HomeMy WebLinkAboutMemo - City ManagerCITY OF MIAMI
INTER -OFFICE MEMORANDUM
TO: Honorable Mayor and Members
of the City Com
FROM: DanielJ. AIf�'���/�"��97-'�
City Manager
DATE: March 3, 2015
SUBJECT: Options for Financing the
Miami -Marine Stadium
The City of Miami Commission requested options for financing the $16 million for certain capital
improvements projects to the areas surrounding the Miami Marine Stadium as discussed at the January 8,
2015 City Commission Meeting. As presented at that meeting, the administration continues to recommend
that the funding come from Special Obligation Bonds with a repayment schedule of 15 to 20 years and with
funds pledged from available non -ad valorem revenues in the General Fund (in accordance with Florida
Statute Section 218.64(4)). Several additional alternatives can be contemplated for this project.
Alternative 2: Reprogram Parks Impact Fees
Of the $34.8 million of Parks Impact Fees that were budgeted in the current year, $1.2 million is currently
under contract. The remaining $33.6 million could be reprogrammed away from their current projects and
toward the Marine Stadium. Staff has run projections of impact fees in the current year and does not
anticipate that there will be additional impact fees above the amounts budgeted in the current year. For
clarity, this would mean that certain parks projects would be delayed into future years rather than started in
the current year. Attachment A details all parks projects and their current contracting status.
Alternative 3: Last Year Fund Balance
The City has ended FY 2013-14 with an estimated fund balance higher than the threshold of $103.6 million
required by the City's Financial Integrity Principles. We could recognize approximately $5 million in the
current year and program these funds toward the Marine Stadium. These funds were to be used to maintain
a fund balance in future years above the Principles. If these funds are used for the Stadium and not
maintained in the fund balance, then it is likely that the City will be required to budget more than $5 million
of reserves Just to remain in compliance with the aforementioned Principles.
Alternative 4: New Revenues in the Current Year
There are two revenues that were not budgeted in the current year, but have been received since October 1,
2014. There is $1.4 million from a settlement with a waste hauler as presented to the Commission during the
December 11, 2014 City Commission Meeting. Also, as part of the Skyrise/Bayside agreement, the City was
to receive $3.75 million when Bayside refinanced its current debt obligations. This occurred in December
2014. The City received the funds on December 23, 2014 and deposited thereafter. These two funds were
anticipated to be recommended for additional services such as additional Fire Apparatus purchases in the
Mid -Year Budget Amendment scheduled for April 9, 2015.
It remains the administration's recommendation to continue with the plan as presented on January 8, 2015.
Should you have any questions or concerns, please contact the Budget Director at crose@miamigov.com or
at 305-416-1500.