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HomeMy WebLinkAboutOMNI CRA 2017-04-19 MinutesCity of Miami 3500 Pan American Drive Miami, FL 33133 www.miamigov.com Meeting Minutes Wednesday, April 19, 2017 4:30 PM Temple Israel of Greater Miami 137 NE 19th Street Miami, FL 33136 OMNI Community Redevelopment Agency Ken Russell, Chair Francis Suarez, Vice Chair Wifredo (Willy) Gort, Board Member, District 1 Frank Carollo, Board Member, District 3 Keon Hardemon, Board Member, District 5 OMNI and MIDTOWN CRA OFFICE ADDRESS: 1401 N. Miami Avenue, 2'd Floor, Miami 33136 Phone: (305) 679-6868 www.miamicra.com OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 ROLL CALL Present: Chair Russell, Vice Chair Suarez, and Commissioner Gort Absent: Commissioner Carollo and Commissioner Hardemon On the l9th day of April 2017, the Board of Commissioners of the OMNI Community Redevelopment Agency of the City of Miami met in regular session at Temple Israel of Greater Miami located at 137 Northeast l9th Street, Miami, Florida. The meeting was called to order by Chair Russell at 4:34 p.m., and was adjourned at 5:22 p.m. ALSO PRESENT: Jason Walker, Executive Director, CRA Isiaa Jones, Chief Legal Officer, CRA Barnaby Min, Deputy General Counsel, CRA Nicole N. Ewan, Assistant Clerk of the Board Chair Russell: I'm going to call to order this meeting of the Omni Community Redevelopment Agency. Roll call, please. Vice Chair Suarez: Here. Board Member Gort: Here. Chair Russell: Here, here. We're all here. Board Member Gort: We're here. Vice Chair Suarez: Not for a quorum, at least. Chair Russell: Missing Commissioner Carollo and Hardemon. Are they coming or not? Jason Walker (Executive Director/Omni Community Redevelopment Agency): Commissioner Carollo has advised that he will not be here tonight. Commissioner Hardemon advised that he may possibly be late. Chair Russell: Okay. We do have a four fifths item on the agenda, at least, for sure; don't we? So let's -- Mr. Walker: Yes. Chair Russell: -- move that one till later -- Mr. Walker: Yes. Chair Russell: -- in case that's the issue. Mr. Walker: Yes, sir. Mr. Walker: Yes, sir. OMNI Community Redevelopment Agency Page 2 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 RESOLUTIONS 1. OMNI CRA RESOLUTION 2096 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA") DIRECTING THE EXECUTIVE DIRECTOR TO STUDY AND ASSESS WHAT THE BEST AND HIGHEST USE IS FOR THE CRA-OWNED PROPERTY LOCATED AT 50 NW 14 STREET, MIAMI, FLORIDA. ENACTMENT NUMBER: CRA-R-17-0019 MOTION TO: RESULT: MOVER: SECONDER: AYES: ABSENT: Adopt ADOPTED Francis Suarez, Vice Chair Wifredo Gort, Commissioner Gort, Suarez, Russell Hardemon, Carollo Chair Russell: All right. Item Number 1, Mr. Executive Director. Mr. Walker: Item Number 1 is a resolution of the Board of Commissioners of the Redevelopment District Community Redevelopment Agency, directing the executive director to study and assess what the best and highest use is for the CRA (Community Redevelopment Agency) -owned property, located at 50 Northwest 14th Street. Chair Russell: Thank you. Is there anyone here from the public -- wow, these mikes are really -- Vice Chair Suarez: Powerful. Chair Russell: Yes. Is there anyone here from the public that would like to speak on this item with regard to the movie studio in the CRA? Nobody? I'll close the public hearing. Vice Chair Suarez: Move it. Discussion. Chair Russell: It's been moved for discussion -- Board Member Gort: Second. Chair Russell: -- and seconded by -- Board Member Gort: Discussion. Chair Russell: Yeah, go ahead. Vice Chair Suarez: Thank you, Mr. Chair. Yeah, we've talked about this before. I think -- you know, certainly before your arrival, the prior Chair's -- this was sort of an initiative of the prior Chair, and he really wanted to promote the entertainment industry in the CRA, and, you know, it was something that I think we sort of followed his lead, if you will. Every Chairman, every board, I think takes on a different life, different philosophy. From my perspective, having been in the building, I think it was a success. That's just my personal opinion. I think the building is beautiful. It OMNI Community Redevelopment Agency Page 3 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 looks like it's been well, sort of developed on the outside and on the inside, and it's obviously, fully rented, et cetera, et cetera. Having said that, I have no problem with now pivoting and saying, "Okay, we're going to take that asset, divest ourselves of it, and potentially, you know, use it for another objective," which is probably more in line with something that you and I have been championing and discussing for many, many years, which is affordable housing, which is such a critical need in this community. So I think it's very easy to reconcile the past with the future on this item, and I don't think that one thing has anything to do, really, with the other. I really do feel that it was a good in -- turned out to be a good investment. I was a little bit unsure as to whether it would be or not, but it turned out to be a very good investment. It was well -stewarded all the way through, and now we have an opportunity maybe to divest ourselves of it and look to use those resources to do other good things in our community. Chair Russell: Thank you, Commissioner. Commissioner Gort. Board Member Gort: The -- my understanding is, from what I read -- your conversation with Gene Rodriguez, we just won -- the film that was produced here in the City of Miami. What's the name of it? Moonlight. They got the award. And the one thing I'd like to tell you, just had a trade mission to Chili, and they playing -- that's all they're playing. And so Miami's back on the record. You're talking to a guy who's an expert in film, the film industry, with Gene Rodriguez. He's bought all the property. He's got (UNINTELLIGIBLE), because he wanted to create something there. I think we need to analyze it, because I know the legislation right now don't want to set any set asides, but they need to understand, Georgia and Alabama are sort of taking quite a bit of it, so it's -- I think what -- you all have to analyze it well, and see what's best for the community. Chair Russell: Thank you, Commissioner Gort. Board Member Gort: Don't forget, we also creating job -- housing is very important, but getting jobs so people can maintain their house is also very important. So those are the things I think you need to analyze. Chair Russell: Absolutely agree. And from my perspective -- and I've worked with Jason on this, ever since he's been in. We've been on two tours of the studio, seen them in action and work; it is up and running. It's phenomenal, what they're able to produce there. There is quality TV (television) coming out of Miami that's being produced here for Latin America for -- in Spanish, Portuguese, and English. It's happening. It's first-rate, first -quality. Vice Chair Suarez: It's really cool. Chair Russell: So was the investment worthwhile in that sense in terms of sparking? Yes. Did it actually eliminate blight in that area? Yes. The question now we have to look at -- We wouldn't necessarily be abandoning it if someone else were to take it over. They could sell it and continue it as what it is. The film industry could continue it. Vice Chair Suarez: They probably would be required to, actually, under the current leases and covenants that they have. Chair Russell: That's a good point. You know, and it does fit well with the Arts and Entertainment District of the area. It's certainly good for the community. But the devil's into details, and for me coming into the CRA (Community Redevelopment Agency), I had to really analyze this asset and its performance with regard to, one -- is it, one, making money for the CRA that we can then utilize for our mission? Or, is OMNI Community Redevelopment Agency Page 4 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 it accomplishing our mission on its own? And that would mean creating jobs within the community, education within the community, trading for this industry. And according to what we could study within the leases right now, it's not producing money for us as an asset, and it's not creating those community benefits that would require for it to be a CRA asset. Can it still continue and flourish? Absolutely. But could that 18, $20 million free up us to accomplish much more of our mission, now that that spark has happened? I think so; at least, I'm open to exploring to see what it's worth, what we could do with it, what we can potentially -- who might be interested in it, and obviously, we have the legal questions of what the leases that are currently there and the tenants that are in there now. Mr. Walker: Yes. Chair Russell: But, you know, our only goal is not affordable housing. That's the most difficult one, I think, to incentivize. That's where a lot of our focus has been, but really creating a hub in this entire area of life, and both commercial and residential activity, and arts and entertainment, which I think fits well here, is really good. So I'm in favor of this item, to explore it further and see where we go. Vice Chair Suarez: Mr. Chair, and I would just say that, no, certainly, you know, that's not our only goal as a CRA, you know, and it hasn't been our only goal when we sit as an Overtown CRA. I think you have wonderful people in the Omni community that are building first-rate products, who are in our audience, and so -- but we as a governmental agency have a responsibility, I think, to deal with one of the most pressing and difficult issues in our County, which is affordable housing, and I think you have set that tone, and it's something that I was -- found very refreshing when you came onto this CRA, because it's just something that we were not emphasizing. And so, I'm glad that we're now emphasizing it, because I think it's something that should be emphasized. Chair Russell: All right. Board Member Gort: I'll tell you, I've been in studios in California, and those studios, they just as good or even better than some of the ones I've seen in California, so if we can -- I'm sure the industry will be interested in maintaining it as a studio. If we can sell and do that. And then, when you put the contract together, you can deal with the lease when it comes to the contract and all that, so. Mr. Walker: Yeah. And Commissioners, Mr. Chairman, you know, this is just allowing us to go back and explore what the options are, and there are lots of options on the table, absent selling the asset. And I agree with everything that was said. It is a pretty nice facility. They run a tight ship over there. Christian's over there in the back. And we have really no issues with them, and the issue -- only issue that we have is what's the highest and best use at this point, now that it's done? Can we do --? And, you know, one of the things that we throw into our analysis is that just two days ago, we received a unsolicited proposal to put a mural on the building, which was contemplated in the lease to add extra revenue to the CRA into the deal. So all of that will be taken into account when we bring you back our analysis on what we should do. Chair Russell: All right. One last comment. It was mentioned about the film industry just not doing so great in Florida. You know, whoever takes over this asset, they'll always have a challenge with the State Legislature's and the Governor's position on incentives for the film industry. I'd be open, you know, in the future for us as a Commission or as a board to encourage the State to open those doors more that would encourage more jobs around something -- an asset like this. OMNI Community Redevelopment Agency Page 5 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 Vice Chair Suarez: I mean, whatever we said is -- Mr. Chair, if I may? Whatever we said is, you know, for the film and entertainment industry, they need to be -- I feel that if they're on a level playing field that we'll win every single time. Florida and Miami will always win, if we're on a level playing field. The problem is, it's not a level playing field, and you have other states, and other parts of the country that are incentivizing the film industry in those places. So we need to, I think, do, at the very minimum, the same that is being done in other places, so that we can win the battle of where people want to be. Chair Russell: All right. Hearing no further discussion, all in favor on this item, say "aye. The Board (Collectively): Aye. Chair Russell: Any opposed? Motion passes. 2. OMNI CRA RESOLUTION 2098 TO BE WITHDRAWN A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA"), BY A FOUR -FIFTHS (4/5THS) AFFIRMATIVE VOTE, AFTER AN ADVERTISED PUBLIC HEARING, RATIFYING, APPROVING, AND CONFIRMING THE EXECUTIVE DIRECTOR'S RECOMMENDATION AND FINDING THAT COMPETITIVE NEGOTIATION METHODS AND PROCEDURES ARE NOT PRACTICABLE OR ADVANTAGEOUS PURSUANT TO SECTIONS 18-85 AND 18-86 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, AS ADOPTED BY THE CRA; WAIVING THE REQUIREMENTS FOR COMPETITIVE SEALED BIDDING AS NOT BEING PRACTICABLE OR ADVANTAGEOUS TO THE CRA; AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH POPLIFE ENTERTAINMENT GROUP, LLC, IN A FORM ACCEPTABLE TO THE GENERAL COUNSEL, FOR THE PROVISION OF PROGRAMMING, MARKETING, AND BRANDING SERVICES RELATED TO APPROXIMATELY SEVEN (7) ACRES OF FLORIDA DEPARTMENT OF TRANSPORTATION OWNED LAND ABUTTING INTERSTATE 395 IN THE OMNI REDEVELOPMENT AREA FOR A CONTRACT PERIOD OF EIGHT (8) MONTHS AT A MONTHLY CONTRACT AMOUNT OF $5,000.00; ALLOCATING FUNDS FROM OMNI INCREMENT FUND, "OTHER GRANTS AND AIDS", ACCOUNT CODE NO. 10040.920101.883000.0000.00000. MOTION TO: No Action RESULT: NO ACTION TAKEN Vice Chair Suarez: Do we have to defer that other item? Jason Walker (Executive Director/Omni Community Redevelopment Agency): Yeah. May we move to defer, Madam Clerk? Nicole N. Ewan (Assistant Clerk of the Board): Chair, you can choose to either withdraw that item or take no action. If you take no action, that item will come back on the next CRA (Community Redevelopment Agency) agenda. Mr. Walker: No action. OMNI Community Redevelopment Agency Page 6 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 3. Chair Russell: Take no action. Vice Chair Suarez: Yeah. Chair Russell: That's fine. Thank you all very much for coming. This meeting of the Omni CRA is now adjourned. OMNI CRA RESOLUTION 2100 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA") AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE A PURCHASE AND SALE AGREEMENT ("AGREEMENT"), IN A FORM ACCEPTABLE TO THE GENERAL COUNSEL, BETWEEN THE CRA AND BIG TIME EQUIPMENT INC. FOR THE ACQUISITION OF REAL PROPERTY LOCATED AT 1367 N. MIAMI AVENUE, MIAMI, FLORIDA 33136, CONTAINING AN APPROXIMATE TOTAL ADJUSTED AREA OF 14,820 SQUARE FEET ("PROPERTY"), AS LEGALLY DESCRIBED IN THE AGREEMENT, FOR A TOTAL PURCHASE PRICE NOT TO EXCEED FIVE MILLION FIVE HUNDRED THOUSAND DOLLARS ($5,500,000.00), CONTINGENT UPON THE CRA OBTAINING A WRITTEN APPRAISAL FROM A LICENSED FLORIDA APPRAISER STATING THAT THE APPRAISED VALUE OF THE PROPERTY IS AT A MINIMUM THE REFERENCED AMOUNT HEREIN; FURTHER AUTHORIZING THE EXECUTIVE DIRECTOR TO NEGOTIATE AND EXECUTE ALL NECESSARY DOCUMENTS, INCLUDING ANY AMENDMENTS AND MODIFICATIONS TO SAID AGREEMENT, IN A FORM ACCEPTABLE TO THE GENERAL COUNSEL, THAT MAY BE NECESSARY TO EFFECTUATE SAID ACQUISITION; ALLOCATING FUNDS FROM ACCOUNT TITLED PURCHASE OF REAL PROPERTY 10040.920501.661000.0000.00000, IN A TOTAL AMOUNT NOT TO EXCEED FIVE MILLION SIX HUNDRED SIXTY- FIVE THOUSAND DOLLARS ($5,665,000.00), TO PROVIDE FOR THE COST OF SAID ACQUISITION, INCLUSIVE OF THE COST OF A SURVEY, ENVIRONMENTAL REPORT, TITLE INSURANCE, AND RELATED CLOSING COSTS ASSOCIATED WITH SAID ACQUISITION, IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF THE AGREEMENT. ENACTMENT NUMBER: CRA-R-17-0020 MOTION TO: RESULT: MOVER: SECONDER: AYES: ABSENT: Adopt with Modification(s) ADOPTED WITH MODIFICATION(S) Francis Suarez, Vice Chair Ken Russell, Chair Gort, Suarez, Russell Hardemon, Carollo Chair Russell: We'll table Item Number 2 until we have at least four Commissioners; is that correct? And we'll take Item Number 3. Jason Walker (Executive Director/Omni Community Redevelopment Agency): Commissioners, Item Number 3 is a resolution to purchase real property, located at 1367 North Miami Avenue. I would like to make an amendment to this item on the record. Through our continued negotiations with the seller, and, frankly, his confidence in what we're doing now, we've been able to negotiate this price down by a million dollars. So I'd like the record to reflect the purchase price to be 4.5 OMNI Community Redevelopment Agency Page 7 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 million, which would be in line exactly with the appraisal that's attached; and your votes, according to Barnaby, would be sufficient to pass this item today. So it's a significant decrease in the original asking price. We feel that this is a -- right in line with what the CRA (Community Redevelopment Agency) should be doing, preserving historic buildings within the district. And 171 read the resolution. A resolution of the Board of Commissioners of the Omni Redevelopment District Community Redevelopment Agency authorizing the executive director to execute and [sic] purchase a [sic] sale agreement, in a form acceptable to the general counsel, between the CRA and Big Time Equipment, Inc., for the acquisition of real property, located at 1367 North Miami Avenue, containing the approximate total adjusted area of 14,820 square feet, as legally described in the agreement, for a total purchase price not to exceed $4.5 million, contingent upon the CRA obtaining a written proposal [sic] from a licensed Florida appraiser, stating that the appraised value of the property is, at a minimum, the referenced amount herein; further authorizing the executive director to negotiate and execute all necessary documents, including any amendments and modifications to said agreement, in a form acceptable to the general counsel, that may be necessary to effectuate said acquisition; allocating funds from the account -- I don't have to read the account, Madam Clerk, right? No. Nicole N. Ewan (Assistant Clerk of the Board): You do not. Mr. Walker: Okay. -- to provide for the cost of said acquisition, inclusive of the cost of a survey, environmental report, title insurance, and related closing costs associated with said acquisition, in accordance with the terms and condition of the agreement. Chair Russell: Thank you. Barnaby Min (Deputy City Attorney): Mr. Chairman. Chair Russell: Yes, sir. Mr. Min: There was another amendment, which I believe was already handed out. It also authorized the general counsel to engage outside counsel for the closing. Chair Russell: Understood. Is there anyone from the public -- Vice Chair Suarez: So moved. Chair Russell: -- who'd like to speak on this item? This is with regard to the potential purchase of the large red historic bank building just across from the historic fire building where the CRA is currently situated. Would anyone like to speak on this item? Vice Chair Suarez: So moved. Chair Russell: It's been moved and seconded by the Chair. Is there any discussion from the dais? Vice Chair Suarez: I was going to say, "Go with God on this one." Board Member Gort: Go for it. Chair Russell: I never knew that I was such a historic preservationist, until I became a Commissioner. And for our -- OMNI Community Redevelopment Agency Page 8 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 Vice Chair Suarez: You're going to learn a lot of new things about yourself from here, Commissioner, trust me. Chair Russell: I had no idea. But to be able to save and control and preserve an asset, and then direct its redevelopment and use -- Vice Chair Suarez: It's a big deal. Chair Russell: -- is something I'm looking forward to, and I think it can be a great add to the community, and I'm looking forward to it. Board Member Gort: Commissioner? Chair Russell: Yes, sir. Board Member Gort: The air rights in there, right? Mr. Walker: Yes, sir. Chair Russell: Have not been sold, so this price -- Mr. Walker: And they have not been sold. Chair Russell: -- includes the air rights on that location. Mr. Walker: Yes. Chair Russell: So it's a good asset, in my opinion. Hearing no further discussion, all in favor, say "aye." The Commission (Collectively): Aye. Chair Russell: Any opposed? Motion passes. Ms. Ewan: As amended. Chair Russell: As amended. Mr. Walker: Thank you. 4. OMNI CRA RESOLUTION 2101 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA") AUTHORIZING THE EXECUTIVE DIRECTOR TO BEGIN NEGOTIATIONS WITH THE SCHOOL BOARD OF MIAMI-DADE COUNTY ("SCHOOL BOARD") IN ORDER TO ACHIEVE A COLLABORATIVE PARTNERSHIP WITH THE SCHOOL BOARD FOR THE FUTURE DEVELOPMENT OF PROPERTIES WITHIN THE CRA REDEVELOPMENT AREA. ENACTMENT NUMBER: CRA-R-17-0021 OMNI Community Redevelopment Agency Page 9 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 MOTION TO: RESULT: MOVER: SECONDER: AYES: ABSENT: Adopt ADOPTED Francis Suarez, Vice Chair Wifredo Gort, Commissioner Gort, Suarez, Russell Hardemon, Carollo Jason Walker (Executive Director/Omni Community Redevelopment Agency) Resolution Number 4: Omni resolution of the Board of Commissioners of the Omni Redevelopment District Community Redevelopment Agency ("CRA"), authorizing the executive director to begin negotiations with the School Board of Miami -Dade County in order to achieve a collaborative partnership with the School Board for the future development of properties within the CRA redevelopment area. Chair Russell: Is there any comment from the public with regard to this collaboration between the School Board and the Omni CRA? Hearing none -- Vice Chair Suarez: Move it. Discussion. Board Member Gort: Move it. Chair Russell: -- I'll close public comment. It's been moved and seconded for discussion. Commissioner Suarez. Vice Chair Suarez: Thank you, Mr. Chair. And I want to thank you, because you've been with me at many of the meetings of the BNA (Biscayne Neighborhoods Association) and some of the DNA (Downtown Neighbors Alliance), where there is a lot of talk about how to continue to, you know, grow the number of schools and schooling options in this area. And so, I think this is a wonderful opportunity, particularly for the School Board, because I think the School Board has put this property out for RFP (Request for Proposals) a couple times, sort of unsuccessfully, and I think it makes a lot of sense. And Jason and I sat on a panel as well, where we talked about -- Mr. Walker: Here. Vice Chair Suarez: -- collaborating with -- Yeah. Well, one here, and I think one at the B -- you know, at the BNA a while back, a long time ago. Mr. Walker: Yep. Vice Chair Suarez: And again, you know, I think there was definitely -- and there definitely is a desire in the School Board to collaborate with us, you know. And so, I think this is wonderful leadership on your part, and glad to be a part of it. Chair Russell: Thank you. Any other --? Board Member Gort: Let's face it, I think it's very important to work at team work. I mean, when you can combine the different sources and put them together, you can get a really good balance as -- and get -- create some good information out. The School Board itself the type of employees they have, they also going to need workforce homes -- housing, which is very important. So Miami's getting more expensive every day. People that work in the schools, some of them have pretty good salaries, but a large amount of the people that work in the schools, they don't have real good salaries, which they need the workforce houses. So that'll be a win -win for OMNI Community Redevelopment Agency Page 10 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 the two. Chair Russell: I've been working with the School Board since I first came into office, obviously recognizing that it's not necessarily the job of a City Commissioner to make these decisions, that they would drive these decisions, but the need for schools downtown is absolutely undeniable, and we can see it. Vice Chair Suarez: Yep. Chair Russell: The capacity of our construction can see it. To learn the politics and the delicate dance of getting movement on additional schooling capacity downtown has been a challenge and education for me, and I really appreciated working with Superintendent Carvalho to see the bigger picture of what needs to happen, not only in the core of downtown, but surrounding downtown in all neighborhoods. The improvement of schools need -- that need investment, as well as the new capacity downtown. So to work with the homeowners associations, who are clamoring for additional schools, to sort of teach them a bit of those politics that are necessary to get consensus amongst the School Board, and then to bring the CRA to the table with this potential arrangement, for me, it's a big accomplishment. I think Jason's done a great job in negotiating this and working it. For me, I could just see so much with the School Board properties. There's nine acres downtown; there's another three acres right behind us here. And to work together with the School Board, the dreams of what could be there, there could be housing for teachers, housing for former foster students -- Vice Chair Suarez: Huge. Chair Russell: -- education at all levels, job education, from "K" through 12 through university level, technology things. The amount of money they could make from just selling it is obviously very tempting for the School Board. To go into a collaboration with us on the vision of what it could be for downtown and the City as a whole is very commendable. So I thank Superintendent Carvalho and the executive director for doing this. So I'm happy to have your support on this. And if there's no further discussion, all in favor, say "aye." The Board (Collectively): Aye. Chair Russell: Any opposed? Motions passes. 5. OMNI CRA RESOLUTION 2102 A RESOLUTION OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA") REAFFIRMING ITS OBLIGATION TO FUND ENVIRONMENTAL REMEDIATION EXPENDITURES AT BICENTENNIAL PARK LOCATED AT 1075 BISCAYNE BOULEVARD, MIAMI, FLORIDA IN THE TOTAL AMOUNT NOT TO EXCEED TWO MILLION DOLLARS ($2,000,000.00); AUTHORIZING THE EXECUTIVE DIRECTOR TO ISSUE AN IMMEDIATE DISBURSEMENT OF OUTSTANDING REIMBURSEMENT PAYMENTS IN THE AMOUNT OF $173,432.53; AUTHORIZING THE EXECUTIVE DIRECTOR, AT HIS DISCRETION, TO DISBURSE THE PAYMENTS ON A REIMBURSEMENT BASIS OR DIRECTLY TO VENDORS, AFTER THE CITY OF MIAMI HAS AUTHORIZED PAYMENT AND UPON PRESENTATION OF INVOICES AND SATISFACTORY DOCUMENTATION; AND FURTHER AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE ALL NECESSARY DOCUMENTS, IN A FORM ACCEPTABLE TO THE GENERAL COUNSEL, FOR SUCH PURPOSES. OMNI Community Redevelopment Agency Page 11 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 ENACTMENT NUMBER: CRA-R-17-0022 MOTION TO: RESULT: MOVER: SECONDER: AYES: ABSENT: Adopt ADOPTED Francis Suarez, Vice Chair Wifredo Gort, Commissioner Gort, Suarez, Russell Hardemon, Carollo Jason Walker (Executive Director/Omni Community Redevelopment Agency) Resolution Number 5 is a resolution of the Omni Redevelopment District Community Redevelopment Agency reaffirming its obligation to fund environmental remediation expenditures at Bicentennial Park, located at 1075 Biscayne Boulevard, Miami, Florida, in a total amount not to exceed $2 million; authorizing the executive director to issue an immediate disbursement of outstanding reimbursement payments in the amount not to exceed $173,432.53; authorizing the executive director, at his discretion, to disburse the payments on a reimbursement basis or directly to vendors, after the City of Miami has authorized payment and upon presentation of invoices and satisfactory documentation; and further authorizing the executive director to execute all necessary documents, in a form acceptable to the general counsel, for such purposes. Commissioners, this item is payments that were -- invoices that were done for the remediation of Bicentennial Park for the Frost Museum. Some of these invoices are very old; some of them are almost 16 years old; that we just started receiving invoices from CIP (Capital Improvements Projects). We've been told by the Attorney's Office that we do owe this money. We've tried to get out of it, but we do owe this money, but -- however, the board, three or four years ago, de -obligated itself and took this off the books. And so, this is basically reaffirming that we owe the money, and in order for me to pay it, you all have to approve this resolution, because there was a previous resolution where you basically defunded this item. Chair Russell: Environmental remediation expenditures. Mr. Walker: Yes, sir. Chair Russell: Is there anyone from the public who'd like to speak on this item with regard to the CRA (Community Redevelopment Agency) reimbursing the City for old overdue bills for remediation expenses? Hearing none, I'll close public comment. Is there any discussion from the dais on this item? Vice Chair Suarez: Just a little bit. Obviously, I don't think there's any dispute as to whether we owe the City the money for the remediation. I think this also sort of -- if I'm reading it correctly, also grants an additional amount of money. Mr. Walker: No. Some of the money's already been paid -- Vice Chair Suarez: Okay, got it. Mr. Walker: -- which is -- most of the money's already been paid. These are invoices that were -- Vice Chair Suarez: Got it. Mr. Walker: -- left behind. OMNI Community Redevelopment Agency Page 12 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 6. Vice Chair Suarez: So this is just for that part? Mr. Walker: Yep. Vice Chair Suarez: Okay, cool. Chair Russell: Well, do I hear a motion on this item? Vice Chair Suarez: So moved. Board Member Gort: Second. Chair Russell: It's been moved and seconded. My only comment on this is that when we do owe a debit, we pay a debit. As old as it is, we probably could have tried to fight and get out of it, honestly, if we had written it off our books and we hadn't been invoiced for years, but honestly, the -- it was an agreement with the City. They did the remediation. We owe the bill; let's pay the bill. Any further comment? All in favor, say "aye." The Board (Collectively): Aye. Chair Russell: Motion passes. OMNI CRA RESOLUTION 2103 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("OMNI CRA"), WITH ATTACHMENT(S), ACCEPTING AND ADOPTING THE OMNI CRA'S AMENDED BUDGET FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 2016 AND ENDING SEPTEMBER 30, 2017; FURTHER DIRECTING THE EXECUTIVE DIRECTOR TO TRANSMIT A COPY OF THE AMENDED BUDGET TO THE CITY OF MIAMI AND MIAMI-DADE COUNTY. ENACTMENT NUMBER: CRA-R-17-0023 MOTION TO: RESULT: MOVER: SECONDER: AYES: ABSENT: Adopt ADOPTED Francis Suarez, Vice Chair Wifredo Gort, Commissioner Gort, Suarez, Russell Hardemon, Carollo Jason Walker (Executive Director/Omni Community Redevelopment Agency) Resolution Number 6: A resolution of the Board of Commissioners of the Omni Redevelopment District Redevelopment Agency, with attachments, accepting and adopting the Omni CRA's (Community Redevelopment Agency's) amended budget for the fiscal year commencing October 1, 2016 and ending September 30, 2017; further directing the executive director to transmit a copy of the amended budget to the City of Miami and Miami -Dade County. Chair Russell: Thank you. Is there any comment from the public with regard to this item? Hearing none, I'll close public comment. Any discussion from the dais? Do I have a motion? Vice Chair Suarez: So moved. OMNI Community Redevelopment Agency Page 13 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 7. Board Member Gort: We created incentives of the (UNINTELLIGIBLE) have the building going up, right? Second. Chair Russell: It's been moved and seconded. Any further discussion? All in favor, say "aye." The Board (Collectively): Aye. Chair Russell: Motion passes. OMNI CRA RESOLUTION 2104 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE OMNI REDEVELOPMENT DISTRICT COMMUNITY REDEVELOPMENT AGENCY ("CRA"), WITH ATTACHMENTS, AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE THE FOURTH AMENDMENT TO AN ECONOMIC INCENTIVE AGREEMENT, IN SUBSTANTIALLY THE ATTACHED FORM, WITH NR MAX MIAMI, LLC, A FLORIDA LIMITED LIABILITY COMPANY, FOR THE DEVELOPMENT OF THE MAX MIAMI PROJECT. ENACTMENT NUMBER: CRA-R-17-0024 MOTION TO: RESULT: MOVER: SECONDER: AYES: ABSENT: Adopt ADOPTED Francis Suarez, Vice Chair Wifredo Gort, Commissioner Gort, Suarez, Russell Hardemon, Carollo Jason Walker (Executive Director/Omni Community Redevelopment Agency): Item Number 7 is a resolution of the Board of Commissioners of the Omni Redevelopment District Redevelopment Agency, with attachments, authorizing the executive director to execute a fourth amendment to an economic incentive agreement, in substantially the attached form, with NR Max Miami, LLC, a Florida limited liability company, for the development of the Max Miami Project. Chair Russell: Would anyone from the public like to speak on this item? Hearing none, I'll close public comment. Any comments from the dais? Any questions for the executive director? Do I hear a motion? Vice Chair Suarez: Move it. Chair Russell: It's been moved -- Board Member Gort: Second. Chair Russell: -- and seconded. Hearing no further comment, all in favor, say aye. The Board (Collectively): Aye. Chair Russell: Any opposed? Motion passes. OMNI Community Redevelopment Agency Page 14 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 DISCUSSION ITEMS 1. OMNI CRA DISCUSSION 2094 DISCUSSION ITEM REGARDING THE EXECUTIVE DIRECTOR'S NEW HIRES. 1 MOTION TO: Discuss RESULT: DISCUSSED I Vice Chair Suarez: I think we're done, right? (UNINTELLIGIBLE) one more item (UNINTELLIGIBLE). Vice Chair Suarez: We had an item, but it's a four fifths, so that's all that's left? Jason Walker (Executive Director/Omni Community Redevelopment Agency): Yes, and -- Chair Russell: (UNINTELLIGIBLE) Item Number 1 discussion item. Mr. Walker: One discussion item is -- I just wanted to formally introduce our new staff folks. It became very apparent to me that we needed help, and so in the past two months, we've kind of ramped up on our staff. Our administrative costs, in -- compared to our TIF (tax increment fund) revenue, is at -- still at 7 per -- well, it's at 7 percent; before it was at 5, so we've made some readjustments. People came in at lower salaries. But I'd like to introduce first -- we needed big help in the legal department, not that Barnaby was needing any help, but we needed a little special care, so we stole Isiaa Jones from the City Attorney's Office, who's now our Chief Legal Officer; Adam Old, who you met earlier, is the director of Planning and Policy; and Anthony Balzebre, who's sitting in the front row, is our new assistant director. Chair Russell: Welcome. Vice Chair Suarez: Great. Chair Russell: Welcome, welcome. Vice Chair Suarez: Good job. Chair Russell: All right. So thank you -- Mr. Walker: That's it. Chair Russell: -- community, for joining. Do we have any other issues? Any items (UNINTELLIGIBLE)? Mr. Walker: No, sir. 2. OMNI CRA DISCUSSION 2095 DISCUSSION ITEM REGARDING THE OMNI CRA'S NEW AFFORDABLE AND ATTAINABLE HOUSING PROJECTS: (1) THE ST. JOHNS AFFORDABLE HOUSING PROJECT (2) CLYDE KILLENS MANOR PROJECT (3) MICRO UNIT PROJECT OMNI Community Redevelopment Agency Page 15 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 MOTION TO: Discuss RESULT: DISCUSSED Jason Walker (Executive Director/Omni Community Redevelopment Agency): Mr. Chairman, if we can go to Item D2 first -- Chair Russell: Sure. Mr. Walker: -- and then D3. Chair Russell: Gladly. Mr. Walker: Adam, you want to update on D2? Adam Old (Director, Planning & Policy, Omni CRA): Hello. So this is affordable housing discussion. We have several projects that we are participating in funding in the Overtown neighborhoods, and one is a potentially 46-unit, three-story, multi- family apartment building that is dependent on the Attainable Housing Act that you guys passed, I think, back in February. It uses the density bonus. In order to get the density bonus, the zoning needs to change. And we've been in talks with the City; they're considering changing the zoning in that portion of Overtown. I would -- I'm sorry District 5 isn't here, but he has talked about where the line should be. We don't have a strong opinion on that, but we are working with the City to move that forward, if possible. Chair Russell: This will be T3 to T4? Mr. Old: T3 to T4. And then there's a discussion with the residents in terms of whether they're in favor of a commercial downstairs, so the "L" or "R" intensity. So that is working its way through Planning & Zoning; probably will come before PZAB (Planning, Zoning & Appeals Board) at some point in the near future, and if they give a recommendation, then before you all. We're working also with Community Development to make sure that the mixtures are good for the neighborhood and that the price that we would be paying is a good price for us. We have a meeting on Friday with them. There's also a bunch of smaller projects that are potentially entering the pipeline soon. Some of those would depend on the same zoning increase; others wouldn't. The School Board project, of course, has a lot of potential to end up being workforce and affordable housing mixture mixed in there, too. So I think -- I know you have to leave, and I could go pretty deep into the -- Chair Russell: No. I have a couple questions. Mr. Old: Yeah, sure. Chair Russell: So not including the potential School Board relationship, how many units of affordable housing have we put together as a plan since you all have been -- ? Mr. Old: So we have about 68 that are actually like to the point of -- Chair Russell: How solid? Mr. Old: -- housing plans right now, so -- OMNI Community Redevelopment Agency Page 16 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 Mr. Walker: And we have a request that we're working on for a TIF (tax increment funding) deal with the developer for 390 micro units, and we're -- they're ready to go. We're just hammering out the TIF agreement now that we hope to bring back with you in the next 30 to 60 days. Chair Russell: So another 300 -- how many? Mr. Walker: 90. Chair Russell: -- 390. Another 68. Mr. Old: And there's a lot of potential for more as new buildings are proposed and seek variances from Planning & Zoning; and seek, you know, TIF deals from us. That's a great way to insert ourselves, but I don't want to like overpromise what we're doing. Chair Russell: Not at all. So nearly 500 units, potentially, right now that are in the pipeline. Of those 500, where would you say they fall within the spectrum from extremely -low-income housing to workforce? Mr. Old: Well, the 390 are going to be smaller units, so they'll have some sort of market rate affordability built in, even if we didn't touch them. Then we can add additional subsidy to get them down even further. So those would probably -- we'd probably ask for a mix in those micro units, but a market rate micro unit is already less expensive. Chair Russell: At the workforce level? Mr. Old: At the workforce level. Chair Russell: So what percentage ELI (extremely low income) would you say we had accomplished? Mr. Old: So -- well, for the Overtown projects, the two that we're working on, we're thinking 10 percent ELI. This is from -- these numbers are taken from the attainable housing density bonus, so the 10 percent ELI gives us the density bonus. And then there's another set of numbers for very low income, which is below 50 percent of AMI (area median income); and then workforce, which is below 140, but the developers have talked about lowering that even further, or subsidizing it further to make it affordable in Overtown, because Overtown's median income is not the same as the area median income. Vice Chair Suarez: Of course. Chair Russell: I would recommend that throughout the Omni CRA (Community Redevelopment Agency) that we try to include as much ELI as possible. I believe there's space for it everywhere. I believe that it blends well within the community, and it should continue to blend well so that this mixed income residences are less segregated by community lines, by streets, even -- you know, so that even within a building, it blends well. 10 percent to me out of you know, that number of units is, you know, potentially not going to meet the needs of -- For example, we have Chapman right there. And when someone gets their key and graduates from Chapman, what can they afford and where can they go? It would be great for them to be near the wraparound services that are really helping take care of them, and get the next step of that next job and move on. ELI's really the only option for this population. OMNI Community Redevelopment Agency Page 17 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 Mr. Old: Well, I thank you for the question, because we're working with Chapman at the same time to do a transitional homeless when they graduate -- Chair Russell: Giving you that segue. Mr. Old: -- from the shelter -- Yeah, I caught that. Thanks. When they would gradu -- when residents of the Chapman partnership would graduate, then across the tracks from there, there's another plot of land that they own that would, indeed, have the potential to be a wraparound service. We don't know what that looks like yet. We're waiting for some banks to come back to us on our funding streams, but that's a project that is definitely -- Chair Russell: Understood. I just don't want to pat ourselves on the back for encouraging affordability when the ceiling for market right around there is pretty much workforce anyway. Mr. Old: Correct. Chair Russell: And so, are we really, you know, making a big difference? I'd like to really see us dig deep, because we're not, if I'm not mistaken, using any Federal subsidies to accomplish this. Mr. Old: Correct. Chair Russell: That's a huge difference in accomplishment, because that means we can really -- we don't have to rely on the lottery system, the neighborhood preference issues. We can help direct this development and assist the population; I mean, do exactly what a CRA's supposed to do. Commissioner Suarez. Vice Chair Suarez: Thank you, Mr. Chair. Yeah, for me -- you know -- Board Member Gort: This is item 2? Chair Russell: This is Discussion Item 2, about the affordable housing projects. Discussion Item 2. Sorry. Vice Chair Suarez: Yeah. So, I guess for me, my question is, it would be good for us to get a sense for how much more subsidy it takes to change the number. You know what I mean? Because, obviously, ELI requires a higher subsidy, because you're going far lower in terms of what the income limitation is. So I would just like for the board to be educated on, if we're going to go from 10 to 15, and from 10 to 20, or from 10 to 25, what is that cost? Because, you know, I think what is Chair is saying is, without putting words in his mouth, is we're trying to find the right blend. Chair Russell: Right. Vice Chair Suarez: You know, certainly, ELI, you know, which is 30 percent of AMI or below, is something that -- particularly for people on fixed income, whether they're retired or on Social Security, disability, or whatever the fixed income condition is, may be the only way that they can find, you know, a place to live. But beyond that, you know, affordable housing, which is somewhere in the 65 to 80 percent range -- Mr. Old: Right. Vice Chair Suarez: -- you know, that's a huge target market, too. Then we go beyond that, and workforce is also a target market. So, you know, I think, you know, OMNI Community Redevelopment Agency Page 18 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 for us -- And you're right; in some areas, workforce and market sort of approximate itself So, I think -- you know, for me, I'd like to know, in terms of the blend, you know, how much more subsidy does it cost to change the number from 10 to 15, to 20 to 25, or whatever the mix is, and what is the rationale behind whatever mixed formula we come up with? Mr. Old: Right. I mean, that's exactly a great point. So part of the reason that we're trying to do the mix that we're doing -- and I agree, like perhaps more ELIs, we should put -- make that part of our discussion going forward. But part of the reason we're doing these particular projects in these particular ways is to sort of capture some of the people who weren't allowed, for whatever reason, to get into those 400 units that have come up in Overtown, in the other CRA. So there's people who are extremely low income who can't afford it. There's also people who are retired pensioners, who are priced out of the affordability mix for those other buildings. So we want to make sure that we have the option to really service all of the people who live in Overtown and not just a particular -- one particular HUD (Housing and Urban Development) demographic that -- Chair Russell: Thank you. And keep in mind, if we don't have the available funds to subsidize to that level, let's see what's out there, because I know we're trying to keep from using Federal funds -- Vice Chair Suarez: Right. Chair Russell: -- but let's see what else is out there. Vice Chair Suarez: Yeah, yeah. That's my -- that's another point. Chair Russell: Keep an open mind. Vice Chair Suarez: Yeah. Chair Russell: Yep. And then finally, the -- let's see. So that's the St. Johns, the Clyde Killens, and the micro unit. And how many units is Chapman looking at with the container? Mr. Old: They've talked about 130, so that's -- potentially would need a rezone. I'm not sure where they're planning to -- when they're planning to start that process or -- They came to us for money right away, and, you know, we have to, of course, make sure that we have that money before we guarantee it to them, so that's why it's not before you yet. Chair Russell: So this would be a multi -story but made from container units -- from shipping containers, modular homes concept? Mr. Old: That's the initial idea that they brought, so it could be something like that, or we could do -- I've heard people talk about -- Mr. Walker: Don't say it. Chair Russell: The tiny home village? Mr. Old: I've been advised to not say it. Chair Russell: I just said it. There it is. It's out there. Mr. Old: Anyway. Yes, so there could be something like tiny homes. There could -- OMNI Community Redevelopment Agency Page 19 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 and that could be perhaps a temporary solution before we get to the actual multi- story transitional apartments. Chair Russell: But this is on a property that Chapman owns, which is -- Mr. Old: They own it. Chair Russell: -- their initiative. We can assist them with it. Mr. Old: They'll come to us with a plan, and so we'll help them fund it somehow. Mr. Walker: And Commissioners, you may be asking yourself "Where do you guys think you're getting all this money?" So one of the things that we hope to bring back to you within the next 60 days is a funding plan. We've already received a letter of interest from Bank United, and we're working with a couple other banks, as well. But the letter of interest from Bank United looked at our sunset date, which is 2030, and they were willing to, in their letter of interest, loan us $25 million to do affordable attainable housing projects, so we're still working on that. I think we have a meeting with the financial advisors on Friday to further discuss, but we hope to have something to you -- to get a cash infusion loan to start funding these projects of at least $25 million. Chair Russell: Very good. Commissioner Suarez. Vice Chair Suarez: Thank you, Mr. Chair. I just -- if you could -- if you wouldn't mind, either of you, sending me like an email with just sort of a breakdown of what the projects are going to look like and how the -- what you think the mixture is going to be. Mr. Old: Absolutely. Vice Chair Suarez: If you don't mind. Just because -- I think -- and again, you know, I say this hesitantly. I don't think we pat ourselves enough on the back, honestly, sometimes, you know, because -- I mean, we -- we're striving to really do something that's maybe counterintuitive to some, certainly difficult, and it requires a lot of skill, requires a lot of the right emphasis, it requires money, certainly; and it's, if not the biggest problem, probably one of the top three, top four problems that we have in Dade County and in the City of Miami. And I think sometimes it's good for us to show and demonstrate that we are being innovative in our approaches to dealing with this issue. I mean, we're -- I -- listen, I'm the president of the League of Cities, and Willy's my predecessor. I could tell you that of the 34 cities in Dade County, there isn't a city in Dade County that is as progressive on housing issues as we are; not one. Not the County; not any city in the County. We do things on density. We do things on impact fee deferrals. We do things on permit fee elimination. You know, we've done things on entitlements. We've done things on the different kinds of micro units now we're talking about, you know, and we're talk -- we're doing, you know -- I hate to say the word -- well, I'm not going to say it. When I think of not saying something, I probably shouldn't say it, but it's -- certainly, we're pushing the envelope in -- on -- you know, in this, and we're leading the way, and I don't -- I'm not so sure anybody's talking about it, but, you know, it's important that we talk about it, because -- I hope that -- and I've always hoped that we are the model for what other cities in the County end up adopting. I mean, the County was writing their entire ordinance, in part, based on what we were doing in the City. And so, I just think it's important to set the record straight on these kinds of issues. Chair Russell: Thank you, Commissioner. Thank you, Adam. OMNI Community Redevelopment Agency Page 20 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 Mr. Old: You're welcome. Nicole N. Ewan (Assistant City Clerk): And Chair, just for the record, the speaker's name, please. Mr. Old: Oh, I'm sorry. I'm Adam Old. I'm the new director of Planning and Policy at the Omni CRA -- Ms. Ewan: Thank you. Mr. Old: -- which you'll hear about -- Vice Chair Suarez: Congratulations. Mr. Old: -- soon. Chair Russell: And regarding funding, I started a "Go Fund Me" page today, so maybe that'll help, too. You saw that? Just so that you all know what I'm working on, this is within the Omni CRA, and the CRA is only tangentially involved, not financially at this point, but we're looking to install a solar -powered road that could potentially power or subsidize the utility costs of the affordable housing in front of it. Vice Chair Suarez: Awesome. Chair Russell: And at this point, it would be a solar -powered bike lane of about a hundred meters. And part of the project -- there's a lot of partners involved, and non -for -profits -- a "Go Fund Me" page that just started off today at gofundme.com/brighterdaysmiami. Shameless plug. So -- yeah, help fiend the CRA. NON -AGENDA ITEM(S) 1. OMNI CRA DISCUSSION 2215 DISCUSSION BY CHAIR RUSSELL REGARDING THE CITY COMMISSION'S ADOPTION OF RESOLUTION R-17-0171 WHICH DIRECTED THE CITY MANAGER TO PREPARE A FINDING OF NECESSITY STUDY FOR THE CREATION OF A COMMUNITY REDEVELOPMENT AREA FOR THE NEIGHBORHOOD COMMONLY REFERRED TO AS THE "WEST GROVE." MOTION TO: Discuss RESULT: DISCUSSED Jason Walker (Executive Director/Omni Community Redevelopment Agency) Commissioner, we didn't do a -- approval of agenda, and I forgot to add one item to the agenda as a discussion; Discussion Item D3, which would be the discussion about the expansion to the West Grove. Chair Russell: Thank you. It's been noted. We'll add that. Later... Chair Russell: All right, Item Number 3, I'll take it, the West Grove. We, as a Commission, wearing our other Commissioner hats, last week approved for the City Manager to explore the possibility for a finding of necessity for the West Grove area to become a CRA (Community Redevelopment Area); and more specifically, to OMNI Community Redevelopment Agency Page 21 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 become a noncontiguous expansion of this CRA. There's a lot of reasons for this, and why we would do it this way, but what I want to really make sure is that there's an open line of communication to the community within the Omni CRA, and an assurance that if there is an expansion of the Omni CRA that this will not detract from the funds and services and infrastructure improvements, and affordable housing that the CRA is providing to the Omni. Everything that's on plan and on schedule within our redevelopment plan will stay on track and on plan, and probably will be more than that. We're looking to expand a CRA into the West Grove, because of the need there, and because of the difficulty it has been for me to stave off displacement, to tackle slum and blight. It's got such a target on its back, nestled between Coconut Grove and Coral Gables, that developers really see the potential there for speculation at the expense of a local community. Commissioner Suarez. Vice Chair Suarez: No, no. When you're finished. Chair Russell: I was there -- I was in the West Grove today, just doing a routine Code compliance and solid waste pickup visit around the area, and I passed by the South Wind Apartments, which is right on Grand and Hibiscus, and had a big padlock on the front. Everybody that was there is gone. I mean, they're scattered to the wind. And I knew that that had happened, but I hadn't stopped by and actually seen the building. And, you know, the doors are off their hinges, and the furniture's out in the driveway and -- These are dozens of residents, and it's the first and potentially over a hundred residents that may be evicted. There's slumlords who are operating freely without restriction. There is empty lots, where speculators just bank on the land for the future of what may happen, and there's an original community of Miami that founded Miami. There's Bahamian Coconut Grove. There's Georgians in Coconut Grove, South Carolinians in Coconut Grove, and the population is dwindling and dwindling. The CRA is a tool. As we can see here, what we've been able to do just in the last year that I've been here, I don't feel like patting myself on the back. I feel like we got so much to do, and the time is ticking really fast, and I want to see the types of things that we're able to do here happen in the West Grove, as well. And so, I look for the welcoming of this community to embrace the West Grove, as well, within the CRA. One of the changes that I may be bringing to us, it will include additional representation on this board of potentially a community member and a County representative, as well. It is in line with the recommendations of the grand jury with regard to CRAs. I want to see us do it right and I want to see us be effective, and it's really important to me, so I hope for your support as we move forward. Vice Chair Suarez: Thank you. Mr. Chair? Chair Russell: Is there anyone from the public who'd like to comment on this discussion? Oh, I'm sorry. Vice Chair Suarez: Yeah, yeah. Chair Russell: Commissioner. Vice Chair Suarez: No, I just want to supplement my last point from the last item, and I do want to do some more back patting, so -- because, you know, the fact of the matter is that aside from all the things that I mentioned on affordable housing, a lot of it wouldn't be possible without the CRA, you know. And in terms of the Overtown CRA, we made a decision to go away from 4 percent deals -- I'm sorry -- 9 percent deals in favor of 4 percent deals, and that made a significant difference. We were able to get, you know, $60 million of affordable housing; not to mention renovating already -existing housing in the Overtown area that would not have otherwise been doable if we wouldn't have made some of those executive decisions. I think, when OMNI Community Redevelopment Agency Page 22 Printed on 6/21/2017 OMNI Community Redevelopment Agency Meeting Minutes April 19, 2017 ADJOURNMENT you look at the West Grove, you've seen -- you know, it is not just about affordable housing and the lack of affordable housing options in the County, but it's also about gentrification; you know, people getting pushed out, and being pushed out of traditional neighborhoods that have been, you know, sort of a certain character and have a certain history. And so, I think, you know, the CRA is, in some ways, the best hope for stemming some of that gentrification. I'm not opposed, at all, to some of the reforms that you advance. I obviously, supported them on the Omni side. I'm not opposed to them, generally. And I think the Legislature, you know, may not do anything this year. Maybe they'll do something in the future on that issue. But I think both CRAs are heading in the right direction, have accomplished a tremendous amount; and have the ability, in combination with the other pieces of legislation that we've talked about here today, to combat some of these problems, to the best that government can, because, again, some of these problems are beyond the scope of government in some cases, in some respects. So I do think it's important for us to pat ourselves on the back, because I don't see anybody else doing things to the level of innovation as aggressive as we do it, with as much passion as we do it, and affecting as many lives as we're affecting, so that's it. Board Member Gort: You know, I get -- like you stated, I think the CRA incentive is very important, and this is one way you can combine with the private sector and bring things together. You can create the incentive to do so. We've seen what's been happening to the film industry when you take the incentive away, and I think it's very important, and I hope we could do it, because that area has been abandoned for a long time; although there's some people that own property there, that maybe they willing to -- certain incentive to build into it, work with us so they can also create affordable housing and workforce housing, which is so important. Chair Russell: This isn't an action item tonight, but if anyone from the public would like to speak on this item, I certainly welcome your input. This does affect the Omni CRA. Like I said, it won't have a negative effect on the Omni CRA, but you're welcomed to speak. So if anyone from the public would like to comment on this item? No? So right now it's just in discussion. The next steps will be the City of Miami will conduct a finding of necessity to see if the West Grove even qualifies for entrance or to become a CRA. One of the questions that has been raised is, "Why not just start a separate CRA from scratch versus expanding this CRA?" We have interpretation that it is legally possible to expand noncontiguously within the City. Whether it need to be a separate redevelopment area and redevelopment plan, we still have to learn those issues. But if the Grove were to start its own CRA, it would start with zero TIF, completely, and TIF being the delta of the existing taxes that are there and what new taxes are incentivized -- or that are generated through new development. It would take a very long time to generate that TIF with which the board could be -- could utilize to affect the area; whereas, here, with an already - established CRA within this area, an expansion of the CRA, you could have what's considered a seed funding to start the incentive. Now, that would not detract from our expenditures here within the Omni CRA, and you have my assurance on that. As Jason mentioned, he's got potentials with banks for over $20 million and potential loans just based on the existing TIF we have here, so we absolutely will be able to accomplish our redevelopment plan within the Omni CRA, and I just hope you welcome your neighbors into the CRA, as well. So that's where we are on it. If there's no further discussion, we'll simply move on. Thank you. The meeting adjourned at 5:22 p.m. OMNI Community Redevelopment Agency Page 23 Printed on 6/21/2017