HomeMy WebLinkAboutGrant MemorandumMEMORANDUM OF AGREEMENT
THIS MEMORANDUM OF AGREEMENT is made and entered
into between the City of Miami, a municipal corporation of
the State of Florida, hereinafter called the City, and the
Overtown Economic Development Corporation, a Florida corpo-
ration not for profit, hereafter called OEDC.
WITNESSETH:
WHEREAS, the City and OEDC have heretofore applied
for a U.S. Department of Commerce Economic Development
Adminstration Public Works and Development Facilities grant
and have received an Offer of Grant dated September 26, 1980
in the amount of $1,580(100.00 to construct the OVERTOWN
SHOPPING CENTER; and
WHEREAS, the City of Miami has committed local
matching funds in an amount of $395,100.00 and
WHEREAS, the Cityof Miami holds title to 1.5
acres and Dade County holds title to .7 acres of the 2.2
acre proposed shopping center site and the City will use its
best efforts to acquire the County land subject to a lease
in favor of OEDC, along with the adjacent Florida Department
of Transportation Right ofWay which ..comprises additional
land; and
WHEREAS, the City and OEDC intend that their
,interests inrservices to be rendered and their interests in
the Property and in the revenue derived therefrom be de-
fined by_aaaemarandum of agreement; and
WHEREAS, OVERTOWN is a designated blighted area
under Section 163.340(8) of the Florida Statutes and the
purpose of this project is a public purpose to improve and
rehabilitate the OVERTOWN area and to stimulate its economic
development_by the_development of a shopping center, creat7
ing additional jobs and stimulating additional commercial
activity in the neighborhood.,
. _
NOW, THEREFORE, in consideration_of_the sum of Ten
Dollars and other . good _and valuable consideration, the
receipt of which is hereby _acknowledged, and upQn tbe.Prom-
ises and the mutual covenants and agreements herein con-
tained, the parties hereto agree as follows:
ARTICLE I
Purpose, Business to be Carried on, and
Objectives to be Effected
A. The City and OEDC by this Agreement do hereby
agree to carry out this. Agreement and to act in all respects
in accordance herewith. Nothing herein contained shall be
construed or deemed to establish any other purpose for this
Agreement, or ...to prohibit the parties from the pursuit of
other business interests or activities that.would notsub-_,
stantially interfere or conflict with the provisions of this
Agreement.
B. Except as expressly provided herein to the
contrary, the rights and obligations of the parties to this
agreement shall be governed by the laws of the state of
Florida. When personal property is owned by both entities
pursuant to this Agreement neither party shall individually
have ownership of such property. Neither shall either party
be indebted or pledge its credit to the other by reason of
this Agreement.
C. Tn furtherance of the purposes expressed in
this Memorandum of Agreement, OEDC will contract for the
design, development, construction, leasing, and operation of
the OVERTOWN Shopping .Center .subject to the approval of the
City Commission. When the -construction is completed, OEDC
will contract for the management of the facility and will be
responsible for its• operation', subject to the approval of
the City Commission.
D.• The interestfof either party in this ;Agree-
ment and in the Shopping Center shall be deemed personal
property.
E ;The :;Shopping Center will be constructed pur-
suant to the requirements utilized by the City of Miami as
to performance bonds and payment bonds.
ARTICLE II
Contributions and -Relationships
A. The'City and;OEDC will be joint recipients of
the U.S. Department of Commerce Economic Development Admin-
istration grant funds and will both have interests in the
OVERTOWN SHOPPING CENTER developed with those funds, subject
to the interest of the U.S: Department of Commerce Economic
Development Administration; which interest will dissolve
after the 40 year estimated useful life of the shopping
center and with the expiration of the first 40 year lease as
discussed below in paragraphs C and D.
B. OEDC will lease for a 40 year term the City's
1.5 acre site and the City will use its best efforts to
acquire the County's .7 acre site subject to 'a lease in
favor of OEDC and the adjacent Florida Department of Trans-
portation Right of Way; the leases to OEDC will be for a
rental of $1.00 per year. Subject to applicable law and
city charter requirements at,.the.termination of the said 40
year term, the leases will be renewable by OEDC at the same
rent for an additional 40 year period.
C. The OEDC will lease, for a 40 year period,
.the City .of Miami's interest in the developed shopping
center facility for a rental of $1.00per year.
D. At the end of the 40 year lease described in
paragraph C above, the City .of Miami's interest in the
=4-
developed shopping center will be extinguished and OEDC will
own 100% of the developed shopping center facility improve-
ments; the U.S. Department of -Commerce Economic Development
Administrations interest will likewise be extinguished at
that time.
E. The City's contribution of $395,100.00 will
include the estimated.._valuation ,,_Of ___the total Land to be
leased to OEDC as of the"date of the execution of this
Agreement with the remainder to be provided from other
funds.
ARTICLE /II
City will'be fiscal agent
A. The City will operate as the sole fiscal
agent with regard to the expenditures to be incurred in the
development process.
B. All requests for payment and payments during
the development phase shall be transmitted through the City
Project. Director's office after approval by the Management
Committee.
ARTICLE IV
Services • of Parties and Reimbursement
ofExpenses
A. OEDC -will conduct regular board meetings
-throughout the process to monitor implementation of the
-5-
OVERTOWN SHOPPING CENTER project and provide feedback on
complaints or opportunities, which board meetings shall be
given -reasonable notice and open to the public.
B. OEDC will provide secretarial services for
the meetings of its board and the meetings of the Management
Committee which will coordinate the implementation and
management of•the project.
C. OEDC will
provide data regarding business
needs and the identification of business development oppor-
tunities within the OVERTOWN; area.
D. OEDC will
provide a channel for private
sector and business participation by keeping groups and
individuals informed of the shopping center's development as
well as by obtaining from them feedback regarding the same.
E. OEDC will coordinate with the City the solici-
tation and selection of the development team for.the con-
struction of the shopping
center.
F. OEDC will coordinate with the city the solic-
itation and selection of tenants for the shopping center.
G. OEDC will contract
agement firm acceptable to
with'a professionalMan-
the City Commission for the
operation, leasing and maintenance of the completed shopping
center.
H. OEDC may be reimbursed for up to $120,000 for
the services specifically set forth above in this Article.
I. Requests for payment to OEDC for such in-house
costs shall be accompanied by sufficient supporting documen-
tation, including time sheets for staff working on the
project, and such requests .will be made on a monthly basis
to the City Project Director.
J. All other requests for reimbursement of
expenses by either party will,be subject to. approval by the
City and the management committee and shall be supported by
adequate supporting documentation as set forth in paragraph
I above.
K. Project Budgets including more than one item
for reimbursement may be approved by the Management
Committee, subject to approval by the City.
L. •A11 OEDC personnel in positions which would
warrant.... such reporting will keep. the City informed of their.
activities.. by (1)_.participation in regular meetings of the
Management Committee,. (2) submission -of monthly progress
reports, and (3) ad hoc communication as may be necessary on
policy issues.
ARTICLE V
Consultant Contracts
A. OEDC agrees to obtain prior approval from the
City Commission of any proposed consultant contracts. Any
work or services subcontracted shall be subject to each
provision of this Memorandum:of Agreement. None of the work
or services shall be subcontracted or reimbursed without the
prior written consent of the Management Committee and prior
approval of the City Commission. OEDC shall take responsi-
bility for determining that consultant rates of compensation
do not exceed the rates specified in the Code of Federal
Regulations. The City shall review each contract or subcon-
tract using EDA funds for compliance with Federal Regulations.
ARTICLE VI
Management
A. Management of the OVERTOWN SHOPPING CENTER
project shall be vested in a Management Committee which will
serve in an advisory capacity, under the supervision of and
subject to the approval of the City Commission.
B. The Management Committee shall be composed of
eight persons, -four of whome0EDC shall designate and four of
whom will represent the city as f(1) Director of the Office
of Trade and Commerce., (2) Director of Community Devel-
/
opment, (3) Director of the City Planning Department, and
(4) a City Manager's Staff official.
C. All actions of the Management Committee shall
be by unanimous vote, except where the votes cast by either
party shall be split, then by majority vote, had at a meet-
ing of the Management Committee at which at least one repre-
sentative of each party is continuously present; except that
if the number of representatives.of either party is less
than four, each party shall be entitled to an equal number
of votes which shall be the number of representatives of the
party having the lesser number of representatives present;
provided, however, that the Management Committee may also
act by the unanimous written consent of the Management
Committee.
D. No person on -the Management Committee or any
officer, director or employee of OEDC may have any personal
financial interest, direct or indirect, in OVERTOWN SHOPPING
CENTER. It is specifically 'understood and agreed to that no
member of the Management Committee may receive a salary or
other remuneration for the.:`services of that party rendered
to or on behalf of the Management Committee.•
E: Each: party shall be -responsible for keeping
four current members on theManagement Committee.
F. Contracts shall be entered into in the name
of OEDC upon resolution of the Management Committee, subject
to the approval of the City Commission.
G. Deadlocks of the Management Committee shall be
resolved by the City Commission.
ARTICLE VII
:Books of Account
A. The City shall keep or caused to be kept full
and true books of account reflecting all project trans-
actions. Said books of account shall be maintained at the
principal office of the City and shall be open to the inspec-
tion and examination of OEDC or its representatives during
business hours.
B. The said records shall be made available to
the,City Internal Audit Department or authorized representa-
tives and the representatives of the Federal Government to
audit, examine and make audits of all contracts, invoices,
materials, payrolls, records of personnel, conditions of
employment and other data relating to all matters contained
in this Agreement. The documents and records shall be
---furthermore maintained by the City for not less than three
years -following the' termination of this Agreement:
ARTICLE VIII
Amendments and Assignability
A. The City and" OEDC may, at their discretion,
amend this Memorandum of Agreement at any time to conform
with any facts which may require such amendment. Amend-
ments, if so required, shall"be attached hereto in writing
signed by all members of the Management Committee or duly
authorized representatives of each party, subject to the
approval of the City Commission.
B. This Agreement is not assignable by either
party without the written approval of the other party in the
form of an amendment hereto.
ARTICLE IX
Entire Agreement
A. This Agreement is the entire agreement be-
tween the parties with respect to the subject matter hereof
and supercedes all prior agreements between the parties with
respect hereto. No alteration, modification, or interpreta-
tion hereof shall be binding unless in writing and signed by
both parties.
ARTICLE X
Notices
A. All notices required or permitted by this
Agreement shall be in writing and shall be sent by regis-
tered or certified mail to:
The City: The City Planning Division,
275 N.W. Second Street, Miami, Florida
33128, Attention: Jim_ Reid, Director.__.
To OEDC:Attorneys Blackwell, Walker,
Gray, Powers, Flick & Hoehl, Attention:
Joel M. Aresty, Esq., 2400 AmeriFirst
Building, One Southeast Third Avenue,
Miami, Florida 33131 with a copy to
Charles Cash, 20601 N.W. 2nd Avenue,
Miami, Florida 33127.
.ARTICLE XI
Binding effect
A. This Agreement shall be binding upon and
inure to the benefit of the parties hereto, and their respec-
tive successors and assigns.:
B. This Agreement is wade pursuant to the laws
of the State of Florida, and shall be construed in accor-
dance therewith.
C. If any provision. hereto shall be held unen-
forceable or void then such provision shall be deemed sever-
able from theremaining provisions and shall in noway
•
affect:.the,validity of other provisions of the Agreement.
;:No consent .or...waiver, .expressor implied, ,by any party to -or
-12-
of any breach or default by the other in the performance by
the other of its obligations hereunder shall be deemed or
construed to be a consent or waiver to or of any other
breach or default in the performance by such other party of
the same or any other obligations in this Agreement. Fail-
ure on the part of either party to complain of any act or
failure to act of the other party or to declare the other
party in default, irrespective of how long such failure
continues, shall not constitute a waiver by such party of
its rights hereunder.
D. Both parties. hereto agree to adhere to the
U.S. Department of Commerce Economic Development Administra-
tion Special Conditions attached hereto and made a part
hereof marked Exhibit A, and to its Standard Terms and
Conditions attached hereto and made a part hereof marked
Exhibit B.
E. If litigation, arbitration, or administrative
hearings are -necessitated by disputes or controversies
between the parties hereto regarding OVERTOWN SHOPPING
CENTER, each party shall bear its own costs and attorneys
fees.
. F. •The liability of the parties hereunder is
limited by the continued availability of EDA Grant Funds,
and -this Agreement may be terminated by either party upon no
less than seven days notice in writing delivered by certi-.
fied mail:, return receipt requested, or in person with proof
of delivery ..if such funds. are not available as otherwise
stated herein.
ARTICLE XII
Counterparts
A. This Agreement may be executed in any number
of counterparts and each of the counterparts shall be deemed
to be an original, and this Agreement shall be binding on
every party who shall execute any one of such counterparts.
IN WITNESS WHEREOF, the parties hereto have caused
this Memorandum of Agreement to be executed:
This 6 day of
Att
1 Y Clerk
Approved as to form and
correctness:
34Kk
, 1981.
CITY OF MIAI I , a municipal
corporation of the State of
Florida
By
CITY MANAGE
This /`/ day , 1981.
OVERTOWN ECONOMIC DEVELOPMENT
CORPORATION, a Florida corporation
not for profit
Pres dent
Atte
-14-
Secretary
WyCY
(Corporate Seal)
Project Title:
Contract Period:
Contract Amount:
Code No.
clUI Lek
TMENT OF ECONOMIC DEVELOPMENT,(
NEIGHBORHOOD ECONOMIC DEVELOPMENT PROGRA•3'
LINE ITEM BUDGET SUMMARY
Contract No..
OECD Shopping Center Admin. Budget
11/1/82 - 9/30/83
$69,380
Personnel Services
. 001 Salaries & Wages
100 FICA Taxes
130 Group Insurance
150 Worker's Compensation
160 Unemployment Compensation
Operating Expenses
270 Professional Services
280- Accounting and Auditing -r
420 Travel & Peir Diem --Other ,
510 Communication Services --Telephone
520 Communication Services --Telegraph
533 Postage
540 Utility Services --Electricity
610 Rent --Equipment •
620 Rent -Space
.:640 Property Liability Insurance/Bonding
670 Repair & Maintenance Services
680 Printing and Binding
690 Advertising.
700 Office & Operating Supplies
760 Books, Publications & Memberships
Capital Outlay
840 Machinery & Equipment --New
•
842.000
4,500
6,500
4,100
1,001)
980
3,500
200
1,500
3,800
T6TAL $69,380
acLVAces as�speci-