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HomeMy WebLinkAboutSEOPW OMNI CRA 2008-02-25 MinutesCity of Miami City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com CPI • IN Q9P 99 1i? ▪ I1JYD Meeting Minutes Monday, February 25, 2008 5:00 PM Doubletree Grand Hotel (in the grand ballroom) 1717 North Bayshore Drive Miami, Florida SEOPW and OMNI Community Redevelopment Agencies Michelle Spence -Jones, Chair Marc David Sarnoff, Vice Chair Angel Gonzalez, 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 February 25, 2008 Minutes are transcribed verbatim. Periodically, agenda items are revisited during a meeting. "[Later...]" refers to discussions that were interrupted and later continued. Present: Commissioner Gonzalez, Commissioner Sanchez, Commissioner Regalado, Chair Spence -Jones and Vice Chair Sarnoff On the 25th day of February 2008, 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 at the Doubletree Grand Hotel, 1717 North Bayshore Drive, Miami, Florida. The meeting was called to order by Chair Michelle Spence -Jones at 5:14 p.m. and was adjourned at 6: 56 p.m. ALSO PRESENT: James H. Villacorta, Interim Executive Director, CRA Clarence Woods, Assistant Executive Director, CRA Gail A. Dotson, Assistant General Counsel, CRA Priscilla A. Thompson, Clerk of the Board Pamela E. Burns, Assistant Clerk of the Board Chair Spence -Jones: I'd like to officially welcome everyone to the meeting, the CRA (Community Redevelopment Agency) meeting for February 25, Monday. We're going to ask for everyone, please, to turn off your cell phones, and we'd like for you to be as quietly [sic] as possible take -- for you to quietly as possible take your seats. We have our City Manager with us today. Mr. City Manager, you can join us at the podium [sic]. We love to have you here. And we have our new acting City Attorney also joining us, Maria Chiaro. So we're going to officially start the meeting. And it's great to see our -- Miami's finest in the house, Deputy Fernandez -- it's a whole bunch of you guys here today. Is something going on that I need to know about outside of a presentation? Unidentified Speaker: We're recruiting you. Chair Spence -Jones: Okay. All right. I'm going to ask for Commissioner Regalado to -- this -- we're going to do something different, unlike we've done before in our CRA meetings, to at least open with a prayer before we start. Prayer delivered. Chair Spence -Jones: I think we all need prayer. FINANCIALS 1. 08-00195 CRA REPORT FINANCIAL SUMMARY THROUGH MONTH ENDING JANUARY 31, 2008. Financial Summary.pdf DISCUSSED Chair Spence -Jones: I'm going to ask that Miguel, please, take the mike to give us an update, first item on the agenda, financial summary. Miguel Valentin: Good evening. Good evening, Commissioners. Miguel Valentin, CRA (Community Redevelopment Agency) financial officer. On the first page, the combined statement of financial position, as cash unrestricted, we are disclosing the amount of 115,000 for Overtown and 93,414 for Omni. I just -- I want you to look at further down. You will see that we changed City of Miami Page 2 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 slightly the footnote where we are stressing out that we have added $3.1 million toward the rehab -- rehabilitation and construction of low-income, affordable and workforce housing project. And now adding the 3.1 million to the beginning balance that we were disclosing in the past, we have a remaining balance of $4,113, 031. And we have the monies as of today. There is no reportable condition, and if you have any question, I will be more than happy to answer you. Chair Spence -Jones: All right. Any questions from our fellow Commissioners? Commissioner Gonzalez: I move the financial report. Commissioner Sanchez: No action needed. Priscilla A. Thompson (Clerk of the Board): No action needed. Chair Spence -Jones: Okay. Commissioner Sanchez: No action needed. Chair Spence -Jones: Okay. All right. No action is needed. Thank you, Miguel. Thank you. RESOLUTIONS 2. 08-00188 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 TRANSFER FUNDS, IN THE AMOUNT OF $35,000, TO THE BUDGET OF THE OFFICE OF THE CITY CLERK FOR SERVICES TO BE RENDERED DURING FISCAL YEAR 2008 AS CLERK OF THE BOARD, CONTINGENT UPON ANY UNUSED FUNDS BEING RETURNED TO THE CRAS AT THE END OF THE FOURTH QUARTER OF FISCAL YEAR 2008; FUNDS TO BE ALLOCATED FROM GENERAL OPERATING FUND, ENTITLED "INTERFUND TRANSFERS," ACCOUNT CODE NO. 10030.920101.891000.0000.00000. Cover Memo.pdf Financial Form.pdf Legislation. pdf Motion by Commissioner Sanchez, seconded by Commissioner Gonzalez, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 5 - Vice Chair Sarnoff, Commissioner Gonzalez, Chair Spence -Jones, Commissioner Regalado and Commissioner Sanchez CRA-R-08-0007 Chair Spence -Jones: Jim. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Thank you. Item number 2 is a joint resolution of the Boards of Commissioners of the Southeast Overtown/Park West and Omni Redevelopment District Community Redevelopment Agencies authorizing the executive director to transfer funds, in the amount of 35, 000, to the budget of the Office of the City Clerk for services rendered as Clerk of the Board. City of Miami Page 3 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Sanchez: So move. Commissioner Gonzalez: Second. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: All right. This item passes. 3. 08-00189 CRA RESOLUTION A JOINT RESOLUTION OF THE BOARDS OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST AND OMNI COMMUNITY REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCIES AUTHORIZING THE ISSUANCE OF A REQUEST FOR PROPOSALS FOR EXTERNAL AUDITING SERVICES. Cover Memo.pdf Legislation.pdf Motion by Commissioner Gonzalez, seconded by Commissioner Regalado, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 5 - Vice Chair Sarnoff, Commissioner Gonzalez, Chair Spence -Jones, Commissioner Regalado and Commissioner Sanchez CRA-R-08-0008 James H Villacorta (Interim Executive Director, Community Redevelopment Agency): Item number 3 is a joint resolution of the Boards of Commissioners of the Southeast Overtown/Park West and Omni Community Redevelopment District Community Redevelopment Agencies authorizing the issuance of a request for proposals for external auditing services. The -- this is required because our contract with the existing external auditing firm has expired Chair Spence -Jones: Do I have a motion on -- or any questions on this item, first of all? All right. Commissioner Regalado: No. Chair Spence -Jones: Do we have -- Mr. Villacorta: It will -- yeah. Chair Spence -Jones: -- a motion on this item then? Mr. Villacorta: An REP (Request for Proposals) will be issued, and the selected proposer will come back for approval of his contract. Commissioner Regalado: Second Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: This item passes. City of Miami Page 4 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 4. 08-00193 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY AUTHORIZING THE PURCHASE OF LAND WITHIN THE REDEVELOPMENT AREA IN FURTHERANCE OF THE BOARD'S COMMITMENT TO PROVIDING LOW INCOME, AFFORDABLE, AND WORKFORCE HOUSING, PROVIDED THAT THE PURCHASE PRICE OF ANY PARCEL SHALL NOT EXCEED 10% OF THE APPRAISED VALUE; AUTHORIZING FUNDING, IN AN AMOUNT NOT TO EXCEED $2,000,000, FROM FUNDS BUDGETED FOR THE BOARD'S COMMITMENT TO SAID HOUSING; AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE ALL DOCUMENTS NECESSARY FOR SAID PURPOSE, IN A FORM ACCEPTABLE TO SPECIAL COUNSEL; FUNDS TO BE ALLOCATED FROM SEOPW TAX INCREMENT FUND, ENTITLED "CONSTRUCTION IN PROGRESS," ACCOUNT CODE NO. 10050.920101.670000.0000.00000. Cover Memo.pdf Financial Form.pdf Legislation.pdf Motion by Commissioner Gonzalez, seconded by Commissioner Sanchez, that this matter be ADOPTED WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: 5 - Vice Chair Sarnoff, Commissioner Gonzalez, Chair Spence -Jones, Commissioner Regalado and Commissioner Sanchez CRA-R-08-0014 Direction by Chair Spence -Jones to the Interim Executive Director to meet with the project developer to start moving the project forward in Overtown; further, directing the Interim Executive Director to report back to the Board by the end of the month regarding the overall project and its progress. Chair Spence -Jones: Now we're going to go back up before we do the police presentation so we can get through this item. Commissioner Sanchez: Let's do number 4. Chair Spence -Jones: Yes. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Item number 4 is a resolution of the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency [sic] authorizing the purchase of land within the redevelopment area in furtherance of the Board's commitment to providing low-income affordable and workforce housing, provided that the purchase of any parcel shall not exceed ten percent of appraised value; and authorizing funding in an amount not to exceed $2 million. Commissioner Gonzalez: Move it. For me, you said the magic word, affordable housing. Commissioner Sanchez: Second. Chair Spence -Jones: All in favor? Vice Chair Sarnoff.. Wait, wait, wait. Chair Spence -Jones: Okay. City of Miami Page 5 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Sanchez: Wait, wait, wait. Chair Spence -Jones: Oh, wait. Yeah. Vice Chair Sarnoff Could I just -- Chair Spence -Jones: We do have a couple questions. Vice Chair Sarnoff -- get a discussion? 'Cause I want to understand it. Chair Spence -Jones: Okay. Vice Chair Sarnoff Can you explain it? Mr. Villacorta: The Board, in the past, put out an RFP (Request for Proposals) for development of parking lot P-3 on 3rd Avenue. The proposer that we selected to negotiate with, and which the Board authorized the staff to negotiate with, was Urban Development Group, for their Jazz Village project. They've come to us and stated that we need to acquire a parcel immediately from the Collins Center in order to make that project viable. The -- on Friday we received an appraisal that appraised out to the amount requested, which is $962, 000. The -- this resolution would authorize the Board to acquire parcels within the CRA (Community Redevelopment Agency) for -- in furtherance of the commitment to affordable and low-income housing. Their -- the Collins Center owns a number of properties within the CRA, some of them are on blocks that we were attempting to assemble. We own some parcels on blocks that they were attempting to assemble. This block -- we haven't completed the negotiations for the project yet. It's possible that we could buy these parcels, and if the negotiations aren't completed, you would own parcels on a block that we have no immediate developer for. They own parcels on an adjacent block, Blocks 26 west, where the Ward Rooming House and the Masonic Lodge are located. We own two-thirds of that block. The lots on that block would be of more use to the CRA. That would be my recommendation to acquire those lots. You have a map there showing those parcels as 5 and 6. The next option would be to acquire the parcels on the Ward Rooming House block and the parcels on the P-3 block. That would be the second most favorable option for the CRA, and the third would be to acquire the lots on P-3 in a vacuum. Chair Spence -Jones: I know, Commissioner Sarnoff, you have the floor. I just want to make a comment. Commissioner Regalado was at -- not actually on the dais when they moved and second it, but I do want to at least -- I have some questions and some thoughts on this whole item 'cause I want to be very clear about some issues regarding the item. One being just the way that it was actually put on the agenda, the resolution, and how it was written, so -- but I'm going to let Commissioner Sarnoff communicate his point first. Vice Chair Sarnoff Well, I have some concerns. I have some concerns that if we just do what's asked, that we're going to end up -- we could end up with nothing, just stand in a status quo ante and just acquire some land. And it seems that your incentives are better if we do your options. I mean, your options include the benefits that you can get with regard to the Ward Rooming House, versus just giving them this money. And it seems like if we're going to be good stewards with the people's money, that we can come up with an option that you just discussed, as opposed to just giving them the money and not even knowing if we're going to move forward with any of these projects. I mean, what's happened is the Collins Center has been able to purchase land adjacent to wherever the CRA purchases land and sort of play a game of chess with us. And it just seems that we could do a slightly better job -- and I don't mean to say slightly -- I mean a better job if we follow some of your options. I've read your options. I think your options make sense. I think it's a better protection for the citizens of Miami. I think it's a much better protection for the CRA, and I think we should consider your options, versus just saying, yeah, City of Miami Page 6 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 let's just go ahead and give them the $962, 500. Chair Spence -Jones: Any other points you want to add on that, Commissioner Sarnoff? Vice Chair Sarnoff No. I'd be -- Chair Spence -Jones: Okay. Vice Chair Sarnoff.. -- glad to state those options more clearly, but he -- Jim knows them, and they're right in front of us. Chair Spence -Jones: Okay. Jim, did you have a point that you wanted to make? You -- Mr. Villacorta: The Collins Center owns the majority of Block 26 east, directly to the east, which is right across from the Lyric Theater. Perhaps by purchasing both sets of these parcels, they would be able to take the funds -- the excess funds and go over and complete the acquisition of that block, and we might get three projects out of this; the one on P-3, one on Ward Rooming House block, and one on the block across from the Lyric Theater. Chair Spence -Jones: Okay. Commissioner Sanchez: Three projects. Mr. Villacorta: I mean, you would have assembled three -- Chair Spence -Jones: Commissioner San -- Mr. Villacorta: -- blocks. Commissioner Sanchez: No, no, no. I want to hear from him. Chair Spence -Jones: Okay. Jazz Village, you have statements you want to make? Albert Milo: Good evening, Commissioners. Albert Milo, president of the Urban Development Group. Let me share a little clarity on this issue because this is a blanket type of resolution and it wasn't the resolution that we had previously discussed and had pre -meetings before this with each of the present Commissioners. If you recall in July, you approved the Jazz Village development, which is the development that we were associated with. It is for a parking lot that is adjacent to four pieces of property that are currently owned by the Collin [sic] Center. That development called for 70 low-income rental housing units, rental, 41 homeownership units, a national medical training school that's going to come to Overtown and provide 17 career choices that start between 21,000 and $45, 000 for the graduates that graduate from this school, and other small businesses. Now, as part of our financing package -- and I have the letters here -- you heard about new market tax credits. Well, we have a set aside of new market tax credits through SunTrust Bank for our development. We have four percent bonds, and I have an updated commitment letter. We have a million dollars for the Jazz Village project from HODAG (Housing Development Action Grant) funding from Miami -Dade County. My fear is that this resolution, since it's a general resolution and not a specific resolution as to our project, is that we get lost in the shuffle, and that's nothing new of how these deals work. We wanted your -- I would like for you to consider the fact and the motion to just acquire for $962,500, which was the amount of money in our proposal for four parcels of land from the Collin [sic] Center. We've provided an appraisal, which the CRA director ordered a new appraisal. The property's re -appraised 'cause I know that was Commissioner Sarnoffs main concern. You had an issue with the appraisal; we got them reappraised, the value's there. We provided a phase I environmental; it's clear. We provided an estoppel letter. It's a partial release for a blanket City of Miami Page 7 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 mortgage for exactly $962,500. The Collin [sic] Center is not receiving a penny. It's going directly to their lender, but my fear -- if you guys want to buy additional properties in the CRA, that's okay. I would just ask for you to consider that our purchase be independent and -- from any other land purchases the CRA's going to make. Because you hit the nail on the head Commissioner Regalado. You don't have an endless supply of money. If you defocus your efforts in trying to do three or four blocks, you're going to get the results that you've always had, which is no development in this area. You need to focus your efforts in one spot, get one project built. There's a saying, you got to crawl before you walk; you got to walk before you run. You guys haven't started crawling yet. We need to have it -- some focused effort to get one project built; get it out of the ground so you can have one success story in Overtown. Chair Spence -Jones: Collin [sic] Center. Philip Bacon: Madam Chair, I would like to say emphatically that, as the owner of the properties -- the adjacent properties next to the Ward Rooming House, we have not agreed to sell those properties to the CRA precisely because our focus -- we acquired land so that we could help facilitate projects. Right now the plan that the CRA has apparently presented you with is over three or four blocks. We have said consistently that if this Commission takes action to get one project out of the ground, we would be more than happy to negotiate any additional purchases for land adjacent to the Ward Rooming House. And in fact, I have said repeatedly that if the CRA -- that we would be willing, as the Collin [sic] Center, to sell all of our properties, provided the CRA had a vision and an implementable [sic] plan to take those properties upon purchase and do projects. And what we found is is that -- for instance, today we have a project that we have -- that we've partnered with the Urban Development Group to actually implement and do, and what we've asked for is we've asked for -- that this project -- that the land be purchased so that the CRA could assemble a site so that we could keep going in the direction of actually producing a project. Instead, what I think we're hearing is about the ability of the CRA to buy additional land of which -- part of which, at least, that we're involved in that we had not considered to sell to the CRA, and then have the Jazz Village project as a third priority in terms of what you plan to do going forward And I can emphatically state to you that, for our purposes, as land owners, our purpose is to see a project done in Overtown, and if that does not happen at Jazz Village, we see no reason why we should continue to negotiate with the CRA or anybody else for additional property. Chair Spence -Jones: Reverend Ross. Just put your name on the record. Ralph M. Ross: My name is Ralph M. Ross. I'm the pastor/teacher of the Historic Mt. Zion Missionary Baptist Church. I don't know exactly how to begin to make my remarks 'cause sometimes I get pretty upset about things and I come over like I'm hostile, but I'm not hostile. I'm just fed up with a lot of vacillation that is, in my opinion, very detrimental to our community. I happen to be one of those persons who is an original Miamian. I was born in Overtown, and I was raised in Liberty City and Brown Sub, and I came back to this historic church with the intention of trying to assist our people in developing themselves and in developing the community. I've been in this community for 18 years as the pastor/teacher, and there's not one single solitary thing that I can put my finger on that indicates that there's been real development in Overtown. Every time we come up with what seems to be a solid project, there's always vacillation. I hear this Board and the Commission passing out millions of dollars. I was told that there were "X" number -- and you all excuse me, but I was told there were "X" number of CDs [sic] in our community that have had "X" numbers of dollars, and they have not developed anything. I was also told -- I don't even want to be involved in these kinds of things -- but I was told that our CDC (Community Development Corporation) is the only one that has not been under any kind of legal censure because we haven't done anything because we have not been involved. And I could go and start talking about some things in the past, but that would be ugly. I don't want to do that. But my point is, the only reason why I'm involved with this project is because I feel like it's going to do something for the people in Overtown. It's going to help our City of Miami Page 8 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 church to validate itself as a people -oriented, people -centered, people -assisted institution. And I think that these men should be supported in whatever it is they are doing so that we can at least show that something is going to happen in Overtown that's going to help our people and help us to do what we ought to be doing, both as a church and as a Commission. And I'm through. God bless you. Commissioner Gonzalez: Madam Chair. Chair Spence -Jones: Thank you, Reverend Ross. Yes. Sorry. Commissioner Gonzalez: I believe, about a year ago, you designated me to -- Chair Spence -Jones: Yes, sure did. Commissioner Gonzalez: -- try to put this deal together and to get it through. Chair Spence -Jones: Yes, sir. Commissioner Gonzalez: And let me tell you, I'm really shocked, and I'm really very, very disappointed to see that, a year later, we're still fooling around with this project. And I have to agree with the reverend. I mean, we come here and we throw money right and left, up and down, and we don't see anything substantial done in Overtown. And I've been talking about this -- and you may ask yourself, why am I so absent of these meetings? Well, you have the answer. Overtown is dying, and the need of affordable housing, economic development and all of those things, and we come here and we come over and over and over, and we don't get -- we are not able to get one single project, and it disappoint me and -- let me tell you. I don't know what the direction -- you are the Chair. I don't know what the direction of the executive director is, but the executive director has to start realizing what the needs of Overtown are and start responding to those needs. And complete projects. We need to start completing projects. If we have one project in hand that is almost done, let's get it done, let's get it finished, let's get it off the ground and stop putting obstacles and difficulties into this project. I'm sick and tired of this. It's been seven years coming to these CRA meetings and seeing no progress, no progress. Thank you. Chair Spence -Jones: Wow. Okay, Commissioner Gonzalez. Any other questions from my fellow colleagues? I think we had a motion and a second. I think what's been put on the record by the Jazz Village folks is that they want this to be, I'm assuming -- is it -- correct me if I'm wrong. Car -- are they asking for this to be carved out? I want to just be clear on what the communication is. Commissioner Gonzalez: I want to amend my motion. Chair Spence -Jones: Okay. You want to amend your -- Commissioner Gonzalez: I made a motion to approve. My motion is to specifically buy whatever land we need to buy to get this project off the ground. And if we have money left that we want to buy some other lots for another project for another purpose, go ahead and do it, but it's time to get this project done. I mean, you asked me -- Chair Spence -Jones: Yes, I did. Commissioner Gonzalez: -- to chair this committee. You asked me to negotiate this project. My God, a year later and we're still fooling around with it? It's incredible. That is my motion. Chair Spence -Jones: So we have a -- City of Miami Page 9 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Mr. Ross: Can I just (INAUDIBLE) --? Chair Spence -Jones: Reverend Ross, we want to go 'head [sic] and at least take up the item. Mr. Ross: I just want to make -- Chair Spence -Jones: Okay. Mr. Ross: -- just one point. Please, just one point, please. I just simply want to say that we were approached by the CRA -- this was a competitive project. The CRA set its standards and requirements for this development. We're not the only project. There were several other projects, and we met twice. The first time, the community voted for us, and then you had a representative committee to come and hear the three presentations, and they voted unanimously for this project. And that is the reason why it's so frustrating to me because I assumed that it was on the ground and running. And to come in here and hear this kind of discussion is absolutely frustrating. But I'm through with it. I just wanted to put that on the -- because it is your project, - it's not our project. You asked -- Chair Spence -Jones: Thank -- Mr. Ross: -- for it, and we delivered, and I think that you should deliver. That's all I want to say. Chair Spence -Jones: Thank you, Reverend Ross. And we had a mo -- Madam Clerk, we had an amended motion? Priscilla A. Thompson (Clerk of the Board): Actually, the maker of the motion made an amendment to his own motion, so -- Chair Spence -Jones: Okay. Ms. Thompson: -- as long as the seconder will give the second again -- Commissioner Sanchez: I second it, and I accept the amendment. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: This item passes. Ms. Thompson: Are there any nos? Chair Spence -Jones: Are there any nos? There're no nos. Ms. Thompson: Thank you. Chair Spence -Jones: The only comment that I do want to make on this as we close it -- police -- the Police Department can come up next for the -- for next presentation. I'm actually going to turn the gavel over to my vice chair because I do have a 6:30, which I'm late for, right? What time is it? Vice Chair Sarnoff 6:35. Chair Spence -Jones: Okay. City of Miami Page 10 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Mr. Milo: Madam Chair. Chair Spence -Jones: I do just want to say -- I do want to just say something really quickly on this issue, you know. As not only the Chair of the CRA, the district Commissioner for the area, you learn very quickly sitting in this seat how difficult it is to get anything moving in Overtown. And you get criticized for making decisions, for, you know, trying to move projects because someone's always trying to create an unknown reason why you're supporting a project when the reality is you're just trying to get something done. You know, I have been a firm believer, at least within my community, that it's important to support the churches in your community. Reverend Ross, Historic Mt. Zion, has been the fabric of the Overtown community longer than I've been born and probably some of -- but not -- you haven't been around that long, Reverend Ross, but the point is the Historic -- Mr. Ross: (INAUDIBLE) 11 years. Chair Spence -Jones: -- Mt. Zion has really been a very important part of the Overtown community, so you know, it's just amazing how when you're trying to move forward and get things done, there's always obstacles. I appreciate the chairman -- excuse me. I'm calling him the chairman like we're at the City Commission meeting. Commissioner Gonzalez -- and I know he's frustrated. He is the chairman of the economic development committee for -- the housing committee, and it's been frustrating for him to get things moving so, I just want to apologize for him getting angry, and I don't know if he left -- Did he physically leave the building? Unidentified Speaker: Yes. Chair Spence -Jones: Okay. Because of just trying to get things moving and it not happening, so I think the question around -- is for Jim, and I know Jim has been working hard, so I don't want to, you know, discredit or, you know, make it appear as though Jim has not been working hard to at least move the project, but I think there was concerns around the proposal and what was originally put out in the beginning regarding the proposal, correct? Mr. Villacorta: Right. This request is a variance from what was proposed in the RF -- in their response to the RFP. It actually is requesting that you pay for a lot that, in the RFP, they were donating. This propo -- these lots were supposed to be purchased by the developer in phase II of the project. That's a variance that the Law Department will have to opine on. Chair Spence -Jones: All right. And I thought it was important for you to put that on the record, Jim, because I know that you're only trying to do the right thing, and that's your job because, at the end of the day, we're all going to be looking at you. Mr. Villacorta: Right. Chair Spence -Jones: So -- but I think that the chairman is basically -- of that particular committee is overruling that 'cause he really wants to get something done. So with that being said, I'm asking or directing that you please sit down and you -- whatever you guys need to do to get things moving on a project that needs to happen in Overtown. And please be prepared to bring something back to us by the end of the month regarding the overall project to make sure that, you know, we remain protected and we're doing the right thing. That's really important that you do that, okay? Mr. Villacorta: Sure. Chair Spence -Jones: All right. Thank you very much. City of Miami Page 11 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 [Later...] Chair Spence -Jones: Commissioner Regalado, I don't know -- Commissioner Sanchez, were you going to make a comment on this issue -- I mean, Commissioner Sarnoff, you were making a comment on this or asking Commissioner Regalado a question on this or no? Vice Chair Sarnoff On this issue? No. I -- Chair Spence -Jones: Yeah, on his statement. Vice Chair Sarnoff.- -- was going to apologize to Jim for not coming to his aid a moment ago when I just voted very quietly because I think it needed to be said, Jim, that what they're asking for was a change, and what they had agreed to was purchase two lots, and now they're asking for us to buy those lots. So it's a substantial -- to me, it's a substantial change from what the RFP stated, and I think it substantially changes the position that we were in. And I should have come to your aid a little more when Commissioner Gonzalez was kind of berating you a little bit because you were just doing your job. Mr. Villacorta: I think both times that this developer has proposed projects, we've tried to hold him to the proposal. Eventually, the last time, the Law Department opined that we could not give the variance from that proposal, and we put the whole project out again. We have negotiated with them. The -- in January, he came and said that due to changes in financing and the needs of the Collins Center, he needed to change this proposal. We've worked with them, and we'll continue to work with them. We thought that, perhaps, the Collins Center would assist us as we assisted them, but you've heard them. Chair Spence -Jones: Thank you, Jim. Yes -- Gail A. Dotson: Madam Chair. Chair Spence -Jones: -- Madam City Attorney. Ms. Dotson: The -- can the Clerk repeat that motion? Can you repeat the last motion for the benefit of the developer? Ms. Thompson: You mean word for word, as made by the maker? Ms. Dotson: Yes. Ms. Thompson: No, I can't, but I could play it back for you. And I'm serious. I'm being serious on that. I could only record [sic] back for you your vote, but if you want me to play it back, I can verbally play it back for you. Mr. Milo: Well, I just want to be clear on the motion that was passed because -- whether it's the amended motion that we're going to deal with, the immediate three lots for Jazz Village, or is it the blanket --? That's really the clarity that I want to have on the motion. Vice Chair Sarnoff Oh, I think your amended -- Ms. Dotson: We can tell -- we can give you the motion before you leave tonight, or we could tell you. Ms. Thompson: Yes. I mean, we can play it back, but at the end and he can hear the entire motion. City of Miami Page 12 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 5. 08-00192 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 CRAS TO ACQUIRE A MINORITY INTEREST IN THE CITY OF MIAMI'S COMMUNITY DEVELOPMENT ENTITY, MIAMI ECONOMIC DEVELOPMENT FUND, LLC.; AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE ALL DOCUMENTS NECESSARY FOR SAID PURPOSE. Cover Memo.pdf Legislation.pdf Motion by Commissioner Sanchez, seconded by Commissioner Gonzalez, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 4 - Commissioner Gonzalez, Chair Spence -Jones, Commissioner Regalado and Commissioner Sanchez Noes: 1 - Vice Chair Sarnoff CRA-R-08-001 0 James H Villacorta (Interim Executive Director, Community Redevelopment Agency): Number 5 is a joint resolution of the Boards of Commissioners of the Southeast Overtown/Park West and Omni Redevelopment District Community Redevelopment Agencies authorizing the CRAs (Community Redevelopment Agencies) to acquire a minority interest in the City of Miami's community development entity, Miami Economic Development Fund, LLC (Limited Liability Company). The City has applied for new market tax credits and created a community development entity which is able to receive these credits. They would like the CRAs to partner with them as -- in that fund as a minority partner to enhance their ability to obtain the tax credits. Chair Spence -Jones: Any questions on this particular -- Commissioner Sanchez: Yes. Chair Spence -Jones: -- item? Commissioner Sanchez: Just have a question on that. Chair Spence -Jones: Sure. Commissioner Sanchez: Executive Director, if we are joining the City's CDE (Community Development Entity) and the CRA and we're putting them together, does it have any liability to the CRA if something should go wrong with the CDE? Mr. Villacorta: Well, the CDEs are set up to receive tax credits and make them available to projects. Theoretically, there could be a liability. You know, anybody can be sued for anything. I think our liability would be minimal. Commissioner Sanchez: I'm just saying, as a board, our interest is to protect -- Mr. Villacorta: Yes. Commissioner Sanchez: -- the CRA. Being you're the executive director, does this have any liability? I'm sure anybody could sue anybody, but joining them together -- City of Miami Page 13 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Mr. Villacorta: Well, we're becoming a partner in a limited liability company. We would have some exposure, but I think it's a reasonable exposure for this Board to undertake. It would be substantially less than the City's exposure. Chair Spence -Jones: So let me -- I want to ask Ms. City Attorney -- Mr. Villacorta: Sure. Chair Spence -Jones: -- has this already -- have you ran this by the City Attorneys Office? I don't know ifMaria's here, but I know that our current City of Miami CRA attorneys here. Gail, were you able to -- do you feel pretty comfortable with this transaction? Gail A. Dotson (Assistant General Counsel): Basically -- we had -- you know, we looked at the resolution and looked at the -- we haven't actually looked at the agreement because I don't think that's been drafted as of yet. Mr. Villacorta: No. The agreement between the City and the CRA has not been drafted, but the City set this up at the City level, so this came before you as the City Commissioners to set this up. Typically, in a limited liability company, you're limited -- your liability's limited to the assets that you place at risk in the company. Chair Spence -Jones: Commissioner Re -- Chair Sanchez: And I am -- Chair Spence -Jones: I'm sorry. Commissioner Sanchez: I'm sorry. And I'm very aware that for us to receive the new market tax credit it require us to join up with a minority interest -- Mr. Villacorta: Yeah. Commissioner Sanchez: -- group. Mr. Villacorta: It needs to have some nonprofits as a -- Commissioner Sanchez: Right. Mr. Villacorta: -- partner. Commissioner Sanchez: Okay. I just want to make sure that when we partner up with these nonprofits, that there's due diligence done in place, and it doesn't come back to bite us in the past [sic] as others have. That's all I have to say. Chair Spence -Jones: Commissioner Regalado, you're recognized. Commissioner Regalado: Jim, what is -- what would be in the term "acquire"? Mr. Villacorta: Whether it would be sold to us for some minimal amount, a dollar, or whether they would just grant us the stocks. That's the reason we used acquire instead of purchase. Commissioner Regalado: And when you say minority, we will be sharing the same amount of -- say we have ten percent of the entity, we will be sharing ten percent of the benefits? City of Miami Page 14 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Mr. Villacorta: The idea is to apply for the new market tax credits by having nonprofit partners who have to have at least a minimal interest in the corporation, which I would expect to be under ten percent. It makes it more likely that the credits would be awarded, and they would be used for projects. At this point, there -- in the CRA, there are two; one in Park West and one in Omni that are interested -- two developers that are interested in receiving new market tax credits to facilitate the financing of their projects. Chair Spence -Jones: I see CD (Community Development) here. Do you want to put anything on the record about new --? Marcus James: Well, I just have a -- Chair Spence -Jones: That's on the mike. Your name and the department. Mr. James: Marcus James. I'm with Economic Initiatives under the City Manager's Office. Only reason I'm coming in, just in case there's any questions -- without this partnership, we not - - we're not even a player. Actually, we're going to be submitting on March 5, and when Broad and Cassel actually created the CDE, they didn't do it correctly. So this will establish the partnership that we need in order to apply. Chair Spence -Jones: Okay. Mr. James: So -- Vice Chair Sarnoff Can I ask a couple of questions? Commissioner Sanchez: And you've done your due diligence? Mr. James: Absolutely, sir. Commissioner Sanchez: Okay. Mr. James: Absolutely. Vice Chair Sarnoff Madam Chair. Chair Spence -Jones: Commissioner -- yes. Commissioner Sarnoff, you're recognized. Vice Chair Sarnoff First place, who is the managing partner of Miami Economic Development Fund, LLC? Who's the managing member? Mr. James: The managing member? Vice Chair Sarnoff Yes. Mr. James: The 99 percent is owned by the City of Miami. The one percent would be the CRA. The board, which will be meeting, hopefully, on this Thursday to establish the board members -- but that hasn't been taken -- that won't take place until Thursday. Vice Chair Sarnoff.- Okay. Madam City Attorney, who's the managing member? Ms. Dotson: Of the CDE? Vice Chair Sarnoff.- Yes. City of Miami Page 15 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Ms. Dotson: At this time, as Mr. James said that, the City of Miami owns 99 percent, and they are -- Vice Chair Sarnoff That's not my question. My question is, who's the managing member? Ms. Dotson: At this time -- actually, I don't have that file right in front of me, but at this -- the board was supposed to meet earlier today, and the board did not meet. And when the board meets on Thursday, they will be establishing all of that criteria. Vice Chair Sarnoff Well, just before we vote, the managing member is the person who will make -- take primary responsibility for how and what new market tax credits are applied for and what is received. How can we enter into an agreement when we don't know who the managing member will be? Commissioner Gonzalez: Exactly. Ms. Dotson: Well -- and that's a very good question. And the agreement has not even been drafted as of yet. Vice Chair Sarnoff.- So how could we be acting as a fiduciary on behalf of the CRA -- as Commissioner Sanchez has said, there's a potential liability -- when we don't even know who'll be directing our actions? Ms. Dotson: Well, it's -- Mr. James: If I'm not mistaken, I think it's Larry Spring. No? Vice Chair Sarnoff He's going to be the managing member? Mr. James: I'm not sure. I think he's going to be the -- Commissioner Gonzalez: Defer the item. Ms. Dotson: It's my -- Chair Spence -Jones: Okay. Let's bring some order to the meeting. The question becomes for me, after hearing everyone speak, to my executive director, how was this item even placed on the agenda without flushing it all the way out? Mr. Villacorta: I think -- ifI can give you a little order. The City Commission is the managing member, and the person they've appointed -- well, the City is the managing member, and the person they've appointed to operate in their stead is Larry Spring, chief financial officer. They will be -- the board will be meeting to flesh out their bylaws and their operation agreement. The deadline for the application is March 5, and the City asked that we place this on our agenda to allow us to become minority partners and allow them to qualifir for the new market tax credits. Vice Chair Sarnoff Is that in writing, or is that an intention? Mr. Villacorta: I mean, Larry Spring, at present, is the representative of the City, who is the managing member of the corporation. Chair Spence -Jones: And let me ask you something, Jim. Does this have to be dealt with today because of the March 5 date? Mr. Villacorta: Yes. City of Miami Page 16 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Chair Spence -Jones: Okay. Mr. Manager, do you have any comments on this? Because we're bring -- we're mentioning Larry Spring's name over and over again. I don't know if you have any comments on this. Pedro G. Hernandez (City Manager): Madam Chair, Commissioners, my understanding is that Larry Spring, from my office, is representing the Manager and the City in that CDE. Chair Spence -Jones: Do we have any other questions on -- from the dais regarding this -- the issue? Any questions on this, additional questions? Commissioner Sarnoff, I know you have a lot of -- you had a lot -- is there -- do you feel that they've sufficiently answered the questions? Vice Chair Sarnoff.- I think they've given us what they intend to do, but I don't think it's in writing, and I don't think it's etched in stone. And if we're concerned about liability -- and I don't think it's a major concern -- but we should have been able to answer directly who is the managing member. We should have been able to answer what our percentage interest is. We should have been able to answer what the CRA's ability to guide that particular board will be. Chair Spence -Jones: Okay. Vice Chair Sarnoff I don't -- Chair Spence -Jones: Not cutting you off. I -- my staff just told me that Larry Springs [sic] will be here in ten minutes. Vice Chair Sarnoff Okay. Chair Spence -Jones: So -- Commissioner Sanchez: Let's -- Chair Spence -Jones: -- we're going to defer this item so that -- Commissioner Sanchez: No, no. Let's table the item, not defer. Chair Spence -Jones: Okay, sorry. Table the -- Commissioner Regalado: One question. Chair Spence -Jones: Sure. Commissioner Regalado: You mentioned that it was -- before it was done wrong? Mr. James: Yeah, the way it was established. It should have been established as a partnership. That allows us to qualifir for the credits. Commissioner Regalado: But when was that? Mr. James: When it was established by Broad and Cassel. Commissioner Regalado: When was done wrong? Mr. James: I don't have the exact date, sir. I don't have the exact date when it was established. Commissioner Regalado: Was it like last month or --? City of Miami Page 17 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Mr. James: Maybe a couple of months ago. It was just recently established. Commissioner Regalado: And it was done wrong? Mr. James: Exactly. When we talked to the consultants who are helping us with the application, they identified the fact that we're not a partnership, so without that, with all the work we've done over the last month and a half, we wouldn't be a player in terms of trying to get the credits. Chair Spence -Jones: Thank you. So we're going -- Commissioner Gonzalez: All right. Chair Spence -Jones: -- to table this -- Mr. Villacorta: Table this item. Chair Spence -Jones: -- item until Larry Spring gets here. So we're going to move on to the next item. [Later...] Vice Chair Sarnoff Okay. Moving to item number 3 on our agenda. Mr. Villacorta: I think we're at item number 7. Were we going through the list? 3 was -- Vice Chair Sarnoff The Chair told me to go to 3. Mr. Villacorta: You've already passed 3. Commissioner Gonzalez: 3 and 4 are done, right? Mr. Villacorta: No, 4 is not. Vice Chair Sarnoff 4 is not done. Commissioner Gonzalez: 4 is not done? Mr. Villacorta: No. We had -- we were skipping over that since it was going to -- to get some of the ones -- Vice Chair Sarnoff Well, we got L. Spring here, so what were we working on L. Spring with? Mr. Villacorta: We were working on Larry Spring with -- Chair Spence -Jones: 5. Mr. Villacorta: -- number 5. Vice Chair Sarnoff All right. Let's go back to number 5 now that we got the L. Spring here. Mr. Villacorta: The managing member. Larry Spring: Commissioners, Larry Spring, chief financial officer. I heard that you had some questions regarding the item regarding the CRA purchasing one percent -- City of Miami Page 18 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Sanchez: Could you -- Mr. Spring: -- of the CDE. Commissioner Sanchez: -- elaborate on that? And there were some questions that -- who was be -- who would be the one handling on -- who would handle this. Was it the City, the CRA? Clarify some of those -- Mr. Spring: Okay. Going back to, actually, about a year ago today, the City Commission authorized the City Manager to pursue establishing a qualified CDE so that -- fund -- or company, or LLC, so that the CDE could apply for a new market tax allocation from the U.S. (United States) Treasury. Part of that process, we've been building for the last year. We've gotten our CDE established legally, so it is a corporation. It has its initial board set up. Part of the requirements of the qualified CDE with the U.S. Treasury evaluating our application is to -- for the City to have two, I guess, ownership members. We chose the CRA as a good member because there's a consistent pipeline of projects that the CRA is funding with the TIF and it has a history of funding those projects, all of which will go -- will be looked upon favorably by the U.S. Treasury in evaluating our application. As far as who is the manager of the CDE, I guess by virtue of the City Commission's authorization, the City is the manager. I, myself, have been acting in getting all of the legal documents establ ishea working with our City Attorneys Office, getting all of the, I guess, logistical things established, working on the application, so the City is acting on behalf of the CDE. We'll actually -- we planned on bringing a item to the City Commission, a resolution, where we formally pass, via a interlocal agreement between the City of Miami and the CDE, to, I guess, formally approve the use of City staff, City resources in order to fulfill this effort. But by virtue of the City Commission's previous action, it already directed the City Manager to use those resources and take the steps to establish this company, so -- Vice Chair Sarnoff Larry, could I ask a question? Mr. Spring: Um -hum. Vice Chair Sarnoff New market tax credits, what kind of money are we talking about here? Mr. Spring: The City's actually going to apply for the maximum allocation, which is $125 million. We would then have to partner with one of -- a handful of financial institutions in the country that actually sell the credits on our behalf. Right now, we've received commitments for the entire 125 allocation. Vice Chair Sarnoff I'm sorry. You turned away. I didn't hear you. Mr. Spring: We've received commitments from four -- I think, four financial institutions that have formally agreed to partner with the CDE in order to sell those credits. In essence, a transaction would be -- say we would -- say a major project like Bayview Marketplace, which is one of our pipeline projects, they're in need of $30 million of equity. So they would be looking for a loan transaction, if you will, for 70, $80 million. That loan transaction will include a nonrepayable grant of about $30 million, which would be applied into the project. Now the stipulation on that would be they would be (a), servicing a low-income census tract area, be providing jobs to some agreed upon -- we -- and we at the CDE would determine what those terms are; a number of jobs, you know, to fulfill the needs of that low-income census tract area and residents. So you'd have a transaction like that. You could do a smaller transaction where you would do -- and let me go back to that transaction. The $50 million piece would be a low interest rate loan that would have to be repaid. The maximum I've seen has been seven to ten years on that credit facility, if you will. So we could also do smaller pieces, same -- but the basis will be the same thing. You'd have a -- City of Miami Page 19 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Vice Chair Sarnoff Is this -- Mr. Spring: -- repayment loan and a -- Vice Chair Sarnoff -- is it a requirement that any place that we loan or give grants to have to have a low census tract? Mr. Spring: Yes. It has to be either serve -- in one or servicing a resident of that low census income tract, and that's based on the 2000 census, which, I would say, about 90 percent of the City of Miami -- Commissioner Sanchez: Falls within that area. Mr. Spring: -- it falls into that. Vice Chair Sarnoff The City would be the managing partner? Mr. Spring: Right now, yes. The City established it, so the City is the managing partner. Vice Chair Sarnoff So then the Board of Commissioners will be the managing partners? Mr. Spring: Actually, it established a different board. The board right now -- the board members are myself, the Mayor, Commissioner Spence -Jones, Lisa Mazique, and our former employee, Barbara Gomez. So at our first board meeting, we need to reestablish the board. The board needs to include outside members. That board was established for the purpose of establishing the initial corporate documents. We intended on having a larger advisory board that would include some City staff representatives from the Mayor. We wanted to have either the Commissioner -- which I can now say in the public meeting 'cause we're both members -- to participate -- continue to participate, or have her establish a delegate for herself 'cause right now I can't speak to her about CDE matters, which makes it very difficult since I have been practically taking care of all the business myself and trying to establish other -- Chair Spence -Jones: Larry, I mean -- Mr. Spring: -- community members. Chair Spence -Jones: -- I stepped out for two seconds. Excuse me, but I mean, I couldn't help but to hear my name, so could you please give me clarity on -- Mr. Spring: Yes. Chair Spence -Jones: -- a board that I'm sitting on. Mr. Spring: This was the CDE Board, and we did garner your permission at the inception -- it's been almost a year now -- on the CDE LLC. You are one of the original board members of the CDE. Chair Spence -Jones: Wow. Commissioner Regalado: Did you sign anything? Chair Spence -Jones: Was I invited to one of the meetings? Mr. Spring: No. We have not had a meeting yet. City of Miami Page 20 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Chair Spence -Jones: Oh. Mr. Manager, let me know when I'm on one of these boards 'cause -- Mr. Hernandez: Yes. I think Larry mentioned it; before this is in the forming stages, and the members were listed, but they really have never met. And I think the intent was to generate a more active board -- Mr. Spring: Exactly. Mr. Hernandez: -- that would be, in essence, taking care of the business of the Community Development Entity. Chair Spence -Jones: And how did we -- I have to ask this question, Larry. And how was I chosen? Mr. Spring: When we -- and I guess you don't recall -- established this by City Commission, we actually asked if you wanted to be a member. You did agree at that time. Chair Spence -Jones: My -- Mr. Spring: You did agree at that time. Chair Spence -Jones: Okay. All right. Thank you for correcting -- Commissioner Regalado: Don't go -- Chair Spence -Jones: -- the matter for me. Commissioner Regalado: -- don't go. Larry, don't go. Larry, you know that we're getting killed with the census tract in many areas of the City. You have filed a challenge or have you filed a challenge yet? Mr. Spring: Yes. We are in the process of filing -- well, we have filed a challenge. Commissioner Regalado: Okay. Mr. Spring: The challenge is really to our population because we have found, in doing some drill -downs, working with social compact, we've identified, I know at this point, at least an additional 150,000 potential residents in the City of Miami that were not counted as part of that census. Commissioner Regalado: Not only that, the problem that we're having with the census tract is that many, many, many areas are being left out -- Mr. Spring: Right. Commissioner Regalado: -- of CD (Community Development) because they will demand 51 percent of the immediate area and not the service area. And my question is, are we going to have this same scenario with this? Because then, you know, only maybe very limited places or certain areas or business will be able to use that money because, you know, you know very well that we are not servicing the Flagami area, the Coral Way area because the census tract and the City demands a 51 percent poverty level immediate to the business, and that is not possible. Mr. Spring: Well, I would respond to that question -- statement in that the rules and the calculation formula governing CDBG (Community Development Block Grant) funds are different City of Miami Page 21 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 from the rules and calculation governing the new market tax credits. Commissioner Regalado: But it's not about the rules. It's about the census tract. Mr. Spring: Well, the census -- the City's 2000 census actually showed us as the poorest city in America. So -- Commissioner Regalado: Well, that's one -- well -- Mr. Spring: -- I mean, it sounds bad, but -- Commissioner Regalado: But we are told that we're not anymore. Mr. Spring: Technically, we're -- I think we're number three or four now, but before -- Commissioner Regalado: But Larry, yes, we have pocket of poverty -- Mr. Spring: Correct. Commissioner Regalado: -- extraordinary, but the census -- you don't need to go back to the year 2000; you know that. They do updates, and they have done an update as early as 2006, and my point is about the census tract and that it's at fault with the reality. That's -- I'm not talking about the rules of the CDBG or -- the census tract has a problem in the City of Miami. Mr. Spring: And I would agree with you. But for the purpose of the new market tax application, they're using the 2000 census, which actually, fortunately, we were listed as the poorest city, which means our chances have greatly improved on having our application awarded. Commissioner Regalado: So we want to be poor? That's what we want to be? Mr. Spring: Well, we don't want to be poor, but -- Commissioner Regalado: No. I mean, you're saying because we have claim that we have come out of number one as the poorest nation [sicJ, so -- Mr. Spring: According to the updates, yes, we have. Commissioner Regalado: According to the update -- Mr. Spring: Right. Commissioner Regalado: -- but according to the 2000, we are the number one poorest city in the United State [sic] per capita. Mr. Spring: Yes. Commissioner Regalado: Okay. Chair Spence -Jones: All right. Any -- Mr. Spring: But it goes to improve our applications. Commissioner Gonzalez: All right. Chair Spence -Jones: Any other questions on this item? City of Miami Page 22 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Sanchez: So move. Chair Spence -Jones: I have a motion. Do I have a second on the item? Commissioner Gonzalez: Second. Chair Spence -Jones: All in favor? Commissioner Regalado: Aye. Commissioner Gonzalez: Aye. Commissioner Sanchez: Aye. Vice Chair Sarnof No. Chair Spence -Jones: And one "no." Let the record reflect that. Larry, if you can, please get with my wonderful legislative person -- Mr. Spring: I have passed on some information. Chair Spence -Jones: -- and make sure that we're -- Commissioner Sanchez: Next item. Chair Spence -Jones: -- on the same page. Mr. Spring: Absolutely. 6. 08-00196 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY AUTHORIZING A GRANT, IN AN AMOUNT NOT TO EXCEED $1,800,000, TO THE MIAMI WOMEN'S CLUB FOR REPAIR AND 40-YEAR RECERTIFICATION OF THE BUILDING AT 1737 NORTH BAYSHORE DRIVE, MIAMI, FLORIDA; AUTHORIZING THE EXECUTIVE DIRECTOR, AT HIS DISCRETION, TO DISBURSE THE GRANT ON A REIMBURSEMENT BASIS, OR DIRECTLY TO SUPPLIERS AND VENDORS, UPON RECEIPT OF INVOICES AND SATISFACTORY DOCUMENTATION; AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE ALL DOCUMENTS NECESSARY FOR SAID PURPOSE, IN A FORM ACCEPTABLE TO GENERAL COUNSEL; FUNDS TO BE ALLOCATED FROM OMNI TAX INCREMENT FUND, "OTHER GRANTS AND AIDS," ACCOUNT CODE NO. 10040.920101.883000.0000.00000. Cover Memo.pdf Financial Form.pdf Legislation.pdf cover memo v2.pdf Financial Form v2.pdf Legislation v2.pdf City of Miami Page23 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Motion by Commissioner Sanchez, seconded by Commissioner Regalado, that this matter be ADOPTED WITH MODIFICATIONS PASSED by the following vote. Votes: Ayes: 3 - Chair Spence -Jones, Commissioner Regalado and Commissioner Sanchez Noes: 2 - Vice Chair Sarnoff and Commissioner Gonzalez CRA-R-08-0009 A motion was made by Commissioner Sanchez, seconded by Commissioner Spence -Jones, and was passed, with Vice Chair Sarnoff and Commissioner Regalado voting no, directing the Interim Executive Director to include the funding balance for the Miami Women's Club repairs and 40-year recertification as a line item in the fiscal year 2009 Omni Community Redevelopment Agency (CRA) budget for discussion and approval by the CRA Board. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): I thought we might skip to item 7 since the next one is going to involve some discussion. Chair Spence -Jones: One second. Commissioner Gonzalez: All right. Chair Spence -Jones: I think we could take up item 6. I mean -- Mr. Villacorta: Okay. Chair Spence -Jones: -- what's -- I mean -- Mr. Villacorta: Item 6 is -- Chair Spence -Jones: -- it's self-explan -- I mean, we -- Mr. Villacorta: Sure. Chair Spence -Jones: -- all know what's going on. Mr. Villacorta: Item number 6 is a grant to the Women's Club. At the last meeting, I was directed to identify a million eight for a grant for repairs and recertification of the Miami Women's Club at 1737 North Bayshore Drive. There's a substitute resolution in front of you, which provides a different funding source for the 1.8 million. The one in your book involved decertifying -- or defunding two existing resolutions. We've managed -- the Women's Club has stated that they need those funds to complete the projects that those resolutions were allocated towards, and we have a separate -- Commissioner Gonzalez: Are they building -- Mr. Villacorta: -- reso (resolution) now. Commissioner Gonzalez: -- a new building? One point six million dollars to -- for repairs? Mr. Villacorta: It's 1.8 this year, and they've asked that we come back -- allow them to come back next year and bring that total to 3.75 million -- Commissioner Gonzalez: For repairs? Mr. Villacorta: -- over two years. For repairs and recertification of the building. City of Miami Page 24 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Sanchez: Forty year. Mr. Villacorta: For the 40-year recertification of the building, which involves structural, electrical, and some other main major systems in the building. There's -- Commissioner Regalado: What are the conditions placed on the Club in terms of the building itself? What are the condition that we are placing? Mr. Villacorta: We are going to ask in the grant agreement that the Club provide us with an easement along the rear of their property running the entire length so that we can continue the bay walk across the property. The Club has agreed to that. We've asked that they record a covenant that the property not be sold without paying back the grant. They've agreed to that. We've asked that -- they have a pending lawsuit with the prior tenant for failure to maintain the building. We've asked that in the event they recover -- there's 12 million in needed repairs. Should they recover more than 9 million in that lawsuit, we've asked that our grant be refunded. Chair Spence -Jones: Commissioner Sanchez, you're recognized -- I'm sorry. Commissioner Regalado: No, go ahead. Chair Spence -Jones: You're recognized Commissioner Sanchez: Thank you, Madam Chair. Let me just make a motion approving the amended resolution that's in front of us, which is authorizing a grant to the Miami Women's Club for repair and 40-year recertification of the building at 1737 North Bayshore Drive. And I just want to add -- Chair Spence -Jones: Well, let me -- we got a motion. Do we have a second on the item? Commissioner Regalado: I'll second, but I -- I'm seconding the substitute motion that the executive director -- Chair Sanchez: Yeah. I'm putting it in the record. Chair Spence -Jones: Okay. I just want to make sure we have a motion and a second. I'm sorry for interrupting, but go 'head [sic]. Chair Sanchez: Which are the Women's Club agrees to a deed restriction that is -- that it cannot sell the building and land, that's one. Women's Club gives the CRA the needed rights -of -way along the bay front to allow future construction of a publicy [sic] accessible bay walk. Three, the Women's Club makes it -- makes facility available for free for at least six CRA events, including meetings, per year, and the Club makes its parking available for CRA meetings and its building when they're next door to the Doubletree. And four, if the Women's Club prevails in their lawsuit with the former tenant, the art school that the Club claims was responsible for maintaining the building, it should repay the grant, the CRA grant. Those are the conditions set forth on this. Vice Chair Sarnoff Do those change what was just said before, those conditions? Mr. Villacorta: I think -- Commissioner Sanchez: I think there's some changes. Mr. Villacorta: -- you added an item. City of Miami Page 25 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 William R. Bloom (Special Counsel, Community Redevelopment Agency): Your first condition, you mentioned that the easement would relate to the sale or -- of the property. The easement should be granted immediately for the bay walk. Commissioner Sanchez: No, no, no. Immediately, yeah. That's -- listen, this is a win -win situation for everybody 'cause we need that bay walk to be able to continue the bay walk over to the park. Mr. Bloom: Right. Commissioner Sanchez: So that's the condition. The only condition I think that was not proffered by the attorneys here is the last one, which clearly states if they are successful in their lawsuit, which they have filed against the tenants, then they should repay the loan -- the grant back. Vice Chair Sarnoff And you -- you took out the nine -- Commissioner Sanchez: Well, depending -- yeah, how much. I mean, if they -- it's -- Vice Chair Sarnoff -- million requirement, right? Unidentified Speaker: No, no, no. Chair Spence -Jones: Okay. Let's keep a little order. Commissioner Sanchez -- Commissioner Sanchez: If they -- Chair Spence -Jones: -- what was your question? Commissioner Sanchez: -- settle out of court and they make more than what we have given them, which is the only allocation -- the only item we're discussing here today is the $1.8 million. If they settle out of court and they have more what they owe us or more than the grant, then they should pay the grant back to the CRA. Commissioner Regalado: But the only thing that Commissioner Sanchez did is put in the record what the executive director said before, exactly -- he said exactly the same that Commissioner Sanchez said in terms of the different issues. Mr. Villacorta: The Women's Club has stated that they need -- Commissioner Sanchez: Condition number four is not. Mr. Villacorta: -- $12 million in repairs. Since we're advancing 3.75, should they recover more than 8.25, they would be, in effect, double-dipping, receiving the money from the jury award and from the CRA. So, perhaps, that would -- that could be the four -- should they recover more than 8.25 million -- Commissioner Sanchez: They pay the money back. Mr. Villacorta: -- we would begin to recover our grant. Chair Spence -Jones: Commissioner Sarnoff, I just want to make -- I interrupted you to have Commissioner Sanchez finish, but I didn't know if you want to add anything else to this. City of Miami Page 26 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Vice Chair Sarnoff Yeah. I think we have to be clear on one thing, that we -- we're -- it is the intention of the Women's Club to ask for $3.75 million. And at 200 women, that is better than $20, 000 per women -- per woman, excuse me. And I think for that $3.75 million, if we're going to consider it, that we should get 12 events a year from the CRA. I think that should include the construction of the bay walk, and I think anything they recover above $4 million should be enjoyed by this CRA Board, should come back, so that's what I'm proffering as a friendly amendment. If you don't accept it, that's fine. You may not need my vote, but at more than $20,000 a woman, I think you should act prudently and -- Chair Spence -Jones: Well, actually, I think women deserve more than that, but that's okay. That's a whole nother subject, but -- just joking. So, Commissioner Sanchez, do you -- Commissioner Sanchez: I -- Chair Spence -Jones: -- have anything you want to add on? Commissioner Sanchez: -- as the maker of the motion, I do not accept that amendment. Vice Chair Sarnoff Okay. Chair Spence -Jones: Okay. Any other comments on that, Commissioner Sarnoff? Vice Chair Sarnoff Nope. Chair Spence -Jones: Okay. Any comments, Commissioner? Commissioner Gonzalez: No. Chair Spence -Jones: Okay. So I think we had a motion and a second with -- Commissioner Sanchez: But -- Chair Spence -Jones: -- to -- Commissioner Sanchez: -- I think that, for the sake of clarification -- Chair Spence -Jones: Sure. Commissioner Sanchez: -- Commissioner Gonzalez was not here at the last meeting. We're talking about a building that is a historical building to our community, played a very important role in this community. The money that's going to the historic preservation of that building, as they said, it's -- the Women's Club are going to be running the building, but it's going to have a lot of community benefits. And you know what? It's open to anyone that wants to go into that building. It's really a building for everyone to come and enjoy. And they're going to have plenty of events, they'll do a lot of community stuff. And when you talk about historic preservation, you have an opportunity today -- and that building, if you're not -- have gone to visit, go visit. It is in horrible conditions. They need that money to get it up and running so they could start raising money by themselves through events. It's got a lot of potential to have social events, whether to have community events, even the City to participate in using the building and its property to showcase what Miami is really all about, and at the same time, showcasing the true history of the important role that women played in our community. As a matter of fact, our City, whether people don't know, was founded by a woman. Very few cities throughout the United States have been founded by a woman. We're honored to have a woman who basically made the right choices, the right moves and got this city going. City of Miami Page 27 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Chair Spence -Jones: Thank you -- Commissioner Sanchez: That's why it's called -- Chair Spence -Jones: -- Commissioner Sanchez. Commissioner Sanchez: -- a magical city. Applause. Chair Spence -Jones: We had a motion. We had a second on the item. I would like to at least -- Anything else you want to say, Commissioner Regalado? I wanted to also -- Commissioner Regalado: Yeah. Chair Spence -Jones: -- give Ms. Timoney the opportunity, as the chair, to say something after you -- Commissioner Regalado: Just wanted to mention that one of my dearest friend is Bishop Leo Frade from the Episcopalian church, and he's a resident of the Grand, and also, Bishop Frade is, of course, the head of the church in South Florida, and they own the church next door. And he and his congregation are going to start a drive in support of having the Cuban -- the Women's Club building fixed. And I am sure that you all know that many of the important people, and especially, the founders and the historically tradition residents in the area belong to that congregation, and I think it's very important to have their support. And I'm sure that you would be hearing from them very soon, so I think it's a matter of people getting together to not only just save a building, but of keeping part of the history of the City of Miami alive. And this is why I will be supporting this item. Chair Spence -Jones: Thank you, Commissioner Regalado. I just want to add before -- Noreen, if you want to come up and say afterwards. I'm glad that this item actually passed. Just in case you didn't know it, I am a woman, so I think that it's really important for us to support these women and all of the wonderful things that they have done and continue to do for the City and the County of Miami. I can't think of a time that we have not gone over to the Women's Club and asked for their support for something and they have not had their doors opened. Just a show of support today to see the number of women that are here now tonight shows you that there's a true commitment to make sure that whatever needs to happen with this building happens. I especially wanted to also add that it's extremely important -- you know, when we look at the Omni area and the number of historic buildings that are actually left in the Omni area, we have very few of them. So you know, when we talk about all the building that's happening already in this particular community or in this particular neighborhood, it's extremely important that the few buildings that we do have left that we find a way to preserve them. So I just want to commend the women that are here today. I see that Dade Heritage here, always here supporting the preservation of our old facilities or old buildings or venues that are in the City of Miami, and I just see the hard work that they've put in. And I support them 110 percent on whatever they must do to make the building happen. And I'm glad that we are going to be able to utilize this facility 'cause the reality is, in many of the spaces in the downtown area and the performing arts district, and even, you know, in this particular area, the space to even rent and have workshops, to have luncheons or whatever kind of activities, people just can't afford anymore. So the one thing that the Women's Club offers to the community is great, affordable space for them to be able to utilize to do their event, so I just want to commend the women for sticking in there. And the CRA, as you can see, we support all of the things that you do for the community. Ms. Timoney, I don't know if you wanted to say something in closing, and then I don't know if we need to call -- I'm going to call the question to vote on this item. City of Miami Page 28 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Noreen Timoney: I want to thank you, Madam Chair, and Commissioners, City officials, and the public here tonight. Thank you for your support. Thank you for the immediate -- for the motion calling for the immediate allocation of the 1.8 million for the first phase of repairs and for your commitment and support for the whole recertification. We will then undertake the restoration, historically and in a green way, of the building ourselves. I thank you. And each of you, I believe, have a package with the full presentation outlining all the costs and repairs. And if any of you need further clarification, we'd be happy to meet with you on a one on one basis. And we are committed to community outreach. We're already doing that now. We plan on expanding it and utilizing that building as a great community resource. And I know we've mentioned at the last meeting many of the events that are coming up that address that, and I think -- Commissioner Sarnoff, I'm sure you'd like to become very involved in the economic roundtable forum. As we move forward with those plans, well keep you advised. So thank you all, and we look forward to working with you on this, and we look forward to making you very proud as we are proud to be citizens of this great city and this great country. Thank you. Chair Spence -Jones: Thank you, Noreen. Just want to make sure that we add as Igo -- we call the question on this, I do want to make sure we try to really make sure that we emphasize on any construction -based projects that we do have in the area -- I think it was Commissioner -- I think, Sarnoff, actually and Commissioner Regalado that have always pushed to make sure that as you begin to restore the building, that we consider many of the local vendors in the area from the communities to participate in the restoration of the building. So, Jim, I'm going to ask that you make sure that that is a part of whatever agreement that we may have with the Women's Club to make sure that there's some sort of local participation in it, okay? Mr. Villacorta: Okay. Chair Spence -Jones: All right. So with that -- Commissioner Gonzalez: Call the question. Chair Spence -Jones: -- I'd like to call the question. Priscilla A. Thompson (Clerk of the Board): You want a roll call? Chair Spence -Jones: Yes. Roll call. Ms. Thompson: Roll call. Commissioner Gonzalez? Commissioner Gonzalez: No. Ms. Thompson: Vice Chair Sarnoff? Vice Chair Sarnoff No. And I want to say that I would have voted for it, but I think for the two - - $3.75 million, that the Women's Club could have granted the City [sic] use one time per month. I think they could have built they bay walk, and I think it would have been appropriate for them, if they win the lawsuit, that anything that they enjoy above $4 million should have come back to the City of Miami for repayment of this particular grant. I just think that if you're going to call it a public purpose, that we should, as stewards of the citizens of the City of Miami's public funds, act accordingly and require the public purpose be stated and clarified into the record and that we make certain requirements that are clear and concise. And I don't think that, as it stands right now, we're really at that juncture, so that's why -- Commissioner Gonzalez: Let me -- Vice Chair Sarnoff -- I'm voting no. City of Miami Page 29 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Gonzalez: -- add to the record that I would have voted yes if the amendment of Commissioner Sarnoff would have been approved. Chair Spence -Jones: Okay. Ms. Thompson: Continuing with the roll call. Commi -- I'm sorry, Board Member Regalado? Commissioner Regalado: Thank you, Madam Chair. I think the public purpose is very important, and I think that we are not voting here for 200 women or 300 members, or you can maybe have maybe less than 200, but to conserve a building. I think that Commissioner Sarnoff -- or Vice Chairman Sarnoff is right, that we should be the stewards of the public money that the CRA uses. This is why I was opposed to use 45 percent of the money from the CRA to support the Performing Arts Center, which does not serve the public purpose. It does not have a bay walk or does not allow the City to use six times or one time a year a free space, so I believe that we're saving part of the history, and by that, I vote yes. Chair Spence -Jones: Commissioner -- Ms. Thompson: Board Member Sanchez? Commissioner Sanchez: Yes. Ms. Thompson: And then Chair Spence -Jones? Chair Spence -Jones: Absolutely, yes. Commissioner Sanchez: Could I be recognized? Chair Spence -Jones: Yes, you may, sir. Commissioner Sanchez: Thank you, Madam Chair. That takes care of the $1.8 million. They require another -- well, the balance, which is probably 1.8 or 1.9. And what I'd -- would like to make a motion to direct the executive director to include the balance for the repairs and the 40-year recertification in the FY (Fiscal Year) 209 [sic] to be included in the budget, and to be reviewed and approved with the 209 [sic] budget. In other words, be a line item on the 209 [sic] budget for discussion and approval by this Board. So move. Chair Spence -Jones: All in -- Commissioner Regalado: Do we need --? Chair Spence -Jones: Do we have a second? Do you need a second on this? Ms. Thompson: Yes. Chair Spence -Jones: You need a second. Commissioner Regalado: Yeah, but do we need to tell you in a motion --? When do you have to do the budget? Mr. Villacorta: We usually prepare the budget in June so we can bring it to you in July. In the past, the Board has directed me to allocate monies in the budget for various items, the housing program is one. City of Miami Page 30 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Regalado: I'm very fine. Mr. Villacorta: But it would -- we would bring it back as a resolution at the time. Commissioner Regalado: But I just need to understand. Have you done the numbers with the constitutional amendment on the property owners that will be granted $25, 000 more, say, in the Grand? Mr. Villacorta: We haven't started running the projections on estimated TIF (Tax Increment Fund) revenues for 2009 yet. Commissioner Regalado: But we're, by law, obligated on a 45 percent for the Performing Arts of whatever TIF. Mr. Villacorta: Yeah. Actually, I think it's 35 percent plus a million four. Commissioner Regalado: Plus the million, which is -- Mr. Villacorta: Yeah, which comes to -- Commissioner Regalado: -- 43 percent. Mr. Villacorta: -- 42 -- yes. Commissioner Regalado: It comes to 43 percent. So we don't know how many property owners will be seeking the extra $25, 000, nor the portability. Mr. Villacorta: That's true. Commissioner Regalado: So, I mean, to me, how can you do numbers now if you don't have the numbers? That's something that is important because, I mean, not counting the signatures that are on the way for a new amendment on 2010, but what I'm saying is, this amendment number one will have an impact on the Omni CRA, especially on the Omni CRA because you have -- how many buildings you have now which have people living on [sic] it? Mr. Villacorta: The Omni CRA has substantially more residences that have been there for a period of time, Plaza Venetia, some of those buildings, substantially more than the Overtown CRA has. Commissioner Regalado: Absolutely. Mr. Villacorta: We've begun researching the number of COs (Certificates of Occupancy) that came online last year and are in the process of working towards formulating what we expect the TIF revenues to be. But I'm not ready at this point to say -- Commissioner Regalado: So I will support that motion as soon as we have the information because we don't know. We know we have commitment, but we don't know how big of a hit the Omni CRA will be taking in the next year. Chair Spence -Jones: All right. We had -- I think we had a motion, correct? Commissioner Sanchez: Well, on that issue, all that we're doing -- and we've done this before. We're not voting on the issue. We're basically making sure that it's on the budget as a line item budget to come back when we approve the 209 [sic] budget to approve it. That way -- you know, listen, there's a will here to support the restoration. There's justification for it; the money could City of Miami Page 31 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 be used for historical preservation. There isn't any argument based on that, but once again, you cannot fund people to fail. And the 1.8, they're going to need the other balance to make sure that they accomplish what they want to do. So all that we're doing here is being fiscal responsible as to put it on the budget; whatever happens, we're going to have to approve the budget. We'll deal with it, but at least we have an assurance that that money is on the 209 [sic] budget, and we'll deal with it then. Whether we vote it up or vote it down, that's another battle for another day. Chair Spence -Jones: I'd like to second his motion. Vice Chair Sarnoff All right. We have a motion and a second. Any further discussion? If Commissioner Regalado wants to come back -- Commissioner Sanchez: Well, we need to have Commissioner Regalado. If not, I don't think it's going to pass. Vice Chair Sarnoff- No? Commissioner Sanchez: We'll wait for him. Vice Chair Sarnoff.- If he doesn't want to come back, that's okay. Commissioner Sanchez: Yeah, he does. He's going to support this one. Chair Spence -Jones: Commissioner Regalado, I second the motion. Commissioner Regalado: Why do you need me? It's always 4/1. Chair Spence -Jones: That's not true. Vice Chair Sarnoff All right. Madam Clerk, could we get a roll call? Ms. Thompson: Roll call on the motion. Board Member Gonzalez? Commissioner Gonzalez: Motion is to bring it back for approval, right? Commissioner Sanchez: Yes. Commissioner Gonzalez: All right. Yes. Ms. Thompson: Board Member Regalado? Commissioner Regalado: I vote no because I fully support the project, and I think that we not only offer that help, I think we off -- we should offer a different kind of help in terms of marketing, in terms of -- actually, in terms of presenting what the Club does to the rest of the City, bringing in the Greater Miami Convention and Visitors Bureau to see the place. We could -- because it could be another -- if you have areas that could be used for rent, it could be another Jungle Gardens scenario because of the spectacular view, and I'm sure that many people will be willing to come. But, you know, the CRA is not a piggybank. You take money for the tunnel, for the streetcar, for the stadium, for the PAC, and we -- I just think that we just need to know, so we don't mislead them, that we have the money. I just don't think we will have the money with all the -- these grandiose projects, so this is why I'm voting no for -- until we get -- I get the information. Thank you. Ms. Thompson: Continuing with your roll call. Board Member Sanchez? City of Miami Page 32 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Sanchez: Yes, ma'am. Ms. Thompson: Chair Spence -Jones? Commissioner Sanchez: Absolutely, yes. Ms. Thompson: Vice Chair Sarnoff? Vice Chair Sarnoff. No. I would support it if the same requirements were placed on it that I suggested for the $1.8 million for the additional $2 million, or approximation thereto. I think we could have gotten more of a public purpose out of this by satisfying ourselves by getting the requirements that I put for the 1.8 million. Ms. Thompson: Then the motion is passed, 3/2. And if I might, Chair, just to clear out your vote for the original modified resolution, I did not state the vote on that one. That one also passed' in its modified form, 3/2. 7. 08-00083 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY ("CRA"), AUTHORIZING THE EXECUTIVE DIRECTOR TO EXPEND UP TO $50,000 WITH HOLLAND & KNIGHT, LLP, CRA SPECIAL COUNSEL, FOR LEGAL FEES AND COSTS TO PROVIDE SPECIALIZED LEGAL SERVICES TO THE CRA; FUNDS TO BE ALLOCATED FROM SEOPW TAX INCREMENT FUND, "PROFESSIONAL SERVICES - LEGAL, "ACCOUNT CODE NO. 10050.920101.531010.0000.00000. Cover memo.pdf Cover Memo.pdf Financial Form.pdf Legislation.pdf Motion by Commissioner Gonzalez, seconded by Vice Chair Sarnoff, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 5 - Vice Chair Sarnoff, Commissioner Gonzalez, Chair Spence -Jones, Commissioner Regalado and Commissioner Sanchez CRA-R-08-0011 Chair Spence -Jones: Move on to number 3 -- number 4, I'm sorry. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): The next couple items may involve some discussion. Perhaps you'd want to switch to item number 7, which is a resolution of the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency [sic] authorizing the -- Chair Spence -Jones: Okay. Wait, wait, wait, wait. Okay. I'm running the agenda, though, right? Mr. Villacorta: Okay. All right. Chair Spence -Jones: Okay. So I just want to be very clear. So it's your recommendation, Mr. Executive Director, that we skip over 4 -- what, 5 and 6? Mr. Villacorta: Well, we could go to 5. I think that -- City of Miami Page 33 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Chair Spence -Jones: Okay. I just don't want to skip over like everything on the -- Mr. Villacorta: No. Chair Spence -Jones: Okay. Mr. Villacorta: I thought we could come back to the ones that will entail more discussion. Chair Spence -Jones: Okay. So number 5, you feel that it's going to entail a lot of discussion? Mr. Villacorta: No. I think -- Chair Spence -Jones: Okay. Mr. Villacorta: -- we could do that. Chair Spence -Jones: Okay, no problem. [Later...] Chair Spence -Jones: Next item. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Number 7. Item number 7 is a resolution of the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency [sic] authorizing the executive director to expend up to $50, 000 with Holland & Knight LLP (Limited Liability Partnership), CRA (Community Redevelopment Agency) special counsel, for legal fees and costs to provide specialized legal services to the CRA. Commissioner Gonzalez: Move it. Vice Chair Sarnoff. Second. Chair Spence -Jones: All in -- Commissioner Sanchez: Second. Chair Spence -Jones: -- favor? The Commissioners (Collectively): Aye. 8. 08-00190 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY ("CRA") AUTHORIZING THE EXECUTIVE DIRECTOR TO EXERCISE THE CRA'S OPTION TO RENEW ITS AGREEMENT WITH WEED -A -WAY, INC. FOR ONE ADDITIONAL YEAR FOR LANDSCAPE MAINTENANCE AND CLEARING OF NINETEEN (19) CRA-OWNED PROPERTIES, INCLUDING THE GRAND PROMENADE AND 9TH STREET PEDESTRIAN MALL, IN AN AMOUNT NOT TO EXCEED $85,546.08; AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE ALL DOCUMENTS NECESSARY FOR SAID PURPOSE; FUNDS TO BE ALLOCATED FROM SEOPW TAX INCREMENT FUND ENTITLED "OTHER City of Miami Page 34 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 CONTRACTUAL," ACCOUNT CODE NO. 10050.920101.534000.0000.00000. Cover Memo.pdf Financial Form.pdf Legislation.pdf Motion by Commissioner Sanchez, seconded by Commissioner Gonzalez, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 5 - Vice Chair Sarnoff, Commissioner Gonzalez, Chair Spence -Jones, Commissioner Regalado and Commissioner Sanchez CRA-R-08-0012 James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): Item number 8 is a resolution of the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency [sic] authorizing the executive director to exercise the CRA's (Community Redevelopment Agency's) option -- Commissioner Sanchez: So move. Mr. Villacorta: -- to renew its agreement with Weed -A -Way for -- Commissioner Gonzalez: Second. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: This item passes. 9. 08-00191 CRA RESOLUTION A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY ("CRA") AUTHORIZING THE EXECUTIVE DIRECTOR TO EXERCISE THE CRA'S OPTION TO RENEW FOR ONE ADDITIONAL YEAR ITS AGREEMENT WITH BLACK REFLECTIONS, INC. FOR DAILY CLEANING OF THREE (3) CRA-OWNED PUBLIC PARKING LOTS, IN AN AMOUNT NOT TO EXCEED $16,956; AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE ALL DOCUMENTS NECESSARY FOR SAID PURPOSE; FUNDS TO BE ALLOCATED FROM SEOPW TAX INCREMENT FUND ENTITLED "OTHER CONTRACTUAL," ACCOUNT CODE NO. 10050.920101.534000.0000.00000. Cover Memo.pdf Financial Form.pdf Legislation.pdf Motion by Commissioner Gonzalez, seconded by Commissioner Sanchez, that this matter be ADOPTED PASSED by the following vote. Votes: Ayes: 5 - Vice Chair Sarnoff, Commissioner Gonzalez, Chair Spence -Jones, Commissioner Regalado and Commissioner Sanchez CRA-R-08-0013 James H Villacorta (Interim Executive Director, Community Redevelopment Agency): Item number 9 is a resolution of the Board of Commissioners of the Southeast Overtown/Park West City of Miami Page 35 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Community Redevelopment Agency [sic] authorizing the executive director to exercise the CRA's (Community Redevelopment Agency's) option to renew its agreement -- Commissioner Gonzalez: Move it. Mr. Villacorta: -- with Black Reflections -- Commissioner Sanchez: Second. Mr. Villacorta: -- for parking lot maintenance. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: This item passes. PRESENTATION 10. 08-00201 CRA PRESENTATION PRESENTATION BY THE MIAMI POLICE DEPARTMENT REGARDING A PILOT PROGRAM FOR COMMUNITY POLICING INNOVATIONS IN THE REDEVELOPMENT AREAS. Cover Memo.pdf PRESENTED Direction by Vice Chair Sarnoff to the Interim Executive Director to research the ability of the Miami Beach Community Redevelopment Agency to hire police officers and report back to the Board with the findings. A motion was made by Commissioner Regalado, seconded by Vice Chair Sarnoff, and was passed unanimously, with Commissioners Gonzalez and Sanchez absent, to direct the Community Redevelopment Agency (CRA) General Counsel to provide the CRA Board with an expedited formal legal opinion regarding the CRA's ability to hire police officers. Direction by Chair Spence -Jones to the Interim Executive Director to ensure that both the community ambassador program and the Miami Police community policing pilot program are fully vetted out and brought back to the CRA Board on the same agenda. Chair Spence -Jones: We're going to move to the next item, which is the police. I believe we have Deputy -- or Chief Fernandez, along with Gomez from Overtown, and I think this is a request that was made regarding the overall issue of providing some sort of -- or more police presence on the streets in Overtown, the performing arts district. And originally, Jim, along with the staff, had been working and coordinating -- I see Brother Muhammad in the back -- along with the folks from Eugene Rodriguez's group to create two ambassador -based programs to put people physically on the streets to put more eyes on the street. I think that what the staff has recommended was for you to make your physical presentation about the cameras 'cause that once was one of the biggest concerns, at least in the Overtown area, and I know by the club district and by Eugene's place that that was a big issue to have more cameras in the overall area. We want to hear -- if we -- can we do this, chief in ten minutes or less? Deputy Chief Frank Fernandez (Police): Absolutely, Commissioner. And -- Madam Chair, members of the Board thank you so much for offering me the opportunity to come before you today with a presentation to further enhance the CRA (Community Redevelopment Agency) area. City of Miami Page 36 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 I'm joined today by Commander Gomez, the Overtown commander, as well as the two NROs (Neighborhood Resource Officers), Officer Stuckey, Officer Glasgow, and Officer Wanda Mendez, representing downtown and Overtown. Also, to my right is Executive Assistant Utset, who will present -- do the presentation for you on our CCTV (Closed -Circuit Television) camera. You gave me ten minutes. I'm going to speak very quick so that I don't take too much of your time. But I'll tell you, we're very, very enthusiastic about this whole program because it is an expansion of what we currently have. We're currently utilizing Urban Area Security Group Initiative, UASI funds, to put a CCTV camera system throughout the City. Currently, we have a live system working right now in downtown Miami. That's going to expand into different phases into off of Flagler Street, north and south of Flagler into downtown Coconut Grove, up into the Omni area. We also currently are working with the Department of Justice with the Liberty Square neighborhood to have their camera also hooked up to ours. What we're proposing to you here today and we're submitting is a proposal to putting cameras into the CRA area and the Overtown neighborhood. That encompasses 14th Street to 5th Street, I-95 to 1 Avenue. By installing these cameras, we would have views of the entire neighborhood from every angle, every block in that geographical vicinity. In addition to that, when they're done, we also have a different presentation regarding funds for overtime for a police visibility initiative in the entertainment district. If it's okay with you, Madam Chair, what I'd like to do is start first with the CCTV camera, and I'll pass it over to Tony Utset so he could give you a quick synopsis of it. Anthony Utset: Good evening. Tony Utset, executive assistant to Deputy Chief Fernandez. What I'm displaying now is actually a live view. It's a Web -based camera of one of our cameras on Biscayne Boulevard. The cameras are 100 percent digital, and it's also on a microwave system. That's important because it reduces our reoccurring costs. BellSouth is all about homeland security, but don't forget to send them the bill; T-1 line, CAT-5, very, very expensive. By going with a microwave system, we're able to view them real-time, and there's no reoccurring additional costs with them. Now the cameras have full capabilities as far as a 360-degree view, maximizing what one camera can do. Currently, you're seeing some shades of color. Each camera during the day will display in color, and then at night will go to a black and white view. We have them strategically located, as it pertains to homeland security. I've got one at the port - - if we can go to the port view -- that monitors my ingress and egress to the Port of Miami and that allows me to see everything coming in and out. Should there be a situation there, I'll be able to capture it. Now we're working on a remote, so you're not getting it in full time, but the system will run full video, plus because it's expanded, the view's a little bit blurry there, but it does work out well. We're monitoring them 24/7 from our communications center, where we'll be monitoring the whole time. We record them for 30 days, and it's on an automatic system where it'll automatically dump the day one -- on day 31, it'll copy it over in a digital format. But every major city is going to CCTV. It is the future, if you will, as far as -- when you look at it, it's on exactly that, 24/7. It doesn't take a break. It doesn't go to the bathroom. It doesn't get cold; it doesn't get hot. Or should I say it's not affected by that. And I'll be willing to answer any technical questions you might have within a limited capacity on them. Chair Spence -Jones: That was it? Mr. Utset: Unless you have some specific questions. I mean, what we try to do is show you a live demonstration because a lot of times -- Chair Spence -Jones: Yeah. Mr. Utset: -- a picture is worth a thousand words. What is it going to look like? How much is one camera going to cover? The camera -- if we can get it to pan, please. Because we opted -- instead of what's called a shoebox camera, which only looks in one direction -- they're 360. So if you look -- one camera can look at a huge amount of areas. We could also use them for monitoring should we view an accident. It'll assist us for accident investigations. It'll also assist us in getting emergency resources to that one area. The zoom capabilities allows us to ident City of Miami Page 37 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 vehicles. We could read -- pretty much anything we want to be able to do we can do them. We don't really have a limitation as far as they are. They have a 30 zoom capability and a 10 optical on top of that, so it's -- or 30 optical, 10 digital, so it's really, really a very, very strong camera, as you can see we're demonstrating here. Vice Chair Sarnoff Can we get the license plate on that car? Mr. Utset: We can if, obviously, it was lined up. We try to set them up strategically. We take into a lot of factors when we strategically put each camera -- for example, the one on the port, if you were facing it during the day, we watch everything coming in from behind the vehicle, so later on, if I needed to enhance a tag, I can get the tag out of there. It won't be a problem. If we could go to the -- 3rd Street, please. Chair Spence -Jones: Can I ask you real -- something really fast? I know one of the things in my site visits to Chicago and looking at some of the innovative things that they were doing in public housing, this camera thing really eliminated a lot of illegal activities that was happening in certain areas. Will this camera look very similar to that where, you know -- I mean, do people know the camera's there -- will be there -- Deputy Chief Fernandez: Yeah. The -- Chair Spence -Jones: -- or is it like a hidden camera? Deputy Chief Fernandez: We have overt cameras and covert cameras. These are overt. They're out there, visible, people see them. These particular cameras here have a sign on them, has a badge of the City of Miami; has a -- contact information numbers, so they clearly know that this is a police camera that's being watched by our communication center. Chair Spence -Jones: Is this the one that has the blue light on top of it like, you know, letting people know that it's there? Deputy Chief Fernandez: No. Chair Spence -Jones: Like -- and I know in Chicago they have those, and it's like it's really effect -- visually to see them 'cause people think about it before they even think about doing anything wrong, so this won't be that type of camera? Deputy Chief Fernandez: No. It has the same features, same capability, but we opted not to get that big housing camera. What that is is ballistic cameras -- Chair Spence -Jones: Yeah. Deputy Chief Fernandez: -- and they do have a blue light on top that goes off. They're also -- those cameras are actually used in the war in Afghanistan and Iraq where they're actually direction -- in terms of when a shot goes off it gives the direction in which that shot came from. Chair Spence -Jones: Right. Deputy Chief Fernandez: So if a shot's fired -- we do not have that capability. We believe at this time it is cost prohibitive to go to that -- that route. Chair Spence -Jones: Okay. My -- and I'm going to turn to Commissioner Regalado. I know he has some questions. Commissioner Sarnoff I don't know if you have any. But I do -- my only -- you know, this is something that I know that residents of Overtown have been asking for for a very long time. I see my NET (Neighborhood Enhancement Team) director here, Loren. Loren, City of Miami Page 38 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 where are you? All right. I know this is one of the requests, correct? Loren Daniel (Overtown NET Administrator): Correct. Chair Spence -Jones: Okay. I -- my only issue and concern would be making sure -- and I've been -- we've been talking about this for months -- to make sure that some sort of community -based program put in that goes along with these cameras going in, at least in the Overtown area because I know that there's -- I -- people have a feeling that now we're trying to zero in on people and pushing them out, you know, creating issues with them. So while some of the illegal activity that's -- well, all of the illegal activity we want to cease, we just don't want people to feel as though they're under one big, you know, microscope with everything that they're doing. So my only question -- and Loren, I don't know if you want to step up. I mean, is -- would that be one of the issues and concerns in that particular area? And that's the reason why I think it's important to match this with an ambassador's program because we need to be able to have somebody on the ground that's communicating to the public about what's going on, providing direct referral services, at least in Overtown, for people that are having issues, whether or not they be drug -related, homeless -related, whatever the issues are. There's some on -the -ground level of support or participation to go along with the cameras because just to have the cameras and not have any, you know, physical contact with the people that are having issues outside of the police officers, I think it's really important to have that. I mean, Loren, do you have any comments that you want to add on it? Mr. Daniel: Only that I think that the residents in Overtown are looking forward to this process. Chair Spence -Jones: Okay. Mr. Daniel: I mean, they understand the police can't be everywhere at all times, and this is going to help to eliminate those hotspot areas that we really need to concentrate on that will allow the police to do some other things. And you know, it's been vetted through the Overtown Advisory Committee. No one really shared any objections to -- Chair Spence -Jones: Okay, good, good. Mr. Daniel: -- this from what I've heard. And I'm looking forward to having it happen. Chair Spence -Jones: Okay. Thank you, Loren. We won't go past 14th -- we can't go past 14th Street with this, though, right? Mr. Daniel: Well, I won't talk about that part. Commissioner Regalado: Thank you, chief Chair Spence -Jones: Commissioner Regalado. Deputy Chief Fernandez: Absolutely. Commissioner Regalado: I think it's a way of the future, and I really congratulate you guys for what you're doing. One question. Is the 360-degree camera the ones you have in downtown Miami, who controls those cameras? Are they on autopilot, that they move around, or is someone monitoring at the station and decides left, right or front? Deputy Chief Fernandez: Commissioner, we currently are monitoring these through our communication center. We just started about a month ago. Our intention is that if a call goes out, we'll have someone sitting there monitoring the calls that come in, and they'll be able to zero into that call in that area in which these cameras are located. Aside from that, they're on City of Miami Page 39 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 automatic patrol and we'll have someone -- or we do have someone sitting there monitoring the cameras as live information. This is what you would call a force multiplier. One officer -- think about one officer patrolling all of Biscayne Boulevard up to the port in a very, very quick, quick fashion, so it's a -- what it would take ten officers to do, we're doing with one. And as we expand the program, that force multiplication takes even a greater value to us. Commissioner Regalado: And -- Vice Chair Sarnoff Madam -- I'm sorry. Commissioner Regalado: -- of those cameras, who pay for it? Vice Chair Sarnoff.- Homeland Security. Deputy Chief Fernandez: These cameras right here are paid through a federal fund, through Homeland Security called UASI, UASI funds. Vice Chair Sarnoff Right. Commissioner Regalado: Okay. And Homeland Security funds were used to pay for downtown cameras. Is that -- I mean, is it because the money only was good to buy few for downtown, or is it allocated for high probability targets area? Deputy Chief Fernandez: Yeah. Commissioner, we actually had to get it approved by the Commissioners, which we did. We had to submit, first and foremost, to the Department of Homeland Security a proposal. That proposal has to do with targets and opportunities and risk assessments, and downtown Miami was one of those; Coconut Grove was another one; the Port of Miami, the Performing Arts Center, areas of public gathering. We have to be able to show a nexus between homeland security and the positioning of these cameras. Commissioner Regalado: Okay. Vice Chair Sarnoff Madam -- Chair Spence -Jones: Commissioner Sarnoff. Vice Chair Sarnoff -- Chair -- yeah. Chief I know in Miami Beach that their CRA is able to hire additional police officers. Is there any reason our CRA cannot hire additional police officers? Deputy Chief Fernandez: Well, Commissioner, since you bring it up, I do have a second proposal, and that's on a police visibility program that we'd like to submit to you for your consideration, and it does entail the area of the entertainment district in downtown Miami. And if I may just go into that -- is that okay with Madam Chair? Vice Chair Sarnoff You have three minutes. Chair Spence -Jones: Yes. Deputy Chief Fernandez: Okay. Basically what it is is just we're looking for overtime to be able to police the outer boundaries of the entertainment district to provide homeless assistance program above and beyond what we currently do. As this area grows, as more people travel into these clubs, into the entertainment district, our resources are being stretched very thin. This is a short-term plan. As we hire more officers, we'll be able to sustain it in -- on the long term, but right now, what we're proposing is overtime in an effort to be able to have these programs in City of Miami Page 40 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 place. Currently, the proposal is for Friday and Saturdays, for one sergeant and five officers to patrol the outer areas where people are parking, where we're having homeless issues, where we're having vandalism and crime reported. It is not for the clubs itself. It's actually for the outer boundaries. Vice Chair Sarnoff Chief will you actually see more police officers on the street with that plan, or are we better suited to just hire more police officers? Deputy Chief Fernandez: No. We -- well, I think that the Commissioners have given us -- in my opinion, you've all given us the sufficient funds right now to hire more officers. We are well on our way of doing that. At this point, we're looking for a short-term solution to be able to, on the short term, get officers out there, boots on the ground, while we are hiring officers and bringing them out of the academy. Again, the proposal's for Friday and Saturday nights, which is the peak of our entertainment district. And also, above and beyond that, we'll have -- this is for year-round, Friday and Saturday, and in addition to that, we have planned 28 special operations for the sergeant and five officers to specially target high -crime areas within that geographical neighborhood. Commissioner Regalado: One final thing. I remember, four years ago -- I think Jim was the attorney at that time -- I kept saying that we should use CRA funds to pay for the police. I was told that we couldn't. And I -- the reason I said it is we -- because the only way to redevelop an area is about image, and the only way to fix the image is to fix the perception that there is no crime -- or you know, the wrong perception. But I was told that we couldn't use the CRA money to pay for police. When I suggested -- and I think you were here a long time ago when we would discuss the entertainment district. I think that one of the best way to spend the CRA money is to pay for police because the only way -- if we can only buy police presence and lights, everything else will be good for the redevelopment area. We don't need other things that I'm not going to mention, but we can pay for this overtime, can't we? Chair Spence -Jones: Yeah. Jim, you have already said that we could not use money on police, so that's -- you know, that was the reason why we were coming up with alternatives -- Commissioner Regalado: No, no, no, no. I think we can. Chair Spence -Jones: I'm -- but he's always -- what I'm saying to you, Commissioner Regalado, he's always communicated that we could not use it for police. Commissioner Regalado: Right, and -- Chair Spence -Jones: But I want him to answer the question. Commissioner Regalado: -- the former director and the other director -- and I always advocated for using CRA money to pay for police because that's the only solution to all the problems. But we could. James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): TIF (Tax Increment Func) revenues are used to enhance service and to enhance the infrastructure of the area. Typically, it's not to be used to displace City funding for normal City services. That's why we can't build government buildings within the area. The statute -- the redevelopment statute does provide for community policing initiatives. The County requires that we seek their approval for that. It does also provide for crime prevention, and you know, we would take this proposal and have it reviewed by the Law Department. We have, in the past, paid for a pilot program for mapping of police crimes in the CRA area. Chair Spence -Jones: So is the answer yes, Jim? City of Miami Page 41 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Mr. Villacorta: Not for -- Commissioner Regalado: Maybe. Mr. Villacorta: -- the normal -- Commissioner Regalado: The answer is maybe. Mr. Villacorta: Well -- Vice Chair Sarnoff Well, how does Miami Beach do it? How do they -- Chair Spence -Jones: Yeah. Vice Chair Sarnoff -- get away with it? Why don't we just steal whatever they did? Mr. Villacorta: I mean, they may have sought approval from the County for community policing Vice Chair Sarnoff Can we look into -- Mr. Villacorta: -- initiatives. Vice Chair Sarnoff -- that? Mr. Villacorta: Yes. Deputy Chief Fernandez: Commissioners, ifI may. We've actually used CRA money in the past for special policing projects. And we've used it in Overtown and also in the entertainment district. What I'm requesting here is not to supplement or supplant any type of overtime for our officers. And what we're asking for is a special project that we have in place. It's called the Police Visibility Project, and it's for the CRA entertainment district area, and it's to further enhance our initiatives. Mr. Villacorta: I think we would be best off seeking a formal legal opinion from the Law Department. Vice Chair Sarnoff Let's do it. Mr. Villacorta: There is a provision for community policing initiatives and for crime prevention in the statute -- Commissioner Regalado: I'll -- Chair Spence -Jones: Thank -- Mr. Villacorta: -- and that's what we would do. Commissioner Regalado: -- move that we -- Vice Chair Sarnoff Second. Commissioner Regalado: Do we -- number one, we are paying for the cameras, right? Or is it the -- is it a whole package? City of Miami Page 42 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Mr. Villacorta: It's a whole package. Chair Spence -Jones: I would ask that -- Commissioner Reg -- 'cause I really need to see the package and what we're doing and all of that. I thought this was just going to be a presentation tonight. I would like, at the next Commission meet -- next CRA meeting for you to bring a full budget, like a full resolution on what it is. Commissioner Regalado: No. And I was moving -- Vice Chair Sarnoff An LSR (Legal Services Request). Commissioner Regalado: -- so the executive director will be able to get an expedite legal opinion. Vice Chair Spence -Jones: Oh, okay. Vice Chair Sarnoff Right. Mr. Villacorta: Sure. Commissioner Regalado: And with your good friends of the County -- Mr. Villacorta: Yes. Commissioner Regalado: -- we may -- you may want to get the waiver so -- but at least to get the opinion because I think that this is the best way we can spend the money. Did you say that TIF money is not to be used in building City buildings? Mr. Villacorta: Or, for instance, a government office building; the MRC (Miami Riverside Center) building, we couldn't build that with TIF funds. It's prohibited in the statute. Something -- the Performing Arts Center is a different animal. Commissioner Regalado: Thank you. Chair Spence -Jones: All right. With that being said -- Vice Chair Sarnoff Good try, though. Chair Spence -Jones: -- Commissioner -- Commissioner Regalado: I tried. Vice Chair Sarnoff I saw. Commissioner Regalado: I always try, you know. Chair Spence -Jones: Any other comments? I just want to just add, in closing, I would like for Jim -- originally, we did talk to Eugene Rodriguez and -- I don't know where Brother Gerald -- his, we've been working on putting some sort of basic ambassador program on the streets for community folks involved in taking back their own neighborhoods. I would like to make sure that when this comes back, we have both items vetted out and brought at the same time. Mr. Villacorta: Okay. City of Miami Page 43 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Chair Spence -Jones: All right. Vice Chair Sarnoff.- There's -- Chair Spence -Jones: With that -- Vice Chair Sarnoff -- a second on Commissioner Regalado's motion -- Chair Spence -Jones: Okay. I'm sorry. Vice Chair Sarnoff -- for the LSR, and now you can call the question. Chair Spence -Jones: All in favor? The Commissioners (Collectively): Aye. Chair Spence -Jones: This item passes. And the meeting is officially over. Deputy Chief Fernandez: Madam Chair, thank you very much. NON -AGENDA ITEMS NA.1 08-00239 CRA DISCUSSION DISCUSSION REGARDING A CHALLENGE TO THE FINDING OF NECESSITY STUDY REQUIRED TO EXPAND THE BOUNDARIES OF THE SOUTHEAST OVERTOWN/PARK WEST AND OMNI COMMUNITY REDEVELOPMENT AGENCIES. DISCUSSED Chair Spence -Jones: And with that being -- Commissioner Regalado: Madam Chair. Chair Spence -Jones: -- said -- Commissioner Regalado: Can I --? Question -- Chair Spence -Jones: Sure. Commissioner Regalado: -- in a related matter. Jim, your staff send us information about a challenge regarding the CRA (Community Redevelopment Agency) paying for the study to expand the boundaries. Is that what -- would be part of the court case, or is this what I read, just a challenge? Have you seek an opinion? Is the CRA correct, or is the City going to pay for it? James H. Villacorta (Interim Executive Director, Community Redevelopment Agency): At the last meeting, the City authorized payment for the -- or the CRA authorized -- Board authorized payment for the finding of necessity study to expand the Omni boundaries. We've received an opinion from the City's Law Department that this is permissible. A representative of Braman Management has sent a letter saying that they do not think it's permissible, and has asked for a copy of the legal opinion, which we provided to them. We have not received -- well, I received their verbal response that they didn't agree with it, but we haven't received any legal action around that yet. City of Miami Page 44 Printed on 3/12/2008 SEOPW and OMNI Community Redevelopment Agencies Meeting Minutes February 25, 2008 Commissioner Regalado: Okay. Stanley Krieger: Excuse me. I'm the guy that wrote the letter. Chair Spence -Jones: Yes. Can you put your name on the record real fast? And this (UNINTELLIGIBLE) -- Mr. Krieger: My name is -- Chair Spence -Jones: Let me just -- excuse me, sir. [Later..] Chair Spence -Jones: Okay. And we were actually on Commissioner Regalado's -- Albert Milo: Thank you. Chair Spence -Jones: -- issue, which was Omni expansion, and I apologize, sir, for not allowing -- I thought Commissioner Sanchez had some -- I mean -- I keep calling you Sanchez tonight -- Sarnoff had comments on your -- Vice Chair Sarnoff I don't dance -- Chair Spence -Jones: -- statement. Vice Chair Sarnoff -- as well as him. Chair Spence -Jones: Go 'head [sic). Mr. Krieger: No. That's no problem. My name is Stanley Krieger. I live here at the Grand. And the letter I wrote to Mr. Villacorta basically said that the expenditures from both CRAs of 25,000 each appear to violate the Chapter 163 because the CRAss redevelopment plan has not been amended to include Watson Island and because Chapter 163 requires that all CRA funds be spent within the CRA district. And so I urged Mr. Villacorta to get an opinion. He got an opinion from somebody in the City counsel's office, and with which -- and it came back and he said that it was legal. I'd respectfully disagree with that opinion, and I forwarded a copy of my letter, together with their response, to the interim City Attorney. And I requested citations to show me where within the law it says that you could do that. We have not yet filed suit, and hopefully, I won't have to, but I'm doing this in my individual capacity right now. Chair Spence -Jones: Thank you. Commissioner Sarnoff, you have a comment on this? Vice Chair Sarnoff- No. I mean, lawyers have opinions all the time. Chair Spence -Jones: Okay. Vice Chair Sarnoff I know I have a couple. Chair Spence -Jones: Thank you, Stanley. Mr. Krieger: You're welcome. City of Miami Page 45 Printed on 3/12/2008