HomeMy WebLinkAboutCRA-R-10-0074 Cover Memo 09-20-2010Omni Board of Commissioners Meeting
September 20, 2010
OMNI REDEVELOPMENT DISTRICT
COMMUNITY REDEVELOPMENT AGENCY
INTER -OFFICE MEMORANDUM
To: Board Chair Marc D. Sarnoff
and Members of the CRA Board
From: Pieter Bockweg
Executive Director
Date: September 10, 2010 File: 10-01085
Subject: Resolution Authorizing a Grant to the City of
Miami to Assist in the Payment of its Annual
Facility Fee for Letter of Credit, re: Miami Port
Tunnel.
References:
Enclosures: Supporting Documentation; Legislation
BACKGROUND:
It is recommended that the Board of Commissioners of the Omni Redevelopment District Community
Redevelopment Agency ("CRA") approve and adopt the attached Resolution authorizing the issuance of a grant,
in an amount not to exceed $160,000, to the City of Miami, to assist in the payment of the its annual facility fee
for a $50 million irrevocable standby letter of credit ("LOC") from Wells Fargo Bank, N.A., obtained for the Miami
Port Tunnel Project ("Project").
To maintain this LOC, the City of Miami is required to pay (on a quarterly basis) a facility fee. This LOC will
expire on October 17, 2010. Wells Fargo has agreed to extend the LOC for an additional 90-day period (to
expire on January 6, 2011), without change to the current facility fee. This grant to the City equals one
quarterly -payment of the facility fee.
JUSTIFICATION:
Section 5.4, at page 87, of the 2009 Omni Redevelopment Plan, states "[t]he CRA's support of the Tunnel
Project shall include direct support, indirect support, in -kind support, or such other activities as may be deemed
by the CRA Board of Commissioners to advance this Project.
FUNDING: $160,000 from Omni Tax Increment Fund, "Other Grants and Aids," Account Code No.
10040.920101.883000.0000.00000.