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HomeMy WebLinkAboutLegislation FR/SRCity of Miami Legislation Ordinance City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 15.00654 Final Action Date: AN ORDINANCE OF THE MIAMI CITY COMMISSION AMENDING CHAPTER 18 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, ENTITLED "FINANCE," BY CREATING ARTICLE XI ENTITLED "LEASES OR MANAGEMENT OF CITY -OWNED PROPERTY GENERALLY AND LEASES OF CITY -OWNED SUBMERGED LANDS," TO IMPLEMENT THE PROVISIONS OF CITY CHARTER AMENDMENTS ADOPTED BY THE VOTERS ON AUGUST 26, 2014, WHICH REQUIRED THE CITY TO ADOPT METHODS TO ADMINISTER (A) CITY -OWNED PROPERTY SALE OR LEASE -GENERALLY, AND (B) CERTAIN LEASES OR MANAGEMENT AGREEMENTS OF CITY -OWNED SUBMERGED LANDS; CONTAINING A SEVERABILITY CLAUSE AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Section 3(f)(i) of the Charter of the City of Miami ("Charter"), grants the City of Miami ("City") the power to acquire by purchase, gift, devise, condemnation, or otherwise, real or personal property or any estate or interest therein, inside or outside the City, for any purposes of the City; and to improve, sell, lease, mortgage, pledge, or otherwise dispose of such property or any part thereof; and WHEREAS, the City has, over its history, acquired fee simple title to a significant amount of uplands and submerged lands; and WHEREAS, both for the August 26, 2014 City special election (a) on May 8, 2014, the City Commission adopted Resolution R-14-0184, approving, setting forth, and submitting to the electorate a proposed amendment to Section 29-B of the Charter, to "allow the City to enter into leases or management agreements, for City -owned submerged lands (lands under water including bay bottoms), with entities having possessory or ownership interest in abutting uplands (lands bordering water) to build marinas, docks or like facilities, using methods adopted by ordinance, on the condition that such leases or management agreements result in a return to the City of at least fair market value"; and (b) on June 12, 2014, the City Commission adopted Resolution R-14-0225, approving, setting forth, and submitting to the electorate an additional proposed amendment to Section 29-B of the Charter to require additional voter referendum approval for a development on City -owned property where the developer has not obtained the necessary building permits within four (4) years of the effective date of the lease with force majeure and litigation exceptions"; and WHEREAS, on August 26, 2014, the City's residents voted to approve both of the above -referenced Charter amendments to Section 29-B in a special election; and WHERES, pursuant to Resolution R-14-0341, the City Commission on September 11, 2014, officially accepted the City's Clerk's certification of the canvass and declaration of the results of the City special election held of August 26, 2014; and WHEREAS, the Section 29-B of the Charter with both additions approved by the voters now City of Miami Page 1 of 6 File Id: 15-00654 (Version: 1) Printed On: 7/14/2015 File Number: 15-00654 reads: "amendment requires that methods be adopted by ordinance to administer leases or management agreements for any City -owned submerged lands as contemplated in the Charter provision"; NOW, THEREFORE, BE IT ORDAINED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Ordinance are adopted by reference and incorporated as fully set forth in this Section. Section 2. Chapter 18 of the Code of the City of Miami, Florida, entitled "Finance," is hereby amended to add the following Article, entitled "Leases of City -Owned Submerged Lands," in the following particulars {1}: "CHAPTER 18 FINANCE ARTICLE XI. LEASES OF CITY -OWNED SUBMERGED LANDS Sec. 18-600. Statement of Purpose. The purpose of this article is to provide the methods for the City to directly negotiate and enter into leases or management agreements for City -owned submerged lands with entities having a possessory or ownership interest in the abutting riparian uplands. These methods and procedures will also ensure that any such leases or management agreements result in a return to the City of at least fair market value. Sec. 18-601. Definitions. When used in this article, the following definitions shall apply: (a) Activity or Activities means any use of City -owned submerged lands which requires proprietary authorization from the City. Such activities specifically include, but are not limited to, construction of docks, piers, marinas, boat ramps, board walks, baywalks, riverwalks, and mooring pilings, This definition shall also include activities as defined in the applicable section of the Florida Administrative Code, Chapter 18-21, entitled "Sovereign Submerged Lands Management," as the term may have been interpreted or modified by administrative or other case law. Preempted Area means an area of City -owned submerged lands from which any traditional public uses will be excluded by an Activity, such as the area occupied by docks, piers, marinas, and other structures; the area between a dock and the shoreline where access is not allowed, between docks, or areas where mooring routinely occurs that are no longer reasonably accessible to the general public; permanent mooring areas not associated with docks; and swimming areas enclosed by. nets, buoys, or similar marking systems. City of Miami Page 2 of 6 File Id: 15-00654 (Version: 1) Printed On: 7/14/2015 File Number: 15-00654 Upland Owner means the holder of a possessory or ownership interest in the riparian uplands abutting City -owned submerged lands and the holder of riparian rights necessary to conduct the proposed Activities in a Preempted Area. Sec. 18-602. Scope of Article. The City may enter into a lease or management agreement with an Upland Owner to conduct an Activity in a Preempted Area pursuant to methods established in this article. There shall be no further proprietary authorization required by the City to conduct an Activity in a Preempted Area. (b) The methods established in this article are intended to be an alternative procedure to those set forth in Article V of this Chapter, entitled "Sale Or Lease Of City's Real Property," for those cases in which an Upland Owner seeks to conduct an Activity on City -owned submerged lands. For all other cases, the procedures and provisions set forth in Article V of this Chapter, and elsewhere in the Code and Charter of the City, shall continue to apply. (c) The methods established in this article shall not supersede any local, state, or federal regulations or laws relating to construction or navigation within state or federal waters, nor shall this article be interpreted in any way to alter, amend, or supersede any local: state, or federal permitting requirements. The provisions of this article shall be used solely for proprietary authorization on City -owned submerged lands, and will be cumulative along with those regulatory or proprietary requirements established by local, state, or federal law. Sec. 18-603. Application for Lease or Management Agreement. The City shall require all Upland Owners to submit an application for a lease or management agreement on City -owned submerged lands, which shall include the following: a). Name, address, and telephone number of applicant and applicant's authorized agent, if applicable; 101 Description of the proposed Activities; Lc). At least two (2) independent appraisals and/or brokers' opinions of value and reliance letters of the fair market value for conducting the Activities in the Preempted Area performed by a certified general appraiser approved by the City.; (d) Satisfactory evidence that applicant is an Upland Owner; such evidence may be in the form of a deed or title insurance policy; Lel Two (2) prints of a legal description and survey of the proposed Preempted Area where the Activities will be conducted. The survey shall be prepared, signed, and sealed by a person properly licensed by the State Florida Board of Professional Land Surveyors, with the following requirements: in Utilizing an appropriate scale on 8'/z x 11" size paper (unless a larger size is necessary to Provide sufficient clarity and detail); ii. Showing the location of ordinary or mean high water; flin Showing the location of the shoreline vegetation, if existing; City of Miami Page 3 of 6 File Id: 15-00654 (Version: 1) Printed On: 7/14/2015 File Number 15-00654 (iv) Showing the location of proposed structures and any existing structures; Showing the applicant's upland parcel property lines; (vi) Including a legal description of the Preempted Area to be leased; (vii)Showinq the Bulkhead Line. Current local zoning and a statement on the status of any local, state, federal permitting, licensing, or other approvals necessary for the Activities; Lai An explanation of the City's ownership interest in the submerged lands proposed to accommodate the Activities, including the deed or other conveyance instrument which vests title in such submerged lands to the City. Payment of a five hundred dollar ($500.00) non-refundable processing fee. Sec. 18-604. Required Provisions., The application materials, including the survey, the appraisals, brokers' opinion of values and reliance letters, and title insurance policy, must be current to within six (6) months of the date that the application is submitted. Sec. 18-604. Required Provisions. All leases or management agreements with Upland Owners on City -owned submerged lands shall be subject to the following provisions: The effective date of the lease or management agreement shall be the latter of the dates of execution by the City or the Upland Owner, or the date on which construction of the Activities is authorized to commence by the appropriate federal, state, and/or local regulatory agencies. Payments for a lease or management agreement shall be assessed beginning on the effective date. New construction, new Activities, or new Preemption cannot begin until the effective date. The first payment for new or modified leases or management agreements shall be made within thirty (30) days of the effective date. IL 1 The term for any instrument for use of the submerged lands used by the abutting upland property owner shall be determined by the City, The lease or management agreement may include provisions for annual payment adjustments. If included, such adjustments shall correspond with the greater of the percentage change in the Consumer Price Index, or a percentage negotiated by both parties and shall be adiusted on an annual basis, Leases and management agreements are renewable, modifiable, and assignable, subject to approval by the City Manager, which shall not be unreasonably withheld delayed or conditioned. Any Upland Owner seeking to renew, modify, or assign a lease or management agreement must follow the procedures for applications as set forth in this article. No application to renew, modify, or assign a lease or management agreement shall be approved unless any existing non-compliance with a material term or condition of the existing lease or management agreement is corrected. At least annually, the lessee or user shall submit an annual report to the City. The annual report City of Miami Page 4 of 6 File Id: 15-00654 (Version: 1) Printed On: 7/14/2015 File Number: 15-00654 shall describe the status of the Activities on the Preempted Area and shall certify compliance with the terms and conditions of the lease or management agreement Lel At least once every five (5) years, sites subject to a lease or management agreement shall be inspected by the City to determine compliance with the terms and conditions of the lease or management agreement. Noncompliance with any material term or condition, or evidence of trespass, damage, or depredation to City -owned submerged lands or the products thereof caused by the facility or use, may be grounds for cancellation of the lease fl Upon expiration or cancellation of a lease or management agreement, the City may require lessee or user to remove all structures and equipment from the Preempted Area at the expense of the lessee or user. The City must deliver notice to remove all structures and equipment within one hundred eighty (180) days after such expiration or cancellation, and the notice shall set forth a reasonable time period within which removal should be complete; provided however that any such time period shall be sufficient to account for federal, state, and/or local permitting requirements which may be necessary to authorize removal of the structures and equipment. If the lessee or user fails to remove the structures and equipment thereon, the City shall, at its option, and after ten (10) days from receipt of written notice by certified mail to lessee or user, have the structures and equipment removed at the expense of the lessee or user. ig). The Lessee or user shall provide insurance for the Activities in the manner and at the level prescribed by the City's Director of Risk Management. Sec. 18-605. Criteria for Approval. The City Manager shall have the authority to conduct negotiations with and enter into leases or management agreements with Upland Owners who submit an application pursuant to the terms of this article. The City Manager shallhave the authority to execute such leases or management agreements in the name of the City, and City Commission approval shall not be required. No leases or management agreements shall be approved unless the following criteria are met: {ai The lease or management agreement provides a sufficient explanation of the Activities permitted and includes a legal description and sketch of the Preempted Area where the Activities will be conducted. 1121 The terms of the lease or management agreement result in a return to the City of at least fair market value, pursuant to at least two (2) independent appraisals and/or brokers' opinions of value and reliance letters of the fair market value for conducting the Activities in the Preempted Area performed by a certified general appraiser approved by the City. .(91 The lease or management agreement complies with all of the required provisions stated in this article. *II Section 3. If any section, part of a section, paragraph, clause, phrase, or word of this Ordinance is declared invalid, the remaining provisions of this Ordinance shall not be affected. City of Miami Page 5 of 6 File Id: 15-00654 (Version: 1) Printed On: 7/14/2015 File Number: 15-00654 Section 4. This Ordinance shall become effective thirty (30) days after final reading and adoption thereof.{2} APPROVED AS TO FORM AND CORRECTNESS: VICTORIA MENDEZ CITY ATTORNEY Footnotes: {1} Words and/or figures stricken through shall be deleted. Underscored words and/or figures shall be added. The remains of the provisions are now if effect and remain unchanged. Asterisks indicate omitted and unchanged materials. {2} This Ordinance shall become effective as specified as herein unless vetoed by the Mayor within ten (10) days from the date it was passed and adopted. If the Mayor vetoes this Ordinance, it shall become effective immediately upon override of the veto by the City Commission or upon the effective date stated herein, whichever is later. City of Miami Page 6 of 6 File Id: 15-00654 (version: 1) Printed On: 7/14/2015