement, no -- Commissioner Gonzalez: That's right. Commissioner Regalado: -- any other issues, and that he has already the co -signatures of several Commissioners. That is the project. I wish that we would support that as a gesture of good faith that we really want to do what Chairman Barreiro is offering next Tuesday, so I don't know whether we are getting the idea that if everything or nothing, because I'm sure that he has spoken to the Manager and to the Mayor. He said he was going to bring this on Tuesday as one project, stand-alone project, County and City Marlins project at the Orange Bowl only baseball stadium, so maybe he knows something that we don't know, but -- Mr. Hernandez: Commissioner, we have talked to the Chair about the global agreement. Chair Sanchez: It's a surprise. Mr. Hernandez: I believe that if that agreement is approved here today, that the County Commission will hear the item on the 18th, and I'm sort of overstepping my boundaries here, but Mr. Manager? Commissioner Regalado: I'm just saying what he said to me. Mr. Burgess: There's an item -- just so we can kind of get the -- get moving, but the fact of the matter is the hope is that we have a favorable outcome on this more global agreement on all of these various important projects. The Chairman is very anxious to see a resolution to this item that we're discussing today so that we can move forward on a number of different items, so it's not to be interpreted that he's opposed to the notion of the global agreement and all that it supports, but rather just to force the discussion on baseball. If this falls apart, he'll put it forward. I would stress strongly, though, that the elements of this global settlement together -- Chair Sanchez: Everything or nothing. City ofMiami Page 30 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Mr. Burgess: -- provide momentum for this to all succeed. Commissioner Sarnoff Mr. Chair. Commissioner Gonzalez: Let me tell you. In my district, Mr. Manager, I have problems on roads that belong to the County that I've been asking to get them resolved for the last three or four years and nothing happen, okay, and I'm talking about 17th Avenue, I'm talking about 22nd Avenue, and nothing happens, and now we're supposed to approve billions of dollars. Mr. Hernandez: Well, I think it's a good opportunity for the County to listen to your concerns, and I know that -- Commissioner Gonzalez: No. They -- Mr. Hernandez: -- the folks in the -- Commissioner Gonzalez: It's not going to solve anything. Mr. Hernandez: No. Commissioner Gonzalez: It's not going to solve anything. Mr. Hernandez: I think so. Commissioner Gonzalez: Perhaps -- Mr. Hernandez: I think that we have the people on the first row that can do something with it, with the issues. Chair Sanchez: Commissioner Sarnoff you're recognized. Commissioner Sarnoff Well, unlike my two other colleagues who are most concerned about baseball, I am what I call a healthy baseball skeptic, but happen to be a very big proponent of the tunnel project simply because I believe in jobs, and the tunnel will ensure that 17,000 [sic] jobs remain attached to the Port ofMiami. Seventeen thousand high paid jobs, and to put a perspective on that, if you all were asked to have a manufacturing plant of a car dealer -- of a car -- for instance, the BMW (Bavarian Motor Works) plant in Spartanburg, South Carolina, it employs 17, 000 people, so we are imperiling 17,000 [sic] jobs, which touch every one of our districts, by not creating the tunnel, and I want to save most of my comments when we come up to the tunnel, but it's two outs in the ninth inning for the tunnel. This is the project. Whatever you think it should have been, purple, blue. It should have been a flyway bridge. It could have been the Rotterdam project. They would have preferred the tunnel cutout coming over here. There are, what, a million Tampanians -- Is that the way you say people from Tampa? -- that are just laughing because they can't wait for us on December 18 not to have voted on this project and for that money to go to the I-4 corridor, and $457 million of operates [sic], because you either want to play brinksmanship [sic] because you really don't believe or you're saying, you know what? I would have built that tunnel somewhere else. I wouldn't have tunneled it. I would have done a crevice. I shouldn't have creviced it. I would have done a flyover bridge. My skepticism is on baseball, not on the tunnel, and I am more than willing to proceed on the tunnel, but I do have a couple questions for baseball because I think there are a couple questions that have not been asked and not been answered, so if David Samson could step up, I'd love to ask him a few questions. Mr. Hernandez: Oh -oh. City ofMiami Page 31 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Commissioner Sarnoff How much money will the Marlins be investing in this project? Mr. Samson: Well, we have no completed baseball stadium agreement, but part of this interlocal means that, at a minimum, it'll be $155 million. Commissioner Sarnoff Okay, and how long will you lease the stadium for? Mr. Samson: It will be at least 30 years, or until all the bonds have been paid off but we want it as long as possible, so 30 years, at a minimum. Commissioner Sarnoff And who covers the cost overruns, should there be any? Mr. Samson: Solely and exclusively, the Team. Commissioner Sarnoff The Marlins. Mr. Samson: The Florida Marlins. Once the -- once you've approved financing, that is it. There's not one more dollar from the public sector or from any of the tourists taxes or professional sports facility franchise taxes. It's all from the Team. Commissioner Sarnoff So the $155 million, that is your cash upfront payment? Mr. Samson: Yes, that is correct. Commissioner Sarnoff And that does not include your lease payments, correct? Mr. Samson: It does. This is -- as -- what is currently being contemplated, it would all be included as one. Commissioner Sarnoff As your lease payment. What is the entity that actually owns the team? What's it called? Mr. Samson: It's called Florida Marlins, LP (Limited Partnership). It's a limited partnership. Commissioner Sarnoff Will LP be the persons who's signing the lease? Mr. Samson: That's not a person, but the entity, yes. Commissioner Sarnoff Well, will it be the entity -- Mr. Samson: The general -- Commissioner Sarnoff -- that's signing the lease? Mr. Samson: -- partner of the limited partnership is actually the entity that signs on behalf of the partnership. Commissioner Sarnoff Okay, and that's the entity that actually has the franchise for Major League Baseball? Mr. Samson: It's either that or an entity that's affiliated, but it's all guaranteed by the LP. You're asking -- there's lawyers who create for a living. You're taking money -- you're taking jobs away from lawyers by asking me that because they create entities to do that, but it is backed up. City ofMiami Page 32 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Commissioner Sarnoff I just -- just from being a lawyer up here, I'd hate to see us sign on on the wrong dotted line with the wrong entity and watch something happen ten years from now when I, hopefully, won't be up here, but sitting somewhere else laughing watching the Marlins, and I don't want to hear about a Baltimore Oriole or a Balt -- what is it? The Baltimore Colts suddenly moving out. I want to make sure we got the right dotted -- the name on the dotted line. Mr. Samson: Well, you're going to get better than that actually. You will have the right dotted line, and I'm hoping you're laughing sitting in the stands, not your house, but the other thing you're getting is a nonrelocation agreement as a part of this deal where we are, as an entity and as a team, the team cannot relocate out of the City ofMiami for the entire term of that lease. Commissioner Sarnoff Let me take that one step further and maybe satisfy some people. Would Major League Baseball be willing to sign off on that agreement as well? Mr. Samson: On the nonrelocation agreement? Commissioner Sarnoff Yes. Mr. Samson: They have to sign off because that's how relocation works. Baseball has to approve a relocation by the owners of the other teams. Commissioner Sarnoff You know, let me just say this to the folks out there. There are parts of this agreement -- I guess whenever you put a lot of things together, there's always going to be something you don't want and something you don't like, and there's not everything on this agreement that like or want. I'm a huge, huge advocate of the port tunnel. Without that port tunnel, the City ofMiami will no longer be a maritime facility, and I'm really frying to save a lot of my comments necessarily directly for the port scenario, which will come up right after this, the port agenda item. You know, just open up your eyes for a moment. Port Jacksonville is expanding. Port Bahamas is expanding. Port Mariel just received $330 million from Dubai, a middle eastern country, and I will guarantee you they don't care whether it's free or communist, and that's a fact, and they're anticipated to put in $1.2 billion, and folks, that can build you a port almost in Iowa. That is a lot of money, so the Port ofMiami is not just facing competition; it is facing stiff, almost irreparable competition, and for those of you that don't know this, there is a connection between Port Jacksonville and the Dubai company that is funding PortMariel. It's just not hard to connect the dots and see that the Port ofMiami could become irrelevant, and for those of you that think irrelevant, so what? We'll put some condos up there? What's the big deal? I'm going to say this and I'm going to say this until I'm off this dais. You can talk affordable housing and you can talk police, you could talk fire, but it all comes down to hard-working Miamians paying their taxes. Unless they have jobs, everything else is the tail. The head of anything is capitalism. The head of anything is commerce. It is jobs. It is a person getting up in the morning, brushing their teeth, combing their hair, and going to work and becoming a productive human being, and that is what this City had better start focusing on. Now, I laud the fact that this is going on an interim basis to create a lot of jobs, because for the years that it takes us to build that, Mr. Mayor, what we should be focusing on from here on out is jobs; because when you have job, things become affordable, and without a job, everything else is unaffordable; and when you don't have a job and you're in a house, that's called warehousing, and you don't need to warehouse people, so I tend to be -- until I hear something from Commissioner Spence -Jones and until hear from Commissioner Sanchez, you know, I'm prone to support this, and all due respect, Mr. Samson, not because of the Marlins stadium and not because, Mr. Mayor, of soccer, or as my friends in Great Britain would say, football, but I'm here to support this because it structurally does free up our budget so that can put -- and I hope my Commissioners will follow me -- 100 new police officers on the street for the next four years because it frees up $300 million of our budget. I'm here to support this because it extends the life of the Southeast Overtown/Parkwest area and provides them $600 million to use in that area. City ofMiami Page 33 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 I'm a little bit sorry that some of my folks in Omni feel like they're put upon, but you know what, Omni? You're successful. You're going to be more successful, and believe with Flagstone, your numbers are going to be identical, so with that, I'll pass the podium mike to Commissioner Spence -Jones. Chair Sanchez: Through the Chair. Commissioner Sarnoff Sorry. Through the Chair. He's teaching me. Vice Chair Spence -Jones: Thank you, Commissioner Sarnoff. First of all, before I get into some of the issues that really want to make sure I address within the overall global agreement, I do want to at least commend the staff Larry, and I know sometimes it seems as though people don't really appreciate the good, hard work that you, the Manager, you know, and the County Manager, along with the Mayor have really done to try to pull together some overall agreement that we all could be happy with, so I want to at least commend you on frying to come up with something that makes sense for all of us that are sitting up here. Two of the things that know that was really somewhat very much concerned about ftom day one when we start talking about this issue of a global, this issue of all of these projects, and I have to say this on these projects. Every single last one of these items, from the Performing Art [sic] Center, to the port tunnel, to the Museum Park, and the list goes on, we could spend four or five hours talking about one item on one day, so what has been extremely difficult is -- for me has been to digest all of these -- I mean, Commissioner Sarnoff brought up some whole new issues just talking about baseball that, quite frankly, I'm sure a lot of us just had not had time to even look at in the agreement because we were really only focused on our particular areas to make sure that our constituents were not going to be upset or angry in the end, so I do have to agree with most of my colleagues over -- up here, though, that it would have been nice to really have had more time to digest it, but understand that we're not at that point, butl do want to at least commend both sides for at least working to make sure that the Overtown CRA -- Southeast Overtown/Parkwest, I'm sorry, the expansion of the boundaries and the life of the CRA, that was actually included. That was a big thing for all of the major development things that we have happening in those particular areas, and we definitely needed to have that happen. I'm also -- I also want to make sure that I'm also very clear and also putting that -- this on the record. The issue which was communicated to me by the Manager and the staff was that none of the funds will come from the CRA of Overtown or Southeast Overtown/Parkwest for what -- this was what was communicated to me, which was the tunnel, the streetcar, and the museum and stadium, so as long as for me none of those items were not going to be affecting the -- that particular CRA, I did not have an issue with it. The other thing that wanted to also mention, and it was stated earlier -- and Mr. Burgess? Mr. Burgess: Yes, ma'am. Vice Chair Spence -Jones: How are you? Mr. Burgess: Fine. Thank you. Vice Chair Spence -Jones: Someone in the audience mentioned, you know, the issue ofjobs, and then, of course, Commissioner Sarnoff has been mentioning jobs. I think that there needs to be a very strong component put somehow in all of these agreements when they are broken out, that there is a strong, strong push for local job participation. When we say local -- we want to be clear -- we're talking about City ofMiami businesses, people that are within the City ofMiami in any one of our areas; because a lot of times these huge jobs come and people come from other places outside of the local residents, so we would like to make sure that at least on each one of these projects there's a strong push for local job, local participation on many of these projects because it's not about just having a laborer go out to work. It's about making sure that, you know, companies and corporations and subcontractors can benefit ftom such -- this is a lot of revenue -- City ofMiami Page 34 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Mr. Burgess: Great. Vice Chair Spence -Jones: -- so I just want to make sure that that's really clear, that we include that in it, that -- Mr. Burgess: Understood. Vice Chair Spence -Jones: -- was one of -- did you get that? Did I get a yes on that? Mr. Burgess: I understood. I heard. Vice Chair Spence -Jones: Okay. All right, so I wanted to make sure that that happen. I think that -- first of all, this is a tremendous opportunity to really help some of the areas that have been affected for so long. I know that we've been talking about the issue of the dollars that would be -- that would actually come from the CRA to effect or at least support many projects throughout the City. I have to, however, put a bullet on that for a minute, because I do have some concerns with the dollars and the pot of money that we're looking at pulling it out, but I want to just say this on this note. I don't have a problem with the tunnel, and I want to be clear. In the beginning, I always had a problem with the tunnel if it was -- money was going to be coming from that particular CRA, but it's been communicated to me that that's not going to be a problem, so I do support the tunnel coming because I do feel that it will create the necessary jobs, and it will take the trucks off the streets; and we all know that the trucking issue is a big issue with many of the businesses and even in my Overtown residents having those trucks come in and out, so for us, you know, I'm -- I don't have a issue with the tunnel as long as I know that we're not going to spend Overtown dollars to do that, and of course, this is going to definitely provide jobs. All that I would ask for, once again, Mr. Burgess, is that we find a way to work along with the longshoremen. They've been in the Overtown area for at least 41 years, and they have some serious concerns, and again, they make up a great population of workers that, you know, make at least decent amount of living for them and their families. Their biggest concerns - - or one of their biggest concerns is the fact that they'll have to pay the toll to go back and forth to work, and we haven't even started to talk about the toll, but I'm assuming when we get to the port tunnel, we'll address those issues, butt would ask that the County staff along with the City staff work along with the longshoremen to make sure that their input is included in anything that happens also through FDOT (Florida Department of Transportation). I think that that's important for them to be included. Now, I know that we talked about baseball and we talked -- the Orange Bowl, and the CDT dollars and funds, and I'm glad to see that we're now going to be recapturing some of those dollars back, and it's nice to know that we're all on one happy ground now so that we can do that. I really wanted to really express to the City Manager and the County Manager on how important it was for -- and this is actually -- while it's in Commissioner Sarnoffs district, and he's been a strong advocate and supporter for it, it does have a significant -- plays a significant roll in black culture, which is the Virginia Key Beach Trust, and I really want to make sure that we work on working along with the Trust to find a maximum flexibility in developing something in the museum that would allow for it to generate the necessary dollars for it to sustain itself and I see how we're carving out these dollars for -- from a tourism perspective, these type of dollars for the Orange Bowl, and I think it's another item in here, too. I would really, really want to push how important it is to make sure that we find a creative way to include Virginia Key Beach Trust so that they will not only be able to build their facility, but they're also in a position that they can operate the facility without it going south, and then last but not least for me, and I just have to really say this, you know, and I underst -- and this is really -- for me, this is the thing that will make me not support the project, and -- the global agreement, you know. We -- we're talking about $326 million, I think, altogether, between the City and the County. It was a little bit over $605 million, almost a billion dollars that would actually come into the particular area that could be utilized for projects. I have a huge big concern with, you know, those dollars now, at this particular point, after Overtown and Parkwest have gotten to the point that they're actually generating real dollars for us now to say, okay, now City ofMiami Page 35 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 that things are finally happening and things are finally moving and there's dollars being generated, we want you now to take those $326 million that really could really go into -- now that we have an expanded boundary and now that we have an expanded life, that could really help the people of Overtown that have been overlooked for many years -- and I can't explain anything that's happened two years prior to me. I can only explain about where I am now and my responsibility as an elected official to do the right thing. It is extremely difficult for me to sit in this seat as a young person, as a person that people have elected to do the right thing to allow for the money that now is going to be generated in Overtown to at least help Overtown and even help the businesses that are now going into Parkwest, where they -- they're going to now need some infrastructure needs, to now say to them, okay, yeah, you got us there, but now we want the $326 million to be spread throughout the City, and while I do understand how important it is to help the other areas, I think that I have to appeal to my colleagues that I think that it's very unfair for us to even consider doing that, and I understand -- it was communicated to me by staff that, okay, Commissioner, we're not even accounting for all of the new projects that are now coming out that -- not -- excuse me -- all of the new projects that are slated to come out, so there's going to be a whole bunch of more money that will be coming from that, and I'm saying, okay, that's great and that's dandy, you know, but then if that's the case and we know that that's going to be happening, then let's take it out of that second franche of money, but those $326 million that are going to be coming our way, I think the people in Overtown deserve to have those dollars. I think that it would be a travesty for my colleagues -- now that we have a real opportunity, now that we're expanding the boundaries and the life, we can really, really make a difference in those -- in the lives of the same people that FDOT -- and I'm not taking -- I know you guys get beat up all the time, and I have to say you guys have done a much better job with working with my community, and I fruly appreciate it, but the reality is, you know, because the expressway did once come through there and many of those people in Overtown were displaced - - and Commissioner Sarnoff, I know you say jobs, jobs, and I've addressed the jobs issue, but the reality is that many of those people that were living in Overtown were displaced because of the same type of things like this happening and nobody standing up and frying to do the right thing, so if nothing else -- ifI fall out, die here on the dais today, I can at least communicate that I've done everything that I could do to really make sure that the Overtown residents, for the very first time, for the very first time, we make a true commitment to help them rebuild the neighborhood or rebuild an area that, quite frankly, we all played a part in in seeing it fall apart, so I appeal to all my Commissioners and my colleagues -- I don't have a problem because I know that we do need the money. I know that the tax issues are -- you know, the state taxes and the local, all of that. I understand all of that, but I'm asking that if nothing else, we allot some of these dollars -- you know, the dollars (UNINTELLIGIBLE) the second tranche that we know from the major projects that are going to be coming in that area to be identified for those needs, but right now we have a real opportunity to make a difference to the -- for the folks in Overtown and in the Parkwest area, and I ask for the City Manager, City Manager, the County Manager -- Mr. Burgess: Yes. Sorry about that. Vice Chair Spence -Jones: Sorry -- the County Manager -- you know, I don't have a issue with the tunnel. I don't have a issue with all these items. You got my support on it, but you do not have my support on taking the $326 million from the folks of Overtown that are -- finally have the opportunity to be able to use those dollars to do some things -- Mr. Hernandez: Commissioner, I need to be clear on this. The -- right now the Southeast Overtown/Parkwest ends -- that CRA ends in 2013. Vice Chair Spence -Jones: Okay, okay. Mr. Hernandez: The plan -- Vice Chair Spence -Jones: Mr. Manager, let me just say this. Mr. Man -- I don't want to talk -- City ofMiami Page 36 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 we've already gotten past the expound -- the expanding of the boundaries. Hr. Hernandez: Right. Vice Chair Spence -Jones: Please. Let me -- I mean, I've been sitting here for two hours listening to all of this, and quite frankly, for me now to have to digest it all right now, you know, it's -- you're asking me to do a lot. Now, I'm already very clear that we're expanding the boundaries and they've agreed to do that. Hr. Hernandez: Right. Vice Chair Spence -Jones: I'm already clear that they're expanding the life. You don't have to communicate. That was a part of our original agreement, okay. What was not a part of the original agreement was that the dollars that were going to come from the CRA Southeast Overtown/Parkwest, those dollars that would come from that would now go throughout the whole entire City, and what I'm simply saying that I feel very uncomfortable with taking those dollars, which is what my COO (Chief Operating Officer) explained to me now saying, okay, yes. Now that it's generated the dollars, it will now go throughout the whole City. I have a issue with that. That has been told -- and I've been trying to figure out a way to work through it. That is absolutely wrong. I don't know -- I don't care how -- any other way to put it. It is absolutely wrong for us to take the dollars that's going to be generated from Parkwest and from the folks of Overtown that finally have opportunity to have quality housing, quality parks in the community, quality roads, and now when we have opportunity to do that, you guys are saying, well, no. We need to find a way to shift it so that everybody will be happy. I might be the only Commissioner that may not be happy, but at least my constituents know that did everything I could do to make sure that at least the money stay within that district. Hr. Hernandez: Just wanted to be clear on one point. The extension and expansion of the CRA beyond 2014, 2014 to 2030, brings an additional 605 million to the Southeast Overtown/Parkwest. You're talking about the -- Chair Sanchez: Additional. Mr. Hernandez: -- 326, the additional. The 50 percent CRA from 2014 to 2030 nets 605 million to Southeast Overtown/Parkwest. The other 50 million -- or 50 percent, I'm sorry, the idea was to, in essence, return that -- those revenues or those taxes back to the City and the County, and that's -- that 326 is the portion that would come back to the City. Vice Chair Spence -Jones: Right, and what I'm saying to you those dollars that is being generated from -- I understand exactly what you're saying. Hr. Hernandez: So you're talking -- Vice Chair Spence -Jones: Larry beat me over the head over the -- Hr. Hernandez: -- about in -- Vice Chair Spence -Jones: -- before we came out here for 15 minutes, and I still see the same thing. You can disguise it and change it and flip it and whatever way you want to do it. The reality is, from the south --from the CRA Southeast Overtown/Parkwest area, those dollars generated -- whether or not you take all those money [sic] and put them in one big pot, the reality is it's coming from the project generating -- generated in that area -- Hr. Hernandez: So in essence -- City ofMiami Page 37 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Vice Chair Spence -Jones: -- and I'm simply saying, I don't have a problem with -- if you want to say to me, Commissioner, guess what? You're going to get -- you know, there's a whole bunch of other big projects happening downtown. It's going to be a billion -- great. I'm glad there's going to be a billion dollars worth of projects. Then in that second tranche, when that billion comes, then we take it out of that, but don't take it from the people that finally have the opportunity to be able to use those dollars to really have a better housing situation, a better street situation, a better job opportunity. I just can't see it. Otherwise, now I support it. Mr. Hernandez: So, in essence, what you're saying is that you don't want to reduce the CRA to a 50 percent? Chair Sanchez: No, no. Vice Chair Spence -Jones: Larry, since I beat you up for 15 minutes in the back, can you explain exactly what I'm trying --? Because I know you understand it. Mr. Hernandez: I don't know. Mr. Spring: Just for clarification purposes. Larry Spring. I think what the Commissioner's trying to put on the record is the fact that the other 50 percent, the 50 percent that we're proposing be returned from the CRA returned back to each of the taxing jurisdictions. Since it's generated in the district, it should not go back. It should be used to further initiatives -- Vice Chair Spence -Jones: Develop the areas. Mr. Spring: -- to develop the area. That's where the issue -- Vice Chair Spence -Jones: And I don't mind -- Mr. Spring: -- that's what she was trying to communicate. Vice Chair Spence -Jones: -- and I understand that we do need this exfra revenue. I just think that it's really shameful when we have the opportunity to really do something good for, you know, a community that we know needs help, then all of a sudden, you know, it's -- okay, and I understand the Omni's being tapped, and that's why I'm not even talking to Sarnoff about tapping into any of his monies because -- you know, to assist with that because I know he has a million and one other projects over there, but I'm just talking about just the general people that are just trying to survive in this City. Mr. Spring: You did want to proffer in our discussion I guess a portion of those fundings being specifically allocated. I don't know if you wanted to consider that now or bring it to the record now. Vice Chair Spence -Jones: I just think -- I mean, at this particular point, I mean, I'm willing to work along with the City Manager and Mr. County Manager to look at, you know, that hundred percent that would have gone to those particular areas. I'm willing to work on saying, okay -- because I don't want the City to be in a bad position. I got other areas throughout the City of Miami, you know, that need help. West Grove needs help, you know, Allapattah need -- Little Havana needs help, so I don't have a problem with supporting my colleagues. I do have a problem with taking all of the money, which is what was communicated to me -- Mr. Hernandez: No. Vice Chair Spence -Jones: -- all of the dollars -- City ofMiami Page 38 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Mr. Spring: That goes back to the general fund. Vice Chair Spence -Jones: -- that would have been helping all of Overtown -- Chair Sanchez: But -- all right, and I think the Commissioner makes a valid concern. Mr. Spring: Right. Chair Sanchez: That's a policy issue -- Mr. Spring: Right. Chair Sanchez: -- we could address afterwards with the $327 million. The 605 stay there. The 327 later on, we, as a legislative body, can decide what we want to do with that money. I think she's already put it on the record, and it's well -- Commissioner Sarnoff The record. Chair Sanchez: -- on the record. Vice Chair Spence -Jones: Okay. I just want to -- Chair Sanchez: Anything else, Commissioner? Vice Chair Spence -Jones: Yeah. I just want to make sure that -- I want to make sure that I'm clear, so the $326 million that would have been generated from this particular area, anything beyond that, Mr. Burgess, whatever -- I wholeheartedly supportAllapattah. I wholeheartedly support West Grove. Every other area, but don't take the money from the people of Overtown and from the Parkwest area that deserve to have those dollars for infrastructure, parks, housing, and whatever else their needs are. I don't think I'm asking for a lot. I just want to make sure that at -- if that happens today in this vote, you got my support on everything else. I thought -- I'm getting a yes, right, Mr. City Manager and Mr. County Manager? Please say it for -- on the record because I've learned two years sitting in -- on -- in this seat -- Mr. Hernandez: Can't do that. Vice Chair Spence -Jones: -- whatever you say up here don't always go anywhere, but at least you got to make sure they say it. Mr. Hernandez: Commissioner, in essence -- Mr. Burgess: Really should be (UNINTELLIGIBLE). Mr. Hernandez: -- I think it's a City issue because that 326 would be the million coming back to the City, and it would be up to this Board to determine how to use that 326 million. Vice Chair Spence -Jones: But you're saying the same thing to me. You're saying the same thing to me. Mr. Hernandez: No. Vice Chair Spence -Jones: That means -- it's going to come back into the general fund, right, Mr. Manager? Is that what you're saying? Mr. Hernandez: Say that again. I'm sorry. City ofMiami Page 39 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Vice Chair Spence -Jones: It's going to go back into the general fund. That's what you're saying to me, right? Mr. Hernandez: The way that it's programmed now -- Vice Chair Spence -Jones: Just yes or no. Mr. Hernandez: Yes. Vice Chair Spence -Jones: And what I'm simply saying -- I just -- Mr. Hernandez: But I -- Vice Chair Spence -Jones: -- want to be oh so clear. You got me on everything else. I'm just saying let's not sell the people from Overtown down the river. I'm simply saying the 326 million, anything beyond that, I don't have a problem with working on. Three hundred and twenty-six million over that twelve-, twenty-year period, or whatever, it will stay in Overtown -- Southeast Overtown/Parkwest area so we don't have any confusion. I don't mind talking about you coming back here to vote. Guess what? I may not be here. I may croak tomorrow, or they may croak tomorrow, butt want to make sure I have a firm commitment beyond me, beyond the leader sitting in this seat. You may not be here. That's what I want right now. Do I have that from you, sir? Mr. Hernandez: I can't do it. Vice Chair Spence -Jones: Well then I can't support it. Chair Sanchez: Okay. Mr. Hernandez: Because, in essence -- Chair Sanchez: All right. Mr. Hernandez: -- it's something that -- the way it was programmed initially was intended to be able to bring some dollars back to the City for citywide use. Now, maybe -- Vice Chair Spence -Jones: But -- and that's what we making the adjustment on. Right now we're making -- Mr. Hernandez: Right. Vice Chair Spence -Jones: -- that adjustment. Mr. Hernandez: But when you're talking about citywide uses, I also have to listen to the other Commissioners on the matter. Now, the way -- Vice Chair Spence -Jones: But you're taking it -- Mr. Hernandez: -- a way to fix it -- a way -- Vice Chair Spence -Jones: -- you're not hearing me, Mr. Manager. You're not hearing me. You're not hearing me. I've given you everything else. I've given y'all everything else. Let the people Overtown get what they deserve to have. How many times do I have to say it? City ofMiami Page 40 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Mr. Hernandez: Well, let's make it a hundred percent then. Let's leave it the way it is. Unidentified Speaker: That's their decision. Chair Sanchez: Hey, that's -- listen, that's a Commission decision to do that. I mean, I certainly don't want to make that decision right now. I'll look at the numbers, and we'll see the numbers. That's just me speaking as one Commissioner. I think we have to, you know, prepare ourselves for the storm that's coming from Tallahassee, and certainly, I think that we need to, as an entire body, decide how we're going to use that money. To put that money back, there may be some problems in some of the Commissioners up here, so you know, I -- we will -- everything was going very well with some issues, but this is basically a big issue because -- I mean, we're looking at future projections of the City with that money. We just can't commit that money right now. I mean -- so, listen, we'll move on, unless she -- the Commissioner wants to come back. I mean, we'll address that, butl don't think we should address that now. Vice Chair Spence -Jones: I'm sorry. What was the comment, Mr. Chairman? Chair Sanchez: The comment was thatl think the body should address that, how we're going to use that money. We have -- Vice Chair Spence -Jones: But how --? Mr. Chairman, with all due respect -- and I'm going to say with all due respect -- how are you telling me that if the money that's generated from that particular pot of money, meaning from the CRAs for those particular -- technically, that money will go back to the area anyway. Chair Sanchez: Michelle, you may be killing the goose that lays the golden egg on this one because we -- Vice Chair Spence -Jones: Well, guess what? I may not be around -- Chair Sanchez: Well -- Vice Chair Spence -Jones: I might be that goose. Chair Sanchez: All right. Vice Chair Spence -Jones: In the meantime, I want to make sure -- Chair Sanchez: All right. Vice Chair Spence -Jones: -- that take care of the -- Chair Sanchez: Okay. Vice Chair Spence -Jones: -- folks in that particular area. Chair Sanchez: All right. Vice Chair Spence -Jones: That's not a lot to ask for, Mr. Chairman -- Chair Sanchez: Okay. Vice Chair Spence -Jones: -- and all I'm simply saying anything beyond that 326, I don't have a problem with sharing it, I don't, but the monies that's generated from the area should benefit the people within that area -- City ofMiami Page 41 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Chair Sanchez: And I think this -- Vice Chair Spence -Jones: -- first -- Chair Sanchez: -- and I believe that we -- Vice Chair Spence -Jones: -- and normally, it does. Chair Sanchez: All right. Okay. All right, I think everyone has spoken on the issue. The only thing that I want to add to this is that I think that every great city in history has had a visionary - - has had to make visionary decisions. We have an opportunity here at the City, putting all these events together and creating a global package that will address the problems that we've had here to create a substantiable [sic] future for the City ofMiami for our children and our grandchildren to come. The beauty of this is that we have had a lot of these issues lingering on out there between the City and the County. As an example, the TDT tax money that the County was holding. The expansion of the CRA is the engine that keeps this going. If we do not allow this and we don't go forward with this, you might as well just kiss everything goodbye that we've worked very, very hard to accomplish. Now, I support this global agreement, and this agreement presents a solution to most of the vital concerns that we have in our community, and I want to elaborate on each and every one of them separately. Traffic. Ladies and gentlemen, the traffic ills that we suffer have come upon us for decades in downtown. They will not go away overnight, they will not go away in months, and they will not go away in years if we don't apply the proper resources to get those frucks out of downtown for the safety of people and for the vital economic engine of our City, which is downtown and will be for many, many years to come. Job creation, which is a word that all this brings us to -- opportunity. Twenty-five thousand jobs. Can you imagine this city building a baseball stadium, a soccer stadium, museums, a streetcar, and a port tunnel at the same time? Can you imagine how many people are going to have jobs that don't have jobs? And if you don't have a job, you don't have hope. If you don't have hope, you certainly don't have a chance for opportunity. So this gives us a grate opportunity to create that energy out there to give people. Now, we all know that the economic boom of our city and construction is dying. I, for one, don't see many projects going up, and I could tell you that I speak to construction workers that know that in about six months to a year will not have a job. These are individuals that have made -- possibly don't have a high school degree, but still average to make about anywhere from 18 to 20-some dollars an hour. They've done that for the last six years, adding to our economy, being able to buy a car, being able to pay taxes, being able to have -- possibly buy a home or rent. When those individuals -- white, black, purple, yellow -- don't have that opportunity for employment, well, guess what? Some will move somewhere else to seek it; others will stay here and probably look for another trade; or some will go out to the street and commit crimes; and then crime increases in the City; and then our services continue in the City; but it's not just the people that work in construction. It's all the businesses that are affected by the construction -- the concrete, the carpet, the furnitures [sic], the computers, whatever. The other issue is parks. We have an opportunity now to create, as we have and always wanted, a world -class park at Bicentennial Park to promote museums. Ladies and gentlemen, if we want to be a world -class city, we better start acting like a world -class city. We better start making tough decisions, decisions that are leadership -correct and not politically correct. That's what's going to make a city a great city. We also want a very active waterfront. In order to accomplish that, we need to take care of these problems, or else we're never going to have an opportunity to connect beauty and nature with urbanism in downtown Miami. We want a healthy downtown Miami. I sit on the Downtown Development Authority as Chair, and you know what? I went out there and I drove the sfreets, and I walked the sfreets; and I could tell you that the traffic with the frucks, it is unbearable; and whether you like it or not, whether you live in the City, you're affected by it directly or indirectly, whether you come to downtown, whether you visit downtown, or whether you work in downtown, so we have to resolve that issue. We certainly want to create a better pedestrian friendly downtown filled with activity. We City ofMiami Page 42 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 definitely don't do it by having those trucks out there in downtown because I've seen it for myself. I mean, to cross Biscayne Boulevard, you -- you're risking your life for crying out loud, and we need to continue to promote the performing arts. We need to continue to support the culture and sporting events, and we have a great opportunity here to do that. This, this agreement, this agreement would allow us to put together the pieces to create, ladies and gentlemen, a world -class city. If we don't have that, we're not going to have this opportunity for a long time. Finally, after eight years, I think we're very close to building a baseball stadium. I think we're very close to finally working out a lot of issues that have been stored away in closets and people did not want to speak about between the City and the County. Well, it's time to turn a page in downtown. It's time to turn a page in the history ofMiami, in the County, and make sure that we work together to create a world -class city. I believe that this overall package is vital to the long-term viability of downtown Miami. There are still issues, and it's not a perfect package, but I could tell you this much, ladies and gentlemen. We're only going to have this decision today. If we don't, we're not going to make our city a better place, and I could guarantee you that the only people that'll be cheering will probably be Tampa as they benefit from those millions of dollars that are coming in to their city for whatever they want to build and the jobs that they have, so having stated all these things, I think that we need to look at the overall picture. I think we need to start looking at a city, not based on our districts; we need to start focusing on creating opportunities for everyone because I think no one will be left out of this opportunity. I tend to benefit from this package, and I'll tell you why. The Orange Bowl happens to sit in my district, and I, along with a lot of my residents, would love to see a world -class baseball stadium, along with a soccer stadium, and people walking in our streets, and people enjoying economic vitality, and people enjoying jobs, so this package that's in front of us today gives us an opportunity to do that. Now, the question has been brought, why the CRA? It's very simple, and I'll read this. Going to be very brief. This is the objective and framework of the CRA. The CRA was created to deal with economic problems associated with slime -- slum and blighted areas. It also allow -- and this is the most important part -- to enhance the tax base to redevelopment areas by encouraging private investment through channeling the tax increments [sic] revenues into public improvements in that area. If we don't do this and if we don't use this catalyst to do it, then her, my colleague's objective of being a good Commissioner for her district in providing jobs and opportunity for the people that she represents, they're gone away. IfI don't support this package, then the baseball stadium and the soccer stadium will probably be gone away, and it's a global issue. I think all these issues that are in front of us are global, because you know what? Transportation in downtown is very important. The tunnel is important, and you know what? The streetcar is important, so this is the opportunity that we have today. It'll come down to a vote and we'll decide, but let me tell you. It's time that we start making decisions based on leadership and not politically. Having said that, if we could get the Commissioner back on the dais, we'll vote on the issue. All right, it is a resolution. Mr. City Attorney, do you want to read the resolution into the record, and then -- Mr. Fernandez: Yes. Chair Sanchez: -- we'll vote on it. The Resolution was read by title into the public record the City Attorney. Chair Sanchez: All right, apparently, their -- before we vote on the issue, the resolution has been read into the record. There is -- Vice Chair Spence -Jones: There's just going to be one amendment. I'm just waiting for the City Manager and the City -- excuse me, the County Manager on this issue. Mr. Hernandez: Mr. Chairman, would you allow me? I would like to be able to address the concern of Commissioner Spence -Jones reference the 326 million. Those are monies that will be coming back to the City, and what I'm proposing is that I will work with Commissioner City ofMiami Page 43 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Spence -Jones and all the other Commissioners to develop a plan to be able to use those monies for improvements in -- Vice Chair Spence -Jones: The target -- Mr. Hernandez: -- poor areas, for service in poor areas of the City. Vice Chair Spence -Jones: Okay. Can -- Larry, let me just be clear because I don't want to take a lot more time on this issue. Mr. Burgess, the dollars that are generated from the Southeast Overtown/Parkwest area, along with the -- those particular areas, the monies that's usually collected by the County -- it's collected by the County and given back to the City or CRA for them to continue doing what they need to do to improve the areas, correct? Mr. Burgess: The way the redevelopment districts work is there's an increment -- Vice Chair Spence -Jones: Right. Mr. Burgess: -- above a base year amount of City millage and countywide millage that goes into a redevelopment trustfund, and those monies would stay -- and a hundred percent of those dollars would stay into the Overtown disfrict through the year, I believe, 2016, if my year is correct --17. The proposal then is from 2017 to 2030, 50 percent of the -- Vice Chair Spence -Jones: Would stay -- Mr. Burgess: -- increment would stay in the disfrict, and that's that very large number that the City Manager shared with you all earlier. The other half that would come back to the City's general fund -- Vice Chair Spence -Jones: For other areas. Mr. Burgess: -- I think the City Manager was suggesting working on some kind of a strategy to - Mr. Hernandez: Yes. Mr. Burgess: -- present to the City Commissioners on how to target those services to poor neighborhoods in your city. Vice Chair Spence -Jones: Right, and I don't have a problem with that. Chair Sanchez: That's great. All right, she doesn't have a problem with it. Vice Chair Spence -Jones: Commissioner Gonzalez. I just want to make sure the people of Overtown get -- Commissioner Gonzalez: I was thinking -- Vice Chair Spence -Jones: Yes, sir. Commissioner Gonzalez: -- I was debating and I was planning to ask the City Manager to give me a figure of how much Allapattah contributes to the taxes of the City ofMiami, and maybe reserve 50 percent of that money just for the area ofAllapattah. Commissioner Sarnoff Well, if you're going to do that -- City ofMiami Page 44 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Chair Sanchez: Yeah. Commissioner Sarnoff -- then I'd like -- Commissioner Gonzalez: Then you can do it -- Vice Chair Spence -Jones: Don't start that. Commissioner Sarnoff -- to address and suggest -- Commissioner Gonzalez: -- in downtown. Commissioner Sarnoff -- that District 2 promote 78 percent -- Chair Sanchez: Please. Commissioner Sarnoff -- of the City ofMiami -- Chair Sanchez: Folks. Commissioner Sarnoff I mean, we can't be like that. Chair Sanchez: We can't do that. We -- Commissioner Gonzalez: Right, you know. Chair Sanchez: We got to start acting as a city. Vice Chair Spence -Jones: But I think that this is a -- I'm sorry, Mr. Chairman. Chair Sanchez: Go ahead, go ahead, but we got to -- Vice Chair Spence -Jones: So Larry, Mr. Manager -- Chair Sanchez: -- wrap this up. Vice Chair Spence -Jones: -- we're -- both managers, we're -- we've officially put that into the record. That's the amendment, right? Mr. Manager -- Commissioner Sarnoff There's no amendment. Vice Chair Spence -Jones: -- that's the amendment, right? Mr. Hernandez: Yes, it is. Vice Chair Spence -Jones: Okay. Mr. Hernandez: In essence -- Chair Sanchez: All right. Vice Chair Spence -Jones: I just want -- Mr. Manager, so that's how we're doing it, up to 2016 is what's ever generated because it would have ended? Mr. Hernandez: That's the -- that stays totally -- City ofMiami Page 45 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Commissioner Sarnoff Mr. Manager -- Mr. Hernandez: -- whatever is generated to that point. Commissioner Sarnoff -- I don't mean to -- but my notes showed 2014. Mr. Hernandez: It's -- Commissioner Sarnoff Well, I just want to understand the 16/14 difference. What's a couple million amongst friends? Chair Sanchez: All right. Mr. Hernandez: You're correct, it ends in 2013. Commissioner Sarnoff Right -- Chair Sanchez: It starts in 14. Commissioner Sarnoff -- so '014 is the new year. Chair Sanchez: Yeah. Mr. Hernandez: So the extension starts in 2014. Commissioner Sarnoff Okay. Chair Sanchez: All right. Vice Chair Spence -Jones: Okay. Commissioner Sarnoff I just want to show you I pay attention. Chair Sanchez: All right, listen, they'll be more details as to the tunnel in RE.17 and 18 that follows this. All right, so there's no more discussion on the item. It is a resolution. The resolution has been read into the record by the City Attorney, and Madam Clerk, a roll call. Ms. Thompson: I need a motion, please. Commissioner Sarnoff So moved. Chair Sanchez: Oh. Okay, there's a motion by Commissioner Sarnoff. Is there a second? No. Vice Chair Spence -Jones: Did --? I want to make sure I got what I need to have. Mr. Hernandez: Yes, you do. Vice Chair Spence -Jones: I just want to be clear. Mr. Hernandez: Yes. Chair Sanchez: Need a second. Vice Chair Spence -Jones: Okay, so I'm seconding this based upon the pack; '013, everything City ofMiami Page 46 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 stays in that area. Everything after that, 50 percent goes throughout the City and the other 50 percent still stays there. If that is the agreement -- Mr. Hernandez: Right. Vice Chair Spence -Jones: -- you got a second on that. Mr. Hernandez: Yes. Vice Chair Spence -Jones: Second. Chair Sanchez: All right. There is a motion and a second, as amended. Madam Clerk, roll call. Ms. Thompson: Roll call. Commissioner Gonzalez? Chair Sanchez: He's thinking. Commissioner Gonzalez: Yes. Ms. Thompson: Commissioner Regalado? Commissioner Regalado: No. Ms. Thompson: Commissioner Sarnoff? Commissioner Sarnoff Yes. Ms. Thompson: Vice Chair Spence -Jones? Vice Chair Spence -Jones: Yes, with the understanding, with the amendment (INAUDIBLE). Ms. Thompson: Okay. Chairman Sanchez? Chair Sanchez: Yes, ma'am. Ms. Thompson: The resolution has been approved, as modified, 4/1. "[Later...]" Ms. Thompson: Chair? Chair Sanchez: Yes, ma'am. Could we --? Ms. Thompson: May I --? Chair Sanchez: Yes. We need to clarify an issue? Could you --? Madam Attorney -- I mean, Madam Clerk, you're recognized. Ms. Thompson: On SP.3 we just wanted to make sure that the record reflects that when the resolution was adopted, it was adopted as presented with those certain specifications. There was no modification because that was a first time you received it, so your resolution was adopted, as presented, with your stipulations, okay? Chair Sanchez: Okay -- City ofMiami Page 47 Printed on 1/7/2008 City Commission Meeting Minutes December 13, 2007 Ms. Thompson: Thank you. Chair Sanchez: -- so it -- Ms. Thompson: That was on SP -- Chair Sanchez: -- for the record -- Ms. Thompson: -- 3. Chair Sanchez: -- it's a point of clarification. Commissioner Sarnoff They were in there already. Ms. Thompson: Okay? Chair Sanchez: Well, she just needed to clarify that, so that's -- the issue has been addressed and taken care of? Ms. Thompson: Yes. Chair Sanchez: For the record. Ms. Thompson: Thank you. City ofMiami Page 48 Printed on 1/7/2008