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HomeMy WebLinkAboutSEOPW OMNI CRA 2007-03-26 MinutesCity of Miami City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com * IMCORP GROTED lEmSIE Co l 11, • Meeting Minutes Monday, March 26, 2007 5:00 PM THE DOUBLE TREE GRAND in the GRAND BALL ROOM 1717 NORTH BAY SHORE DRIVE , MIAMI, FL. SEOPW and OMNI Community Redevelopment Agencies Michelle Spence -Jones, Chair Angel Gonzalez, Vice Chair Marc David Sarnoff, Commissioner Joe Sanchez, Commissioner Tomas Regalado, Commissioner ************************** CRA OFFICE ADDRESS: 49 NW 5th ST, SUITE 100, Miami, FL 33128 Phone: (305) 679-6800, Fax: (305) 679-6835 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Minutes are transcribed verbatim. Periodically, agenda items are revisited during a meeting. "[Later.'" refers to discussions that were interrupted and later continued. Present: Commissioner Regalado, Chair Spence -Jones and Commissioner Sarnoff Absent: Vice Chair Gonzalez and Commissioner Sanchez On the 26th day of March 2007, the Board of Directors of the Community Redevelopment Agency (CRA) for the Southeast Overtown/Park West and Omni Districts of the City of Miami met in regular session in the Double Tree Grand, 1717 North Bay Shore Drive, Miami, Florida. The meeting was called to order by Chair Michelle Spence -Jones at 5:16 p.m. and was adjourned at 8:17 p.m. ALSO PRESENT: James H. Villacorta, Interim Executive Director, CRA Kevin R. Jones, Assistant General Counsel, CRA William R. Bloom, Special Counsel, CRA Priscilla A. Thompson, Clerk of the Board Pamela E. Burns, Assistant Clerk of the Board FINANCIALS 1. 07-00330 CRA REPORT FINANCIAL SUMMARY THROUGH MONTH ENDING FEBRUARY 28, 2007. Financial Summary.pdf DISCUSSED Chair Spence -Jones: Good evening. We'd like to officially call the meeting of March 26, 2007 together for the CRA (Community Redevelopment Agency) meeting. We're going to first -- Clerk, is there anything that you want to share before we get started? Priscilla A. Thompson (Clerk of the Board): No. Chair Spence -Jones: OK. All right. We're going to go ahead and get started with the first item on the agenda. I'd like to officially call this meeting to order. Item number 1, which is our finance person. Miguel Valentin (Financial Officer, Community Redevelopment Agency): Good evening, Chairman [sic] and Commissioners. I just -- I want you to take a look at page number 1, name "combined statement of financial position," as of February 28, 2007. Under Southeast Overtown, as cash unrestricted, we disclosed the amount of 80,000, and under Omni, as cash unrestricted, we disclosed the amount of 100,000. Also, I wanted to state for the record that, in reference to the item name "cash reserve for projects and operation," we include the item pertaining to the affordable housing project that we have. As of this date, 24,000 have been expended for this purpose out of the 746,748 -- 44 budgeted for this specific project. Also, I wanted to state for the record there is no reportable condition that you should be aware of and - Chair Spence -Jones: OK. Mr. Valentin: -- if you have -- Chair Spence -Jones: Now -- Ms. Thompson: Excuse me, Madam Chair, we just need the -- City of Miami Page 2 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Put your name -- Ms. Thompson: -- speaker's name for the record. Your name. Mr. Valentin: Miguel Valentin, CRA financial officer. Chair Spence -Jones: All right. I think the CRA director, Jim, he's stepped away for one second, but Miguel, just to -- just, if you can -- Jim kind of briefed me a little earlier about the sale. Is the sale included in here from the Southeast Overtown/Park --? James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): From the Bayview Towers and Park West, yes. I re -- we received -- Chair Spence -Jones: It's included in the numbers, right? Mr. Villacorta: Right. We received a check, and we devoted a portion of that towards funding the 3rd Avenue Streetscape project, which will begin in August, and we had previously budgeted a million, seven. It's a $3.4 million project, so we increased -- we took some of the funds and put it towards that project. We put the balance towards the rental rehab -- Chair Spence -Jones: OK. Mr. Villacorta: -- and that's why that number's gone up since the -- Chair Spence -Jones: OK. Mr. Villacorta: -- last time. Chair Spence -Jones: All right. I just wanted to make sure that he was -- he's clear to my fellow colleagues, so they know what's going on. OK. All right. Any other questions on this item, Commissioners? Commissioner Sarnoff No, no. Chair Spence -Jones: OK. All righty, so we're going to move on to the next item. 2. 07-00363 CRA RESOLUTION A JOINT RESOLUTION OF THE BOARDS OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST (SEOPW) AND OMNI REDEVELOPMENT DISTRICT (OMNI) COMMUNITY REDEVELOPMENT AGENCIES, WITH ATTACHMENTS, APPROVING AND ADOPTING THE AMENDED SEOPW AND OMNI TAX INCREMENT FUND AND GENERAL OPERATING BUDGETS FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 2006 AND ENDING SEPTEMBER 30, 2007; AND DIRECTING THE EXECUTIVE DIRECTOR TO TRANSMIT A COPY OF THE AMENDED BUDGETS TO THE CITY OF MIAMI AND MIAMI-DADE COUNTY. Cover Memo.pdf Back-up.pdf Legislation.pdf Attachment.pdf Motion by Commissioner Regalado, seconded by Commissioner Sarnoff, that this matter be ADOPTED PASSED by the following vote. City ofMiami Page 3 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Votes: Ayes: 3 - Commissioner Regalado, Chair Spence -Jones and Commissioner Sarnoff Absent: 2 - Vice Chair Gonzalez and Commissioner Sanchez CRA-R-07-0011 Direction by Chair Spence Jones to the Executive Director to review existing projects previously funded by the Southeast Overtown/Park West CRA, and to brief all members of the Board regarding reallocation to meet current needs. Direction by Commissioner Sarnoff to the Executive Director to provide a report on monies paid to Capital Improvements and Transportation (C.I.T.) related to "soft costs" for work performed on behalf of the CRA. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Item number 2 is presentation of amended budgets for the Overtown, Omni -- Overtown and Omni CRAs (Community Redevelopment Agencies) and the general operating fund budgets for fiscal year 2007. It was necessary to amend these budgets to reflect the TIF (Tax Increment Fund) income actually received. As you know, we prepare our budgets so that they can be adopted as part of the City's CAFR (Comprehensive Annual Financial Report) in September. Since we have no meeting in August, we're required to have our budget approved in July, which means we're using the June estimates provided by Dade County of what the TIF revenue will be the following January. This year, the TIF revenue in Overtown was 75,000 roughly below what was projected, and the TIF revenue in Omni was 155,000 below what was projected. In addition -- and this is actually a positive item -- we were able to get construction projects completed, funded, and paid prior to the end of the fiscal year, so between June and September 31 -- or September 30, we were able to get those projects completed and paid, so we had a decrease in the general fund carryover in Overtown of $226, 000; 100,000 of that was the reroofing of the BAME (Bethel African Methodist Episcopal) Church; $30, 000 was the Ward Rooming House, and there were some other miscellaneous projects. In Overtown, in addition to the decrease in TIF revenues of 155,000 below what was projected, we were able to get the PAC (Performing Arts Center) streetscape project finished before September 30, and that decreased the fund balance carryover by $3.4 million -- Chair Spence -Jones: OK. Mr. Villacorta: -- so we're amending those budgets to reflect that as we make our report to the State. We have an annual report that's due at the end of this month. So that those budgets would agree, we amended those two budgets. The general operating budget was actually $81, 000 ahead of where we thought it would be. There's an additional $81, 000, and that resulted from a savings in salary expense. Chair Spence -Jones: I don't know if -- I just have a comment, but I want to wait till my colleagues -- you have any? Commissioner Regalado: No. No, no. I'm fine. Chair Spence -Jones: I just want -- one of the things that we've been looking at over the last -- what, Jim? -- probably about two weeks or so, is looking -- and I'd like to make sure that, especially for Marc, which is someone that's -- is just getting -- really delving in this whole thing with the CRA -- is to look at all of the existing projects that we have funded or have been on the books to be funded through the CRA that are just, quite frankly, not moving or have not moved. I know that there's concerns if we don't do anything with those dollars, then we have an issue with the County. I'm just concerned that some of these original projects, or projects that really had absolutely nothing to do with where we're moving in certain areas now, and I think the priorities City of Miami Page 4 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 probably earlier, when these items were put in the budget many, many years ago, were not focused on what the key issues are today. As you -- as we all know, the key issues for us, at least in the Overtown area, would be affordable housing. Also, we know that we have issues around infrastructure, not just in the Overtown area, but also in the Omni area in key areas within -- around -- surrounding there, so I just would like to have you guys take a look -- and I've asked the executive director to take a look at some of those items. I believe Miguel has went -- has gone through some of them that he had some concerns or some questions on that have been on there for a while now, correct, Miguel? Miguel Valentin (Financial Officer, Community Redevelopment Agency): Exactly, you're right -- Chair Spence -Jones: And -- Mr. Valentin: -- and basically, what we are intending to do is to de -obligate some of the appropriations that we did in the past that they are not moving, and then to reallocate those funds toward -- on other active projects that we have going on. Chair Spence -Jones: Right, right, so I just -- I wanted to -- and I really sat down with them the week before last to kind of look at some of these projects to ask, you know, how did they get on the list. Why weren't they moving, and there were like a lot of -- there was a lot of answers -- or a lot of questions around why they were even on there, so I can only imagine how difficult it is for staff to move forward something if they're not even really sure why it's on there in the first place, and quite frankly, in some of the areas, we really need the monies to be on the streets working for the people in these communities, not sitting or in a line item budget not working for the community folks that are there, so I would like to ask Miguel or ask the executive director to, at least, look at it and give us some recommendations on some of the things that might -- we might need to rethink or relook at based upon our current needs. Mr. Villacorta: Right, and for instance, the 9th Street Pedestrian Mall has an area that needs to cross over the railroad tracks to complete that project. The funding for that isn't -- it isn't fully funded, but we're taking money each year, but now the priorities of the agency, having been -- having had affordable housing moved to the forefront, perhaps that is something you want to de -obligate some of those funds; move it into affordable housing and try to move forward on that quicker. Chair Spence -Jones: Let me give you a perfect example. Not necessarily saying that item, but there's going to be serious infrastructure issues already we know in Overtown, and when we start talking about, you know, affordable housing or new projects that we want to bring, until we start dealing with the real infrastructure issues, it's going to be very hard and difficult for us to even, you know, bring that -- to address it, so what I was asking Jim to do is, at least, make sure that he brings back to all of the Commissioners and brief them on just other recommendations that could be made or the key needs that need to be addressed right now. Commissioner Sarnoff.• Well, what is our present balance with regard to economic stimulation versus just affordable housing? Chair Spence -Jones: Can you -- Commissioner Sarnoff.• And what is --? Mr. Villacorta: Yeah. I mean, I'd have to -- Chair Spence -Jones: -- break it down? Commissioner Sarnoff.• Sure. What is -- City of Miami Page 5 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: -- add up all this. The fund carryover balances are -- Commissioner Sarnoff: No, no, no, no. Mr. Villacorta: Maybe Miguel could speak to -- Commissioner Sarnoff: What I want to know, in a general sense, is we're going to devote 30 percent of our money towards infrastructure; 70 towards affordable housing, or vice versa. We're going to devote 70 percent towards infrastructure and 30 percent towards affordable housing. What is our strategic plan? Mr. Villacorta: Well, we've made a commitment over the next five years to budget 30 million towards affordable housing. The -- most of the grants and capital projects were for infrastructure -- Chair Spence -Jones: Yeah. Mr. Villacorta: -- prior to that. Chair Spence -Jones: Yeah. Commissioner Sarnoff. Where do we stand now? Mr. Villacorta: Right now we have -- Commissioner Sarnoff: Just percentage wise. Mr. Villacorta: -- 12 -- well, we're -- have 5 million this year in Overtown, so we will have to defund some of the grant projects, so it's about 50/50 at this point, with that $5 million commitment that was just made. Whether we can get to 5 million this year, though, is difficult. We -- the Overtown CRA received approximately 5 million in TIF. The Omni water -- the Overtown 3rd Avenue Streetscape project is 3.4 million right now, and CIP (Capital Improvement Projects) is saying that they may need to have additional funds allocated to them, SO -- Chair Spence -Jones: In order to -- for them to complete it, so really, all I -- only thing that I really wanted to accomplish from the discussion was for him -- for both of them to, at least, provide some recommendations regarding it because what I'm seeing there is some of these items have been there for a very long time, and no one can seem to communicate why they're even there in the budget, so you have two or three million dollars or a million dollars sitting somewhere, and clearly, you know, we need it to, you know, assist the people that are in certain areas that have a need, so I've just asked Jim to, at least, look at that and then make a recommendations to my fellow colleagues to, at least, get their input on it. Commissioner Sarnoff: Yeah, but my point is that's something of a reactive way of looking at things. A proactive way of looking at things is, for instance, Omni may have certain needs that are different than -- Chair Spence -Jones: Right. Commissioner Sarnoff: -- SEOPW (Southeast Overtown/Park West), and I'm suggesting, have we formulated a strategy; 30 percent, 50, 60, and you know, do we justify that in infrastructure, economic development versus affordable housing? Because if we were to venture off and only do affordable housing, I think we're kind of falling in a trap to some degree, or if we were to City of Miami Page 6 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 venture off and only do economic development, then I think we would be seen as something of a heartless group of people. Chair Spence -Jones: I want to just add -- because I think what he's really asking for is a breakdown of how much you're putting in each one of the areas, and I think you did it originally with -- Mr. Villacorta: For the -- Chair Spence -Jones: -- bond -- Mr. Villacorta: -- bond issue. We -- we're devoting 50 percent to affordable housing, 30 percent to infrastructure, and 20 percent to historical preservation. Chair Spence -Jones: Can you just repeat it loud enough so --? Mr. Villacorta: Yeah. Fifty percent to affordable housing, 30 percent to infrastructure, and 20 percent to historical preservation. Commissioner Sarnoff: Is this for both CRAs? Chair Spence -Jones: No. Mr. Villacorta: Well, across the amounts that were being taken in, I think we were roughly trying for those -- Chair Spence -Jones: Like -- Mr. Villacorta: -- percentages between the two CRAs -- Chair Spence -Jones: Right. Mr. Villacorta: -- but in the past, the projects have mainly had more of a capital nature in the CRA until the recent $30 million commitment to affordable housing, so we're in the process of reprioritizing those projects. I think that's what the Commissioner's asking for, to go back and look at that list and reprioritize, and move the affordable housing higher up on the -- Chair Spence -Jones: The list. Mr. Villacorta: -- list. Chair Spence -Jones: Like even in the Park West area, I know that there's some clear issues that need to be addressed from an infrastructure standpoint, and I think that we need to look at what projects are the most important in that area for us to address, but what I really wanted to have Jim do is really look at those numbers because when you see the numbers and you see what's attached to certain line items, and you ask the questions, OK, well, what is the next step on this project? Clearly, the money's here. Why is it not moving? And then the answer sometimes is, you know, well, it was something that someone put in, and we really don't know what the next step is on it, so -- Mr. Villacorta: Well, we had put in an amount of money to help with the -- what we expected to be upcoming improvements to the Lyric Plaza. I don't know that those designs are fully generated yet, and that money could be reprogrammed. At the time the budget was approved, those monies are budgeted, but they're not appropriated until you pass a resolution, so by resolution, you can say I want to find "X" number of dollars for this housing project, and what City of Miami Page 7 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 will happen is that that item that's been budgeted but not appropriated will move further down the list. Chair Spence -Jones: Right, and I'm not necessarily saying that I want to move one project -- Mr. Villacorta: Right. Chair Spence -Jones: -- or the other from Lyric or nothing. I'm just -- what I'd like to have happen is for you to give the Commissioners -- the board members, at least, some sort of recommendation based upon numbers or projects that are not moving. Commissioner Regalado: I have -- Mr. Villacorta: OK. Commissioner Regalado: -- a question. Madam Chair. Chair Spence -Jones: Yes, sir. Commissioner Regalado: What does the CIP does [sic] for the CRA? Mr. Villacorta: They've been doing all of our construction for us. We go to them and fill out a request for service, and they hire one of the designers off of their list of designers. They prepare the design. They -- when the design is completed and there's a budget, we come back to you for funds to do the construction, and they hire a contractor off their list and perform the construction. They cert to us that the construction draws are appropriate and provide those to us. We go and double-check some of that work, but we mainly rely on CIT (Capital Improvements & Transportation) to cert0; that the construction is done in accordance with the plans and the building code. Chair Spence -Jones: And that has been a concern, right? Commissioner Regalado: So -- Mr. Villacorta: Well, in the -- Commissioner Regalado: -- they do everything, but we put the money? Mr. Villacorta: Yes. Commissioner Regalado: OK. Chair Spence -Jones: And let's be clear. Now, to my understanding, I know this is from the past director, this has been a concern. Mr. Villacorta: Well, in the past, the CRA put out its own RFP (Request for Proposals) for engineering services, contracted with an engineer, and then had an engineer on staff -- an engineering firm available to us, and we would then bid out our projects. The Jackson Soul Food Restaurant is probably the largest outstanding project that is in that mode, where we did not use CIT. The -- at the time, we had an engineering firm that was -- had been selected through a competitive process. They prepared the plans -- Commissioner Sarnoff. CIT is the new name of it. CIT is the new name of CIP. Mr. Villacorta: Yeah. City of Miami Page 8 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: OK. Mr. Villacorta: It's actually Capital Improvements and Transportation. Commissioner Sarnoff Improvement Transportation. Mr. Villacorta: Some people call it CIP. The -- Commissioner Sarnoff• The old-timers. Mr. Villacorta: It's actually an office in the City -- Commissioner Regalado: New Miami -- Mr. Villacorta: -- Manager's office. Commissioner Regalado: -- old Miami, same Miami, but I got a question. Chair Spence -Jones: Sure, sir. Commissioner Regalado: I got a question. OK. Now, since the rules are changed, CIT or CIP or -- does everything they take responsibility for, top to bottom? We just approve the money. Now -- Mr. Villacorta: And they charge a fee to us -- Commissioner Regalado: OK. Mr. Villacorta: -- for doing that. Commissioner Regalado: They charge a fee. Commissioner Sarnoff• What do they charge? Mr. Villacorta: I believe it's 15 percent. Commissioner Regalado: Fifteen percent? That is -- Commissioner Sarnoff• It's good work, if you can get it. Commissioner Regalado: Yeah. It's smart on their part, but taking into account the track record of the CIT or -- Commissioner Sarnoff• You wouldn't pay them 15 percent. Commissioner Regalado: -- or CIP, I would not pay them. I mean, they would have to pay me, as a CRA board member, to do the work, and the problem is bigger than this one. The City of Miami is about to enter in a project to bond $100 million in half a penny cents tax for transportation. Now, every street in the City of Miami is an [sic] important as the other street. Chair Spence -Jones: Right. Commissioner Regalado: Flagler or -- City of Miami Page 9 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Third Avenue. Commissioner Regalado: -- Northwest 21st Terrace, or -- Chair Spence -Jones: Third Avenue. Commissioner Regalado: -- 3rd Avenue; every city [sic] is as important. My fear is that the geniuses will just say, well, you know what? We're going to allocate this $100 million in projects that we need, and the CRA will take care of all the infrastructure within their district because that's what they're there for, and that will be unfair because then we have to defund affordable housing or projects that would be a symbol for the area in order to do the simple thing of a sidewalk, which this street deserves, that street deserve, and every street deserve, and that is my fear. I think we're going in the wrong direction with this, you know; that we have to say, OK, CRA needs infrastructure as well as, you know, Shenandoah, Coconut Grove, the -- Morningside or Flagami, or Roads, anything, but you see, there is this philosophy of the CRA being the piggybank, and I'm just thinking that once -- because, you know, when you issue the bonds, you have to communicate to the Security [sic] and Exchange Commission more or less what you going to do. You can't deviate from that because they get you, and then it's going to be too late, so I'm just saying, you know, guys, you know, the people here, I don't represent them, but you do and you do, but it's -- fair is fair. Chair Spence -Jones: Yeah. Commissioner Regalado: The people here should get the same that the people over there, over there, over there because every street is important. Chair Spence -Jones: Yeah, and I just want to -- and the reason why -- I'm glad you brought that issue up, and then we'll move on, but I think that this whole issue of you know -- I'm not going to rain on -- continue to rain on CIP or CIT, understand, but I know that this has been a concern for the CRA with key projects in their ability to move ahead because now they have two or three other hoops to jump through. Not only that, is then they also have this additional cost. That 15 percent could, quite frankly, be being put into the projects to make sure that they happen, and I know this is something that Frank was really pushing for in the very beginning, and then I know that once Jim came on board, he had a big issue with himself too with us trying to address the issue of why the projects actually have to run through CIT or CIP. Commissioner Regalado: CID -- Chair Spence -Jones: All right, so -- Commissioner Regalado: -- Capital Improvement Delays. Commissioner Sarnoff. Can I ask a question because --? That's actually not bad. Chair Spence -Jones: I know, right. Commissioner Sarnoff: The 15 percent -- now the way CIT works is they get a percentage based on job -- JOCs (Job Order Contracts), the job allocation costs -- Mr. Villacorta: Yes -- Commissioner Sarnoff. -- so I understand it, so -- Mr. Villacorta: -- but typically, we ask in our resolution that it be waived. City of Miami Page 10 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Commissioner Sarnoff OK, and is it waived? Mr. Villacorta: Sometimes it has been, and sometimes it hasn't. Commissioner Regalado: So fun. Commissioner Sarnoff• How do we as --? Mr. Villacorta: That is their only funding mechanism. That office doesn't receive funds. They -- Commissioner Sarnoff• No. My point is actual [sic] simpler. I don't mind that -- I shouldn't say I don't mind. I understand that somebody's going to make a percentage, either because they're drawing a salary from the City or they're getting a percentage. Nobody works for free, but my question is, are we ever paying the JOC percent as well as the 15 percent? Commissioner Regalado: And that's my point. Chair Spence -Jones: Right. Commissioner Sarnoff• Right. Commissioner Regalado: You see? Commissioner Sarnoff• I -- right. Commissioner Regalado: Because the CID, what it does is that they hire -- Commissioner Sarnoff• Right. Commissioner Regalado: -- a consultant to -- Commissioner Sarnoff• Ten percent, fifteen percent. Commissioner Regalado: -- and the percent, but so, might as well hire us. Commissioner Sarnoff• Well, because your point is, we could be paying, on that system -- and correct me if I'm wrong. Some of the JOC costs could be 15 percent -- Commissioner Regalado: Exactly. Commissioner Sarnoff• -- and if I'm off tell me, but now we could be charging 30 percent soft costs -- Commissioner Regalado: Right. Commissioner Sarnoff• -- to the CRA. Has that happened? Mr. Villacorta: I'm not sure that -- Commissioner Sarnoff• Would you do a study and let me know if it's happened? Mr. Villacorta: Yeah. I mean, I -- we haven't -- Chair Spence -Jones: Miguel -- City of Miami Page 11 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: -- done that many projects with them. Mr. Valentin: If you want me, I will look into that, but from top of my head, I think that is not happening -- Commissioner Sarnoff: OK. Mr. Villacorta: -- and that was -- Mr. Villacorta: I mean, we've been asking them pretty strongly to waive their fee. They have complained pretty strongly back that they don't have the ability to devote time to these projects since their only funding source is the management fee that they put on, but they've been working with us. To get the exact number -- the largest project was the Performing Arts streetscape, and I'd have to go back and look to see. My -- I mean, I don't recall ever seeing the 15 percent on that, but that was also being handled partially by Miami -Dade County and Florida DOT (Department of Transportation) and the Performing Arts Center, so -- Chair Spence -Jones: OK, so is there any other discussion on this? If you can -- just as a reminder, if we can, Miguel, just get -- go through the current budget to make sure that the Commissioners know, you know, your recommendations on possible reallocations or things that we can maybe bump up because of the need. Mr. Valentin: Yes. I'll -- Mr. Villacorta: OK. You're going to need a motion and a second to adopt the budgets. Chair Spence -Jones: OK Commissioner Regalado: I move it. Commissioner Sarnoff: Second. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: All right. Motion passes. RESOLUTIONS 3. 07-00331 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY AUTHORIZING THE EXECUTIVE DIRECTOR TO REMIT TAX INCREMENT REVENUES, IN AN AMOUNT NOT TO EXCEED $1,430,000, TO MIAMI-DADE COUNTY TO PAY DEBT SERVICE ON THE BONDS ISSUED FOR THE PURPOSE OF FINANCING THE COST OF CONSTRUCTION OF THE PERFORMING ARTS CENTER IN THE OMNI REDEVELOPMENT AREA; FUNDS TO BE ALLOCATED FROM OMNI TIF FUND, ACCOUNT CODE NO. 10040.920101.891000.0000.00000, ENTITLED "INTERFUND TRANSFER." City of Miami Page 12 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Cover Memo.pdf Financial Form.pdf Back-up.pdf Legislation.pdf Motion by Commissioner Sarnoff, seconded by Commissioner Regalado, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 3 - Commissioner Regalado, Chair Spence -Jones and Commissioner Sarnoff Absent: 2 - Vice Chair Gonzalez and Commissioner Sanchez CRA-R-07-0012 Direction by Chair Spence Jones to the Executive Director to notify the Performing Arts Center Trust (PACT) of its desire to establish a committee consisting of representatives from surrounding neighborhoods in order to enhance communication between relevant parties and the PACT. Chair Spence -Jones: OK. We're going to get into the heart of the Commission meet -- I mean, into the CRA (Community Redevelopment Agency) meeting. I did get -- we did get calls to let the other -- let us know the other Commissioners will not attend tonight, and also, I know, Commissioner Regalado, you have an item that you will also address too as a pocket item, and we, all three, should have a copy of it. Commissioner Regalado: OK. Chair Spence -Jones: OK, so we're going to go ahead and move to resolution number 3. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Right. This is a resolution authorizing the annual payment of $1.43 million to the -- to Miami -Dade County to help retire the bonds used for the construction of the Performing Arts Center. This is required under the interlocal agreement between Miami -Dade County and the CRA, dated June 24, 1996. With this payment, we will have made approximately $11 million in payments on these bonds. That's in addition to the five point -- $5, 054, 000 we contributed to the Performing Arts Center streetscape super block, and in addition to the $30, 000 we gave the Performing Arts Center for its digital media center, and in addition to the $75,000 we gave the Performing Arts Center for part of its grand opening celebrations. Commissioner Regalado: How long is the interlocal agreement? Mr. Villacorta: The interlocal agreement, we're -- under the interlocal agreement, we're required to remit 1.43 million for as long as there are bonds outstanding for the construction of the PAC (Performing Arts Center). I don't know that this agreement contemplated the bonds that may have been issued. At the time of this agreement, the Performing Arts Center was projected to cost 224 million. I don't think we have a legal opinion as to whether -- if bonds were issued to fund the difference between that and the 400 million that the center actually cost for the -- Commissioner Regalado: Four hundred eighty. Mr. Villacorta: Four hundred eighty -- whether our -- Commissioner Regalado: But let me ask you, Jim -- Mr. Villacorta: -- agency is on the hook. Commissioner Regalado: -- if the CRAs were to disappear, so what happens? City of Miami Page 13 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: The agreement provides that the 1.43 million will be paid each year to retire the debt service, provided there are funds available in the CRA's trust fund. If the CRA went away and there was no trust fund, or if there were property tax changes and there was no money in the trust fund, it's -- it would be a legal issue as to whether we would still be required to pay anything. Commissioner Regalado: But what's the life of those bonds, like 40 years? Mr. Villacorta: Oh, 30 year bonds, 30 years. Commissioner Regalado: Thirty years. Mr. Villacorta: Yeah. Chair Spence -Jones: So the negotiations with the County is very important? Mr. Villacorta: Yeah. They were issued in 1997. They were 30 year bonds. They cannot be redeemed before April 1, 2008, and they were $86 million in special obligation refunding bonds. Commissioner Regalado: That was the original cost, $87 million. Mr. Villacorta: Yeah. Well, there's a letter in your materials showing that, as of February 2004, the construction cost estimate was at 270 million, up from 224. Chair Spence -Jones: Jim, people are having a hard time hearing you. I think the mike is too far away from you. In the back, they can't hear you. Mr. Villacorta: There's a letter in the back-up that shows the original bond issue was $86 million in 1997. They -- at the time the -- of the issuance of the bonds, the PAC was estimated to cost 224 million, and in February 2004, when we received this letter, the estimate was 270 million, and the bonds could not be redeemed before April 1, 2008, so these bonds are outstanding, and under the interlocal agreement, we're required to remit 1.43 million to Miami -Dade County to fund the debt service on those bonds. Commissioner Regalado: OK. That's part of the history. That's the past, not the future. Mr. Villacorta: Right. Chair Spence -Jones: So at this point, you know, we're all obligated to pay this amount. Commissioner Regalado: Oh, yeah. Mr. Villacorta: Right. Commissioner Regalado: It was an interlocal agreement. It was -- you know, we didn't do it. I wasn't here; you weren't here. No one was, but we have responsibility, you know. We just cannot -- that agreement, but I'm curious because what happens if -- suppose there is a rollback in taxes, and then what would be affected most, the trust fund or the money for infrastructure? Mr. Villacorta: The first million, four hundred and thirty thousand into the trust fund is earmarked for the repayment of these bonds, so if the -- if there was a property tax rollback that reduced the TIF (Tax Increment Fund) revenues to a million, four hundred and thirty thousand, this is where it would go. If it reduced it to less than that, you would only be obligated to pay the amount that was in the trust fund. If the trust fund was reduced to zero, you would not be City of Miami Page 14 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 obligated to make a payment. When this agreement was set up, it was debatable whether there would be a million, four hundred and thirty thousand in that trust fund first year. Chair Spence -Jones: Any other questions? I do have two statements, but any other questions on this? Commissioner Sarnoff: No. Commissioner Regalado: No. I don't have questions. Chair Spence -Jones: I just have one quick -- we already know we're obligated to do it. I do want to make sure, though, whatever -- I don't know if Commissioner Sarnoff has been meeting with the folks at the PAC, but I really want to make sure that, at least, we form some sort of relationship with the folks in -- at the PAC, along with the -- ident Eying neighborhoods in the area, whether or not that means the club district, the Omni, Overtown, because we really need to form some sort of relationship. Whether or not that means creating a committee or community something board, so that, at least, the folks in the surrounding area around the PAC, at least, feel as though they have some sort of input around what's happening in the area. I know that we're working on, at least, you know, building a better relationship through the CRA with them, but I think that we have so many other surrounding businesses in the area and people in the area that just really feel as though the PAC is not doing the type of outreach that is necessary to the surrounding residents and the surrounding people, so I would like to, at least -- I mean, I know we have to make the payment, but if there's any way the director can, at least, communicate to them that we want to see some sort of special committee put in place with those individuals. Mr. Villacorta: I know the businesses in the area and the club district area have moved to form a business association for the entire entertainment districts, and they hope that the PAC will be a participant in that association with them and address issues such as security and just helping tourists and the patrons as they move between the different districts. Commissioner Regalado: Well, why not attach to that resolution a request that a representative of that group will be invited as a nonvoting member to every Trust meeting of the PAC, where they discuss all the issues? Because if it's the other way around, what the PAC will do is send somebody, you know, a staffer, to the meeting of the merchants, and then the staffer will have no power to make a decision, and he or she will say, oh, I'm going to communicate this to my bosses. The other way around is that, right in the middle of the Trust, this nonvoting member, which I think it vote -- should vote, but I don't know if the statute allows -- then he or she can stand up and say, look, we are the area, and we have this issue, that issue, and at least, it will be in the public record. Mr. Villacorta: The Performing Arts Center meetings are open to the public. They happen at 8:30 in the morning. They're noticed. You know, I'll reach out to both the new business association and the Performing Arts Center and ask them to -- Chair Spence -Jones: I think she's -- I think there's -- Do you want --? There's somebody from the Performing Arts Center. Do you want to, at least, address it to her, Commissioner? Mr. Villacorta: Ms. Robinson, yeah, sure. Commissioner Regalado: Yeah. This is business, not personal. Valerie Riles Robinson: Valerie -- Commissioner Regalado: I mean, it's twice. City of Miami Page 15 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Ms. Riles Robinson: -- Riles Robinson, Carnival Center for the Performing Arts. I know. Commissioner Regalado: No, no. What I'm saying is that it is different to have a representative of the PAC go to the merchants when they meet and hear what they have to say, rather than have a representative of the merchants and area residents to be sitting at the PAC. They don't have to vote, but at least, they can participate in the debate because it's -- because now, at that time will be the opportunity for all the PAC members to vote in case that they need to do something, and I think it makes sense. Ms. Riles Robinson: And I apologize. I just walked in the room, so could you give me a little bit of -- Commissioner Regalado: Oh, good for you. Ms. Riles Robinson: -- background? Yeah. I just -- Commissioner Regalado: Good for you. You didn't -- Ms. Riles Robinson: -- literally walked in the room. Chair Spence -Jones: You want to just -- Commissioner Regalado: No. What -- Chair Spence -Jones: -- give her your recommendation? Commissioner Regalado: -- I'm saying is -- Chair Spence -Jones: You're getting the 1.4, so that's not the -- the money, we know we're obligated to do, so -- Commissioner Regalado: Yeah. You get the 1.4, but you have to -- no. Mr. Villacorta: Show up. Commissioner Regalado: No. What I'm saying is, there is a group of merchant -- I think you mentioned the group of -- Chair Spence -Jones: Yeah. They're surrounding people in the community, not only merchants, but people that also live in the surrounding community, in the Omni area, the -- there's businesses in the club district, Overtown. There needs to be a better connection happening between the PAC and, you know, the surrounding folks, so I think that that's where the discussion started. Commissioner Regalado added to that by suggesting one way to do that is to maybe, perhaps, see if you could have a nonvoting member sitting on that board, and I -- you know, I don't know what the position is of folks at the PAC. Ms. Riles Robinson: On the Trust board, on the board of directors? Commissioner Regalado: Whenever they discuss the issues, you know. Ms. Riles Robinson: OK. I think that can be addressed in two ways. As Commissioner Sarnoff mentioned, our board meetings are opened to the public, and they're in Sunshine, and they're always advertised, and I'd be more than happy to provide you with a schedule for that, but we also have an urban development committee that deals with area issues, and that committee does not necessarily have to meet in the Performing Arts Center. If you wanted that committee to City of Miami Page 16 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 meet, say, for instance, somewhere in the community, they'd be more than happy to. We schedule it at the Performing Arts Center because that was the space that we could control, but if your recommendation is that that committee meet somewhere in the community, then I'm sure that would be fine. Chair Spence -Jones: Does it consist of the people that we just mentioned? Ms. Riles Robinson: It consists of members of the board. It consists of Carol Ann Taylor, who is your appointee to our board, and also member of the Omni area. The attorney who is the chair for that committee, his business is located in the Omni area, so that -- but they're all Performing Arts Center Trust board members, but if -- Chair Spence -Jones: Yeah. I -- Ms. Riles Robinson: -- nonboard members wanted to sit on that committee, we do have opportunities for nonboard members to participate, so that's not a problem. Chair Spence -Jones: I think that's important. I mean, that's up to -- Commissioner Regalado: Hmm? Chair Spence -Jones: I think it's important, but -- Ms. Riles Robinson: So if that's your recommendation, then that's fine. Commissioner Sarnoff I have no problem. I just want to make sure that we take care of the area, that's all. Chair Spence -Jones: Yeah. Commissioner Sarnoff• How it happens -- Commissioner Regalado: Correct. Commissioner Sarnoff• -- is up to people, but -- I mean, I just want to categorically state that sort of being the City Commissioner for -- not sort of I am -- being the sitting Commissioner for District 2 and where this is located, that we make sure that we take care of the streets and make sure that there is safety, and that we do the best job the City of Miami possibly can, which means get the job done when it comes to any issue pertaining to safety or cleanliness of this area for the CRA -- for the Performing Arts Center. I mean, that's my position. It's built; it's here. It's a fact. It can be a very good fact. It's probably going to take some time, and we need to do everything we can do to keep the jewel from getting dirty. Chair Spence -Jones: OK, so I think -- I want to just be clear on what the recommendation is. Commissioner Regalado, are you saying that --? Basically, what I'm hearing her say is that members of the committee -- of community can attend, you know, the meetings. Commissioner Regalado: Oh, they can. Chair Spence -Jones: Right -- Commissioner Regalado: They can. Chair Spence -Jones: -- but I think what he's asking -- City of Miami Page 17 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Commissioner Regalado: Even -- Chair Spence -Jones: -- from -- for -- and I feel the same -- that was the reason why I even brought up the issue. I feel like we need something -- I personally feel like we need something separate. I mean, I think that the community surrounding the PAC needs to feel engaged in the PAC, and the PAC has to engage in the folks surrounding it, and that clearly is not happening, and I think what has happened on this homeless issue, which kind of got to this point, is the kind of outreach that needs to happen between both. I mean, we're glad to have PAC there. I think that having, you know, such a state-of-the-art building in our downtown Miami and the Omni area is awesome, but we just want to make sure that everybody's good neighbors, so I just would -- we're not really addressing his overall statement or comment because, basically, we're saying just invite them to the meeting. Ms. Riles Robinson: Right, and we have an urban development committee, and that -- it was a request that someone from the neighborhood be a part of that committee? Chair Spence -Jones: Do we have those -- Commissioner Regalado: Yes. Chair Spence -Jones: -- do those people have to be appointed or what? Ms. Riles Robinson: No. For the urban development committee -- all of our committees, we have PAC board members on the committees -- Chair Spence -Jones: Oh, OK. Ms. Riles Robinson: -- and we can have nonboard members on the committee -- Chair Spence -Jones: OK Ms. Riles Robinson: -- as well -- Commissioner Regalado: OK. Chair Spence -Jones: All right, so -- Ms. Riles Robinson: -- if they are recommended -- Chair Spence -Jones: -- we'll get -- we can recommend, maybe, some names to her. Ms. Riles Robinson: -- so if you make a recommendation -- Commissioner Regalado: So -- Ms. Riles Robinson: -- I'm sure the board -- the chair of the committee would make that as -- would take under consideration. There are committees -- other Performing Arts Center Trust committees that include nonboard members -- Chair Spence -Jones: OK. Ms. Riles Robinson: -- so that's not an issue. Commissioner Regalado: Nonboard. City of Miami Page 18 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Nonboard. Ms. Riles Robinson: Yes. Commissioner Regalado: Do they vote? Chair Spence -Jones: No. Ms. Riles Robinson: No. Commissioner Sarnoff: They vote at the committee level. Ms. Riles Robinson: They vote the committee level -- Commissioner Regalado: They vote at committee level. Ms. Riles Robinson: -- but not at the board level. Commissioner Sarnoff: Right. Commissioner Regalado: The committee recommends -- Ms. Riles Robinson: Yes. Commissioner Regalado: -- to the full board. Ms. Riles Robinson: Exactly -- Commissioner Sarnoff: Right. Ms. Riles Robinson: -- and then the board votes. Commissioner Regalado: So I will propose to have each of the area Commissioners select a person to be on that board. Ms. Riles Robinson: On the committee? Commissioner Regalado: Yes. Ms. Riles Robinson: OK. Commissioner Regalado: Sorry. Ms. Riles Robinson: On the committee, OK. Chair Spence -Jones: OK, so we just submit those names to you? OK. Commissioner Sarnoff: That's fine. Chair Spence -Jones: You fine with that? Ms. Riles Robinson: That's fine. Chair Spence -Jones: OK. All right. Thank you, Angela -- Valerie, I'm sorry. So do I have a motion on this item? City of Miami Page 19 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Commissioner Sarnoff I'll so move. Commissioner Regalado: Second. Chair Spence -Jones: All in favor? Mr. Villacorta: We're required to do it. The Commissioners (Collectively): Aye. Chair Spence -Jones: All right. This item passes. 4. 07-00343 CRA RESOLUTION A JOINT RESOLUTION OF THE BOARDS OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST AND OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCIES ("CRAS") AUTHORIZING THE EXECUTIVE DIRECTOR TO EXERCISE THE CRAS' OPTION TO RENEW THE LEASE AGREEMENT WITH CITADEL ARENA CORPORATION FOR THE CRAS' OFFICE SPACE AT 49 NORTHWEST 5TH STREET, MIAMI, FLORIDA, FOR A PERIOD OF ONE YEAR, COMMENCING SEPTEMBER 1, 2007, AT THE RATE OF $14,387.57 PER MONTH, OR AN ANNUAL AMOUNT OF $172,650.84 ($17.26 PER SQUARE FOOT), INCLUDING TAXES, UTILITIES, AND 16 PARKING SPACES; FUNDS TO BE ALLOCATED FROM GENERAL OPERATING FUND, ACCOUNT CODE NO. 10030.920101.544000.0000.00000, ENTITLED "RENTAL AND LEASES." Cover Memo.pdf Financial Form.pdf Back-up.pdf Legislation.pdf Motion by Commissioner Sarnoff, seconded by Commissioner Regalado, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 3 - Commissioner Regalado, Chair Spence -Jones and Commissioner Sarnoff Absent: 2 - Vice Chair Gonzalez and Commissioner Sanchez CRA-R-07-0013 Chair Spence -Jones: We move on to the next one. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Item number 4 is a resolution authorizing the Southeast Overtown/Park West and Omni Redevelopment District Community Redevelopment Agencies to renew their existing lease under the option agreement contained in the lease for the period beginning September 1, 2007 through August 2008. This lease was negotiated in 2003, and this is the third and final option year. Commissioner Regalado: What happen after? Mr. Villacorta: We -- the lease actually expires in August, so this will -- if you had not wanted to renew it, this would give us time to start looking for a new space. After this August, this time next year, we'll be looking for office space or seeking to renew to stay in the same building, or hopefully, if there's some projects going in Overtown, we can commit some of the funds that were earmarked in the bond issue that purchased the MRC (Miami Riverside Center) for office space for the CRA (Community Redevelopment Agency) to that project to help jumpstart that project. City ofMiami Page 20 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Yeah. We talked about that. I think it was your recommendation, actually, Commissioner Regalado, in one of the past CRA meetings, but right now it was recommended by -- I'm assuming, Jim, you -- Mr. Villacorta: Yeah. Chair Spence -Jones: -- the conversation that this is -- I mean, clearly, what we're paying now is Mr. Villacorta: Yeah, I know. This was negotiated back in 2003, so we're getting a good deal. This isn't a triple net lease. The landlord pays our electric bill. He pays for our parking. He pays for our garbage, and we do have a liability policy on the building, and he's not that happy to see us come in in the morning. Chair Spence -Jones: All right. Any questions on this item? Do I have a motion? Commissioner Regalado: Does the Lyric has office? Mr. Villacorta: I don't think the Lyric has enough office space even for the Black Archives. I believe they're in another building, and we've -- Chair Spence -Jones: And I think, originally, their -- the last proposal for Block 36, one of the things you recommended in that meeting was that those CRA offices -- Commissioner Regalado: Right, right, right. Chair Spence -Jones: -- be placed in the overall redevelopment plan -- Mr. Villacorta: Right. Chair Spence -Jones: -- for Block 36. That was the recommendation that you made a few months back. Commissioner Regalado: Right, right. Mr. Villacorta: Right. We were hoping that when those blocks -- when we received proposals that we might be able to use our office space needs as an incentive to help the project move forward, and -- Commissioner Regalado: I mean, anyone, Black Archives and -- or for that matter, anyone would love to have the CRA in their building -- Chair Spence -Jones: As a tenant, yeah. Commissioner Regalado: -- as a tenant because, I mean, it's a sure thing. Commissioner Sarnoff Jim, how many square feet does the CRA occupy? Mr. Villacorta: Right now it's just about 10,000 square feet, and that -- Commissioner Sarnoff• How many employees? Mr. Villacorta: We have ten employees, and that -- well, we also have a large conference room where we have community meetings -- City of Miami Page 21 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: And to my -- Mr. Villacorta: -- the 3rd Avenue -- Chair Spence -Jones: -- understand -- and let's be clear too. You also have another -- you have the Police Department operating out of there too, right? Mr. Villacorta: Right. For a while, when the Law Department gave us an attorney, we had two attorneys and a legal assistant in there. Those have since been withdrawn. We have four offices that we're allowing the -- Chair Spence -Jones: OK Mr. Villacorta: -- Police Department's Economic Crimes Division to use. Commissioner Sarnoff Do they still use it? Mr. Villacorta: Yes. They're there everyday, and it does provide a police presence in the neighborhood. Chair Spence -Jones: Personally, I think it's too much space, but you know, I mean, what staff is recommending is that we still wouldn't be able to find anything as we -- Mr. Villacorta: Right, right. Commissioner Sarnoff• It's a good rate. Mr. Villacorta: Yeah. Commissioner Sarnoff• It's just a lot of space. Chair Spence -Jones: Too much -- it's too much space. Commissioner Sarnoff• Right. Mr. Villacorta: Well, we use the -- Commissioner Regalado: It's cheaper than the DDA (Downtown Development Authority). Mr. Villacorta: Yeah. We use the large conference for the 3rd Avenue Streetscape Committee. DOT (Department of Transportation) uses it for some of their community meetings. We -- LISC (Local Initiative Support Corporation) has used our offices for -- so, I mean, it does provide a resource for the community and their efforts to encourage redevelopment. Chair Spence -Jones: Any more questions? Commissioner Sarnoff• No. I'll make a motion to approve it. Commissioner Regalado: I'll second. I don't know, so is the guy is going to charge the same? Mr. Villacorta: Yes. He's going to charge -- Commissioner Regalado: No, no, no. I mean, when we need to renew, if you have to renew. City of Miami Page 22 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: He's approached us about whether we were going to renew. I think he would like to increase the rent. We'll have to bargain with him, as we did here. I mean, it was very unusual for us to get him on the hook for the utility bills and the garbage bills and the parking. You usually don't see that in a lease. Usually, they want a triple net lease. Commissioner Sarnoff: I'd like to pay this amount of money. That's a good rate. That's half of what you should pay. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: All right. This item passes. 5. 07-00350 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY AUTHORIZING A GRANT, IN AN AMOUNT NOT TO EXCEED $57,800, TO PLAYERS OF MIAMI, LLC, D/B/A TWILO, FOR REIMBURSEMENT OF THE COST OF INFRASTRUCTURE IMPROVEMENTS CONSISTING OF INSTALLATION OF AN ELECTRICAL POWER VAULT AS REQUIRED BY FLORIDA POWER AND LIGHT; FUNDS IN AN AMOUNT NOT TO EXCEED $57,800 TO BE ALLOCATED FROM SEOPW TIF FUND, ACCOUNT CODE NO. 10050.920101.883000.0000.00000, ENTITLED "GRANTS AND AIDS". Cover Memo.pdf Financial Form.pdf Back-up.pdf Legislation.pdf Motion by Commissioner Sarnoff, seconded by Commissioner Regalado, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 3 - Commissioner Regalado, Chair Spence -Jones and Commissioner Sarnoff Absent: 2 - Vice Chair Gonzalez and Commissioner Sanchez CRA-R-07-001 4 Direction by Commissioner Regalado to the Executive Director to consider the expenditure of funds to enhance signage in the CRA area. Chair Spence -Jones: OK We're going to move to item number 6 -- Commissioner Regalado: 5. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): 5. Chair Spence -Jones: -- 5, I'm sorry. 5. Mr. Villacorta: Item number 5 is a resolution authorizing a grant to Players of Miami, doing business as Twilo, a club in the Park West Entertainment District, in the amount of $57, 000 -- 8 - - $57,800, for infrastructure improvements required by Florida Power & Light. Twilo is a club that opened in the club district off the Grand Promenade. When they were moving into the building and doing their renovations, FPL (Florida Power & Light) required that a increased transformer vault be placed on the property to serve the electrical needs. This was a -- an item City of Miami Page 23 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 that they had not anticipated. They came to us for a grant to cover this infrastructure. We have budgeted it in this year's budget, and now they are requesting that we provide an author -- a resolution authorizing it. The -- they have paid out-of-pocket to have the work performed. It's been constructed and permitted. Commissioner Sarnoff: How did they recently do with regard to the noise? Are they -- were they compliant? Are they compliant? Mr. Villacorta: I believe they have not had any noise complaints out of that club. They do not have a rooftop venue. There is someone from the club that's here, Wendy. Chair Spence -Jones: Twilo? Mr. Villacorta: Yeah. Wendy. Wendy Doherty: My name is Wendy Doherty. I'm the director of Phazon Management Group, which is the managing member of Twilo Nightclub, which is a national brand, which invested in 30 Northeast 11 th Street. First, I'd like to thank everybody here. Chair Spence -Jones: OK She -- the Clerk is asking for you to speak into the mike. Ms. Doherty: I'm trying. Priscilla A. Thompson (Clerk of the Board): We're recording, and we're not picking it up. Ms. Doherty: Can you hear me now? Chair Spence -Jones: Yes. Ms. Thompson: Yes. Ms. Doherty: First, I'd like to thank everybody here from the CRA and the Commission for considering this grant request. This grant is to reimburse us for infrastructure improvements which were not known to us when we invested in downtown entertainment district. About five months after our improvements began, we were informed by our architect that FP&L required the vault, which cost approximately $60,000, and although we've invested over 2.5 million in the project, this improvement was unforeseen and not in our budget. At the time, we contacted the previous administration of the CRA and we were informed that we would be eligible for a grant, particularly since the improvement would stay with the property and not necessarily be a grant for our enterprise, but one for the infrastructure of the property itself. Since we did not have a choice, we took the monies from the budget previously slated for our marketing and exterior improvements. I believe you all have the copy of the architect's letter, the contractor's bill, and the front and back of the check from Bank of America for $57,800. The funds came from our marketing and completion budget, and it has created a hardship on us because -- for instance, we had Winter Music Conference this week. Winter Music Conference is an incredibly huge international event that brought amazing focus to downtown Miami, but most of the -- the most heart -wrenching thing that I kept hearing all week was the people that came from Miami kept saying we didn't know Twilo was here, and the reason they don't know Twilo is there is because we took our marketing money and put it towards this infrastructure which we didn't anticipate. We applaud what the CRA has done in downtown Miami, and that's why we're here. We love the concept of the Grand Promenade. Part of the funds were originally anticipated to go towards the beautification of our outdoor area to try and companion with (UNINTELLIGIBLE) and create that pedestrian walkway, and really kind of jettison what the promenade was intended for. We weren't able to achieve that, obviously, because this money that was in that budget then went into the FP&L vault. We have a 32-year lease. We have about 40 full-time employees, most of City of Miami Page 24 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 which are downtown residents. They live either on Biscayne, the Omni district, and some from the Overtown district, and they're all just very committed to our project and to downtown Miami. We're -- I've always been very involved in community relations, cooperative marketing, both in South Beach in our previous enterprises, and in the Chelsea area of New York City. We know firsthand how nightclubs can help spearhead the community's commercial and residential improvements. It brings the focus to an area that was otherwise dark at some point, and we look forward to being a good neighbor. I know there's been some recent talk about noise violations or police activity. We have had none of those. In fact, a lot of our budget, almost $100, 000, went towards soundproofing the entire interior of the structure. We have a very large brand for sound called Phazon Sound, and we wanted to make sure that we would ensure the quiet enjoyment of our neighbors and still live up to our brand that our customers are looking for, which is an incredible sound experience, but we felt that the only way to do that efficiently and respectfully was to treat the interior of the rooms so that that noise -- or it doesn't go out and bleed into the community. We're obviously cognizant that there's a residential corridor coming there now. It's not just a commercial corridor that it once was, and so we used our money in places that we felt would be more community friendly. We're doing our best. We know that you've made a long-term commitment to downtown. We'd like to too, and we're here to just ask for some relief for helping the infrastructure of the community, and so that we can live up to the brand that we came here to open, pretty much. Mr. Villacorta: In the past, we've made grants to other clubs in the area for infrastructure improvements. We've made grants to Club Space for WASA (Water and Sewer Authority) impact fees; to SAX on the Beach for WASA impact fees; to Survival Music for club -- I think, operating as Club Exile, for ADA (Americans with Disabilities Act) compliance issues, and to Gill's Cafe for construction and equipment costs, and I know that recently you received a -- an e-mail (electronic mail) from Mr. Terem, Gil Terem, who was the owner of Gill's Cafe, complaining that the CRA had not done much for him. I think he may have forgotten this grant of $60,000. Commissioner Sarnoff: Where do we stand with other people from the entertainment district requesting grants as we stay right now? If this was line item one, first day forward, what's left? Mr. Villacorta: Right. We have no other grants in front of us from the club district. Chair Spence -Jones: But there are some needs, clearly. I mean -- Mr. Villacorta: Right. We are looking at providing some sort of special lighting down the club district, and we had budgeted some funds preliminarily for that, which, again, might be reprioritized under the -- Ms. Doherty: Might I also say that signage is desperately needed to let people that are traveling on Biscayne Boulevard know that the entertainment district is there. Mr. Villacorta: And -- but can you tell them how many employees you have? Chair Spence -Jones: She did. Ms. Doherty: We have about 40 employees, most of which live and work downtown. Chair Spence -Jones: So it's a big employer in your -- Commissioner Sarnoff Yeah. Chair Spence -Jones: -- area. Commissioner Sarnoff• I'll make a motion to approve it. City of Miami Page 25 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Commissioner Regalado: Second. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Ms. Doherty: Thank you very much. Chair Spence -Jones: Congrat -- Commissioner Regalado: You know, signage -- Chair Spence -Jones: Congratulations. Commissioner Regalado: -- you would think, well, you know, the street signs are responsibility of Miami -Dade County Public Works, but signage is one thing -- as you travel the world, you see the signs pointing people in the right direction are the best deal that you can have because, number one, it's easier for the tourists or the locals to get to the place. Number two, people don't get lost, and it reduces the possibility of crime, so I think that we should consider doing a very aggressive -- you know, it is worth spending good money in good, beautiful signs because it is what shows a city -- if you walk -- I mean, in, let's say, Pretoria, South Africa -- Chair Spence -Jones: Yeah. Commissioner Regalado: -- you see the signs pointing you to the trekkers monument, to the different monuments. If you go to -- in Madrid, you see the park, you know, the El Retiro Park this way, two blocks ahead, and people even enjoy walking because when you have a sign that says "Entertainment District -- Chair Spence -Jones: Yeah. Commissioner Regalado: -- Two Blocks Away, " people will walk -- Chair Spence -Jones: Yep. Commissioner Regalado: -- so -- Chair Spence -Jones: Think -- I actually think that's a very good recommendation. Commissioner Regalado: -- I think it's something that this board should consider. I mean, the County's not going to do it because it would -- they would say, well, that's not a street signage and all that. They even say, well, you know, that's sort of a commercial thing, but it is worth it. The -- it is worth to do nice, beautiful sign with lights and all that because people would appreciate -- even directing the people to the parking -- Chair Spence -Jones: Yeah. Commissioner Regalado: -- facility, so I think it's something that the board -- that is infrastructure to me and marketing. Chair Spence -Jones: Yes. Commissioner Sarnoff: Jim, would you look into that? City of Miami Page 26 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: Sure. Actually, as part of the -- Chair Spence -Jones: RFP (Request for Proposals). Mr. Villacorta: -- redesign -- Chair Spence -Jones: Oh. Mr. Villacorta: -- of South Bayshore Drive, we're looking into signage directing people to the hotels. I mean, there's some issue -- people come off of 395, and they turn the wrong way and don't come to the hotel district on the -- you know, south of Margaret Pace Park. Also, the -- this lighting and signage study that we're doing -- or we had money set aside to do -- is -- would incorporate some sort of feature. In the past, we had talked about putting some sort of time square feature for the club district to light the area and draw people to the area, but we're still in the preliminary processes of having those designs worked up. Commissioner Sarnoff: OK. Chair Spence -Jones: All right. 6. 07-00335 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY AUTHORIZING A GRANT TO THE VETERANS EMPLOYMENT TRANSITION SERVICES, INC. ("VETS"), IN AN AMOUNT NOT TO EXCEED $100,000, FOR THE CREATION OF A HOSPITALITY INSTITUTE, JOB TRAINING AND JOB PLACEMENT PILOT PROGRAM IN OVERTOWN; FUNDS TO BE ALLOCATED FROM GENERAL OPERATING FUND, ACCOUNT CODE NO. 10050.920101.883000.0000.00000, ENTITLED "GRANTS AND AIDS." Cover Memo.pdf Financial Form.pdf Back-up.pdf Legislation.pdf Motion by Commissioner Sarnoff, seconded by Commissioner Regalado, that this matter be ADOPTED WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: 3 - Commissioner Regalado, Chair Spence -Jones and Commissioner Sarnoff Absent: 2 - Vice Chair Gonzalez and Commissioner Sanchez CRA-R-07-0015 Chair Spence -Jones: So we're going to move on to the next item. That's item number 6. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Item number 6 is a resolution -- Chair Spence -Jones: I just want to -- before you start, I just want to, at least, bring some attention to some key issues real fast. You know we've been talking for a while about trying to prepare the residents of Overtown for the future growth happening in the community, and one of my biggest pushes have -- has been really making sure that people are trained You know, get trained in whatever area, whatever career path that they may have an interest in. One of the things that we discovered -- and I'm sure you've seen the article recently on the cover of the City ofMiami Page 27 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Miami Herald with the hotel on Key Biscayne where the -- I guess, the owner of the hotel was saying that he could not find any workers here in Miami, so he's had to -- I don't know where the place was. I think it was in Brazil or somewhere he was trying -- the Philippines. He had to recruit people from there, and just that thought and that communication and that story really kind of struck me in a very sad way because I know many people throughout parts of your district, and parts of your district, and my district, you know, need work, and for someone to even think about going anywhere outside of our existing city, Miami, to employ folks, I felt that it was really something that we needed to address. I believe, in the last CRA (Community Redevelopment Agency) meeting, we directed Jim to get back with Charles Cutler, and Mr. Cutler's been working on employment issues for a very long time, just on a local level, really trying to make sure that we get people placed in Overtown and Liberty City, everywhere we've called -- it's -- at least, from my office, I know that I've called him and asked him to place people, he's done it. This partnership I'm very excited about between the VETS (Veterans Employment and Transition Services, Inc.) -- I don't know if the owner of the hotel -- is Julie here? Can you step up to the mike, too, with Charles? And the folks from the Camillus House, I don't know if they're here. Yeah. Can you just step up also? This is actually a great initiative. I'm very excited about -- that we're looking at putting in place, through the VETS, in partnership with Camillus House, which will actually provide training to folks from the community. It will be creating almost like a one -stop shop in the heart of Overtown, where people can come and get trained from everything from front desk and how to, you know, do reservations, to property maintenance, to, you know, how to, you know, fix a bed, whatever the need is for the hotels because, clearly, as Julie speaks, and as Mr. Cutler speaks, you'll see that there is a big need. One of the things I also discovered was, you know, for a very long time, Camillus House has had a food and beverage training facility already on site, where they were already feeding a lot of the local restaurants and the -- a lot of key things that they were already doing, but because it happened for the homeless population, a lot of times the people outside of Camillus House really didn't know the services existed, so this is kind of a pilot project to actually put it in the neighborhood. Camillus would be the fiscal agent and would provide the administrative support to make sure that we stay on target and we meet our goals, and Mr. Cutler will provide the necessary outreach to make sure that the community understood that it was for them, by them, and very much involved in what was happening in the overall area, so it will be a hospitality institute that would focus on these key relationships. I have had the chance to speak to the Convention and Visitors Bureau. This is a big need for them, and we're -- hopefully, this thing can be contagious and other cities will look at doing the same, but I, at least, wanted to afford Mr. Cutler, Julie, and the representative from Camillus House, Dr. Ahr, at least, to have an opportunity to say something regarding this issue. Charles -- and this is Charles' vision and his baby, so he's just been outstanding with everything that he's done regarding this project. Charles Cutler: Good afternoon, Charles Cutler, 706 Northwest 4th Avenue. Yes. I've been working -- I've worked with the Department of Labor for over 30 years, and one of the -- and now I'm retired, and one of the primary functions -- one of my dreams was was to come into Overtown and Liberty City and sort of build a bridge to be able to build relationships between the business community and some of the impoverished communities within the City of Miami, and in doing that, we've been able to put a number of people in Liberty City to work, and we've also put people in Overtown. We do have this model in place right now where we are actually helping the hospitality industry to recruit individuals from thosepoverty-stricken communities to bring them on line, and now they're becoming viable and productive members of our society, and to be able to accelerate and improve on this process, especially in the Overtown community, where I live and where I do business. I'm very excited about the relationship that we're building with Camillus, and with the Hilton family, and with Doubletree, and I think this is definitely a move in the direction, and we -- in the right direction, and we've also been sharing some of these projects with members of the Overtown community, and the community is very enthusiastic about this initiative also. Chair Spence -Jones: Thank you, Charles. Julie. City of Miami Page 28 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Julie Grimes: Julie Grimes, 1717 North Bayshore Drive, here at the Doubletree. We're very excited about this opportunity. It's just something that's come together in a wonderful way. We, on the business side, are always looking, particularly in the hotel business, which is, of course, throughout this region, for employees, and it's very difficult to find in many cases, and suddenly, we realize that right here in our own community, there's people, of course, looking for jobs, but how can we find each other. Traditional means of doing that have really not been effective, and through different relationships with Commissioner Spence -Jones, I was able to meet Charles Cutler, wonderful gentleman with Veterans Affairs. He's been doing a marvelous job with his outreach program in the community, and of course, Dr. Ahr from Camillus House, also running an unbelievable facility over there, so what we want to do is partner with them in bringing in employees and recruiting through the community into -- well, right now we're able to announce through the Hilton family of hotels here in the -- actually, we can go right through Miami city into Dade County if we want to because the Hilton family represent not only Hilton Hotel, Doubletree, Conrad Hotels, and Embassy Suites, so if you can do some calculations, you understand quite quickly we have a lot of those facilities very close to the people in the community. In fact, Hilton are so excited about this opportunity that the vice president of the southeast region -- Chair Spence -Jones: Wow. Ms. Grimes: -- for the United States of Hilton, Louis Robbins, is here with us today. Chair Spence -Jones: Wow. Ms. Grimes: Louis, if you could just identf yourself. So from the hotel side, what we would like to offer is the training programs and the training of the trainers, at the very least, out in the community, so we want to bring the hospitality industry into the community, try to do some kind of -- whether it's storefront type of facility that people can see, it's visible, that we are out there, and then we will bring them -- there'll be a lot of onsite training, as well, in the hotels themselves, and hopefully, then they will soon become members of a wonderful family, the Hilton family, and thriving members of the community, so it's all about working together and building those bridges that Charles said are just, you know, so evidently were missing. Sometimes the most obvious things are right in front of our face, and this time, we're finally seeing it, so we're very proud of that relationship. We hope this pilot will be an example for not only our community, but as Commissioner Spence -Jones said, perhaps, it's something that we can make work throughout the country, so on that note, I'd like to introduce director of Camillus House, Dr. Ahr. Paul Ahr: Thank you, Julie. This is a great opportunity for us to expand on our job opportunity bureau, which is training individuals, as the Commissioner said, in the food and beverage area, and also the work we do with City Furniture in training folks on transportation and warehouse operations. I want to say also it's a great opportunity because it gives us a chance to work with Lotus House once again. If you've driven down Northeast 1st Avenue lately, you've noticed that the 40 years of history of up to a hundred persons a night taking up residence on the street is over. Those individuals are in our parking lot, our former parking lot, and what it does is it gives us access to a tremendous pool of homeless people. Basically, most of them are Miami natives or have lived here a long time. We do -- we will be matching this in -kind, especially with residential opportunities for individuals so that they have a place to live and store their things and get cleaned up before they come to work in the morning, so this is a great use of our resources. Although Camillus House is committed to ending chronic homelessness in this city, we know that unless we interrupt the cycle of homelessness for individuals who have not yet reached that requirement, we're just going to keep adding people that are -- essentially, have bottomed out at that level. I want to ask Fred Mims to step up here for a minute and just tell you about two things; one is the work that we're already doing with the DDA (Downtown City of Miami Page 29 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 DevelopmentAuthority), which is a wonderful prototype for this, and the second is just to talk a little bit about Frank Ferrara's program with the food and beverage training. Fred Mims: Good afternoon, Commissioners. (UNINTELLIGIBLE) give me a pleasure to speak to you all this afternoon. First, I want to tell you about our downtown development team that we have a relationship with the City of Miami. These are individuals who were once homeless who are downtown cleaning up the city of -- downtown area. These individuals are trained on how to do landscaping, how to approach people in the public, how to give directions to a lost person who is a tourist here in our community, and how to be hospitable to individuals when doing their work. We also have a kitchen program also, where we're training individuals on how to do catering service, how to work in the front and the back of the kitchen, how to do food ordering, how to also do warehouse work when it comes to ordering and shipping things with our relationship with City Furniture. We're very excited about this new relationship we're going to develop because we really believe that training is a key factor because it has helped us to help other individuals who was homeless not to be homeless anymore and to be self-sufficient. Thank you. Chair Spence -Jones: Thank you so much. Thanks for your presentation. Just -- I just wanted to, at least, let you know of -- let the Commissioners know of this wonderful opportunity that we're trying to put in place regarding the hospitality institute. My recommendation, based upon our meetings with the entire group, is that the Camillus House would act as the fiscal agent on the overall project, and would coordinate with VETS (Veterans Employment Transition Services) -- it would basically be a project between all three of them to provide the necessary support to Mr. Cutler to make sure the project gets off well in the community, and that we're actually able to, you know, get people not only trained, but also placed. Now, Grady, are you with Camillus? Grady Muhammad: No. I'm just speaking in favor of the project. Commissioners, just briefly. Just -- it's a wonderful partnership because it's very timely and needed, and more importantly, as a pilot project, we have to look at what we're doing, and knowing your district and your needs with the community, I think, in the early stages -- Camillus House knows -- from the drug program or drug -- the criminal history, we try to start to dealing with those problems early so as those jobs are opening up, she'll be able to tell you, they then can be able to get them, but those are some of the potential early impeniments [sic] to those people getting the jobs that's needed, and I think that should be a part of the -- literally, the pilot program, the expunging of the records, the sealing of the records, as well as the drug counseling and other things that may be needed on a continuum of care services, and I think that'll be a much more successful program knowing the history of the residents in Overtown. That'll have a long-term effect to ensuring their employability. Thank you. Chair Spence -Jones: Thank you, Grady. I think that that's the whole purpose of the partnership with Camillus House is to also provide the support -- additional support services to make sure that people stay on the right track because we can get them placed, but if they don't have the support services, we're going to end up having the same issues, so I just want to leave, at least, the -- I think part of the -- first of all, I want to see if the Commissioners have any discussions on the item, and then I, at that point, would like to then direct the CRA director regarding issues on the overall project. Commissioner Regalado: I just have a comment. I think it's a good program. I think it's a great program for several reasons. Number one, Miami -Dade County, and especially, the City of Miami is a society of services. We do not have huge factories. We do not produce -- we service each other. I think the figure is 80,000 people work for non for profits in Miami -Dade County. Recently, the South Florida Workforce issue some of the numbers, and there were an increase in jobs in the hospitality area by 2,500 in January of 2007, compared to January 2006, and now with the possibility of a slowdown in construction, hospitality is the only way out, so I mean, timing is good, and you know, we may not have constructions of building because interest or City of Miami Page 30 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 because bangs or saturation, but we always have tourists, and it -- apparently, we're doing good on that area, and the sooner, the better that we get the people going. Remember, we have 40,000 -- 48, 000 people unemployed in Miami -Dade County of the workforce of 1.1 million, so I mean, if we can get those people in, it will be -- to have a full employment society is one of the great goals of a sustainable economy, but just to get, you know, 200, 300 more people into the hospitality area, that would impact the level of unemployment in Miami -Dade County, and especially, in the City of Miami, and you know -- and by the way, if we do that, we are eligible for funding from the Labor Department and other entities in the federal government, so you know, I think it's a good thing. It's a great idea. Chair Spence -Jones: Well, I know you're -- Commissioner Regalado: Congratulations. Chair Spence -Jones: -- also a big advocate also for anything that's affecting homeless people or people that are on the verge of homelessness. Commissioner Sarnoff? Commissioner Sarnoff. I have no comments. Chair Spence -Jones: OK All right. Was there another comment? Julie Bryant: Michelle, I just wanted to point out -- and after hearing Commissioner Regalado speaking, just in the short time that we've known Charles Cutler and working with the Veterans Affair program and Lotus House, which has been about a month, we've already brought over six people on just here in this particular Doubletree, and so far we've had an excellent situation there, so you know, it works very well. It's a win -win all the way around, so I would just like to say that it's an exciting little piece of what's to come, and I think it's a fabulous opportunity. Mr. Ahr: Paul Ahr, 35 -- 36 Northwest 5th. I also want to say, as we get started here, Commissioners, that we will do everything in our power to enroll this as a tax credit program so that, for example, Hilton or Doubletree, or any corporation that contributes to this, we'll try to get them enrolled in the state tax credit program, which will be another added incentive and another -- basically, a way for folks to make a contribution here. Chair Spence -Jones: Alrighty, so I just wanted to, once again, thank you guys for really being able to sit together -- down together to come up with a project that makes sense. I thank the regional director from Hilton for being here this afternoon. I know you're a very busy man, but I appreciate your commitment to help us rebuild the neighborhood and put people back to work, and just the whole team, Charles and Julie and Dr. Ahr. I'm very excited about the possibilities of being able to train people and to get them in positive, productive -- on positive, productive jobs, so I just want to say, before we close out on this, I guess the resolution needs to change, right, or needs to be just adjusted? Mr. Villacorta: Yeah. Would you like to amend it to authorize the grant to Veterans Employment Transition Services, Inc., but make Camillus House the fiscal and administrative agent for payments under the grant? Chair Spence -Jones: Yes. Mr. Villacorta: And we could enter into a grant agreement with VETS and Camillus House -- Chair Spence -Jones: Yes. Mr. Villacorta: -- for those services? City of Miami Page 31 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Yes. Do I need to -- Madam Chair [sic!? Priscilla A. Thompson (Clerk of the Board): When you make your mo -- Commissioner Regalado: Yeah. We need a motion. Chair Spence -Jones: OK. Commissioner Sarnoff I'll so move. Commissioner Regalado: Second. Mr. Villacorta: OK, so it'd be a resolution of the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency, authorizing a grant to Veterans Employment Transition Services, Inc., with Camillus House serving as the fiscal and administrative agent, in an amount not to exceed $100,000, for the creation of a hospitality institute, job training, and job placement pilot program in Overtown. Chair Spence -Jones: OK. Commissioner Sarnoff I'll so move. Commissioner Regalado: I'll second. Ms. Thompson: It's just a vote. Mr. Villacorta: Just a vote now. Ms. Thompson: He just read the modified resolution. Mr. Villacorta: Right, so, all in favor. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Commissioner Sarnoff• Where did we modem it? Chair Spence -Jones: This mo -- you want to be clear? Commissioner Sarnoff• No. That's all right. That's all right. Chair Spence -Jones: OK. All right. No. I want you to be clear, so -- Commissioner Sarnoff• What was the modification? Mr. Villacorta: That Camillus House would serve as the fiscal and administrative agent -- Commissioner Sarnoff• Good. Commissioner Regalado: Yeah. Mr. Villacorta: -- overseeing the project -- Commissioner Regalado: OK. City of Miami Page 32 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: All right. Mr. Villacorta: -- and the funds. Chair Spence -Jones: Thank you guys very much. Ms. Thompson: Madam Chair, ifI might. Chair Spence -Jones: Yes, ma'am. Ms. Thompson: Can you please remind speakers to state their name before they speak and (INAUDIBLE)) ? Chair Spence -Jones: Yes, Madam Chair -- Madam -- Ms. Thompson: Clerk. Chair Spence -Jones: -- Clerk, would ask that you please talk loud enough on the speakers -- I mean, at -- Ms. Thompson: (INAUDIBLE) name. Chair Spence -Jones: -- the mike, and your -- she needs your name and all details when you touch the mike. 7. 07-00360 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY ("CRA"), DIRECTING THE EXECUTIVE DIRECTOR TO REQUEST THE CITY MANAGER TO BRING FORTH A RESOLUTION BEFORE THE MIAMI CITY COMMISSION AUTHORIZING THE REIMBURSEMENT OF EXPENSES INCURRED BY THE CRA IN OBTAINING AND UPDATING THE SOUTHEAST OVERTOWN/PARK WEST DEVELOPMENT OF REGIONAL IMPACT DEVELOPMENT ORDER. Cover Memo.pdf Back-up.pdf Legislation.pdf Motion by Commissioner Sarnoff, seconded by Commissioner Regalado, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 3 - Commissioner Regalado, Chair Spence -Jones and Commissioner Sarnoff Absent: 2 - Vice Chair Gonzalez and Commissioner Sanchez CRA-R-07-0016 Chair Spence -Jones: OK. We're going to move to number 7 on the agenda. This has something to do with the DRI (Development of Regional Impact). James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Right. In 1988, a DPI was approved, a development of regional impact. When a project's over a certain size, the developer is required to demonstrate that the streets and the utilities and the air quality will not be in -- adversely impacted. The CRA (Community Redevelopment Agency), on its own, undertook to perform that study throughout the redevelopment area so that it would encourage City ofMiami Page 33 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 developers to come and know that they had the credits -- the development credits already there. The -- in 2005, it was required to update those credits to preserve them. The CRA spent $69,883.49. When developers come to do projects in the CRA's DRI area, they're required to pay impact fees, and the City collects those fees. This resolution directs me to request from the City reimbursement of the DRI costs that we expended in 2000 -- Chair Spence -Jones: I'm sorry. I think the sound people over here are saying you guys are too loud in the -- I guess, they're picking up everything behind them, the Communications Department, so if you guys can just settle down in the back. I'm sorry. Commissioner Regalado: OK. Mr. Villacorta: This resolution authorizes me to request the City Manager to bring a resolution before the Miami City Commission authorizing the reimbursement of expenses incurred by the CRA in obtaining the update of the DRI credits. Chair Spence -Jones: Now I think we have some questions on this? Commissioner Sarnoff: I know I do. Commissioner Regalado: I don't have any question. Commissioner Sarnoff: We passed something recently with the DDA (Downtown Development Authority) regarding the DRI at the City Commission level, correct, Jim? Mr. Villacorta: Yes. That was -- DDA was asking to be paid in advance to update their credits. Here, we performed this work in '05/'06, and are asking -- Commissioner Sarnoff: OK. Mr. Villacorta: -- to be reimbursed for the -- Commissioner Sarnoff: Ex -- do a better job of -- Mr. Villacorta: -- expenses. Commissioner Sarnoff -- explaining this to me because I truly don't -- a DRI is a regional impact study, right? Mr. Villacorta: Right. Commissioner Sarnoff• Which -- Mr. Villacorta: The -- when a developer proposes a project above a certain size, he must demonstrate that the streets, the utilities, the air quality will not be adversely impacted by his development. Rather than have each developer go through this process, the CRA went ahead and got credits for 4,000 housing units, a stadium, I believe, was in the DRI; certain level of office space was in the DRI. That was done back in eight -- 1988. We went through Increment I, Increment II of those credits. To preserve Increment II, we were required to go back in front of the Planning Commission and get those credits updated. As part of that update, we converted the stadium seats to more housing credits. We hired a -- the law firm of Bercow & Radell to do that for us, and we are now seeking -- when a developer comes to build a project, he pays an impact fee. The City collects these impact fees in the CRA DRI area, and they are allowed to be used for transportation, certain other infrastructure, and one of the allowable uses of those fees is to reimburse us for the cost of doing the DRI. This -- these funds are collected by the City, and City of Miami Page 34 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 this resolution authorizes me to request the City Manager to bring a resolution at the Cite Commission reimbursing the CRA. Commissioner Sarnoff Why did we -- what does this have to do with the DDA? Mr. Villacorta: The DDA has its own DRI. It has its own area and its own impact fees that are collected for the DDA -- Commissioner Sarnoff So, just so I understand this -- Mr. Villacorta: -- area. Commissioner Sarnoff -- correctly -- and maybe this is not the place to bring this up, but I'm more comfortable here than in Commission. Mr. Villacorta: OK. Commissioner Sarnoff I hate to show my ignorance -- Mr. Villacorta: I'm glad. Commissioner Sarnoff -- in the public. The DDA provided a DRI study, correct? Mr. Villacorta: Yes, for a different area. Commissioner Sarnoff All right, and who paid the DDA for that DRI study? Mr. Villacorta: I don't know who paid for their original study -- Commissioner Regalado: The City did. Mr. Villacorta: -- when -- Commissioner Sarnoff Well, wait, wait, wait. Let me get through this because you'll -- might see something here. Mr. Villacorta: My understanding of what they were in front of the City Commission for was they were moving to the third increment. They were -- Commissioner Sarnoff Right. In other words -- Mr. Villacorta: -- and they were asking for their money in advance to perform the -- Commissioner Sarnoff Who does that study? Mr. Villacorta: -- study. Commissioner Sarnoff• Did you say Bercow & Radell? Mr. Villacorta: I don't know who's doing the DDA study. Bercow & Radell did do the Southeast Overtown/Park West DRI study. Commissioner Sarnoff• So you don't know who did the DRI study or the update of that study for the DDA, correct? City of Miami Page 35 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: I don't think they've done it yet. They were asking for the money in advance, and who they were going to use, I'm not sure. Commissioner Sarnoff Who did they use in the past? Mr. Villacorta: I'm really not that familiar with -- Commissioner Sarnoff OK. Mr. Villacorta: -- the DDA's -- Chair Spence -Jones: You don't know who they used in the past? Mr. Villacorta: I couldn't say with certainty, no. Remember, they're a different area. Their DRI area is separate from the CRA's; they don't overlap. William R. Bloom (Special Counsel, Community Redevelopment Agency): There is a development of regional impact and there'll be a development order, so there's separate development orders. One, the DDA is involved -- Commissioner Sarnoff I have no problem with that. I'm asking who did -- Chair Spence -Jones: Because he's trying to figure out who did what. Commissioner Sarnoff• I'm merely, at the expense of the CRA, with great apologies and great humility to you, asking you to explain to me, if you know, who did the DDA study for the second or third phase of the DRI. If the answer is you don't know, that's fine. Mr. Bloom: Don't know. Commissioner Sarnoff• OK, but let me be clear. The law firm of Bercow & Radell did the study for the CRA, which is not within the DDA's area -- Mr. Bloom: That's correct. Mr. Villacorta: Correct, correct. Commissioner Sarnoff• -- and there's no piggybacking, correct? In other words, they didn't also do the study for the DDA. I shouldn't use the word "they." Bercow & Radell did not do the study for the DDA -- Mr. Bloom: We don't know. Commissioner Sarnoff• -- as far as you know? Right. Commissioner Regalado: But they went before the City Commission. Commissioner Sarnoff• If, in fact, the law -- Commissioner Regalado: I mean, he was before the City Commission. Commissioner Sarnoff• Correct, but the Florida Statute will not allow you to be on a board and then contract for the board, and what I want to know is, did the CRA pay any portion of the DDA DRI study number two or three? City of Miami Page 36 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: I -- Commissioner Regalado: Yeah, but the Florida Statutes apply north of Miami. What can I tell you? Commissioner Sarnoff: You learn so much being on the Commission. Commissioner Regalado: So -- Priscilla A. Thompson (Clerk of the Board): You can't -- you've lost your quorum, so -- Unidentified Speaker: You can't -- right. Ms. Thompson: -- you can't take any action. You can discuss until you get your quorum back. Commissioner Sarnoff: Take's a quorum of three? Ms. Thompson: Your Chair. Commissioner Sarnoff: I thought two could do it. Commissioner Regalado: Well, two is a quorum. Commissioner Sarnoff: That's what I thought too. Ms. Thompson: She's present. Commissioner Regalado: I know, but explain this to me. Two is a quorum, right? Mr. Villacorta: No. A majority of the board -- Commissioner Regalado: Present. Mr. Villacorta: -- constitutes a quorum. A majority of those voting -- of those present, a majority of those voting carries the day. Chair Spence -Jones: What is the question? Commissioner Regalado: Question is, what is quorum? Mr. Villacorta: What is a quorum? Commissioner Sarnoff: We were asking where you were in a roundabout way. Chair Spence -Jones: Oh, OK -- Commissioner Sarnoff: That's all. Chair Spence -Jones: -- so -- but, Marc -- Commissioner Sarnoff, I want to make sure we address your issue, your concern on the -- Commissioner Sarnoff. Done. I'm done, dusted. I'm educated. We live south of something. Mr. Villacorta: So we need a motion and a second. City of Miami Page 37 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 DISCUSSION ITEMS 8. 07-00376 Chair Spence -Jones: All right, so do I have a motion? Commissioner Sarnoff I'll make a motion. Commissioner Regalado: Second. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: All right. This item has passed. OK. CRA DISCUSSION DISCUSSION REGARDING SUPPORT FOR A SEMINAR ON THE TECHNICAL ASPECTS OF HISTORIC PRESERVATION. Cover Memo.pdf Direction by Chair Spence Jones to the Executive Director to meet with Dr. Dorothy Fields of the Black Archives regarding the creation of a seminar on the technical aspects of historical preservation identification. Chair Spence -Jones: On number 8, real fast, I'm not really going to have a full discussion on it. What I am going to ask the director -- Chair -- Chairwoman, can you, at least, come to the mike for a minute? Doc Fields, yeah. What I'd like to have happen -- this is discussion regarding the support for a seminar on the technical aspects of historic preservation. This is something that we started, I believe, a little bit during December last year, and the idea was to really work along with Black Archives to -- for them to provide support, not just for the African -American -based organizations in the area, but any historic preservation organizations that fall within either one of the CRAs (Community Redevelopment Agencies), so, basically, this discussion was really about directing Jim to work along with the Black Archives to begin to pull together, one, this seminar that we need to put in place regarding providing technical assistance to the Women's Club, Mt. Zion, Bethel AME (African Methodist Episcopal), Longshoremen, the Masons, black police precinct, even though I know the precinct is not in the CRA right now, but the expanded CRA, it will be in, so I want to -- if I can just direct the City -- the director -- executive director, Jim Villacorta, to at least, sit down with Doc Fields so that we can begin to put this together. I have spoken with Kathleen from the Historic -- James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Preservation. Chair Spence -Jones: -- Preservation Office -- Dorothy Jenkins Fields: Vation [sic], yes. Mr. Villacorta: Right. Chair Spence -Jones: -- regarding working with you on doing some sort of all -day seminar type thing, which is what we talked about, so that we can begin to work along with these organizations because I'm very fearful, with the black pre -- I don't know if anybody's from the black precinct -- Ms. Jenkins Fields: Yes. The chief -- City of Miami Page 38 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: -- is even here. Ms. Jenkins Fields: -- is here. Chair Spence -Jones: OK, all right. I mean, these are -- we have a lot of stuff coming on lines [sic] now that we really need to make sure that we provide these groups with real support, so I don't know if you want to add to that, but that's basically what I need to do is just direct Jim to work along with you so that we can begin to draw down the necessary resources to get started. Ms. Jenkins Fields: Yes. Well, that's exactly what we want to do. I just need to ask -- Chair Spence -Jones: Sure. Ms. Jenkins Fields: -- what has -- what money has been allocated for that? Chair Spence -Jones: Jim? Mr. Villacorta: I believe we've put some money aside in the budget. I believe it's $50,000. Chair Spence -Jones: No. It's actually -- Ms. Jenkins Fields: No. It's a -- Chair Spence -Jones: -- a hundred thousand. Ms. Jenkins Fields: -- hundred thousand -- Mr. Villacorta: A hundred thousand. Ms. Jenkins Fields: -- so -- and that's -- Mr. Villacorta: Corrected. Ms. Jenkins Fields: -- specifically for the -- Chair Spence -Jones: Well, appar -- the last executive director put a hundred thousand dollars in technical -- Mr. Villacorta: For technical assistance, yes. Ms. Jenkins Fields: Yes. Chair Spence -Jones: -- assistance to work along with the Black Archives and the Schomburg to help pull together this whole, you know, technical assistance piece, so I know it's been sitting there for how long now? Ms. Jenkins Fields: Well, too long. Chair Spence -Jones: Since October. Ms. Jenkins Fields: Yes. We have been submitting invoices, and we have not gotten a response, so we need to know what the next step is -- Chair Spence -Jones: OK. Now I think -- City of Miami Page 39 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Ms. Jenkins Fields: -- especially with the Schomburg. Chair Spence -Jones: -- Doc Fields, I think we're talking about two separate issues. One issue you're talking about -- Mr. Villacorta: Was -- Chair Spence -Jones: -- is the Black History Month event, which is a totally different thing. This is the technical assistance -- Mr. Villacorta: Assistance. Chair Spence -Jones: -- dollars that -- Ms. Jenkins Fields: For historic -- Chair Spence -Jones: -- the past -- Ms. Jenkins Fields: -- preservation. Chair Spence -Jones: -- administrator put in place so that you could have the administrative dollars necessary to begin assisting these organizations that need help now. Ms. Jenkins Fields: Yes, but again, there are organizations like the Schomburg that we would like to bring down to help with -- because they have a national prominence -- to help us with it, and so I'm, again, asking whether or not we, as professionals, will be able to put the budget together, or are there some preconceived ideas as to what we need to be doing? Chair Spence -Jones: Well, what I'd like to have happen, if there's any way that the executive director and yourself can meet -- Ms. Jenkins Fields: Yes. Chair Spence -Jones: -- so that when you come back in April, we can begin -- you can, at least, communicate to the Board -- the Board is pretty busy right now, as you can see -- as to what the overall plan is going to be. All I request out of all of that is that Jim works along with you for this technical workshop that needs to be -- needs to take place with these organizations 'cause -- Ms. Jenkins Fields: So, for the money that's available, just one workshop is what you're talking about? That's what I'm trying to understand. Chair Spence -Jones: No, no, no, no. It is for the -- Ms. Jenkins Fields: For whatever we need to do. Chair Spence -Jones: -- providing support to any of these organizations that need it over the year. Ms. Jenkins Fields: Very good. Chair Spence -Jones: OK? Ms. Jenkins Fields: Yes. City of Miami Page 40 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: But the issue is one of the things that I'd like to see as a tangible is this all -day workshop/seminar -- Ms. Jenkins Fields: Absolutely. Chair Spence -Jones: -- on historic preservation -- Ms. Jenkins Fields: Yes. Chair Spence -Jones: -- because we got to begin to empower these organizations to really stand up on their own -- Ms. Jenkins Fields: Sure. Chair Spence -Jones: -- and if they don't have things in place to do that, then we're only, you know, putting them in a position for them to fail -- Ms. Jenkins Fields: Absolutely. Chair Spence -Jones: -- so can -- Mr. -- Mr. Villacorta: Yes. I'll get with Dorothy, and we'll -- Chair Spence -Jones: OK. Did you guys get that? Commissioner Sarnoff.• Yes. Mr. Villacorta: -- put something together. Ms. Jenkins Fields: Give them a test. Commissioner Sarnoff.• Yes. Mr. Villacorta: Fifty or a hundred? Ms. Jenkins Fields: Thank you, Commissioner. Chair Spence -Jones: No problem. 9. 07-00333 CRA DISCUSSION DISCUSSION REGARDING CHANGING THE MAY 28, 2007 MEETING DATE TO MAY 21, 2007 DUE TO THE MEMORIAL HOLIDAY. Cover Memo.pdf MOTION A motion was made by Commissioner Regalado, seconded by Commissioner Sarnoff, and was passed unanimously, with Commissioners Gonzalez and Sanchez absent, to change the CRA meeting date currently scheduled for May 28, 2007 to May 21, 2007 due to the holiday. Chair Spence -Jones: On 8 and 9, just, first of all -- num -- can I get your attention, guys, so we can -- Commissioner Sarnoff.• Sorry. City of Miami Page 41 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: -- go home? I know we want to be here all night. We have a -- we're going to see each other again tomorrow. The -- number 9 on here is a quick thing, which is we won't be meeting, correct, on Memorial Day? James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Right. We'd like to make a motion changing the meeting date in May from May 28 to May 21 because May 28 is Memorial Day. Commissioner Regalado: Move it. Commissioner Sarnoff: Second. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Commissioner Sarnoff Sounded like fun, but OK Chair Spence -Jones: OK. REPORT 10. 07-00359 CRA DISCUSSION A DISCUSSION REGARDING THE DISPOSITION OF SEOPW PROPERTY. Cover Memo.pdf DISCUSSED Direction by Chair Spence Jones to the Executive Director to coordinate a one -day workshop to seek stakeholder and community input and recommendations for the best use of available CRA properties, prior to the issuance of a Request for Proposals (RFP) regarding said properties. Chair Spence -Jones: And then last, but not least -- not spending a lot of time on this. I do want to, at least, communicate just the position on this whole issue. I see a lot of people that are sitting in the audience that have, you know, been working very hard over the last six to nine months to begin to put together some sort of plan in the Overtown area to address the affordable housing issue. As you know, about four months ago, maybe five months ago, we announced a major initiative to ident fy at least $30 million of those dollars for affordable housing in the overall area. LISC (Local Initiative Support Corporation), along with the Overtown stakeholders, were all tasked to come back and identf key projects that we would like to see addressed in the Overtown area. The purpose of really me having this on as a discussion, I believe, in our -- not this last City Commission meeting -- CRA (Community Redevelopment Agency) meeting, but the meeting prior to this, we directed -- Order in the court. Can y'all please listen to what we're saying? Commissioner Sarnoff• Yes, ma'am. Chair Spence -Jones: OK Priscilla A. Thompson (Clerk of the Board): Madam -- Chair Spence -Jones: Thank you. Ms. Thompson: -- Chair, before you continue, are we on -- we're discussing item 10; is that correct? City of Miami Page 42 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Yes, ma'am. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Yes. Ms. Thompson: Thank you. Chair Spence -Jones: I'm sorry, Madam Clerk. Do I have you boys with me right now? Commissioner Sarnoff Yes, yes, sorry. Chair Spence -Jones: OK. I need a little testosterone at the table. So the idea was to really make sure that we moved the agenda providing the real affordable housing to the residents in the area, and one of the things that my fellow Commissioner to my right -- all the way to my right -- said to me, you know, Commissioner Spence -Jones, I think it's great what you're doing, but you better make sure they start spending the money now, and you better make sure you put something in place because people will make promises and they don't deliver, right, Commissioner? And you will be what? Embarrassed -- Commissioner Regalado: Right. Chair Spence -Jones: -- so I want to make sure -- and I told the group from the Overtown stakeholders that it's really, really important that, as you begin to draw down these bonds -- I want to just be clear -- or issue these bonds -- correct? Mr. Villacorta: Um -hum. Chair Spence -Jones: -- in order to issue the bonds, you have to have projects already in place, correct? Mr. Villacorta: Projects identified -- Chair Spence -Jones: Projects have -- Mr. Villacorta: -- and ready to go. Chair Spence -Jones: -- to be identified. Mr. Villacorta: Yes. Commissioner Regalado: Right. Chair Spence -Jones: I don't want to have a situation where you guys are getting ready to issue bonds, and then, all of sudden, it's like, oh, because we -- you empowered the people from Overtown to come up with key affordable housing projects, and nothing came to the table, so now, you know, these are the projects that we need to slate. If not, we're going to have to go along with something else, and it's very important -- you know, we've really tried to empower the stakeholders, the Overtown residents to be very much involved in what happens from an affordable housing perspective, and the reality is, I do -- in talking to Larry Spring, he's communicated that, as of January is when they're looking at issuing these bonds. This is bar none the whole issue takes place in the State, but we want to be ready, so in the last meeting before this, we put out -- we asked for you to come back with a recommendation for Block 36. I would like to have -- or direct the executive director to begin to pull everything together for -- I believe it's like seven lots that we have in the CRA area. Some of them are attached to other projects, but -- other parcels of land, but the land that we have, we really need to begin to put City of Miami Page 43 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 something in place and to find out what is out there for us to do on these parcels, bearing in mind the key things that have come up from recommendations from the groups that have been working to make sure that we take into consideration design and height, and all the other issues that they have expressed a concern with. I'm expecting for that group in Overtown to work through all those differences, but I don't want us to be on the back of the bus on this issue. We really need to make sure that we push this thing ahead, and at least, try to figure out what else is out there to -- or who else is out there that can work along with these key groups to make sure that we get some projects built in the Overtown area, so basically, what I want to do is direct the City -- I would like to, at least, direct the City -- executive director, I'm sorry, of the CRA to begin pulling together, at least, a RFP (Request for Proposals) for those lots that we do have in the Overtown area to see what will come back, but I would like for you to take the recommendations from the Overtown stakeholders that are in the area, and maybe even have, if possible, a one -day -- what do you call it, a community --? Commissioner Sarnoff: Outreach -- Unidentified Speaker: Workshop. Commissioner Sarnoff: -- or reach -- Chair Spence -Jones: Workshop. Commissioner Sarnoff: -- a workshop. Chair Spence -Jones: Community -type maybe workshop just so that before you actually pull together the RFP, you allow for people to come in one overall workshop and ask for people to put things down on the record as to what they'd like to see happen, based upon the overall plan that we've gotten already from LISC, along with whatever additional ones that need to take place because it's important because it's only a certain group that are going to be affected by this particular proposal, so I want to make sure that community folks are involved in it, so at least, take, at least, one day to do that, Jim, to get their input, and then let's go head [sic] and put this stuff out to bid. Mr. Villacorta: OK, to put all of the CRA properties out to bid as quickly as possible after having a workshop with the Overtown stakeholders and -- Chair Spence -Jones: And the community residents. You want to get their input on record, you know, regarding suggestions on what they'd like to see, but I really want to make sure that we move ahead with putting the land out to bid so that we could see what else is out there. I do not want to be caught behind the eight ball trying to figure out what we must do. Mr. Villacorta: OK. Block 36, which we had authorization, and then there was a desire expressed to put 36 and 25 out at the same time, 36 is subject to the reverter in August, and it would -- I think a developer would be very hard-pressed to meet that deadline that's been imposed by the County of having a permitted construction project underway by August of 2007. Chair Spence -Jones: Well, that's why we have the great Commissioner Sarnoff that's going to be knocking on those doors at the County to make sure that we address that issue. Mr. Villacorta: Right. We -- the City Manager has written to the County Manager and requested that the item be brought before the County Board of Commissioners to release the reverter on the three blocks and to bifurcate it so that if you began construction on one block, but hadn't on another, it wouldn't result in all three of the blocks being reverted to the County. Again, it's going to be difficult to -- for any developer to make that time frame at this time, but that's why we need to work with the County and have them extend that reverter. I think we can City of Miami Page 44 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 show the good faith efforts to bring housing to Overtown on those blocks, and hopefully, they will be amenable to doing that. Chair Spence -Jones: OK, so Marc -- Commissioner Sarnoff you'll work with them on try -- Commissioner Sarnoff• I can't wait to get to the County. Let's go. Chair Spence -Jones: So I just want to be very clear. Before -- when you come back to us at the next CRA meeting in April, you would have, at least, said that the RFP has gone out -- Mr. Villacorta: Correct. Chair Spence -Jones: -- and that you have met with the key people in the community, and these are some of their recommendations that we've included in the overall RFP. Mr. Villacorta: We have already begun preparing a list -- the list of all the CRA properties that Chair Spence -Jones: OK. Mr. Villacorta: -- are currently owned. Other than 25 and 36, most of the lots are scattered sites that -- Chair Spence -Jones: Yeah. Mr. Villacorta: -- need to be aggregated to make a development of -- that would make reasonable economic sense in the downtown area, but we will have a workshop with the Overtown stakeholders, prepare an RFP, and put it out, and I'll meet with you before that time, as well, and at the next meeting, I'm sure we'll be able to report -- Chair Spence -Jones: OK -- Mr. Villacorta: -- that the RFP is out on the streets. Chair Spence -Jones: -- and you can do it very similar to how we did the Liberty City lots, maybe put them in various sites, like Site 1, Site 2, Site 3, whatever makes the most sense, but I just want to make sure that, come -- when you come to me back in the end of April, you can say they're actually out -- Mr. Villacorta: OK. Chair Spence -Jones: -- and then this is just to the Overtown folks that have been working very hard to actually pull this stuff together. I really need to make sure you guys sit down and figure out what makes the most sense. We have to realize that, you know, first of all, these dollars should be allocate -- or will be allocated to affordable housing. That's what the dollars -- the $30 million that we're talking about, they're for affordable housing. They're not for museums; they're not for any of that. It's for housing, so -- and you know that if we're talking about having only 6,000 people left in the Overtown area and decreasing as we go, we need bodies back in Overtown in order to sustain it. You're not going to get any restaurants or commercial development, or all these things, unless you have people, so I'm hoping that you guys can come to the table and really, really understand, you know, with Jim, you know, what your overall mission is so that we can move this, but I plan on definitely being ready to go by May on this issue, meaning us knowing who we're working along with. Mr. Villacorta: OK. City of Miami Page 45 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: All right. Any other questions on this before we close out? Commissioners? Commissioner Sarnoff. Nope. Chair Spence -Jones: You guys getting sleepy on me? Commissioner Sarnoff. Nope. Commissioner Spence -Jones: All right. With that all being said, this meeting is officially adjourned. 11. 07-00358 CRA DISCUSSION UPDATE ON THE STATUS OF THE WASA REVIEW OF INFRASTRUCTURE IN THE SEOPW REDEVELOPMENT AREA. Cover Memo.pdf DISCUSSED Chair Spence -Jones: There's a couple items that we're going to have to just defer to -- because I want to be mindful of people's time, and we've been here for three hours already. The first thing -- just real fast. I want to just deal with the report issues, and I don't know if they're big reports, so we can close out on those quickly. The first one is number 11, and this is regarding the WASA (Water and Sewer Authority) review update on the status of infrastructure for Southeast Overtown/Park West, and I think, in our last discussion, you know, we've been talking over the last six months about the so-called study that needs to now happen for Southeast Overtown/Park West, especially on the 3rd Avenue area, where we're getting ready to do major street improvements. I don't know if anybody from the poor County -- boy, the County's here. Thank God, you're here, and I think one of the discussions was, with all of the major redevelopment stuff that we're doing on 3rd Avenue to redo the streets, we did not want to break up the streets only to find out that you guys have to come back because there's not enough capacity to address whatever we want to see happening in the area, so we wanted the study to kind -- really, the study should have been taking place a while ago, so I'm not really sure what happened on that, but, hopefully, you can give us a very brief update. Howard Fallon: Yes. I'm Howard Fallon, with the Miami -Dade Water and Sewer Department, and we have analyzed the area. As far as the capacity of the existing infrastructure to support flows which will be generated by the zoning throughout the area, and we have found that the sewer system is sized adequately for those future flows, which would be required to be handled in the area. We have not, at this point, checked to see -- we have an ongoing rehabilitation program whether any of the lines -- (UNINTELLIGIBLE) mentioned 3rd Avenue -- would have to be upgraded at the present sizes, so we will be -- now that you mentioned 3rd Avenue, we can go check that in the next week or so. Chair Spence -Jones: OK, so let's just be -- thank you so much for getting started on it. You know, really -- I really appreciate, you know, you moving to make sure -- Mr. Fallon: Well, we had spoken about it last summer, I think, so -- Chair Spence -Jones: Oh. Well -- Mr. Fallon: -- we worked on it. Chair Spence -Jones: Jim, just -- let's be clear, so the area, though, that I know that we're talking City of Miami Page 46 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 about is 3rd Avenue that we're getting ready to break streets. I believe my 3rd Avenue Streetscape Committee is here, but -- James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Well, we were concerned that when we went to redo the roads and sidewalks on 3rd Avenue in the business district, that the water and sewer systems were adequate for upcoming development so that they would not have to be torn up again, and when you say that the sewer lines are adequate, and were you saying the water, you're still examine -- Mr. Fallon: No. I -- we get to that secondly. The -- Mr. Villacorta: Oh, OK. Mr. Fallon: -- on the water side, for the commercial and high -density residential, we found a reasonable amount of lines will be necessary, the 12-inch lines; be about 17,000 feet of line, and I didn't bring the map with me, as far as 3rd Avenue, but we could check on that to see if -- what lines may be necessary there, but it's already been figured out as to where we need to increase the line sizes over what's there already. Chair Spence -Jones: So you -- are you saying --? I just want to make sure we put this on the record. So you're going to check 3rd Avenue just to double -- I mean, to verb that there's no upgrades that are needed, correct? Mr. Fallon: Correct. We have the information. It's readily available now with the analyses we've performed -- Chair Spence -Jones: OK Mr. Fallon: -- so far -- Chair Spence -Jones: OK. Mr. Fallon: -- and again, on the sewer side, it's just that we have any rehabilitation program, and on the water side, we have laid out where the lines are necessary, so it's just a matter of checking on 3rd Avenue there. Mr. Villacorta: And would that involve using a camera to check the sewer lines to make sure that they're in good shape? Mr. Fallon: Yeah. That's part of the process that we use. Mr. Villacorta: OK. Mr. Fallon: The program is already established. It's just a matter of -- and the -- all the sewers are analyzed. It's just a matter of going through the lines which were designated for rehabilitation at this point, so we could readily -- Mr. Villacorta: OK -- Mr. Fallon: -- carry that out. Mr. Villacorta: -- and would that be something that could be accomplished by August? Mr. Fallon: Oh, yeah, definitely. City of Miami Page 47 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: Definitely. We had planned on including in the contract for the redevelopment of 3rd Avenue examination of the lateral lines from the street to the properties because we've encountered projects where they've replaced their sewer line up to the sidewalk area, and then found that it was crushed between the sidewalk and the street, which wouldn't be something that WASA would pick up in just sizing lines. Chair Spence -Jones: Who would pick it up? Mr. Villacorta: Well, that's something we would do when we tore up the street. We would have the contractor examine those laterals out to the property on the site. Chair Spence -Jones: But right now, they're not seeing that that's an issue? Mr. Villacorta: That isn't something that you would be analyzing. You would just see that the line -- the line down the center of the street would have the capacity, if it's in good condition. He's going to check it to make sure it's in good condition, and then it'll be up to us to check those laterals for the businesses as we go down the street. Chair Spence -Jones: Is that something that we would coordinate with WASA or an outside group? Mr. Villacorta: That would be with the contractor that we had -- Chair Spence -Jones: OK. Mr. Villacorta: -- to redevelop the street. Is that correct? Mr. Fallon: That's typically what -- Mr. Villacorta: Typically. Mr. Fallon: -- would happen, right. Mr. Villacorta: Yeah. Chair Spence -Jones: Well -- any other comments from the Commissioners? Commissioner Sarnoff. No. Chair Spence -Jones: OK Well, thank you, WASA. I'm sure you know you've been getting beat up from us on the City Commission for all of our affordable housing stuff, which is a whole nother thing, but it's nice -- Mr. Fallon: That's OK. That's -- Chair Spence -Jones: -- to know that you were able to, at least, stay here and provide us with a update. Mr. Fallon: You're welcome. Chair Spence -Jones: Thanks. 12. 07-00351 CRA REPORT REPORT ON MEETINGS WITH STATE LEGISLATORS. City of Miami Page 48 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Cover Memo.pdf DISCUSSED Chair Spence -Jones: OK. Just real fast on -- Marc, do you want to -- Commissioner Sarnoff, do you want to give us an update on the state legislation stuff that's going on? Commissioner Sarnoff.• We could defer that to next time. Chair Spence -Jones: OK Are there any key issues that we have coming up that you know of? Because I know that -- Commissioner Sarnoff.• The best I -- Chair Spence -Jones: -- by the next time we meet in April, it'll be over, right? James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Well, the Commissioner Sarnoff.• Unfortunately, I think the best anybody could say is everything is in place, so to speak, and that is that the City itself, who has its lobbying team up there -- and an interesting team that it is -- is -- could not advise us whatsoever as to whether it will be sales tax, whether it will be a doubling of the homestead tax. I think the best advice I've gotten is that it could be any one of the three and a combination thereof. It's -- I'll just say, this is an in -- it's a very interesting time in the City, and I certainly can feel for Michelle, and I don't know how Tom feels about this, but you know, moving forward, you have no idea what to do. One good case scenario is a $52 million shor fall, and that's the doubling of the homestead will result in a $52 million shortfall to us, so I think the next two weeks are going to be very, very interesting, and I think they're going to act politically up there and not worry so much about what happens if their garbage and whether their police and fire get -- they're satisfied with their services when they get back from Tallahassee. Chair Spence -Jones: I just want to add, we did get a chance -- Commissioner Sarnoff, I think you were in lovely London at that time -- to go to Tallahassee, Jim and staff, regarding, at least, I know three major issues, which I was very happy that we were able to walk and meet many of the legislators there, and one of them, I'm very excited about, is the proposed bill that I believe Dan -- David Riviera [sic] -- Mr. Villacorta: Rivera. Chair Spence -Jones: -- has, which they're targeting five neighborhoods throughout the state of Florida, and Overtown is one of them, which is kind of like a special taxing -- Mr. Villacorta: A super empowerment zone, where the businesses would not pay sales tax on items they purchased, and buyers and customers of those businesses would not pay sales tax either, in an effort to drive economic development to the five empow -- super empowerment zones. Chair Spence -Jones: Which could be an awesome thing if we're trying to help really rebuild Overtown for people not to have to pay sales taxes there or new businesses going in there, which Mr. Riviera [sic] seemed to think or feel very -- he's the chairman of that committee, as a matter of fact -- seemed to be very confident that that item would pass, and I believe Jim will provide you with the updates on that, and then the other item, which was the item regarding -- Jim, you want -- Mr. Villacorta: Well, we spoke -- City of Miami Page 49 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: The CRAs (Community Redevelopment Agencies) we briefed on -- Mr. Villacorta: Yeah. We -- Chair Spence -Jones: -- the fact that the CRAs would rollback, which means if the -- if this tax thing happens and the CRA goes away. Mr. Villacorta: Right. I mean, as recently as 1999, the Overtown CRA had less than $200,000 in TIF (Tax Increment Fund), so I mean, when you hear it's been around for all these years, people weren't rushing into the area and driving up prices, and with $200, 000 a year in income, I mean, the City was forced to subsidize that CRA. If they rolled it back to the 2001 assessments, in 2001, the Overtown CRA had eight -- a little over $800, 000 in TIF revenue. Commissioner Regalado: But I think that, if you look at all the bills, and if you look at the will of both parties, you will find that most -- the most likely scenario will be probably to get a cap on the commercial, a three percent cap. If they do that, then the CRA has a lot of money, but it would have to rethink their grandiose plans -- Mr. Villacorta: Right. That's true. Commissioner Regalado: -- because it will be a three percent cap every year, and -- but still, you have the money that you have now, and you can adjust your budget at -- that seems to be the most likely scenario that they talking about, but anything can happen. What I still say that, you know, some cities, if you go to Las Vegas, you go to Reno, if you go to areas in New Jersey, you will see that areas where there are casinos, they have what they call the sin tax, and it works. For Las Vegas, has worked, and you know, sometimes, somehow, we have an entertainment area, and some of the money goes to the State, a lot of the money goes to the State, and so we need to rethink to be more proactive on the local level in terms of possible gaming. We're going to have an election in November, most likely, about gaming in Flagler Dog Track and Miami Jai Alai, and entertainment areas like casinos, and -- not casinos, but nightclub and disco, so you know, we need to figure out ways to use that money without impacting the majority of the population, but they going to bring something. They going to bring something back, and they going to bring it either in July, in August, you know, the special election. Chair Spence -Jones: OK. Mr. Villacorta: I mean, it'll also make it difficult for the CRA to do anything about bonding until these issues are worked out. Chair Spence -Jones: And I think that's our biggest concern, our ability to bond out so that we can do some of the things that we've promised the people that we would do, so I -- most of them appear to be very supportive. I -- we did meet with the speaker of the House, and he's very -- Commissioner Sarnoff: Cocky. Chair Spence -Jones: What's the best --? Commissioner Sarnoff: Cocky? Chair Spence -Jones: -- very pointed about what his position is on that. All right, so -- but anyway, I just wanted to make sure Jim did a great -- and Doug Bruce also did a wonderful job. All right, so we have handled 11 and 12. NON -AGENDA ITEMS City of Miami Page 50 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 NA.1 07-00445 CRA RESOLUTION A JOINT RESOLUTION OF THE BOARDS OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST AND OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCIES , PROHIBITING THE EXPENDITURE OF TAX INCREMENT FUNDS FOR A STADIUM FOR PROFESSIONAL BASEBALL OR THE MIAMI STREETCAR PROJECT. Motion by Commissioner Regalado, seconded by Commissioner Sarnoff, that this matter be ADOPTED WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: 3 - Commissioner Regalado, Chair Spence -Jones and Commissioner Sarnoff Absent: 2 - Vice Chair Gonzalez and Commissioner Sanchez CRA-R-07-0017 Direction by Chair Spence Jones to the Executive Director to brief and work with Commissioner Sarnoff on the negotiation of issues related to the City, Miami -Dade County and the Performing Arts Center. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Up to item 8. Chair Spence -Jones: Item 8. We're going to get into our discussion items, but before I do that, there's a couple of things that I just want to make some quick little changes on, not even changes, but address before we get into those discussion items. I'm going to jump around for one second. First thing I'd like to do is, at least, address Commissioner Regalado's resolution. I want to address that now, if we can. Commissioner Regalado: Thank you. Chair Spence -Jones: And at the last CRA (Community Redevelopment Agency) meeting that took place, it was communicated about -- in reference to the tax increment funds -- Commissioner Regalado: OK. Sorry? Chair Spence -Jones: -- so I just want to -- Commissioner Regalado: Oh, yeah. Well, thank you very much, Madam Chair. Chair Spence -Jones: No problem. Commissioner Regalado: This -- as a board member, I requested to be in the agenda, I mean, last month, and then, somehow we have a -- we got -- we didn't get on the agenda, but we have a pocket item. The reason for this pocket item is precisely what we discussed in this meeting. Chair Spence -Jones: Right. Commissioner Regalado: In this meeting, which has been a good meeting, we addressed $100, 000 for a creation of a hospitality institute. We addressed the issue of helping with infrastructure and marketing to a club that employs 40 employees. You addressed the issue of affordable housing. Commissioner Sarnoff addressed the issue of infrastructure. It was a good meeting, and this is what the CRA does. It gets to the basics. It goes to the streets. It goes to lights. It goes to signage. It goes to create jobs. It goes to do things that would really redevelop an area. Several month ago, I think it was, or weeks, but I think it was month ago, Commissioner Sarnoff gave me a little book about the CRAs and how some CRAs throughout the City of Miami Page 51 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 United State [sic] have deviated from their original mission, like in California, for instance, you know, CRAs are out of control, and other parts of the area, so now the CRAs are facing a scrutiny from the people and from the watchdogs, and even from the state legislatures. This CRA has gone through hard times. This CRA has gone to several steps, and finally, it's in the right direction. When you have the commitment of most, if not all, the board members for affordable housing, for housing for the people, having tours of looking for buildings to do the housing that we need to house those that are in areas, not homeless, but living without a roof a decent, honest roof over their heads. You know, the United Nations human rights bill, it's one of the things that most governments should follow because it's a basic thing, you know, the right to life, the right to work, and the right to have a home, not own a home, but at least, have a home, so streets and infrastructure and jobs, and this is the basis for the CRA, so there has been talk of using CRA money for the Marlins stadium. Only little money, they say; only $15 million of money. There's been talk of using money to build the tunnel. The tunnel is an important component for the Port, so the rigs will not be blocking Biscayne Boulevard. There is a -- there is also talk for the park museum, which is, by the way, something that I still don't understand because we approve, the voters did, $275 million, but more than $200 million have to come from the private sector, which, by the way, are the same people that are on the Performing Art [sic] Trust that have not been able to raise the funds that they promised in 1984, in a meeting that I attended, as a journalist, in Miami -Dade County Auditorium. There has been talk of using CRA money for the streetcar, although CITT (Citizens Independent Transportation Trust) has strongly recommended to the City not to do that, and they will try to block any effort to use CITT money for administration and maintenance, so instead of getting on the phone and responding a reporter's question, you know, are you in favor of using CRA money for the stadium? Instead of that, why not come clear? Why state the basics? Why not say CRA money will not be used to build a baseball stadium; CRA money will not be used to participate in the construction of the Port tunnel; CRA money will not be used in the support for the streetcar project; CRA money will not be used for the park museum concept, and CRA money will not be used for the Performing Arts Center. I mean, the Performing Arts Center, Commissioner Sarnoff said it, it's here. We cannot let that jewel be tarnished, but at the same time, you know, they have a lot of issues, which is not our problem, the deficits and all that, so just to -- I mean, I was raised alone in the streets, and my father was in jail in Cuba all the time that I was here, and I learned something. It's better to blush once and say it than to be, you know, dancing around and have to blush a little many times, so having said that, I'd like to bring to the board a joint resolution of the Boards of Commissioners of the Southeast Overtown/Park West and Omni Redevelopment District Community Redevelopment Agency, prohibiting the expenditure of tax increment funds on the Performing Arts Center of Greater Miami, a stadium for professional baseball, the proposed tunnel for the port of Miami, the Miami streetcar project, or the Parrot Jungle & Gardens of Watson Island, Inc. I don't know if I missed something. I don't know if I missed something -- Applause. Commissioner Regalado: -- but, you know -- and this is not -- really, I understand. I understand that when you do the numbers, people say, well, you know, we could use the CRA as a way to help defray some of the costs that we have. Recently, this man, Ian Yorty, who now is assistant county manager, who was the property appraisal tax assessor, said that at no moment CRA money was consider for the baseball stadium. The reason he said that is because he said that CRAs won't last that long to bond so much money, so it's -- it would have been only $15 million. I know that the County has several issues, but you know, we don't know what's going to happen in Tallahassee. What we know that something is going to happen in Tallahassee. We don't know how this CRA is going to be impacted, but what we know is that it's going to be impacted in some way. Either by reduction of property taxes in the buildings in the Omni area that people are leaving already, or a rollback on property taxes on the commercial side, or a cap on the commercial properties of three percent. Those are projects that are ready on the table in Tallahassee, so it would be unfair for the people in the County, in the City, who are dealing with City of Miami Page 52 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 all these numbers to say, well, you know, we may be able to commit the CRA because the CRA will help redevelop the area by building a tunnel. You know, they say -- there is an old Spanish saying that said that dog has bitten me already, and you know, we were told Miami Arena would redevelop Overtown. We were told American Airline [sic] Arena will redevelop downtown. We were told Performing Arts Center will redevelop the area, and we're here dealing with the issue, so I mean, I'm offering you guys -- and I know -- actually, I know that it is unfair on my part because you guys take the brunt of everything that goes in both of your districts. It is easy for me to approve anything on the CRA because it doesn't impact my district, but, you know, Marc and Michelle, you are the people that have the responsibility of the area. You respond to the resident. You respond to the merchants, but I'm -- you know, I'm just a thorn in the side of people, you know, and I can't help it, but I think it's important, at least, to discuss it, you know. I would appreciate that you vote for it, but I think it's important, and whatever the board decides, it is what it is, but it's -- it is important to discuss because, to me, CRAs are the basics and not grandiose projects that go around, you know, and it's always -- and it hurts when people sitting on the 29th floor of the County or on the 10th floor of the MRC (Miami Riverside Center) or the second floor just make plans thinking of the people's money, you know, because it's all the people's money anyway, so that's my resolution. Chair Spence -Jones: Mr. Regalado -- Commissioner Regalado, I know you have some comments on it, but I just want to be very clear on my position from day one, and it has not changed one way or the other about Major League Baseball at all or any monies being taken from anybody in Overtown to put any baseball stadiums there. To my understanding, in our last City Commission meeting, I think that, based upon what the County has said on their end, that they're moving in the direction of to my understanding, the Orange Bowl, and I support that 100 percent, as long as the folks from Overtown are not going to be affected by a stadium coming to the area and monies being pulled from us. Now I can only speak about Major League Baseball on this list because, quite frankly, it is the only thing that was really touching the Overtown area. I would like to, at least, hear from the district Commissioner that represents the other areas because, quite frankly, it does fall within Marc's district, so I just want to be clear on that, and I know that -- I see the City Attorney looking -- all -- both attorneys clenching their -- all three attorneys clenching their hands like, Madam Chair, what more are you going to do, but this has always been my position on this issue, but I do want to hear -- I know that you have some pressing stuff that you're trying to send us signals on, but I don't know if you want to hear from the Commissioner first or you want to, at least, put your information on the record? Kevin R. Jones (Assistant General Counsel, Community Redevelopment Agency): All three of us, or you want me to go first? Chair Spence -Jones: Oh, all three of you guys got a comment? OK. I mean, I -- how do you want to handle it, Commissioner Sarnoff? Do you want to hear from them? Commissioner Sarnoff: I'd like to hear from them. Mr. Jones: There is a -- certainly no impediment to making a decision -- Chair Spence -Jones: You have to talk louder. Mr. Jones: Can you hear me? This board certainly doesn't have an impediment to making a decision on how you'd like to spend the TIF (Tax Increment Fund) funds. Because I was presented this resolution about two minutes ago, the form of the resolution may need to be altered or amended, regardless of how you intend to vote today on this topic. I understand that you can either take these things one at a time, as they come up, or you can do a blanket vote, if that's the way you choose to vote to not spend monies in certain areas, but again, the form would have to be -- typically, it's signed off on by myself and by Mr. Fernandez, and obviously, we didn't have an opportunity to do that for today's meeting. City of Miami Page 53 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: So you haven't had a chance to look at the document? Mr. Jones: Oh, I just got it two minutes ago -- Chair Spence -Jones: OK Mr. Jones: -- so I have looked at it. (UNINTELLIGIBLE) -- Commissioner Regalado: It's only one page. Mr. Jones: It only took a minute, but there was a -- there's some information that needs to be added, namely, we generally get these signed off on by Mr. Fernandez, and obviously, he hasn't had a chance to do that. Chair Spence -Jones: But it could always come back ratified. Mr. Jones: Correct. It could always come back. Chair Spence -Jones: Bill, do you have a comment? William R. Bloom (Special Counsel, Community Redevelopment Agency): Just one comment. There's a commitment, at this point, by the CRA to fund a certain amount of funds from the TIF to the Performing Arts Center. Commissioner Regalado: Yeah. We discuss -- Chair Spence -Jones: Well, that -- Commissioner Regalado: -- that. Chair Spence -Jones: -- he exempted that already. Mr. Bloom: Right. Commissioner Regalado: Yeah. We discussed that that is -- Chair Spence -Jones: That's already -- Commissioner Regalado: -- something that was already engaged in 1996, and we cannot renew on what we approve or the other boards member. What my intention was was for the future -- Mr. Bloom: Right. Commissioner Regalado: -- increment of more than 1.4. Chair Spence -Jones: Jim. Mr. Villacorta: Yeah. We can just clarify that the resolution be amended to prohibit expenditure of TIF funds on the Performing Arts Center beyond its current commitment -- Chair Spence -Jones: Jim, can you -- Mr. Villacorta: -- and -- City of Miami Page 54 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: You're sounding mumbled, or you're not speaking -- Mr. Villacorta: OK. Chair Spence -Jones: -- loud enough. Mr. Villacorta: -- to -- we can just clan fy that the resolution only prohibits expenditure of TIF funds on the Performing Arts Center beyond the current 1.43 commitment that's contained in the 1996 interlocal agreement, and also, we need to add or -- prohibiting funding for the museums in Bicentennial Park, as well. That was my drafting. I left that out. Chair Spence -Jones: That was the new one that you just gave us? Mr. Villacorta: No. There were two versions; one prohibited any spending and the other one prohibited any spending once -- unless affordable housing had been addressed, but the Commissioner has decided to go with the one that prohibits any spending on these items. Chair Spence -Jones: Oh, so this is the revised one? Mr. Villacorta: Right. Two options were drafted -- Commissioner Sarnoff: Oh, I see. Mr. Villacorta: -- but the prohibition on the museums in Bicentennial Park was left out inadvertently, so the resolution should be amended to include that item as a prohibited item, and we can clarify it to say that we will honor the existing commitment of the 1996 interlocal agreement. Chair Spence -Jones: OK. Can I --? OK, so you're finished? Mr. Villacorta: Yes. Chair Spence -Jones: OK -- and Marc, and I'm going to go head [sic] and turn it over to you. I just want, at least from a staff perspective, to be very clear because I know you guys are in the midst of negotiating with the County on key issues, and I'm seeing Kevin's eyes go to the back of his head, and let's just -- you know, let's put the skunk out on the table because the reality is, you know, not -- you know, we're voting on it, and if we have to bring it back, we need to address it again, but we need to be very clear because there's a lot of things attached to, you know, some of these items on here, and I know that the County has -- and you need to let the Commissioners know what that is because the reality is I know that there's some issues of the expansion of the life of some of these CRAs. There's an issue of the expansions of the zones of some of these CRAs. I know, at least, in Overtown area, I'm trying to pick up Town Park in that now so that we can include the Town Park -- all the Town Parks so that we can assist them because right now everything closes or ends at 14th Street, which I need -- we need to be able to pick those up. The new expanded boundaries would go to 20th, but they only stay on 3rd Avenue, which helps nobody in the Town Park area. I believe also we're trying to pick up the black police precinct, which is not also in that area. All these things are attached to the expansion of the life of -- an expansion -- not only the expansion of the lifes [sic] of the CR [sic], but the expansion of the area of the CRA, which is very important, and I only attended one of the negotiations with the County regarding this issue, and the way that they're trying to position this thing is, I'm just going to tell you, based upon what I'm being briefed on, that they're trying to do one issue at a time, and the stuff that we're asking for support on is kind of like not, you know, top on the list, correct, Jim? Mr. Villacorta: Right. There's a whole laundry list of things that are -- City of Miami Page 55 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: It's like they want us to do certain things first -- Mr. Villacorta: Right. Chair Spence -Jones: -- and then they're -- and to me, I cannot -- we cannot afford to not, at least, from the -- I know on the Overtown side, we need the expansion of the life of the Overtown to be able to really finally be able to give the people in Overtown something, you know, and for us to end it or not include additional areas that need support from a housing perspective, it would only hurt us, but I'm understanding, from the briefing that you gave me and what I seen at the County, Commissioner Regalado, it's -- Commissioner Regalado: Well, let me -- Chair Spence -Jones: If we can do it another way, I'm happy with it. Commissioner Regalado: No, no, no, no. Let me just say I'm confused. Chair Spence -Jones: Yeah. Commissioner Regalado: I'm very confused because I thought that governments were supposed to be by the people, for the people, and of the -- Chair Spence -Jones: I agree. Commissioner Regalado: -- people, and I confuse because I thought that extending the life of the CRA to help redevelopment in the needed area was the right thing to do -- Chair Spence -Jones: I agree. Commissioner Regalado: -- and that you don't need to give anything in exchange when people do the right thing. Chair Spence -Jones: Right. Commissioner Regalado, I don't think that there's even a question on that, but I'm just let -- if you want to be briefed on exactly what is happening -- Commissioner Regalado: I -- Chair Spence -Jones: -- and that was my -- Commissioner Regalado: -- you know -- Chair Spence -Jones: -- conversation with the executive director. Commissioner Regalado: -- if you -- Chair Spence -Jones: Why does it have to be one over the other? Commissioner Regalado: No. I understand that. I understand that, and Madam Chair, I understand. Like I said, I think I'm being unfair, but you know, we need to come clean. You know, for me, governments should do the right thing. For the County to come and try to bargain, not only bargain, to bully the City of Miami or the CRA, it is wrong, and you know what? They may have all the power that they may have, but we have the power of the bully pulpit. We can go to the people. We can go to the media, and we can say, you know what? They're blackmailing us because they want the CRA money, the poor people money to support City of Miami Page 56 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 the Performing Arts Center, which, by the way, is a debacle in terms of administration, and who is not used by the whole people of Miami, or they want to build the Port tunnel because they want, you know, the people from Carnival Cruise Lines to be OK having the buses not come through -- Chair Spence -Jones: Neighborhoods. Commissioner Regalado: -- neighborhoods, just take the I-395 and to the airport, but it's just a simple decision. Chair Spence -Jones: Yeah. Commissioner Regalado: Do we want the money for the people, or do we want the money for a special interest? It's very simple. I know it's a complex issue. I can be brief in whatever you guys are doing. I can be brief three days in a row, but after your briefing, I will do the same because, you know -- Applause. Commissioner Regalado: -- I mean, they have to do this, the County, because it's the right thing, not because, oh, if you don't do this, we're not going to give you this. Well, you know what? We call them on their bluff, so you know, I am not trying to push for a vote. I'm not trying to say to you, oh, you need to vote for this, you know. I hope you do. I understand that you need to get information, but what I would tell you that I, personally -- and that's just one board member -- will not change a word in a resolution. I would not -- let's do the stadium first, and let's do the streetcar after because I think that the message has to be clear, and I, you know, understand what kind of information you need. I understand what dealings are with the County, but I just want to be clear that, you know, if the County wants a lot, or if the County wants a little that they do not deserve, I will be out there, you know, the little that I can say, saying that that is wrong -- Chair Spence -Jones: Yeah. Commissioner Regalado: -- you know. It is wrong, completely wrong, so -- Chair Spence -Jones: And Commissioner Regalado, I believe we all agree with you on the issue, so I don't even think that that is even a question about whether or not we agree with you. I -- and personally, the strong-arm tactics, to me, are -- personally, are offensive, you know, but from a staff standpoint, that's kind of been what the communication has been, and I keep asking the same question. Why are we -- why do we have to move, you know, this item before the other item moves, and that's kind of been the communication, so I'm glad that you're bringing out this issue, and the folks that are in the audience that are compelled to, you know, at least, show that they have support on this, when it comes down to actually making sure that that happens from a County perspective, you -- we need that support. Commissioner Regalado: Of course. Chair Spence -Jones: That's the reality. The reality is, you know, we can sit in a room all day with them, but if the community folks aren't coming out to speak out against it and say, hey, look. Let's not say if you give us these three apples, then we'll give you this one apple, and quite frankly, they're the ones that are holding the pen right now, so the reality is, just as we discussed the item now, when it comes down to actually making sure that the County Manager, the Mayor, at this point, from the County's perspective because he's very much involved in this whole thing now too -- Commissioner Regalado: Well, actually, they're not holding the pen, actually because, you City of Miami Page 57 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 know, they need now us more than they -- than we need them, and I'll tell you why, because they have a huge deficit in the Performing Art [sic]. They have a real public relations nightmare with the park museum because of all the beautiful people that belongs to those trust, only $5 million have been -- Mr. Villacorta: Raised. Commissioner Regalado: -- bring to the table by the private sector, and they need $200 million. Chair Spence -Jones: They park museum is -- you didn't have it in your resolution, though. You just decided not to -- Commissioner Regalado: No. Mr. Villacorta: No. I -- inadvertently, I left that off, and that's what I was saying. Chair Spence -Jones: OK Mr. Villacorta: It should be amended. Commissioner Regalado: In the next five minutes, I'll add three more things, but -- no. What I'm saying is, you know what? We can say to the County, well, guess what? We don't have the will to extend the life of the CRA nor the boundaries. What are you going to do about that? And there's nothing they can do about it. They can -- what are they going to do? What are they going to do? They don't have -- they want to extend the CRA boundaries to the park because they need the money for the park. They want to extend the CRA to -- Mr. Villacorta: The tunnel. Commissioner Regalado: -- the Port because they need the money for the Port. They want to extend the CRA boundaries to Watson Island because they need the money to pay the loan that, by the way, a lobbyist made $2 million getting that loan because, you know, things have to be set from the County, so you know, it's their mess, not ours, so we might just want to say, well, you know, guess what? We don't want to extend the life of the CRAs. What are you going to do about it? And there's nothing they can do. It's 217 [sic], this one, right? The -- Chair Spence -Jones: No, 212 [sic]. Commissioner Regalado: The Omni is 217 [sic] -- Unidentified Speaker: 217 [sic]. Chair Spence -Jones: One's two 212 [sic]. Commissioner Regalado: -- and the Overtown, 213 [sic]. Chair Spence -Jones: 212 [sic] or 213 [sic]. One of them. Mr. Villacorta: 212 [sic], yeah. Commissioner Regalado: 212 [sic] and 217 [sic]. Mr. Villacorta: Oh, yeah. The -- no, 213 [sic] and 217 [sic], right. Fred Joseph: 213 [sic] and 217 [sic]. City of Miami Page 58 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Mr. Villacorta: The expiration dates, yes. Yes. Chair Spence -Jones: OK. Commissioner Regalado: OK. Chair Spence -Jones: One second, Mr. Joseph. I really want to make sure I allow for the -- Commissioner Sarnoff to, at least, have an opportunity to speak because he's the only one that hasn't spoken as of yet, and I think it's important because some of these things really impact his district, so I know he may have had briefings that we don't know about, so I'd like to, at least, give him the op -- if you can just give us a few minutes. Let him, at least, speak first, and then I'm sure Commissioner -- Mr. Joseph: Thank you, Chair. Chair Spence -Jones: Sure, no problem. Commissioner Sarnoff: Because I'm shy, Mr. Joseph. Mr. Joseph: Yes, sir. Commissioner Sarnoff: I always admire Commissioner Regalado for his clarity of thought and his ability to crunch an issue and get to the very meat of it and give a very black -and -white statement, and I'm not trying to cower here, but I will tell you this. When I first arrived at the City of Miami, my first or second briefing was a letter. A letter was what I called the County/City agreement or intended agreement as to certain issues that we had to agree to or the CRAs would not be extended and many issues would not go forward, and when I suggested to them there might be one or two issues on this letter that I agree with, but there probably are five or six that I don't agree with, is the City of Miami -- do they allow order in/order out, or can you go and take your own selection from the menu? I'd like one, two, or three, but they told me it was a set meal, and it was a set bite that I had to bite off on, and I suggested that I didn't think I could bite on that whole thing, and that was my introduction to the City of Miami the first week. Now I will say this about the City of Miami versus the County. The City of Miami -- andl haven't been doing this all that long; for, I guess, the better part of 150 days or thereabouts -- is the most in -your -face democracy I've ever seen in my life. You can get to your Commissioner. You can speak to your Commissioner. You can see your City Manager. There's very little that separates you from your elected official. The County is a different story. The County is a big different government that's very difficult to get to your Commissioner, if he will see you. The County Manager rarely does see you, and now you have a new mayor there, so I caution, with some degree, what you have to say because the County is a different creature that doesn't seem to be -- or really care very much about how it's viewed by the general public. It's just sort of there, like a bad rash, and it doesn't seem to get better, it doesn't seem to go away, and it doesn't seem to clean up its act. The City of Miami, I think, oftentimes, tries to do -- or, at least, it's been my experience for the past 150 days, the right thing, so to speak, or I hope it's starting to do the right things. There are many things on this list, Commissioner, that I agree with you with. For instance, to me, it's a no-brainer to say a stadium in downtown Miami should not use the CRA dollars. It is equally a no-brainer for me to say the streetcar should not use the City of Miami -- I'm sorry, the CRA dollars. I am absolutely, utterly confused, to be quite frank with you, and I've had two briefings on this, how we got to repayment of the Section 108 loan by Miami -Dade County to the Parrot Jungle, and I'm told there are four or five other issues I have to understand before I understand or told how I'm supposed to vote on that or give an informed decision. The other issues on this, the Performing Arts Center -- I'm sorry, the museum park, I have very strong feelings about museum park, where I think it's being misdesigned [sic], where I don't think we need the amount -- City of Miami Page 59 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Of buildings. Commissioner Sarnoff: -- of buildings on the particular parkland, and I equally share your concerns, when I was at the Performing Arts Center meeting -- I guess it was about three or four days ago -- and they used words, which I thought were kind of antypical [sic] to government. We're at the secrecy stage of how much private funding we've gotten. Now in law parlance, that means code for we just didn't get it done, and I heard the same $5 million number you heard, and lastly, let me just say, with regard to -- I'm trying to look at your other issues here. Chair Spence -Jones: Port tunnel. Mr. Villacorta: Port tunnel. Commissioner Sarnoff: Port tunnel. I'll be honest on that one. I was dead set against that at the outset. I am still against -- see, CRAs -- let me go off on a tangent for a moment. I gave Commissioner Regalado, I've given Commissioner Spence -Jones, I've given anybody who would listen something -- a report on CRAs, mostly occurring out of California, and it was so easy to read, even I could read it. It was so easy to understand, even I could understand it, and it was something I campaigned on, and that was what do CRAs do for cities, and the conclusion drawn by a number of institutions in California was that they don't do very much good -- or very many good things for the cities, and since then, I've learned, to the credit of Koteles and a number of other people, that there are some good things that they do, and one thing was pointed out very clear to me. When you go to spend your money, your taxes go to the County. Does your money really get spent in your neighborhood? And the answer to that question is I didn't know, and they suggested that most of the County's transportation dollars are recurring by the airport and further out west, so we know our transportation dollars in the City of Miami, our County portion, are not staying in the City of Miami. The -- so that was something that a CRA can cure, so to speak. A CRA can maintain the TIF, the tax increment financing dollars, in the particular neighborhood that is mostly affected, theoretically, by blight, and I will tell you this; that when you have to have a law firm to find blight, you're in trouble because that's when you get -- you know, they're making a hundred thousand dollars a year to find what is blight, and that's disturbing in and of itself, so let me just say that I agree with the tenor and the statements made by Commissioner Regalado. I'm not paling away from passing this particular instrument, and if it comes a vote, I will vote on it, but I would recommend to everyone here, I'd recommend to the Commissioner that I think there are some briefings that need to be done. If you wanted to take this one at a time, there are things that I feel very comfortable about voting on, but I'm not absolutely certain, from Commissioner Spence -Jones' perspective -- and the reason I say this for her is -- and I don't mean this disrespectful to Omni -- the Omni is almost built out. Chair Spence -Jones: Yeah. Commissioner Sarnoff: I mean, the Omni is almost -- if you did away with the Omni, I don't know that you'd be doing a harm or a disservice to it, but if you were to do that to Southeast Overtown/Park West, I don't know that we've accomplished what we set out to do because, forgive me, I don't absolutely know the history of that. I know it's not a very good history. I know a lot of us sitting on this board now have inherited a colored, tortured history, and they want to change that history, but as you said earlier today, there are projects that have been drawn -- on the drawing board for a number of years that have gone nowhere, and now you're a Commissioner of that particular district, and the next thing you know is, it takes six months to get a gauge on where you are, six months to try to get the Administration to move off the particular subject that they're doing, and another six months to accomplish something. I think that's about the length of time you've been in office, so I could see the frustration. I have a new saying in life. It's at the speed of government, and that's not very fast, so if you wanted to take this one at a time, I am willing to vote on certain subjects, one at a time, the ones that I do understand. City of Miami Page 60 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Commissioner Regalado: OK. I mean, it's fine. My idea was to send a clear message, but I think it will be unfair to you and to the chairperson, and really, you are the area Commissioners, and -- but I think that all these issues are citywide. You know, I -- going back to the City Commission, you know, when there is a zoning issue, we must defer to the area Commissioner. Chair Spence -Jones: Right. Commissioner Regalado: When there is the future of the Orange Bowl, then it is -- Commissioner Sarnoff: Citywide. Commissioner Regalado: -- a citywide issue. When we're discussing the future of Virginia Key - Commissioner Sarnoff: Citywide. Commissioner Regalado: -- it's no longer Marc's -- Commissioner Sarnoff: Agree. Commissioner Regalado: -- issue; it's a citywide thing, and you know, when we discuss something as huge as a project, you know, the Lyric Theater, it's something that belongs to all communities, so it's a citywide. It's no longer in Michelle's district, so you know, this is why I took upon to try to be more -- I would respect the area Commissioner in what is the issues that are very well-connected with their district because you have to respond to the people. They don't complain to me. They complain to you, and tomorrow, we have a very interesting meeting at the City Commission, but -- so, I am -- if you wish, I could amend the resolution, and you know, I could say -- Chair Spence -Jones: Keep the baseball in. Commissioner Regalado: -- no money for -- Chair Spence -Jones: For baseball. Commissioner Regalado: -- the professional baseball; no money for the streetcar -- Chair Spence -Jones: Right. Commissioner Regalado: -- no money for the park museum; no money for the Performing Arts Center. Chair Spence -Jones: No. Park museum, you said -- you just mentioned something about you still being briefed on -- Commissioner Sarnoff: Well, I -- Commissioner Regalado: Watson Island, I don't quite understand the -- Commissioner Sarnoff Right. Commissioner Regalado: -- mechanics of -- Commissioner Sarnoff• I don't either. City of Miami Page 61 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Commissioner Regalado: -- the loan -- Chair Spence -Jones: OK. Commissioner Regalado: -- and why the City is the guarantor of the loan, but that's another thing. Chair Spence -Jones: Well, I -- my only issue is baseball. I mean, of course, I also have issues with -- Commissioner Regalado: OK. Chair Spence -Jones: -- the Miami streetcar, but I really want -- Commissioner Regalado: Well -- Chair Spence -Jones: -- I want to really refer to -- I'm going to ask for -- Commissioner Regalado: -- in -- Madam Chair -- Chair Spence -Jones: Um -hum. Commissioner Regalado: -- if you want, if it feels comfortable to you -- and by the way, someday, we should have the full board -- Commissioner Sarnoff: Right. Commissioner Regalado: -- so we can listen -- Chair Spence -Jones: Yes. Commissioner Regalado: -- to other members of the board, but it's in deference to you, and if we need to start sending a message, and because these two items are the time is the essence because they are coming to the City Commission very soon -- one in April and one in May -- I will propose a resolution prohibiting any CRA funds for the use of any construction of the baseball stadium and the streetcar project. These two projects are going to be coming to the City Commission in April and in May, so it would be unfair not to send the message -- Chair Spence -Jones: No. I -- Commissioner Regalado: -- now. Chair Spence -Jones: -- definitely agree. I think you agree, too. Is there -- Commissioner Sarnoff: No. I -- and I -- Chair Spence -Jones: -- are you fine with everything, Marc? Commissioner Sarnoff: -- and just to comment on something that Commissioner Regalado has said. There are issues -- there are many issues that are local, and that area Commissioner knows best, such as tomorrow, and there are issues that are citywide, and a lot of those issues, if not all, except for maybe one that I can think of exist in District 2. I never take offense, nor would I ever, when you're dealing with an immense amount of money on a huge project for even Commissioner Angel Gonzalez or Commissioner Sanchez to come in and suggest a response, and City of Miami Page 62 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 by the way, even on the Omni development, which was what I call one of the biggest developments I ever saw, I would not have been opposed to anybody coming in and saying, Commissioner Sarnoff, can I give you some recommendations? That's the one we just did the other day. It was so big and so massive, and it will affect so many parts of the city that, at some point, District 2 doesn't mind the help. I mean, at some point -- District 2 is the most complicated, most complex, most diverse district in all of the City of Miami -- Chair Spence -Jones: Diverse. Commissioner Sarnoff -- and I have the same staff -- I'm making a play here now -- as everyone else has in this district, and yet, my staff could run to probably five meetings a night, five different sessions a day, because everything seems to occur in District 2, so I don't take offense. I certainly would like to take some of your staff if you wouldn't mind. I wouldn't mind borrowing Koteles -- Chair Spence -Jones: You can borrow him. Commissioner Sarnoff• -- to help me -- Chair Spence -Jones: You can borrow him. Commissioner Sarnoff• -- right -- in District 2, but there are issues that are local. There are zoning issues that are local, and there are zoning issues -- and I'm sorry, and there are citywide issues, and the bond project, very recently, that we all looked at and we all see that we're not going to have the sufficient amount of funds, based on the Homeland Security Defense Bond project, you know, I saw my district. I saw the recording of let's just say, $10 million, and that's bad enough, but then I look at the citywide defunding, and every one of those citywide defunding issues are in my neighborhood or in District 2, yet, they are big projects. I mean, the police academy, if you will, that's citywide. Why? Because that's going to train all of our police, but it exists in District 2. Many of the fire stations, District 2, so I do understand, and I got to tell you, sitting next to Commissioner Regalado is always a learning experience. I truly do admire -- I don't get up on soapboxes very offer -- often, but I really do admire his vision because it's clearer than most others, and he's pretty consistent with what he does, so let me just say I appreciate what you're doing, and if we could just restrict it to two areas that you're -- you think are coming before us, I think it would help us on sending that clear message to the Commission. Commissioner Regalado: Absolutely. I'll do it because, I mean, in deference to you and the Chair, and -- but I'll be back next month with two more. Commissioner Sarnoff• Fair enough. Chair Spence -Jones: Jim -- and do you guys have any other comments at all before we make the motion? OK. Mr. Villacorta: I mean, as I understand it, it'll just be a motion prohibiting the expenditure of tax increment funds -- or a resolution prohibiting the expenditure of tax increment funds on a stadium for the professional baseball or the Miami streetcar project. Chair Spence -Jones: OK, and before -- you want to go ahead and take the vote -- you want to do it now -- Commissioner Regalado: Yeah. Chair Spence -Jones: -- or do you want Fred to say something? What --? City of Miami Page 63 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Commissioner Regalado: No. Go ahead. Chair Spence -Jones: But, Fred, do you have a comment you want to put on the record real fast? Mr. Joseph: Thank you, Chair. Chair Spence -Jones: Yes. Mr. Joseph: The two items you did bring up is the dating and the expansion, the 2017 and the expansion. If you notice, Chair, when you were working with us, we were looking at expanding only into an area that is still blight -- Chair Spence -Jones: Yeah. Mr. Joseph: -- and still need. We had over $200 million available, or will have, without expanding the date. If we didn't bring the date out, we -- you, your seat, will have that amount for affordable housing, not for anybody else. Let -- one other item on the Performing Arts. They cannot raise, as Mr. -- Chair [sic] Regalado said before -- if they cannot raise, with the Performing Arts open and running, more money to run it from deep pockets, how can they do the museum park? Commissioner, I was there at the meeting Friday -- or Thursday, when you were there, and the gentleman refused to say to us what, in the Sunshine Law, they had raised. They only came back to me and said one man could write the check out of his pocket. I said, would've, could've, should've. They said it at the Performing Arts, and they never have raised the money. Now they're asking us to fund it. We are willing to fund it, but the -- Commissioner Regalado went to them and the previous Chair said to them -- and Jim was present -- they must give something to the Omni area in exchange for, so we never received it. We've worked up a -- Commissioner Regalado: It's true. Mr. Joseph: -- whole plan, and they never came back with one item said they were willing. All they want is our money. They give us lip service, and then they say we had to sit in the back of the house, and we had to eat cold food, so I'm a little bit confused. Commissioner Sarnoff• See, that's the difference between a County Commissioner and a City Commissioner. Commissioner Regalado: Yeah, yeah, yeah. Chair Spence -Jones: Yeah, I know. Mr. Joseph: I'm a little bit confused -- Commissioner Sarnoff• We sit in the front, though. Mr. Joseph: -- who paid for the center or who's paying, and it's your districts, as you three represent, are paying for it, as well, so please, you know, keep their feet to the fire. Again, museum park, Commissioner, you're a thousand percent right. They got to come up with 205 million private money before they get one penny, and they've already spending millions of dollars of somebody's money, and thank you for keeping them to the fire. Chair Spence -Jones: OK Thank you. We'll just take one comment from -- the next comment from Bernadette because I want to go ahead and move this item so that we can move on. Bernadette Armand: I just want to say that -- Bernadette Armand, 1633 Northwest 3rd Avenue is the business address. I just want to say that, you know, there should be a very easy calculus to City of Miami Page 64 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 deciding which one of these items you all decide to fund and which ones you decide not to find. The major question here is, does it serve the needs of Overtown residents? That's the only question we should be answering here, and obviously, a streetcar project doesn't; obviously, the baseball stadium doesn't. I'm a little bit confused and worried about the fact that you guys deciding to remove the Performing Arts Center from this. If they -- why would you be choosing not to add the Performing Arts Center onto this, in terms of what we won't fund? Chair Spence -Jones: I think it's already committed. Ms. Armand: Is that part of it? Chair Spence -Jones: Is that correct? Ms. Armand: I'm saying the -- Chair Spence -Jones: It's already committed, right, Commissioner? Commissioner Regalado: No, no, no, no, no. The Performing Arts Center, we should have said in the resolution no more money other than the one committed in 1996 in the -- Chair Spence -Jones: It's already commit -- yeah. Commissioner Regalado: -- interlocal agreement, which is -- Ms. Armand: OK, so, are you guys going to vote then right now to not give any more money beyond the -- Commissioner Regalado: If you don't -- look, I think the Performing Arts Center is an important message to be sent, and I mean, I just don't want to keep adding things, but I think that the Performing Arts Center is important because the Performing Arts Center is in real need of cash, and they want to use, my understanding, 35 percent of the tax increment for operations and maintenance. I think that they still have some issues of construction that they need to -- the County just approved some money for construction. I think that there needs also to have some repairs done, and the administration has run over budget. I mean, they projected five -- half a million dollars of deficit on the first year, and on the first three month, they have run a $6 million deficit because -- so we, the taxpayer of Miami -Dade County, are paying the operations of the Performing Arts Center. Every year, from the general funds of the County, they're paying $3 million to the Performing Arts Center, and since this is an issue that they're going to have to discuss, and since this Performing Arts Center may have an operation budget of $10 million -- is what we have been told -- I am sure that they will be looking for CRA funds to supplement the $3 million that the County is giving them from the general fund of the County, so if you don't mind, I would add the Performing Arts Center because it is part of the need of the County to do that, and I understand that I'm trying to -- or we're trying to chip away from the talks that you all are having, but it is important for them to understand that if you guys promise, oh, we're going to, you know -- there will be a debate in the board. There will be a debate with the public whenever a discussion comes that the Performing Arts Center needs money from the CRA, and at the end of the day, you guys don't vote, and we do, and at the end of the day, you're going to get outvoted, and so, might as well do it now, get it over with, and you keep discussing the other issue. Commissioner Sarnoff Commissioner Regalado, can I comment on that? Commissioner Regalado: Absolutely. Commissioner Sarnoff• Whether I would have supported the Performing Arts Center at its City of Miami Page 65 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 inception and whether anyone sitting here would have is not even the point anymore, and if you all will remember, that was supposed to be a two hundred or a hundred and eighty million dollar investment, which spiraled out of control, and we're not even here to address the reason for it. I will tell you this. You do not spend and devote the kind of time and energy to a Performing Arts Center that we have in the City of Miami to leave yourself in an inflexible position and allow that jewel, if you will, to fail. I will not, as the area Commissioner, allow the Performing Arts Center to go into any sort or form of disrepair, and other than to make it a first-class, first-rate facility because that's our obligation. It is something that was -- that is created, that is something we've spent a lot of hard-earned tax dollars on, and I don't know where it's going to be in the next three to five years, and I truly don't know, as I'm sitting here, whether that was intended to make money its first three, five months in business, so to speak, or whether it will see a profit in three to five years. I do know this. The City of Miami, historically, is extremely competent at building things and extremely incompetent at taking care of things. We can put anything up. We can build anything. We can put beautiful lights up. Three months, three years later, they're broken. Why? Because we don't maintain things. This Performing Arts Center, as long as I sit on the Commission, will survive, will look good, and will function as well as we can do so as the City of Miami, and I will not restrict that. Commissioner Regalado: And I think you're right. You know, once it's there, you know, we have to support it, but there are other ways. The tourist development dollars, there was an increase, a huge increase of TD (Tourist Development) money in the last six to seven month. Commissioner Sarnoff: Which we don't get. Commissioner Regalado: Tourism is up in Miami -Dade County. Tourist dollars cannot be used to build affordable housing in Overtown; it cannot be used to build a road in Flagami or in Shenandoah. Tourist dollars are only to go to sports and cultural event, but you can't go around saying, oh, we're going to bond $300 million for tourist dollar for the stadium. We are going to do this; we are going to do that. We have the Performing Arts Center, granted, and we have to - - we cannot let that -- those buildings dilapidated in -- but it's important that the people from the County understand that there's got to be a more intelligent approach as to taking money from the redevelopment area because, at the end of the day, everyone is going to look bad. Forget about, you know, the money that it will be taking from the people, but you know, everyone is going to look bad, and that same book that they wrote about the CRA in California, they're going to write it about the CRA in Miami because somebody in the national media someday is going to write a long story about how redevelopment money is being used to support a first-class, state-of-the-art facilities for the beautiful people, and I -- and this is -- and you know -- and I understand. I understand your concern completely. I do have a vision. You know, people are said, well, you know, politician have to have a vision. My vision is very limited. It's about quality of life and people, you know, having something to live by. I don't have a vision of this grandiose projects. I don't think we can afford it. I don't think, you know -- we cannot be Malibu, in California, if we don't have, you know, the big stars with the big mansion, so -- and you know, what I promise to you is that I will be bringing back the Performing Arts Center issue, but you will have time -- Chair Spence -Jones: To review it. Commissioner Regalado: -- to examine your concerns, but I'll tell you. They have money, and if they don't have money, you know, so bad because they misspend it. I mean, I have never gone to the Performing Arts Center. Commissioner Sarnoff I haven't either. Commissioner Regalado: I -- Chair Spence -Jones: Neither have I. City of Miami Page 66 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Commissioner Regalado: -- have never gone to the Performing Arts Center, for one, because I'm afraid that I trip on the uneven floor, and second, because if I'm going to criticize, I'm not going to, you know, be there complaining that I'm sitting on the back row, and at the time that I was going to eat, they put me in the corner or something like that, so -- Chair Spence -Jones: OK. Let's get back on track real fast. Ms. Armand: But if I could just -- Chair Spence -Jones: Mr. Joseph, you've already had a chance to speak. Mr. Joseph: I want to speak. Chair Spence -Jones: I know, but we are -- first of all, the meeting ends at 8 o'clock, so we're already much behind. As a matter of fact, some of these items, I'm going to have to already defer because we're so far behind, so I would like to, at least, respect Ms. Bernadette's -- let -- allow for her to -- because you had the opportunity to speak, let her complete her statement, and then after that, we're going to bring it back to the CRA Board, and then we're going to vote on what we're doing, and then we're going to move on the next item. Ms. Armand: Thank you. I'll just say that I think it's a mistake to leave out the Performing Arts Center. I don't think the debate here, Commissioner Sarnoff is about whether or not we should continue to support the Performing Arts Center. The debate is whether the Overtown residents need to support the Performing Arts Center, and that, I feel like it's a big mistake in your argument here is we're not talking about whether Performing Arts Center will get any more money ever from anybody. The -- you mentioned the Commission meetings. This is not a Commission meeting. This is a CRA meeting. It's a different pot of money we're talking about, and this money has been earmarked for Overtown residents, and there are not a lot of pots of money in the world that are earmarked for Overtown residents, and finally, I think that the most important thing here is that it's really not about whether any of us like the Performing Arts Center, or like the park, or like the stadium, or like baseball, whatever it is. It's about how do we spend Overtown's money in a way where it benefits Overtown residents directly and not these other ways, and that's the conversation that's not happening, and finally, I close by saying the battle and negotiations between the City of Miami and the County Commission, hearing the way it's talked about, it's really upsetting to me because, you know, right now Overtown's money and the lives of District 5 residents are being used as bargaining chips in a negotiation that we have no part of. We have no idea what's being discussed in those negotiations, but a lot of important items are being discussed, and nobody knows what they are, and big decisions are being made based on, well, what's going to happen in negotiations. We don't know what's going on in negotiations. Those are called back -door deals. Those are called back -door deals, where the citizens' money are being decided on without the citizens' participation, and that's wrong, and we shouldn't be talking about here what the County might say in negotiations because we're not part of that process. All we know is that this is Overtown's money, and it should be used to serve Overtown residents. Chair Spence -Jones: Thank you, Bernadette. I just want just a point of clarification. I believe the monies for the CR -- correct me if I'm wrong -- the money for the Omni CRA would be the dollars that are coming towards the Performing Arts Center, right? Commissioner Sarnoff Correct. Chair Spence -Jones: Not Overtown, so I just -- Commissioner Sarnoff• Correct. City of Miami Page 67 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: -- wanted to make sure that we were -- I don't know if you want to put that on the record -- Mr. Villacorta: Right. Chair Spence -Jones: -- just to -- Commissioner Sarnoff: I mean, the Omni is the one that's supporting the Performing Arts Center, but you know, the record -- geography is geography, and you know, we could say whatever we want, but geography is a real thing. Chair Spence -Jones: Yeah. Commissioner Sarnoff: It's the -- Overtown is not being supported by the Performing Arts Center -- or I should say, is not supporting the Performing Arts Center, so that's a misnomer, but some people like to make political statements, and that's fine. Chair Spence -Jones: OK, so can we -- do we have -- what is the motion? Can we get back to the motion so we can get back to the agenda? Mr. Villacorta: A joint resolution of the Boards of Commissioners of the Southeast Overtown/Park West and Omni Redevelopment District Community Redevelopment Agencies prohibiting the expenditure of tax increment funds on a stadium for professional baseball or the Miami streetcar project. Chair Spence -Jones: Do I have a --? Commissioner Sarnoff: I second. Commissioner Regalado: I move it. Commissioner Sarnoff: I'll second. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Commissioner Regalado: OK. Chair Spence -Jones: OK, and -- Commissioner Regalado: Done. Chair Spence -Jones: -- just, please, make sure you put on the record, too, you do want to have, Jim -- I mean, in the meantime, Commissioner Sarnoff, all of us, all the Commissioners -- Mr. Villacorta: Will have -- Chair Spence -Jones: -- should be thoroughly briefed -- Mr. Villacorta: Briefed. Chair Spence -Jones: -- on where we are with all the other issues because we think that it's important for us, at least, to understand. Now, can I just ask this question, Commissioner City of Miami Page 68 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Sarnoff, because a lot of this stuff does fall within your area? Is there any way that Commissioner Sarnoff can be privy to what's happening back and forth between the County in this? Because I think you could probably be a lot more helpful than I am on those issues. I would like -- I know I put you on the lobbyist and now I'm putting you on this, but -- Commissioner Sarnoff: I didn't do a good job on the lobbying, so I'll do a better job on this. Chair Spence -Jones: All right. Commissioner Regalado: No, no, but you know -- Chair Spence -Jones: I just think we need to have somebody -- Commissioner Sarnoff: No. I got no problem with it. Chair Spence -Jones: -- in there that has the ability to sit down -- Commissioner Regalado: But you know, when my historical memory or my understanding -- correct me if I'm wrong -- is that when they began these talks with the County, the two point persons were Joe Arriola and Johnny Winton. Am I correct? Chair Spence -Jones: Yes. Mr. Villacorta: I believe so. Chair Spence -Jones: Yes. Commissioner Regalado: I am. Mr. Villacorta: Yes. Chair Spence -Jones: Yes. Commissioner Sarnoff: Just call me chopped liver. Commissioner Regalado: Yeah. What he -- is he chopped liver? No. He -- Mr. Villacorta: He's the flavor to be named later. Commissioner Regalado: -- should be the point person because you know what? It's -- Chair Spence -Jones: Well, I think to -- Commissioner Regalado: -- the area. Chair Spence -Jones: -- let me correct you. The reason why Johnny Winton was there is because he was the chairperson. That's the reason why he was there, but I'm saying -- Commissioner Regalado: No. The reason -- Chair Spence -Jones: -- as the chairperson -- Commissioner Regalado: -- that Johnny Winton was there because he was the one that made all the deals with the County -- City of Miami Page 69 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Well -- Commissioner Regalado: -- and -- Chair Spence -Jones: -- Commissioner Regalado, with all due respect, I mean, I'm simply saying that, to my understanding, is, as chairperson, I would be the person responsible for actually sitting in those -- Commissioner Regalado: That's true. Chair Spence -Jones: -- meeting -- Commissioner Regalado: That's true. Chair Spence -Jones: -- so I'm saying, you know, you recognize when there's people that are part of your team that can handle a situation a lot better than you can, and I think that Commissioner Sarnoff will do a lot better job than me regarding these issues on negotiating with the County, so I'm di -- I'd like to direct, at least, the executive director to sit down and work along with the County because we need the support in the Overtown area, and the other -- in the club districts and other areas that finally need to see something happening and moving, so if Commissioner Sarnoff is comfortable with it -- Commissioner Sarnoff.• It's something I'd -- Chair Spence -Jones: -- I would really appreciate it. Commissioner Sarnoff.• -- absolutely, as a lawyer, I think I would very much enjoy dealing with the County. Commissioner Regalado: Oh, absolutely, and you know, it's not about, hey, can we bring Commissioner Sarnoff? It's about, hey, Commissioner Sarnoff -- Mr. Villacorta: Wants to be -- Commissioner Regalado: -- is with us, you know? Chair Spence -Jones: Yeah. Commissioner Regalado: Because it's only fair, and it's only fair. It is important that an elected official -- because at the end of the day, the elected official has to make the last decision, and you know, and there's nothing wrong -- he's not going to tell me; he's not going to tell Michelle, but you, as executive director, will be briefing the board members as we go along, but we don't have to get involved directly, but we need somebody from the elected official perspective because he knows how we think. He knows how we are going to react, so it's important to have him there. Chair Spence -Jones: Well, I appreciate your leadership on it, Commissioner Sarnoff, and I -- Commissioner Sarnoff.• Oh, I welcome the opportunity. Chair Spence -Jones: -- respect your opinion, and I'm sure you'll come back with something that makes sense for -- Jim, you -- Mr. Villacorta: Right. No. I mean, the City's been carrying the lead on the negotiations, but I will advise them that the Board would like to have -- City of Miami Page 70 Printed on 4/16/2007 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes March 26, 2007 Chair Spence -Jones: Commissioner Sarnoff in the mix. Mr. Villacorta: -- Commissioner Sarnoff partiopate. Chair Spence -Jones: OK. Thank you very much. City ofMiami Page 71 Printed on 4/16/2007