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HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM File ID: #16213 Date: 06/10/2024 Commission Meeting Date: 07/25/2024 Requesting Department: Department of Housing and Community Development Sponsored By: Christine King District Impacted: District 5 Type: Resolution Subject: Authorize Transfer of City Owned Property - Camillus House Purpose of Item: 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 FINDING, ATTACHED AND INCORPORATED AS EXHIBIT "A," THAT COMPETITIVE NEGOTIATION METHODS AND PROCEDURES ARE NOT PRACTICABLE OR ADVANTAGEOUS FOR THE CITY OF MIAMI ("CITY") PURSUANT TO SECTIONS 29- B(A) AND 29-B(D) OF THE CHARTER OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, AND SECTION 18-182(C) OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED; WAIVING THE REQUIREMENTS FOR SAID PROCEDURES; ALLOCATING FUNDING FROM COMMUNITY DEVELOPMENT BLOCK GRANT ("CDBG") IN AN AMOUNT NOT TO EXCEED $563,500.00 AND THE AMOUNT OF $36,500.00 FOR CONTINGENCY FOR A TOTAL AMOUNT OF $600,000.00 TO CAMILLUS HOUSE, INC. ("DEVELOPER"), A FLORIDA NOT FOR PROFIT CORPORATION, FOR THE REHABILITATION OF THE CITY OF MIAMI ("CITY") OWNED PROPERTY LOCATED AT 1371 NORTHWEST 61 STREET, MIAMI, FLORIDA, AS MORE PARTICULARLY DESCRIBED IN EXHIBIT "B" ATTACHED AND INCORPORATED, ON WHICH THE DEVELOPER WILL REHABILITATE THE HOUSING UNITS THAT WILL CONTAIN NO LESS THAN FIFTY ONE PERCENT (51%) CITY -ASSISTED RESIDENTIAL RENTAL UNITS FOR ELIGIBLE RESIDENTS WHOSE ANNUAL INCOME IS EQUAL TO OR LESS THAN EIGHTY PERCENT (80%) OF AREA MEDIAN INCOME AS PUBLISHED ANNUALLY BY THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT; FURTHER AUTHORIZING THE CITY MANAGER TO TRANSFER WITH AUTOMATIC REVERTER PROVISIONS THE CITY OF MIAMI ("CITY") OWNED PROPERTY TO CAMILLUS HOUSE, INC. ("DEVELOPER"), IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, SUBJECT TO COMPLIANCE WITH ALL APPLICABLE FEDERAL, STATE OF FLORIDA, LOCAL, AND CITY LAWS, RULES, AND REGULATIONS FOR AFFORDABLE HOUSING PROJECTS AND CDBG FUNDS AND SUBJECT TO THE DEVELOPER FULFILLING ALL OF THE TERMS AND CONDITIONS SET. Background of Item: Pursuant to Resolution No.08-0253, adopted on May 8, 2008, the City Commission authorized the conveyance of 1371 NW 61 St, Miami, Florida, to Miami River's of Life ("MRL") for the provision of temporary housing for Transitional Female Youth transferring from fostering care system. On March 12, 2010, IRS Safe Harbor Management Lease Agreement was executed between the City and Miami River's of Life ("MRL"). Project had two 5-year extensions; however, project lost its funding source from the State of Florida. An alternative of a non-profit organization was searched by the Department of Housing and Community Development ("Department") to take over the property. On July 13, 2023, Camillus House, Inc. ("Developer") expressed its interest in the property. The Developer is a Non -Profit Organization 501©3 that specializes in provision of the humanitarian services in the Miami -Dade County and the City of Miami, including affordable housing. The Developer did the walk through of the building to assess the necessary repairs. The cost of rehabilitation is estimated at $563,500.00. As a condition of the transfer of the Property, Camillus House, Inc. must complete the rehabilitation of the building, contain no less than fifty one percent (51 %) city -assisted residential rental units for eligible residents whose annual income is equal to or less than eighty percent (80%). On March 5, 2024, the Department reached out to Homeland Defense Bond Counselor to verify the need to reimburse the City of Miami acquisition cost in the amount of $160,758.28 that was done with the Homeland Defense Bonds. The counselor confirmed that it is no longer required. The City's Administration recommends the allocation of funding from Community Development Block Grant ("CDBG") in an amount not to exceed $563,500.00 and amount of $36,500.00 for contingency for a total amount of $600,000.00 to Camillus House, Inc., and the transfer of the city -owned property, with automatic reverse provision for rehabilitation purposes to provide at least 51 % of the units to families with income up 80% of annual medium income ("AMI"), as specified in "Exhibit B," attached and incorporated. Budget Impact Analysis Item is NOT Related to Revenue Item has NOT an Expenditure Item is NOT funded by Bonds Total Fiscal Impact: Total Fiscal Impact: $600,000.00 City Manager's Office Office of Management and Budget Office of Management and Budget City Manager's Office City Manager's Office Legislative Division Office of the City Attorney Office of the City Attorney City Commission Office of the Mayor Office of the City Clerk Office of the City Clerk Reviewed B Larry M. Spring Luis Hernandez -Torres Marie Gouin Mabel Betancourt Arthur Noriega V Valentin J Alvarez Raymond Pereira George K. Wysong III Maricarmen Lopez Mayor's Office City Clerk's Office City Clerk's Office Department Head Review Budget Analyst Review Budget Review Assistant City Manager Review City Manager Review Legislative Division Review ACA Review Approved Form and Correctness Meeting Completed Completed Completed Skipped Completed Completed Completed Completed Completed Signed by the Mayor Completed Signed and Attested by the City Clerk Completed Rendered Completed 06/17/2024 4:11 PM 06/18/2024 12:53 PM 06/25/2024 12:07 PM 06/11/2024 10:16 AM 06/25/2024 3:12 PM 06/27/2024 6:07 PM 07/16/2024 4:06 PM 07/16/2024 6:50 PM 07/25/2024 9:00 AM 07/30/2024 3:16 PM 07/30/2024 3:25 PM 07/30/2024 3:25 PM City of Miami Legislation Resolution Enactment Number: R-24-0296 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 16213 Final Action Date:7/25/2024 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 FINDING, ATTACHED AND INCORPORATED AS EXHIBIT "A," THAT COMPETITIVE NEGOTIATION METHODS AND PROCEDURES ARE NOT PRACTICABLE OR ADVANTAGEOUS FOR THE CITY OF MIAMI ("CITY") PURSUANT TO SECTIONS 29- B(A) AND 29-B(D) OF THE CHARTER OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, AND SECTION 18-182(C) OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED; WAIVING THE REQUIREMENTS FOR SAID PROCEDURES; ALLOCATING COMMUNITY DEVELOPMENT BLOCK GRANT ("CDBG") PROGRAM FUNDS IN AN AMOUNT NOT TO EXCEED $563,500.00 AND THE AMOUNT OF $36,500.00 FOR CONTINGENCY FUNDING FOR A TOTAL AMOUNT OF $600,000.00 TO CAMILLUS HOUSE, INC. ("DEVELOPER"), A FLORIDA NOT FOR PROFIT CORPORATION, FOR THE REHABILITATION OF THE CITY OF MIAMI ("CITY") OWNED PROPERTY LOCATED AT 1371 NORTHWEST 61 STREET, MIAMI, FLORIDA, AS MORE PARTICULARLY DESCRIBED IN EXHIBIT "B," ATTACHED AND INCORPORATED, ON WHICH THE DEVELOPER WILL REHABILITATE THE HOUSING UNITS THAT WILL CONTAIN NO FEWER THAN FIFTY ONE PERCENT (51%) CITY -ASSISTED RESIDENTIAL RENTAL UNITS FOR ELIGIBLE RESIDENTS WHOSE ANNUAL INCOME IS EQUAL TO OR LESS THAN EIGHTY PERCENT (80%) OF AREA MEDIAN INCOME AS PUBLISHED ANNUALLY BY THE UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT; FURTHER AUTHORIZING THE CITY MANAGER TO TRANSFER WITH AUTOMATIC REVERTER PROVISIONS THE CITY OF MIAMI ("CITY") OWNED PROPERTY TO CAMILLUS HOUSE, INC. ("DEVELOPER"), IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, SUBJECT TO COMPLIANCE WITH ALL APPLICABLE FEDERAL, STATE OF FLORIDA, LOCAL, AND CITY LAWS, RULES, AND REGULATIONS FOR AFFORDABLE HOUSING PROJECTS AND CDBG FUNDS AND SUBJECT TO THE DEVELOPER FULFILLING ALL OF THE TERMS AND CONDITIONS SET. WHEREAS, pursuant to Resolution No. R-08-0253, adopted on May 8, 2008, the City Commission authorized the conveyance of the real property located at 1371 Northwest 61 Street, Miami, Florida ("Property"), to Miami River's of Life ("MRL") for the provision of temporary housing for Transitional Female Youth transferring from fostering care system ("Project"); and WHEREAS, on March 12, 2010, an Internal Revenue Service Safe Harbor Management Lease Agreement was executed between the City of Miami ("City") and MRL; and WHEREAS, the Project had two 5-year extensions; however, the Project lost its funding source from the State of Florida; and WHEREAS, an alternative non-profit organization was sought by the Department of Housing and Community Development ("Department") to take over the Property and on July 13, 2023, Camillus House, Inc. ("Developer") a Florida not -for -profit corporation, expressed its interest in the Property; and WHEREAS, the Developer is a 501(c)(3) not -for -profit organization that specializes in provision of humanitarian services in Miami -Dade County and the City, including affordable housing; and WHEREAS the Developer did a walk-through of the building to assess the necessary repairs and estimates the cost of rehabilitation at $563,500.00; and WHEREAS, as a condition of the transfer of the Property, Camillus House, Inc. must complete the rehabilitation of the building to contain no less than fifty one percent (51 %) City - assisted residential rental units for eligible residents whose annual income is equal to or less than eighty percent (80%) of annual medium income ("AMI"), as specified in "Exhibit B," attached and incorporated; and WHEREAS, on March 5, 2024, the Department contacted Homeland Defense Bond Counselor ("Counselor") to verify the need to reimburse the City acquisition cost in the amount of $160,758.28 that was done with Homeland Defense Bonds and the Counselor confirmed that it is no longer required; and WHEREAS, the City's Administration recommends allocating Community Development Block Grant ("CDBG") funds in an amount not to exceed $563,500.00, and in an amount of $36,500.00 for contingency funding, for a total amount of $600,000.00 to the Developer for the rehabilitation of the units at the Property, and approving the transfer of the City -owned property, with an automatic reverter provision for rehabilitation purposes to provide at least fifty-one percent (51%) of the units to families with income up eighty percent (80%) of AMI, as specified in "Exhibit B," attached and incorporated; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. By a four -fifths (4/5ths) affirmative vote, after an advertised public hearing, the City Manager's determinations, findings, and recommendations, attached and incorporated as Attachment "A," pursuant to Sections 29-B(a) of the City Charter and Section 18-182(c) of the Code of the City of Miami, Florida, as amended, are ratified, approved, and confirmed and the City Commission hereby waives the requirements for said procedures. Section 3. The City Manager is authorized to negotiate and execute any and all documents, modifications, and amendments, all in a form acceptable to the City Attorney, to allocate the CDBG funds to the Developer. Section 4. The City Manager is further authorized to transfer the Property, with an automatic reverter provision, as more particularly described in Attachment "B," attached and 1 The herein authorization is further subject to compliance with all legal requirements that may be imposed, including but not limited to those prescribed by applicable City Charter and City Code provisions. incorporated, to Camillus House, Inc., for the rehabilitation of the units to provide at least fifty one percent (51%) of the units to families with income of up to eighty percent (80%) of AMI, as specified in "Exhibit B," attached and incorporated. Section 5. The City Manager is authorized' to negotiate and execute any and all documents, in a form acceptable to the City Attorney, as may be necessary to complete the transaction subject to all federal, state, and local laws that regulate such transactions. Section 6. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.2 APPROVED AS TO FORM AND CORRECTNESS: rge . Wy3 ng III, C ty ttor -y 7/16/2024 2 If the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission.