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HomeMy WebLinkAboutCRA-R-06-0020 Cover MemoSEOPW & Omni Board of Commissioners Meeting June 26, 2006 SOUTHEAST OVERTOWN/PARK WEST Item 4 AND OMNI COMMUNITY REDEVELOPMENT AGENCIES INTER -OFFICE MEMORANDUM Chairman Johnny L. Winton and Members of the CRA Board Date: June 16, 2006 File: 06-00919 Subject, Appropriation Resolution for Omni CRA Water/Sewer Infrastructure Improvement Project From: Frank K. Rollason Reference: Executive Director Enclosures: Supporting Documentation; Legislation RECOMMENDATION. It is recommended that the Board of Commissioners of the Omni Redevelopment District Community Redevelopment Agency (CRA) approve and adopt the attached Resolution appropriating an initial amount of $3,500,000.00 for funding the Omni Area Water/Sewer Infrastructure Improvement Project and further authorizing the Executive Director to negotiate a Grant Agreement with Miami -Dade County Water and Sewer Department (WASD) to design, engineer, and install this improvement project and further, the negotiated Agreement shall be brought back before the Board of Directors for final approval. JUSTIFICATION; This project was an item before the Board on February 23, 2006, but withdrawn by the Executive Director; he had received an e-mail from the City CIT Department that WASD would no longer be able to perform the design and engineering portion of the project in-house and did not know what the financial impact of this change would be on the overall budget. Since that time, the Executive Director has met with the new Director of WASD, John Renfrow, and has been assured that the project can go forward within the proposed budget of $3.5 million. Therefore, this item is, again, being placed before the Board for consideration. As background, the Executive Director has worked with WASD and the City for the past two years to develop this project which ultimately resulted in a July 18, 2005 WASD proposal letter (attached). Although City CIT originally had concerns over the expenditure of Tax Increment Funds (TIF) for this type of project, they are now in support of this project (see attached 1/20/06 Conway letter to WASD). This project is designed to upgrade the water/fire flow and sewer requirements to the maximum development anticipated under Miami 21 and the Omni CRA Redevelopment Plan. Construction would concentrate on the western portions of the CRA Area and work its way east from the FEC tracks toward the high-rise developments along Biscayne Boulevard and North Bayshore Drive in front of Margaret Pace Park. These improvements will attract developers on a smaller scale within the Omni CRA who otherwise may not have the financial capacity to construct their above ground projects as well as the required in -ground infrastructure improvements. This project falls within the current Omni CRA Redevelopment Plan's ("the Plan") Objectives — I1LC., Public Infrastructure and Amenities - to provide adequate public utilities and services for the area's residents and businesses. Specifically, within Section iV.C.2. — Utilities and Drainage, the Plan states, "The Omni area is presentiy provided with water and sanitary sewer service by the Miami -Dade Water and Sewer System. Both systems contain sufficient capacity to serve future growth in the Omni area; however, certain of the local distribution lines within the district may need to be upgraded as redevelopment occurs." in addition, Section V.B. — Capital Improvement Projects of the Plan includes "Item No. 3 - public infrastructure improvements including, but not limited to utilities " This project is an ideal expenditure of TIF funds and will provide an economic incentive to developers to go forward with their projects sooner than later. It will also eliminate project -by -project grant requests from various developers to financially assist them in providing the needed and required water/sewer infrastructure improvements. FUNDING SOURCE: $3,500,000.00 from Omni TIF Account No. 686001.590320.6 .860 entitled Construction in Progress. FKR/eh