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HomeMy WebLinkAboutSEOPW CRA 2013-12-18 MinutesCity of Miami City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com of • IN Q9▪ IEP 99 i �YD ({ }} 7 4� .. S' Meeting Minutes Wednesday, December 18, 2013 12:00 PM Miami City Hall (Manager's Conference Room) 3500 Pan American Drive Miami, FL 33133 SEOPW Community Redevelopment Agency Keon Hardemon, Chair Wifredo (Willy) Gort, Vice Chair Marc David Sarnoff, Commissioner Frank Carollo, Commissioner Francis Suarez, Commissioner SEOPW CRA OFFICE ADDRESS: 1490 NW 3rd Avenue, Suite 105 Miami, FL 33136 Phone: (305) 679-6800, Fax: (305) 679-6835 www.miamicra.com SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 RESOLUTIONS 1. 13-01429 Present: Commissioner Suarez, Vice Chair Gort and Chair Hardemon Absent: Commissioner Sarnoff and Commissioner Carollo On the 18th day of December 2013, the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency of the City of Miami met in regular session at Miami City Hall, 3500 Pan American Drive, Miami, Florida. The meeting was called to order by Chair Hardemon at 12:10 p.m., and was adjourned at 12:37 p.m. ALSO PRESENT: Clarence Woods, Executive Director, CRA Jessica Pacheco, Special Counsel, CRA Barnaby L. Min, Deputy General Counsel Todd B. Hannon, Clerk of the Board CRA RESOLUTION RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY AUTHORIZING (i) THE EXECUTIVE DIRECTOR TO ENTER INTO AMENDMENTS TO (i) THE GRANT AGREEMENT WITH TOWN PARK PLAZA SOUTH, INC. WITH RESPECT TO THE TOWN PARK PLAZA SOUTH COOPERATIVE APARTMENT PROJECT; (ii) THE GRANT AGREEMENT WITH TOWN PARK VILLAGE NO. 1, INC. WITH RESPECT TO THE TOWN PARK VILLAGE COOPERATIVE APARTMENT PROJECT; (iii) THE DEVELOPMENT AGREEMENT WITH ISLAND LIVING APARTMENTS, LTD. WITH RESPECT TO THE ISLAND LIVING APARTMENTS; (iv) THE DEVELOPMENT AGREEMENT WITH LYRIC HOUSING, LTD. WITH RESPECT TO THE PLAZA AT THE LYRIC; (iv) THE DEVELOPMENT AGREEMENT WITH ST JOHN PLAZA APARTMENTS, LLC WITH RESPECT TO THE ST JOHN PLAZA APARTMENTS; AND (vi) THE DEVELOPMENT AGREEMENT WITH AMC HTG I, LTD. WITH RESPECT TO THE ALONZO MOURNING PROJECT, TO EXTEND THE TIME CONTINGENCY FOR THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY TO OBTAIN BOND FINANCING ON TERMS ACCEPTABLE TO THE BOARD OF COMMISSIONERS FROM DECEMBER 31, 2013 TO JUNE 30, 2014. File # 13-01429 Cover Memo.pdf File # 13-01429 Legislation.pdf Motion by Board Member Suarez, seconded by Vice -Chair Gort, that this matter be ADOPTED WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: Chair Hardemon, Vice Chair Gort and Commissioner Suarez Absent: Commissioner Carollo and Commissioner Sarnoff CRA-R-1 3-0074 Direction by Chair Hardemon to Executive Director Clarence Woods to provide all necessary documents so that the Board of Commissioners can make informed decisions on matters brought before the CRA Board; and further directing Mr. Woods to keep the board updated on the progress of the bond financing. City of Miami Paget Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Chair Hardemon: Through the powers invested in the Chairman, I want to call this meeting to order at 12: 08 p.m. On this agenda -- well, first of all, present, we have a quorum of Commissioners: Commissioner Willy Gort; Commissioner Francis Suarez and then myself, Commissioner Keon Hardemon. First on the agenda, we have Resolutions [sic] CRA 13-01429, and I'll read the resolution into the record so that we're clear on what it is. It's a resolution of the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency authorizing the executive director to enter into amendments to grant with -- to grant agreement with Town Park Plaza South, Inc. with respect to the Town Park Plaza South Cooperative Apartment Project; the grant to -- the grant agreement with Town Park Village No. 1, Inc. with respect to the Town Park Village Cooperative Apartment Project; the development agreement with Island Living Apartments, Ltd, Limited with respect to the Island Living Apartments; the development agreement with Lyric Housing with respect to the plaza at the Lyric; the development agreement with St. John Plaza Apartments, LLC (Limited Liability Corporation) with respect to the St. John Plaza Apartments; and the development agreement with AMC HTG, I, Limited with respect to the Alonzo Mourning Project, to extend the time contingency for the Southeast Overtown/Park West Overtown -- Parkwest Community Redevelopment Agency to obtain bond finances on terms acceptable to the Board of Commissioners from December 13 -- to December 31, 2013 to June 30, 2014. First of all, I guess we can entertain a motion on the floor. Board Member Suarez: Move it. Chair Hardemon: Is there a second? Vice Chair Gort: Second for discussion. Chair Hardemon: It's been properly moved by Commissioner Suarez and second by Commissioner Willy Gort. This item is open for discussion. Is there discussion from Mr. Clarence? Clarence Woods (Executive Director, Southeast Overtown/Park West Community Redevelopment Agency) No, Commissioner, other than the fact that we are diligently working to get the bond financing finalized so that we can get these projects moving. We have at least two right now that are ready to break ground, right now, even as we speak, and it's all contingent upon us being able to finalize the financing. Once I leave here, I'll be going over to Miami -Dade County to work on the issue of the financing so that we can go ahead and break ground on these projects and get them moving. Chair Hardemon: Now, I'm familiar with the reason why there needs to be an extension, but can you make the Board aware of why we actually need the extension? Mr. Woods: The reason for the extension is because at this point, we are in talks with Miami -Dade County as a result of an issue with the original ordinance which allowed for the CRA (Community Redevelopment Agency) to come into existence. That ordinance, which is an ordinance from 1982, was -- unilaterally instituted a cap -- well, it didn't institute, but it suggested a cap of the ability of the CRAs to do any additional financing beyond its first bond issuance, and not only the cap, but then we also have the 2007 global agreement, which we agreed to refund the County certain portions of projects that were listed in the global agreement; 10 projects specifically that we would refund 45 percent. In doing our due diligence in getting this bond issuance, the issue of the cap came up. We all understood and made allowances for the global agreement and the 45 percent return of TIF (Tax Increment Fund), but the cap was something that was kind of new to everybody, so we are in the process of working that out, and trying to figure out how we would actually be able to get all of the financing we need in order to fund all of the projects. The County is working through the numbers to try to figure that out. City of Miami Page 3 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Chair Hardemon: And for the Board to be clear, so as far as I understand, the cap comes in from the 1982 ordinance, where year 19, it caps off how much -- Vice Gort: Right. Chair Hardemon: -- the County is going to give towards the CRA. Now, my question for you, Mr. Woods, is why is it that you're asking for six months versus any other time span? Mr. Woods: Well, we believe that we can get -- well, we're hopeful that we can get this issue wrapped up rather quickly. Six months is just a -- I think a time frame for us being able to settle our issues with the County. It may be that we may have to go beyond six months. I'm hopeful that we can get this done before six months and have these projects financed. I think there is a willingness on the County to resolve the issue and do it in rather short order, but we have to go through this process. Chair Hardemon: And the agreements that we will be making the amendments to are the original agreements that were created for the development within Overtown CRA? Mr. Woods: Yes, the bond projects. Chair Hardemon: Right. Six months is a long time. Six months is halfway into the new year. Six months is a long time for us not to have any knowledge of what is actually going on or for the community to have knowledge about what's going on within this project. So one of the things that I'm hoping that this Board will be amenable to is maybe a friendly amendment to their motion so that we can have this come up sooner than six months. And I wavered on how much time that would be; however, considering the importance of this measure, considering that we need this development soon, and considering that there's a significant amount of discussion that needs to occur about this agreement, what I think -- and I don't know if you feel the same way, Commissioners, but having this back before this Commission, before this type of body in about two months I think would be fair. Would you be amenable to accepting that as a friendly amendment? Board Member Suarez: Yes, Mr. Chair. I -- this is Commissioner Suarez for the record. I would amend my motion so -- you know, accordingly. You know, we at the Commission struggled, and I remember, I was the chairman last year and passed the gavel to authorize the Commission to basically indebt itself as a city, because these projects are extremely worthy, and the community deserves to have these projects done as quickly as possible. So I share your frustration, and I think the community wants these projects to have happened yesterday. So, you're right. I mean, two months, three months, two days, two weeks is probably too long. So I know that Commissioner Gort has been working very diligently to get the bond offering completed as quickly as possible, and maybe he can give us a little update on that. But -- Vice Chair Gort: My question is: This resolution has already been approved. Mr. Woods: Yeah, mm-hm. Vice Chair Gort: What kind of amendment are you making? Mr. Woods: It's just the extension of time; within each resolution -- I mean, each development agreement -- Vice Chair Gort: When we approved the resolution, they had a specific time when it had to be accomplished. Mr. Woods: Well, it was -- the development agreements provided for developments to go forth. City of Miami Page 4 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Vice Chair Gort: To begin as soon as funding were available. Mr. Woods: Right. And -- Vice Chair Gort: So from the time that they begin, then they'll have the extension till they complete it; that was my understanding. Mr. Woods: Well, no, not the actual development. It's the agreements, themselves. Vice Chair Gort: Right. Mr. Woods: The agreements basically terminate December 31, 2013 -- Vice Chair Gort: Okay. Mr. Woods: -- if financing has not been gotten. Vice Chair Gort: So that's what you're asking for. Mr. Woods: Right, yeah. Vice Chair Gort: Now, all the documents we've been working on for six months, eight months -- Mr. Woods: We're done. Vice Chair Gort: And we've had six drafts of the documents already. With this amendment, it will put the documents up to date. All we need is the okay from the Commission and we can go on the market. I mean -- Mr. Woods: We're ready, Commissioner. Vice Chair Gort: -- all the paperwork is done. Mr. Woods: You're right. Vice Chair Gort: I mean, the bond can be issued at any time. Chair Hardemon: But part of the issue that we're having with the bond, from what I understand, is this Wells Fargo issue with the issuing of the bond because of the County and this cap. Mr. Woods: Yeah. Chair Hardemon: Apparently, from -- Vice Chair Gort: Right. No. Chair Hardemon: So, I mean -- Vice Chair Gort: I mean, they need their revenues in order to comply that. Chair Hardemon: Exactly. Mr. Woods: They need that. City of Miami Page 5 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Chair Hardemon: Exactly. Mr. Woods: Right.. Chair Hardemon: So in the agreements -- and that's not provided in any of the -- well, I received an e-mail (electronic) from Mr. Woods yesterday that had the agreements that were -- that are to be amended, and in each agreement, there is a line in the agreement that specifically speaks to December 31, 2013 being the date that these agreements automatically terminate. It had some language that had some things that are not terminating; however, it is not entirely clear without significant reading of the agreements. Vice Chair Gort: You (UNINTELLIGIBLE) the amendment. Commissioner Suarez: Okay. Chair Hardemon: So do I have a second from any (UNINTELLIGIBLE) --? Vice Chair Gort: Yeah, I will second. Mr. Woods: IfI might, Commissioner, with respect to the timing, the six months, this -- the financing of these projects, the actual bond financing, we were ready to receive the loan from Wells Fargo in October. It's not a function of us and how we actually operate at this point in time. Chair Hardemon: You mean the CRA? Mr. Woods: The CRA or the CRA Board. It's really about Miami -Dade County and how they are going to reinterpret the statute, the original ordinance, as well as the global agreement, and how they're going to accommodate us in allowing for this financing to happen. They've already approved the bond resolution. They approved the projects. Everything is actually done. It's just that when we -- when it came down to execution and actually getting this financing, the City Attorney's Office, their bond counsel, Ms. Robin Jones Jackson, found the original ordinance that had a cap in it, which became problematic. So it's a function of actually the County. So we -- if we say we're only going to do this for two months -- I mean, we can come back to you every month from here on out, every day, just advising you on the progress with the County. Vice Chair Gort: Just remember that we got to put pressure on the County, and I'm willing to talk to a couple of Commissioners on the County, and they got to -- because people have been waiting for this for a long time. Mr. Woods: Yeah. Vice Chair Gort: I mean, every meeting we've been to, we tell them, "We going to do the bond issue." Everybody talked about the bond issue, everybody talked about the construction that's going to take place -- Mr. Woods: So that -- Vice Chair Gort: -- and it's up to us to push the County. Chair Hardemon: And what I'd like from you, Mr. Woods, is to make sure that this Board is informed of each of these steps. There's no reason that, for instance, for a meeting of this caliber, asking for this type of step that these members should not have a copy of the agreements, and to completely understand exactly what's happening. It may have been given sometime in the past. City of Miami Page 6 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Mr. Woods: Right. Chair Hardemon: But what I'm saying is that every time we come to this table to make a decision involving the CRA, involving an item that is on this agenda, we need to make sure that we have all the documentation that is necessary for them to make an informed decision -- Mr. Woods: Absolutely. Chair Hardemon: -- (UNINTELLIGIBLE) -- relying upon the word to move forward. Mr. Woods: Absolutely. Chair Hardemon: So -- and in regards -- because the longer this thing stays open, the more of a problem we're going to have with the dollars that it takes for the CRA to actually make this deal happen. As I understand, there was already about 200, $250, 000 that was used in the -- Mr. Woods: Yeah, with bond counsel. The -- Chair Hardemon: The bond -- right, the -- to determine the validity of the bond, when, in fact, that's not something that's required by law, but it was required by Holland & Knight and by some other -- Mr. Woods: Well, Foley & Lardner is the current bond counsel. As I mentioned before, we sought -- I mean, we fought very hard not to go through a validation process, which ended up with the original bond counsel resigning from being bond counsel because he felt like, you know, he couldn't advise us any further. So we brought Foley, who felt that our prior bond counsel was correct. Vice Chair Gort: The reason most of the bond counsel ask for a validation, because if you don't have the validation, anybody, you can go ahead and do the -- try to do the issue of the bond, and somebody can take you to court. Mr. Woods: And they get challenged, yeah. Vice Chair Gort: They can challenge, and anyone in that community can challenge the issue of the bonds. Now, we have several people that were having problem with the -- Mr. Woods: Uses. Vice Chair Gort: They've been suing the City of Miami for years now, and they could be -- and that'll be even worse (UNINTELLIGIBLE) -- you're a lawyer. You know how it takes -- Chair Hardemon: Right, right. No, complete -- I completely understand the reason behind it. However, part of my issue with everything is that it creates a problem for the community where they don't under -- the community doesn't understand these -- Vice Chair Gort: Oh, of course not. Chair Hardemon: -- hoops that we're jumping through. So part of what we need to do going forward is to make sure the community is aware through this type of process of what's happening with this process. Is there any other -- is there any further discussion on this item? Vice Chair Gort: And it's important to explain to the people you're amending the contract with the reason why it's taking place, so they can also put pressure and make phone calls themselves, City of Miami Pagel Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 too. Mr. Woods: Yeah, yeah. Just for a point of clarification or understanding, what we've attempted to do is work it out between us and the County before we took it to the next level and, you know, started to, you know, I guess campaign on trying to make sure that we get what we believe is the right outcome. So today's meeting will go a little step further in understanding their position so that we can then start mobilizing on our side the folks that we need in order to -- Vice Chair Gort: And all these amendments will have to be added to the documentation already is taking place in the POS (Point of Sale)? You have to make the changes in the draft of the POS. Mr. Woods: Yeah, yes. Vice Chair Gort: So make sure they get them as soon as possible. As soon as we approve it here Mr. Woods: Absolutely. Vice Chair Gort: -- send it to them. Mr. Woods: Yes. Chair Hardemon: Any further discussion? Mr. Woods: So we're talking the end of February? Mr. Woods: So to clarify, the motion, as been properly moved and seconded, that we extend the original agreements of the aforementioned agreements that we spoke of so that -- to February 28, 2014 instead of the June 30, 2014 date that was originally proposed. Board Member Suarez: And I accept that motion -- Chair Hardemon: Okay. Board Member Suarez: -- that amendment to my motion. Chair Hardemon: All in favor say "aye. " The Board (Collectively): Aye. Chair Hardemon: All against? Motion passes. 2. CRA RESOLUTION 13-01222 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY ("CRA") AUTHORIZING THE EXECUTIVE DIRECTOR TO ENTER INTO A LEASE AGREEMENT WITH THE BLACK ARCHIVES, HISTORY AND RESEARCH FOUNDATION OF SOUTH FLORIDA, INC. FOR THE CRA'S OFFICE SPACE AT THE LYRIC THEATER COMPLEX, 819 NW 2ND AVENUE, MIAMI, FLORIDA, FORA TERM OF THREE (3) YEARS, COMMENCING DECEMBER 1, 2013, WITH RENT WAIVED FOR THE FIRST YEAR OF THE City of Miami Page 8 Printed on 1,21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 TERM, AND RENT SET AT $6,000 PER MONTH, OR AN ANNUAL AMOUNT OF $72,000, INCLUDING TAXES, UTILITIES, FOR THE SECOND AND THIRD YEAR OF THE TERM; FUNDS TO BE ALLOCATED FROM GENERAL OPERATING FUND ENTITLED "RENTAL AND LEASES," ACCOUNT CODE NO. 10050.920101.544000.0000.00000. File # 13-01222 Cover Memo.pdf File # 13-01222 Financial Form.pdf File # 13-01222 Backup.pdf File # 13-01222 Legislation.pdf Motion by Board Member Suarez, seconded by Vice -Chair Gort, that this matter be CONTINUED PASSED by the following vote. Votes: Ayes: Chair Hardemon, Vice Chair Gort and Commissioner Suarez Absent: Commissioner Carollo and Commissioner Sarnoff Note for the Record: Item #2 was continued to the January 27, 2014, Southeast Overtown/Park West CRA Meeting. Chair Hardemon: Moving on to agenda item number 2, which is CRA (Community Redevelopment Agency) Resolution 13-01222. It's a resolution of the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency authorizing the executive director to enter into a lease agreement with the Black Archives History and Research Foundation of South Florida, Inc. for the CRA's office space at the Lyric Theater Complex, for a term of three years, commencing December 1, 2013, with rent waived for the first year of the term, and the rent set for $6, 000 per month, or an annual amount of 72,000, including tax and utilities, from the second and third year of the term. And I have a question. Well, first of all, is there a motion on the floor? Board Member Suarez: I move it for discussion. Vice Chair Gort: Second. Chair Hardemon: Properly moved by Commissioner Suarez; seconded by Commissioner Gort. I'm going to open it up for discussion at this point. I don't have a lease agreement in front of me. Clarence Woods (Executive Director, Southeast Overtown/Park West Community Redevelopment Agency): Right. We -- this is allowing us to enter into a lease. We will be able to -- we will bring a lease back with all the terms. Chair Hardemon: Okay, but if we grant this today, then you're able to enter into that lease without us being able to actually see the lease agreement. And part of that is -- my worry is that we don't know the square footage, we don't know what space, how much space, anything of that nature, and that causes some concern for me, especially where the Lyric Theater has to somehow start to produce some type of revenue. Mr. Woods: Absolutely. Chair Hardemon: And that's why I was asking you whether or not Mr. Barber was going to be here so that we can discuss this lease agreement with him. Board Member Suarez: I don't have a problem deferring it, if you want to defer it to another meeting. Chair Hardemon: Better yet, continue it. Board Member Suarez: Second. City of Miami Page Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Chair Hardemon: I mean, so -- Vice Chair Gort: You need the information. Chair Hardemon: Right, right. Board Member Suarez: Yeah. I mean, I was going to ask the question anyways. Chair Hardemon: Do you mind withdrawing your motion? Board Member Suarez: Yeah, I withdraw my motion back. Chair Hardemon: Is there a new motion that you'd like me to entertain? Board Member Suarez: So moved. I move a motion to -- I make a motion to continue to the next CRA meeting and, you know, with the suggestion that the beneficiary, for lack of a better word, be here at the meeting, and also, if you can provide us with a draft copy of a lease, because I was going to ask the question anyways, you know. How have we set the amount; how do we come up with a -- you know, with an amount? And I figured you had an answer to it but -- Mr. Woods: Yeah. Board Member Suarez: -- I know -- and I see that we have one year abated -- Mr. Woods: Mm-hm. Board Member Suarez: -- of rent. So, you know, I did want to know, you know, how we came up with the square footage, how we came up with the amount, et cetera, so. Mr. Woods: The square footage basically is -- Board Member Suarez: We can talk about it -- we can do it -- Chair Hardemon: We can talk about it at the next meeting. Board Member Suarez: -- we can deal with that at the next meeting. Vice Chair Gort: Right. Chair Hardemon: Right. Board Member Suarez: I'm saying, you know, those are the questions that I was going to ask just so you -- Chair Hardemon: The motion has been properly -- Mr. Woods: No problem. Chair Hardemon: -- moved by Commissioner Suarez. Mr. Woods: And I will be prepared to answer. Chair Hardemon: Is there a second? City of Miami Page 10 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Vice Chair Gort: Second, yes. Chair Hardemon: All right, seeing it has been properly moved and seconded, seconded by Commissioner Gort, is any further discussion? Seeing none, motion -- all in favor say "aye." The Board Collectively: Aye. Chair Hardemon: All against? Motion passes. 3. CRA RESOLUTION 13-01216 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY AUTHORIZING ISSUANCE OF A GRANT, IN AN AMOUNT NOT TO EXCEED $572,000, TO THE BLACK ARCHIVES, HISTORY AND RESEARCH FOUNDATION OF SOUTH FLORIDA, INC. TO UNDERWRITE COSTS ASSOCIATED WITH THE CONTINUED OPERATION AND PROGRAMMING OF THE LYRIC THEATER CULTURAL HERITAGE INSTITUTE FOR THE 2014 CALENDAR YEAR; AUTHORIZING THE EXECUTIVE DIRECTOR TO DISBURSE FUNDS, AT HIS DISCRETION, ON A REIMBURSEMENT BASIS OR DIRECTLY TO VENDORS, UPON PRESENTATION OF INVOICES AND SATISFACTORY DOCUMENTATION; FURTHER AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE ALL DOCUMENTS NECESSARY FOR SAID PURPOSE; ALLOCATING FUNDS FROM SEOPW, "OTHER GRANTS AND AIDS," ACCOUNT CODE NO. 10050.920101.883000.0000.00000. File # 13-01216 Cover Memo.pdf File # 13-01216 Financial Form.pdf File # 13-01216 Backup.pdf FILE# 13-01216 Legislation.pdf Motion by Board Member Suarez, seconded by Vice -Chair Gort, that this matter be CONTINUED PASSED by the following vote. Votes: Ayes: Chair Hardemon, Vice Chair Gort and Commissioner Suarez Absent: Commissioner Carollo and Commissioner Sarnoff Note for the Record: Item #3 was continued to the January 27, 2014, Southeast Overtown/Park West CRA Meeting. Chair Hardemon: Moving on to agenda item number 3, CRA (Community Redevelopment Agency) Legislation 13-01216, a resolution of the Board of Commissioners of the Southeast Overtown/Park West Redevelopment [sic] Agency authorizing the issuance of a grant in the amount not to exceed $572,000, to the Black Archives History and Research Foundation of South Florida, Inc. to underwrite costs associated with the continued operation and programming of the Lyric Theater Cultural Heritage Institute for the 2014 calendar year; authorizing the executive director to disburse funds at his discretion on a reimbursement basis, or directly to vendors, upon presentation of invoices and satisfactory documentation; further authorizing the executive director to execute all documents necessary for said purpose; allocating funds from SEOPH [sic] -- not entertaining the motion just yet. There's some -- I understand the mission of the Lyric Theater. I sat down with Mr. Barber, and I completely and wholeheartedly agree with what the cultural importance and the revenue producing elements are to this type of project. I would have loved for Mr. Barber to be here, because there were further items that I wanted to discuss involving his supported documentation that he provided. He provided not only a 2014 programming year schedule that had some amounts, salaries that amounted to about $233, 000 for training staff, and then administrative staff of $85, 000. And this -- when you look at this City of Miami Page 11 Printed on 1,21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 schedule, it amounts to the $572,000, but it generated a lot of questions for me as he also gave me some projections. Year one, two and three, 60,172, for instance; in the first year, rental, 60,000; in the second year, rental is 172, 000; in year three, 250, 000. They seem to be projections. I don't know how he generated those projections. I don't know how in year one, he even arrived at 60,000, seeing that the legislation just prior to it is a lease agreement for $6, 000 a month. Clarence Woods (Executive Director, Southeast Overtown/Park West Community Redevelopment Agency): Yeah. These are revenues. Chair Hardemon: Right, I understand that. Mr. Woods: That's not a grant or contributions, which would probably -- which are up on the -- under the first -- gotcha. Chair Hardemon: I see under year one, the CRA has the grant of 572,000 provided to them. Mr. Woods: Mm-hmm. Chair Hardemon: But what I'm asking is that the other numbers that are there -- Mr. Woods: Right. Chair Hardemon: -- for one, two and three, I have no understanding of how he generated these numbers. It looks good. Mr. Woods: Right. Chair Hardemon: It looks good, and -- Board Member Suarez: Can I jump in on it? Chair Hardemon: Sure, absolutely. Board Member Suarez: You know, I think one of the things we've done as a Board is kind of demand specificity on issues, and I think, you know, for example, a legitimate question would be: Okay, so he wants to spend $233, 000 on salaries for training staff, but it's not broken down by individual component. Mr. Woods: Okay. Board Member Suarez: That's number one. Number two, you know, I think it's, generally, a good rule that if you're going to be asking this Board for a combined amount of you know, $500, 000 on the one item and, you know -- and I forget how much the other item is but -- Mr. Woods: The rent -- Board Member Suarez: Right. Mr. Woods: (UNINTELLIGIBLE) was -- Board Member Suarez: Seventy-two times two, which is a hundred and forty-four, right, a hundred and forty-four. Mr. Woods: It's about (UNINTELLIGIBLE) times two. City of Miami Page 12 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Board Member Suarez: That's about 600, 700 -- almost 700,000 worth combined -- that the person should be here -- Chair Hardemon: Right. Board Member Suarez: -- to answer questions, you know. I mean it's -- Mr. Woods: You said -- Chair Hardemon: Absolutely. Board Member Suarez: -- Illogical. Chair Hardemon: And even in the 2014 programming year, which, like I say, I understand programming dollars for this type of venue; however, the training allocations at eight weeks, for instance -- Board Member Suarez: Right. Chair Hardemon: -- for $45, 000. So I'm very unclear as to if this money is to only pay for this eight weeks' training session, including those $233, 000 in training staff, or is it in the first year, as in the Black Archives Lyric Theater pro forms? If you look at the page that has your organizational expenses, program salaries and wages, they're 120,000 in the first year. And then the administrative salaries and wages is 436, 000. So that's already in excess of 540-something thousand dollars. So is that money that is additionally coming from the CRA -- Mr. Woods: No. Chair Hardemon: -- versus the money that's coming from the training program? There are a lot of conflicting numbers in this documentation. Mr. Woods: The -- I mean, I don't know if you want me to respond as far as I -- Chair Hardemon: If you -- I mean, as far as you know. Mr. Woods: -- as far as understanding, yeah, right. Chair Hardemon: I understand. Mr. Woods: The training -- the funding for the training, that $45, 000, is to, like I said, train folks that would then be hired by the Black Archives to work in the Lyric Theater. Chair Hardemon: Right. I get that part. Mr. Woods: Their projections are what will actually pay for the salaries of folks from the neighborhood. Obviously, any time we get grants, we expect there to be a benefit to the community. Chair Hardemon: Right. Mr. Woods: And this is for the salaries. I mean, it's an economic development type of grant because they're going to be creating jobs. The first eight weeks is for the training. Then they will have to hire, whether they hire them all at that one time, but as they begin to ramp up and start the program, the Archives, they will be then calling those folks that actually got trained, City of Miami Page 13 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 depending on the need and the availability. From what we understand, once the Lyric Theater is up and running the way in which they see it, they will hire up to about 45 people. That -- the salaries that will be paid will come from their program. So the 120 is money that'll come from whatever programming that they're doing, and whether it's the $60, 000 in year one, you know, or money from additional grants that they're getting -- we're not the only one that they're getting grants from. Chair Hardemon: Right. Mr. Woods: They're getting other grants. Chair Hardemon: Right. Mr. Woods: But that's from my understanding. Chair Hardemon: Commissioner Suarez. Board Member Suarez: Yeah, thank you, Mr. Chair. You know, I think the Chair has some very, very good points. I mean, one, for example, you know, they've had a hard time getting going, and we're trying to help them -- Mr. Woods: Exactly. Board Member Suarez: -- on a multitude of different fronts with the platting, things of that nature. Mr. Woods: Right. Board Member Suarez: And of course, you know, (UNINTELLIGIBLE) want to see (UNINTELLIGIBLE) there's some County representatives here, so to the extent that they can help with that, that would be great. But like for example, when they talk about corporate contributions, I'm assuming that means some sort of sponsorship from corporations. Mr. Woods: Exactly. Board Member Suarez: And I mean, is it realistic -- are they realistically going to be able to get 300,000 in year one, 500 in year two, and 500 in year three? Maybe they will. Who are those people? Have they had discussions with them? Have they contacted them? You know, they have pledges, commitments? You know, we don't know. Chair Hardemon: And the thing about this is that I believe that this Board is going to help this organization, no matter what. Board Member Suarez: Absolutely. Chair Hardemon: But I want real numbers in front of me. You're not going -- I do not want numbers that are inexplicable before me, because then I have a hard time then asking this Board to move a motion to further help an organization that gave me bad numbers. So what I would suggest is to have Mr. Barber meet with me in my office at some time to at least explain this out. So now the next time -- Mr. Woods: Absolutely. Chair Hardemon: -- this comes before this Board, we have everything that we need to make a decision. Is there any other discussion about it? City of Miami Page 14 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 Vice Chair Gort: Well, if we train people to get a job, and later on, they can't get a job because the revenues are not out there to support it, I think it's a fail [sic] on our part, so we have to make sure that the revenues are going to be there, reoccurring revenues. I mean, grants work real good for a year or two years, but we got to make sure that the business plan is put together. And I think that we all want to see them to become very successful. I think that's going to be very important for that community. Board Member Suarez: I think the Chair -- I want to reiterate something the Chair said, which is - - you know, and I think the former Chair also emphasized -- which is that we want to see the Black Lyric Theater succeed and open, and, you know, we think -- I can speak for myself. I can't - - you know, obviously, I suspect my colleagues on the Board feel the same way -- that it's a centerpiece of our community. Mr. Woods: Absolutely. Board Member Suarez: And that -- Vice Chair Gort: Culture and history. Board Member Suarez: Absolutely. And it needs to be opened, and it needs to be opened sooner rather than later; just like these projects need to be done sooner rather than later. I mean, this community has waited for a long time, and thankfully, we have some fresh energy here to, you know, keep pushing, because at the end of the day, you know, we all know that it's about pushing and your will to get things done, and, you know, so -- you know, we'll just keep working to make it happen as quickly as possible. Chair Hardemon: And then please inform Mr. Barber that I would love to see him at the next scheduled CRA meeting, considering that he has two items of significant importance to his organization so that we can ask him questions. Mr. Woods: Absolutely. Chair Hardemon: That would be the best part about it. Seeing no further discussion, is there a motion to continue this --? Board Member Suarez: Motion to continue it to the next CRA meeting. Chair Hardemon: Properly moved by Commissioner Suarez. Vice Chair Gort: Second. Chair Hardemon: And seconded by Mr. Gort. Any further discussion? Vice Chair Gort: No. Chair Hardemon: All in favor say "aye." The Board (Collectively): Aye. Chair Hardemon: All against? Motion passes. Any further discussion that you would like to discuss on the record? Mr. Woods: No, not at this time. City of Miami Page 15 Printed on 1/21/2014 SEOPW Community Redevelopment Agency Meeting Minutes December 18, 2013 ADJOURNMENT Chair Hardemon: Seeing none -- Vice Chair Gort: Motion to adjourn. Chair Hardemon: Properly moved. It doesn't have to be seconded, right? Board Member Suarez: You're a better parliamentarian that 1 am, man. I don't know (UNINTELLIGIBLE). Chair Hardemon: We'll call the meeting to concluding at 12: 36 p.m. Board Member Suarez: Very good, very good; appreciate it. I like that. The meeting adjourned at 12:37 p.m. City of Miami Page 16 Printed on 1,21/2014