Loading...
HomeMy WebLinkAboutSubmittal-Al Dotson-City of Miami Meeting Minutes of Sept. 27, 2018Submitted into the pu lic record f9r itqm(s) YL t �1 5 on It/ i / t); City Clerk L5 L5 9S-0" nolt nnl tc City of Miami - t t ( ik I City Hall (7, 0\-N e E - N 3500 Pan American Drive P ��kiM" Miami, FL 33133 Yl r��-I' 11 www.miamigov.com 4/, el(AnQOTC,V\J- ft\alraMr(4\f op * INCIA►IAATEIWW1i€0) I. tIGBI O R Meeting Minutes Thursday, September 27, 2018 9:00 AM Planning and Zoning City Hall City Commission Francis Suarez, Mayor Keon Hardemon, Chair Ken Russell, Vice Chair Wifredo (Willy) Gort, Commissioner, District One Joe Carollo, Commissioner, District Three Manolo Reyes, Commissioner, District Four Emilio T. Gonzalez, City Manager Victoria Mendez, City Attorney Todd B. Hannon, City Clerk Su�'`%ay1' �1 _ J\\ u yi;v ' �,��� ‘,, I �,41\Nn ��P3:\ vU, i ! ti^�,�� eS City Commission Meeting Minutes September 27, 2018 RE.6 2525 Department of Real Estate and Asset Management Submitted into the plblic record fir item s on 1ti/ 1/ 1 City Clerk RESOLUTION A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), ACCEPTING THE CITY MANAGER'S RECOMMENDATION APPROVING THE FINDINGS OF THE SELECTION COMMITTEE THAT VIRGINIA KEY, LLC, ("PROPOSER") IS THE TOP RANKED PROPOSER FOR REQUEST FOR PROPOSALS NO. 16-17-011, LEASE OF CITY OF MIAMI-OWNED WATERFRONT PROPERTY FOR MARINAS/RESTAURANT/STORE USES LOCATED AT APPROXIMATELY 3301, 3605, 3501, 3311, & 3511 RICKENBACKER CAUSEWAY, MIAMI, FLORIDA ("RFP"); AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE A LEASE ("LEASE"), SUBJECT TO THE REVIEW AND APPROVAL OF THE CITY ATTORNEY AS TO FORM AND CORRECTNESS, FOR AN INITIAL TERM OF FORTY-FIVE (45) YEARS, WITH TWO FIFTEEN (15) YEAR RENEWAL TERMS AND PAYMENT OF A MINIMUM GUARANTEED ANNUAL RENT EQUAL TO TWO MILLION TWO HUNDRED THOUSAND DOLLARS ($2,200,000) INCREASED ANNUALLY BY THE GREATER OF 3% OR CPI ("BASE RENT); TOTALING APPROXIMATELY TWO HUNDRED THREE MILLION NINE HUNDRED EIGHTY FOUR THOUSAND SIXTY DOLLARS ($203,984,060.00) OVER THE INITIAL TERM; SIX PERCENT (6%) OF GROSS REVENUES; APPROXIMATELY EIGHTY MILLION DOLLARS ($80,000,000.00) PRIVATELY FUNDED INVESTMENT TO REDEVELOP THE MARINA IN AN ENVIRONMENTALLY SENSITIVE MANNER, INCLUDING BOAT STORAGE, RESTAURANTS, RETAIL, AND PUBLIC PARKING; FURTHER PROVIDING THAT THE EXECUTION OF THE LEASE IS SUBJECT TO THE APPROVAL OF A MAJORITY OF THE VOTES CAST BY THE ELECTORATE AT A REFERENDUM SPECIAL ELECTION; FURTHER CLARIFYING THAT SUCH AWARD OF THE RFP DOES NOT CONFER ANY CONTRACTUAL RIGHTS UPON PROPOSER UNTIL SAID FAVORABLE REFERENDUM HAS OCCURRED AND A CONTRACT IS ENTERED INTO, AS REQUIRED BY THE CITY CHARTER. MOTION TO: RESULT: MOVER: SECONDER: AYES: NAYS: Defer DEFERRED Joe Carollo, Commissioner Ken Russell, Vice Chair Russell, Gort, Carol°, Reyes Hardemon Notes for the Record: Item RE.6 was deferred to the December 13, 2018, Regular Commission Meeting. For directives referencing Item RE.6, please see Items NA.6 and NA. 7. Chair Hardemon: Now we have RE.6 and RE.7. You guys want something to fight about, this is it. Will the well -dressed man in the salt and pepper hair please step to the front of the room? Unidentified Speaker: (UNINTELLIGIBLE). City of Miami Page 108 Printed on 12/5/2018 City Commission meeting minutes September 27, 2018 Chair Hardemon: Oh, yeah, you, too. Commissioner Carollo: Which one is 7? Chair Hardemon: The one that's a lawyer, though; not you. See, I got it together now. Commissioner Carollo: Which one is that one now? Submitted into the public record for item(S E Chair Hardemon: Huh? on i / 1 City Clerk Commissioner Carollo: Which one --? Chair Hardemon: RE.6. Daniel Rotenberg (Director): RE.6, RE.7. Good evening, Commissioners. Daniel Rotenberg, Department of Real Estate & Asset Management. This is a resolution dealing with the Virginia Key Marina. RE.6 is to approve the findings of the Selection Committee, and RE.7 is the legislation to go ahead with the referendum language. This was the item that last time we had a discussion; we sent out -- the day after Commission, we had sent out letters to the operator over there, September 14th, and following up -- this was for an eviction. And on September 20, we sent out a letter of notice to examine all the records. We did get a letter back from the operator, offering to meet the terms, with certain conditions. 1 believe that's been passed around, and it's up to the Commission to decide what the next steps are. Commissioner Carollo: If I -- let's start again from scratch. There was a resolution from this Commission -- Commissioner Reyes: Yep. Commissioner Carollo: -- to give the notification that we will be taking over. When does that IS -day notice expire? Mr. Rotenberg: It was sent out September 14, so 1 believe it's this Friday. Commissioner Carollo: Okay. Tomorrow? Mr. Rotenberg: That will be correct. Commissioner Carollo: Okay. All right. Now, the $100,000 that I somewhat suggested that they would pay us retroactive to September 1 and then the other $100,000 for the month of October, have we gotten any kind of cashier's check or a barrelful of cash, or something, that's been delivered to the City of Miami? Vice Chair Russell: 1 see a man with an envelope. Mr. Rotenberg: As of right now, no, sir. Commissioner Carollo: Can -- Mr. De Grandy, what do you have in your hand there? I saw a paper you're waving. Miguel De Grandy: I'll play Carnac the Great. $200,000 cashier's check. Commissioner Carollo: Okay. That's for the month of September that's almost gone, and the month of October? City of Miami Page 109 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Mr. De Grandy: That is correct, sir. Commissioner Carollo: Okay. We -- Victoria Mendez (City Attorney): However, this is something -- I just wanted to Submitted into the public clarify for the record, is this something that is purely voluntary and out of the ,� r° goodwill of your client, because the City just sent an eviction letter? record for ite (s) `1 on 1'(,,1 13 / City Clerk Commissioner Reyes: I -- let me -- excuse me. Commissioner Carollo: See, they heard the discussion last meeting. Commissioner Reyes: Point of order. From what I heard -- Commissioner Carollo: Where's (UNINTELLIGIBLE)? Is he up in the Mayor's Office, or where is he at? Commissioner Reyes: I don't know. Mr. De Grandy: He's sitting in the audience, sir. Commissioner Carollo: Bud, come up. Let's get it from the horse's mouth. Commissioner Reyes: Excuse me a minute, Joe. I just want to clarify what we did -- Commissioner Carollo: We've had a long day and -- Commissioner Reyes: -- the instructions -- Commissioner Carollo: Yeah, and -- Commissioner Reyes: -- that were given. Ms. Mendez: The instruction was to evict our present tenant. We sent them a letter, and they, as a response to that, have voluntarily -- Commissioner Reyes: Giving -- it was -- Ms. Mendez: -- suggested -- Commissioner Reyes: -- an eviction, but giving the tenant the opportunity -- Ms. Mendez: No, no. It was -- Commissioner Reyes: -- to negotiate. Ms. Mendez: -- just a eviction. They have voluntarily -- Commissioner Carollo: Well, he's come -- Ms. Mendez: -- offered. Commissioner Carollo: -- up with $200, 000; a hundred for September; a hundred for October. Mr. De Grandy: That's correct. City of Miami Page 110 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Commissioner Carollo: How long do you think you need -- we need for the City Attorney to go over the negotiations and bring back something to this Commission? Mr. De Grandy: Sir, I would think 60 days would be appropriate. Submitted into the public Commissioner Carollo: Okay. All right. If it's 60 days, that is going to put us in record for ite (s) �l ' b _ November. on 11, l 1 ?� �. City Clerk Mr. De Grandy: Yes, sir. Commissioner Carollo: Are you going to volunteer another $100, 000 then -- Commissioner Reyes: Every month. Commissioner Carollo: -- for -- Mr. De Grandy: We're prepared to do that, sir. Commissioner Carollo: -- November? Mr. De Grandy: We're prepared to do that, sir. Commissioner Carollo: Okay. Later... Vice Chair Russell: So does that include 6 and 7, or now we need a separate motion? Todd B. Hannon (City Clerk): No, sir. Chair Hardemon: No. Commissioner Carollo: I thought it passed 4-1. Chair Hardemon: I thought it was a deferral on 6 and 7. Mr. Hannon: No, no, no. This was just for Commissioner Carollo's motion. You still need to address 6 and 7. Chair Hardemon: I thought -- well, that's what he (UNINTELLIGIBLE) on the record. Commissioner Carollo: This was addressed here, I thought. Vice Chair Russell: I think they're separate subjects. Mr. Hannon: No, sir. What that was a vote on was NA.6, and that had to do with Commissioner Carollo's resolution involving them to be contributing $100,000 a month. It gives them a couple extra months till the -- till November. So you still have 6 and 7 to address. Commissioner Carollo: Yeah, but we included in that that we were putting on hold until the end of November, or unless they didn't pay us the $100,000 that they offered tomorrow -- Vice Chair Russell: That's the eviction on hold. This is the award and the contract. City of Miami Page 111 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Commissioner Carollo: The eviction notice. Yeah. Mr. Hannon: No. 6 and 7, there should be a separate motion on that. If you want to defer it to a particular date, if you want to continue it, but "C" -- the non agenda item, the one that you just voted on, we want to keep that exactly for what you wanted. Submitted into the public Vice Chair Russell: I would recommend an indefinite deferral so we can bring back }j whenever we want to, but it doesn't automatically come back before we're not ready. record for, iter9(9 on J i / City Clerk Commissioner Carollo: I really don't like to use that "indefinite deferral" because -- Vice Chair Russell: Six months. Commissioner Carollo: -- this might fall in through a black hole. I would put a deferral until the end of November, unless we don't get the other $100,000 tomorrow before 5; then it would be a deferral until the next Commission meeting. Vice Chair Russell: Can we do that? Mr. Hannon: November 15. Mr. Dotson: Mr. Chairman. Mr. Hannon: November 15 is the only meeting in November. Commissioner Carollo: Okay. Well, then, it'll be November 15. When is the next meeting in December? Mr. Hannon: December 13; only one meeting, sir. Commissioner Carollo: All right. You want to give another 50,000, and you get December 13? Mr. De Grandy: Sure. I -- Commissioner Carollo: Okay. All right, 150,000 tomorrow, and December 13. Mr. De Grandy: That's fine with me, Commissioner. Thank you. Commissioner Carollo: Okay. Thank you. Chair Hardemon: Got some money. This must be a really lucrative thing. Commissioner Carollo: See, Commissioner Russell -- Vice Chair Russell: Let's open a marina. Commissioner Carollo: -- stick around a little longer, and you might learn a few things here. Vice Chair Russell: Well done, sir. Commissioner Carollo: Thank you. Vice Chair Russell: So it's a move to defer until December -- Mr. Hannon: 13. City of Miami Page 112 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Vice Chair Russell: --13, and I'll second it. Chair Hardemon: Wait, wait, wait. It was more than that. Vice Chair Russell: It was a conditional deferral. That's (UNINTELLIGIBLE). Chair Hardemon: I think it was. Submitted into the public1,0) Commissioner Carollo: Yeah, it was. record for ite (ps) on 11,/ O 5 / D • City Clerk Vice Chair Russell: That's -- can we even do that? That is (UNINTELLIGIBLE). Commissioner Carollo: It was conditioned on 150,000 tomorrow by 5 -- Vice Chair Russell: By the faces on the Clerk's Office, I would say, we would have to bring it back manually if they don't bring the check, and we'll bring the item back, but the deferral has to be a clean deferral. You can't do a conditional deferral, can we? Commissioner Carollo: Of course, you can. Mr. Hannon: A conditional deferral? Commissioner Carollo: Yeah. Of course, you can. Mr. Hannon: No, sir. No, sir. Commissioner Carollo: Hear me, hear me. Yes, you can. Vice Chair Russell: Mason's Rules is catching on fire right here. Chair Hardemon: I never got the memo. Mr. Hannon: Commissioner -- Commissioner Carollo: Yes. Of course, you can. Mr. Hannon: -- you may just want to defer it to November 15, then. Mr. De Grandy: Commissioner. Chair Hardemon: Before you move on the deferral -- Mr. De Grandy: Commissioner? Chair Hardemon: -- just make the motion regarding the money that you're talking about. Commissioner Carollo: The motion for deferral is that we're going to defer the item until December 13, the next meeting in December, based upon them bringing what they've offered and volunteered, another $150,000, tomorrow by 5 p.m. However, if we do not get that money, then the deferral would be until our next meeting, which 1 believe is -- Commissioner Gort: The 11 th. Mr. Hannon: November 15. Commissioner Carollo: -- November 15. City of Miami Page 113 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Mr. Hannon: This is where an indefinite deferral makes more sense, because then you can bring it back any time if they don't -- Commissioner Carollo: No, no, no. Mr. Hannon: -- comply with what you're requesting. Submitted into the plplic Commissioner Carollo: No, no, no, no, because I know what's going to happen. Then record for ite ;(s) this is going to be stuck in limbo, and we might not get it back for who knows when. on It / 13 / 1 % . City Clerk It'll be in a black hole. Ms. Mendez: Commissioner -- Chair Hardemon: Well, I'll tell -- Ms. Mendez: — Carollo, then I think that the best thing would be, we just have it on the agenda for December 13; and then, if all your conditions are met, the Administration can put that little notice recommended for a deferral, and we can address it. Commissioner Carollo: Excuse me. The problem that I have is that -- Ms. Mendez: You want a date. Commissioner Carollo: — I — I'm putting a date, but that date is conditioned on them providing the money they volunteered, 150 tomorrow; otherwise, it comes back at our very next meeting. Chair Hardemon: So what I would suggest -- Commissioner Carollo: And, you know, we're forgetting a little problem we got here, and a lot of games are going on. You know, with this `Recall Mayor, " they don't call it "Strong Mayor" anymore, and I know what's going to happen. If we don't do it this way, he might not show up tomorrow with the money. Maybe he got lost; he couldn't find it, and you know. Chair Hardemon: I say we continue it until the next meeting. Right? By tomorrow, you're going to know — and with an understanding. Here, by tomorrow you're going to know whether or not they've come clean with what they've promised you. And if then, when we put on our budget -- Mr. De Grandy: Yeah, that's where I'm going. Chair Hardemon: — just in the agenda, you can have, "To be deferred." You know how we normally do that; to be withdrawn, to be deferred, but at least you know that it's coming back next meeting. Commissioner Carollo: Well -- Chair Hardemon: And unless you can (UNINTELLIGIBLE). Commissioner Carollo: — I understand it, but I — you know, they paid up until next meeting. Mr. De Grandy: Commissioner — City of Miami Page 114 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Commissioner Carollo: It's that -- Mr. Dotson: Mr. Chairman -- Commissioner Carollo: -- it's November and December -- Mr. Dotson: -- if1 may? Commissioner Carollo: -- they haven't paid up. Submitted into the pubj�il t 5 �) j+Mr. De Grandy: May I, Mr. Chairman? I have a suggestion that may work -- record f ite on M1i J 1 City Clerk Commissioner Carollo: Okay. Mr. De Grandy: -- from a parliamentary perspective. You can defer it now until December 13. You can have a report item on your next Commission agenda. If the report is, "The dollars didn't come in," you move to reconsider your previous deferral. That's parliamentary, perfectly -- Commissioner Carollo: You could. 1 was just trying to make it cleaner in the fashion that 1 did it. And look as much as I want to get every last dollar for the City of Miami, and we need it, I also, you know, want to be fair to you in this process. I can't change what happened in the past. I believe you guys did real good in the past. You know, I could only go forward now, and that's why I was doing that, so that even while moving in the way that 1 am, 1 will still be even-handed with you and -- Mr. De Grandy: Sure. I think that accomplishes your objective. Commissioner Carollo: If you're happy with that and you have no problem, then I'll go that route. Mr. De Grandy: Yeah, December 13 -- Commissioner Carollo: Okay. All right. Mr. De Grandy: -- and report item on agenda. Mr. Dotson: Let me tell you why he's happy with that. What we're forgetting is that there is a case that could be resolved before December 15. What he just got was a guarantee to stay on that site longer than your City Attorney would have probably allow them to when we win the Third DCA (District Court of Appeals) appeal. So I just want to put that on the table; that there is a case that I assume they're going to appeal, because it's all they've done so far; I assume they will lose, because that's also all they've done so far -- Commissioner Carollo: Yeah, but -- Mr. Dotson: -- but we should not be here giving them a guarantee. Commissioner Carollo: They're only going to get a guarantee of 60-plus days -- 70- plus days, until December 13. Even if you're successful in that, you know they're going to appeal, you know, that decision, and that's not going to come back in 70-plus days. Mr. Dotson: But what I've been -- and 1 believe that if the Third DCA rules within that period of time -- and you can ask your City Attorney this -- that she would recommend that you could actually move forward with an award at that time. City of Miami Page 115 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Submitted into the public record foritem's) � E L C on It 1' . I X . City Clerk Commissioner Carollo: Well, the time span is so short that Pm not going to cut hairs on this one. They're finally coming with real money to the table, so I'm not going to, you know, do anything other than I've stated. And I think we both know that it's highly unlikely, even though nothing's impossible, the Third DCA is going to rule within that time. But even if they do, you know that that could be appealed, and, you know, we're back here then on December 13. I trust that, you know, like you did today, you'll have that check tomorrow. Mr. De Grandy: Yes, sir. Commissioner Carollo: And we're fine. Mr. Dotson: Well, Mr. Commissioner, 1 hope that, as part of your condition on the last item, where you said you would accept the checks from them, provided an agreement is reached between the City and the current operator that we correct this perception that they can remain there until the appeal to The Hague, because if that's the perception — Commissioner Carollo: Well, this is why 1 want — and I was specific earlier in saying that part of what is -- has to be agreed in an agreement — Mr. Dotson: Yes. Commissioner Carollo: -- is when do the appeals finally end, you know; that they have to sit down and work that out, but we're not going to wait until The Hague. That, I'm pretty certain. Mr. Dotson: Okay. Commissioner Carollo: In the meantime, the $350,000 once it's given, that stays in this side, the City of Miami. The future, you guys got to negotiate it. Mr. Dotson: Okay. Commissioner Carollo: And the courts, they'll decide, you know, what's going to happen between you guys. Mr. De Grandy: Okay. Commissioner Carollo: Thank you. Commissioner Gort: Question. Commissioner Carollo: Yes, sir. Commissioner Gort: In addition to the rental, the monthly rental. Commissioner Carollo: Oh, of course. Commissioner Gort: Okay. Commissioner Carollo: That's in addition. Commissioner Gort: No. Let's make sure we put it on the record. Commissioner Carollo: You think we've gone through all this just (UNINTELLIGIBLE)? City of Miami Page 116 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Commissioner Gort: No. 1 want to make sure. Vice Chair Russell: So it's been seconded, right? Commissioner Carollo: Yeah. Submitted into the public record for ite (s) �h� Chair Hardemon: It's been properly -- on Itil11) /1. City Clerk Commissioner Reyes: Second Chair Hardemon: -- moved and seconded. Commissioner Reyes: (UNINTELLIGIBLE) second? Commissioner Carollo: Yep. Chair Hardemon: Seeing no further discussion, all in favor, say "aye." Vice Chair Russell: Aye. Commissioner Carollo: Aye. Commissioner Reyes: Aye. Chair Hardemon: Note me as against. Motion passes. Mr. Hannon: That's 4-1, with a deferral to December 13. Mr. De Grandy: Thank you. Commissioner Carollo: Don't forget the check, please, the cashier's check Mr. De Grandy: 1 won't. Thank you. Vice Chair Russell: Thank you. Commissioner Carollo: Thank you. City of Miami Page 117 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 RE.7 RESOLUTION 2526 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH Department of Real ATTACHMENT(S), MAKING PROVISIONS FOR A REFERENDUM Estate and Asset SPECIAL ELECTION ON FOR THE PURPOSES OF Management SUBMITTING TO THE QUALIFIED ELECTORS OF THE CITY OF MIAMI ("CITY") FOR THEIR APPROVAL OR DISAPPROVAL OF THE FOLLOWING REFERENDUM BALLOT QUESTION: "SHALL THE CITY BE AUTHORIZED TO LEASE APPROXIMATELY 27.5 ACRES OF LAND ON VIRGINIA KEY TO VIRGINIA KEY, LLC FOR A 45-YEAR INITIAL TERM WITH TWO 15 YEAR RENEWALS; Submitted into the public ry, MINIMUM ANNUAL GUARANTEED RENT OF $2,200,000.00 (WITH record fo ite (s) P)[:, ,1 ESCALATIONS) TOTALING APPROXIMATELY $203,984,060 on 1 L l 13. . City Clerk OVER THE INITIAL TERM; 6% OF GROSS REVENUES; APPROXIMATELY $80,000,000.00 PRIVATELY FUNDED INVESTMENT TO REDEVELOP THE MARINAS IN AN ENVIRONMENTALLY SENSITIVE MANNER, INCLUDING BOAT STORAGE, RESTAURANTS, RETAIL, AND PUBLIC PARKING?"; DESIGNATING AND APPOINTING THE CITY CLERK AS THE OFFICIAL REPRESENTATIVE OF THE CITY COMMISSION WITH RESPECT TO THE USE OF VOTER REGISTRATION BOOKS AND RECORDS; AUTHORIZING AND DIRECTING THE CITY CLERK TO CAUSE A CERTIFIED COPY OF THE HEREIN RESOLUTION TO BE DELIVERED TO THE SUPERVISOR OF ELECTIONS OF MIAMI-DADE COUNTY PURSUANT TO APPLICABLE LAW. MOTION TO: Defer RESULT: DEFERRED MOVER: Joe Carollo, Commissioner SECONDER: Ken Russell, Vice Chair AYES: Russell, Gort, Carollo, Reyes NAYS: Hardemon Notes for the Record: Item RE 7 was deferred to the December 13, 2018, Regular Commission Meeting. For directives referencing Item RE. 7, please see Items NA.6 and NA. 7. For minutes referencing Item RE. 7, please see Item RE.6. City ofMiami Page 118 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 NA6 4921 Office of the City Clerk Submitted into the public record f r item(s) , on 1I,� 13 / 1`6 . City Clerk RESOLUTION A RESOLUTION OF THE MIAMI CITY COMMISSION STAYING THE NOTICE TO VACATE SENT TO RICKENBACKER MARINA, INC. DATED SEPTEMBER 14, 2018 UNTIL DECEMBER 13, 2018; FURTHER DEFERRING CITY COMMISSION AGENDA ITEMS RE.6 AND RE.7 FROM THE SEPTEMBER 27, 2018 CITY COMMISSION MEETING UNTIL THE DECEMBER 13, 2018 CITY COMMISSION MEETING . ENACTMENT NUMBER: R-18-0430 MOTION TO: RESULT: MOVER: SECONDER: AYES: NAYS: Adopt ADOPTED Joe Carollo, Commissioner Manolo Reyes, Commissioner Russell, Gort, Carollo, Reyes Hardemon Commissioner Carollo: Will you have it in tomorrow before the 15 days is up? Miguel De Grandy: Sure. Commissioner Carollo: Okay. So here's the resolution that I would like to make, okay? The resolution I would like to make is -- since they've been so gracious to volunteer $200,000 in a cashier's check, they're going to be even more gracious and bring another $100,000 tomorrow to the City before 5 p.m., the resolution will be that this money would carry them up until the end of November -- a little more than 60 days -- so that you could sit with them, you could work out something that everybody could live on; where we're going to then get a steady additional $100,000, besides what he was paying us per month, until this whole thing is resolved. The wording that's going to be catchy is on how it's going to be resolved, because conceivably, I mean, you could appeal to the U.S. Supreme Court. So we have to come up with wording that's reasonable on the result part in the courts. Vice Chair Russell: So is that a motion, Commissioner? Commissioner Gort: No. Commissioner Carollo: It's a motion -- Vice Chair Russell: Is there a second? Commissioner Carollo: -- that -- and that's based upon them providing another 100,000 tomorrow before 5; same form, cashier's check Mr. De Grandy: Yes, sir. Commissioner Carollo: I think the Finance people might be a little tired tomorrow counting cash, but -- and that, I think, will satisfy us. As I said before, I don't care which party we're getting the extra money from; you or them. The problem here is that based upon a contract that was signed before and the legal opinion the City Attorney gave us, we can negotiate with the other party, so we basically either have to take it over or, you know, you've convinced us to reconsider with what you volunteered to give the City. City of Miami Page 202 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Submitted into the public record fqr ite (s) 1\ E , ti & 5 on 11,/ 13 . City Clerk Vice Chair Russell: Commissioner -- so there's been a motion; I just want to clarify. -- does that rescind the eviction notice or stay it for that 60-day period? Commissioner Carollo: It stays it -- Vice Chair Russell: Stays it. Commissioner Carollo: -- until the following points are made: One, that they have to provide the extra 100,000 by S p.m. tomorrow. Mr. De Grandy: Yes, sir. Commissioner Carollo: And if they do provide the extra 100,000 cashier's check by tomorrow, then it's stayed until the end of November. Vice Chair Russell: There's been a motion. Is there a —? Commissioner Carollo: That's what carries it -- Vice Chair Russell: Understood. Commissioner Carollo: -- to that. Vice Chair Russell: Is there a second? Commissioner Reyes: Wait a minute. Before I go a second on all this, I got to clarify this, you see. From what I understood, there was instruction to — and a motion, and we passed it -- I mean, a resolution to send a notice of eviction. Then our City Attorney recommended that either we take the — and we manage the marina, which I think will be a terrible mistake, because we -- Commissioner Carollo: It's the only way we can get it. Commissioner Reyes: Hold on a second, sir. I — now listen to me. Vice Chair Russell: One at a time, through the Chair, please. Commissioner Reyes: Okay. Now, what I understood is this: That Mr. De Grandy came in and said — because one of the complaints was that we were losing a $100,000 a month, right? And he said, "Wait. My customer" -- "my client is willing to make up that $100,000 per month," right? Now, we got a check for $200,000, right? Mr. De Grandy: That's correct. Commissioner Reyes: That — as Commissioner Carollo says, it takes us until November, right? Commissioner Carollo: October. Until October. Commissioner Reyes: In October -- until October. But that means that every month after that, you're going to pay the rent that you're going to pay — you're paying now, plus $100,000, which add up to what? Commissioner Carollo: Well, this is -- Commissioner Reyes: To what amount? City of Miami Page 203 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Submitted into the public record fpr ite;n(s) on 1L/ 1 City Clerk Commissioner Carollo: Commissioner -- Commissioner Reyes: I'm just trying to clam it in my head. Commissioner Carollo: Yeah. No, no, I understand that. Commissioner Reyes: You see? Okay. Commissioner Carollo: But let me explain quickly. What we're doing is we're going to guarantee that giving them 60 more days, the City Law Department can work out an agreement that satisfies all parties, with the exception of one, I think, that we are going to get an extra $100, 000 per month, besides what we've been getting paid. Commissioner Reyes: Okay. Commissioner Carollo: All that I'm making sure is that for the extra time they're getting that we're going to get $100, 000 for each of those months. Commissioner Reyes: I agree with you. Commissioner Carollo: That's all. Commissioner Reyes: That's what I wanted to clarify. Vice Chair Russell: But do you second the motion? Commissioner Reyes: I second it, if it is like that. Victoria Mendez (City Attorney): And I just wanted to clam on the record by Mr. De Grandy -- Commissioner Reyes: That's right. Ms. Mendez: -- that all of this is voluntary -- Mr. De Grandy: Yes. Ms. Mendez: -- on your part? Thank you so much. Commissioner Reyes: All right. Vice Chair Russell: There's been a motion and a second. I'll open the floor for public comment. Mr. Dotson, I'm sure you have something to say. Al Dotson: I just want to say, hello. Al Dotson, with Bilzen Sumberg, 1450 Brickell Avenue. I represent Virginia Key, LLC (Limited Liability Company), who has won this particular RFP (Request for Proposals) twice, and won in court every time it's been challenged. We appreciate your focus on good government and making sure that the residents and citizens of the City of Miami are protected, and you actually are receiving the appropriate value for your asset. While you thought we might object, we fully appreciate where you are and why you're going down that path. You've been receiving for the last few years less than market rate on that asset. Just yesterday, we informed you that the insurance had lapsed. Magically, this morning, you received a insurance certificate, even though you're now not insured for that year period of time. And we don't object, quite frankly, to this effort to try to work through, over the next 90 days, your relationship with the current operator. City of Miami Page 204 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Submitted into the public record item(s) on 1 1� . City Clerk Commissioner Carollo: Al, can I interrupt you for a moment? Mr. Dotson: Yes, sir. Commissioner Carollo: You said that for the whole year, they didn't have insurance? Mr. Dotson: For about a year, yes, sir. Commissioner Carollo: Well -- Mr. Dotson: That's according to the records we received from (UNINTELLIGIBLE). Commissioner Carollo: Well, if that's true -- Mr. De Grandy: That we didn't have insurance? Commissioner Carollo: -- while it's terrible on their part, I don't blame them as much as I blame our people in the City. What the heck --? Daniel Rotenberg (Director/Department of Real Estate & Asset Management): That's simply not accurate. Mr. Dotson: 1 may not be -- it may not be (UNINTELLIGIBLE). Vice Chair Russell: Let's get clarification before any accusations are warranted. Mr. Rotenberg: But let me answer that. I have their dec. page -- their declaration page -- Commissioner Carollo: Yeah. Mr. Rotenberg: -- and they've been, in effect since October 21, 2017. It does expire 10/21/2018. We already had the dec. pages that are signed going forward from 10/27. Commissioner Carollo: It started August 27? Did they have it paid beginning then? Mr. Rotenberg: They've been in -- their insurance has been in full force and effect the entire time. Commissioner Carollo: The entire time? Mr. Rotenberg: Yes. Commissioner Carollo: Okay. That's why it said, if, in fact, those words were true, I wanted to know what our people were doing. Thank God that that's not the case. Mr. Rotenberg: No, it's not the case, sir. Commissioner Carollo: Okay. Good. Vice Chair Russell: Please continue with public comment. Mr. Dotson: Sure. Commissioner Carollo: Thank you. City of Miami Page 205 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Submitted into the public record fqr iter(s) Q�� Z �► on At/ 1$ / 14 . City Clerk Mr. Dotson: I just wanted to say again that we appreciate your focus on making sure that you receive market rate and market value for that asset. There's two things I want to be clear on. At the end of the day, this process will ultimately end Our client has offered you $100 million more than the current operator's team, according to your estimates by CBRE (Coldwell Banker Richard Ellis). We look forward to being in that position soon to do -- to provide you with that service, or that improved asset, as well as that revenue. So again, I want to say on the record, on behalf of our client, we appreciate what you're doing. We understand why you're doing it You deserve to receive market rent on that property. And so, the money that belongs to you is not being used to challenge your process, sue you, or to otherwise hold up the progress of the City of Miami. Commissioner Carollo: Thank you. Mr. Manager — or our Assistant Manager? Mr. Rotenberg: Yes, sir. Commissioner Carollo: I would like, by early next week, and not sent by Pony Express, the last two years -- focal years — this one has basically ended, so you take it up to as far as you can in September — or actually, you'll probably be able to cut - - you're going to have to cut the month before — how much revenue that dry docks that we run next to it has been bringing us by month. Commissioner Reyes: Yeah. I second that. Commissioner Carollo: I'd like to see the monies that -- The City's run dry docks that are right next to theirs, I'd like to see how much money that's bringing in every month for the last two fiscal years. Commissioner Gort: I've asked for that. That's very important -- Commissioner Carollo: Yeah. Commissioner Gort: -- to know that (UNINTELLIGIBLE). Commissioner Carollo: Absolutely. And I'd like for counselor, if he could -- Mr. De Grandy: Yes, sir. Commissioner Carollo: -- send to my office -- feel free to send to the other members of the Commission as well -- what are your rates for the dry docks? How long of a waiting list do you have? Mr. De Grandy: Okay. Commissioner Carollo: And what are your rates for the wet slips? Mr. De Grandy: Rates for dry, wet, and waiting list. Yes, sir. Commissioner Carollo: And I'm going to tell you why I'm asking your marina specifically, because staff could play all kinds of games with me in getting different rates from different parts, and I'm sure that some might want to look at the cheapest so that what I'm going to be asking for is brought down; but to me, a marina like yours, that is in City land — we're leasing it to you -- is one of the most important ones, because that's really going to give me true rates of market value. And if, indeed, we're 50 percent or more under what the market is, then I'm going to make a motion at the next meeting to either do one or two things: To instruct the Managers City of Miami Page 206 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 to raise rates, and they don't have to be all at one time; it could be spread through two years, or I'm going to make a motion to put a Request for Proposal for the two -- Commissioner Reyes: Other marinas. Commissioner Carollo: -- marinas that the City has -- Commissioner Reyes: Yes. Submitted into the public 3 record f r ite (s �� , �, Commissioner Carollo: -- right now. The dry docks is part of this deal for you guys, on City Clerk so obviously, we won't do that, because the City can't keep losing money like this, and we're not talking a few pennies; we're talking somewhere in between four plus to $5 million a year, which is my estimate. Mr. Assistant City Manager, I was supposed to have gotten the market rates some time ago. The Budget Director has told me he's been business, and I understand that, but 1 was supposed to have gotten this some time ago. 1 would hope that, by Monday, I do get them. Commissioner Reyes: And -- Vice Chair Russell: Okay, let's please complete the business at hand. Emilio T. Gonzalez (City Manager): We'11 get that to you. Vice Chair Russell: We are tardy for the budget party. We have a motion on the floor; there is a second. Is there any further public comment on this item? Mr. De Grandy: May I respond very briefly? Vice Chair Russell: Yes. Mr. De Grandy: Commissioner Carollo, I thank you for those comments. I think the Commission will be enlightened by those figures. I think you will find that the problem of shortfall is not our side of the marina; it's the City's side of the marina. And finally, just because this is a record proceeding, I want you all to understand that the fact that I'm not responding to Mr. Dotson's comments do not mean that I agree with any of them. Vice Chair Russell: No (UNINTELLIGIBLE). Commissioner Carollo: I understand that. Later... Commissioner Carollo: I have a statement to make, just for point of information for all of you. It's a little piece of information that goes unnoticed, but we are sitting here -- behind us, to the sides of us -- in the biggest marina in the whole State of Florida, which is Dinner Key, so we need to get as much of it as we can. Frankly, anybody that has a boat here is not starving, and before we look to raise fees or taxes, or what have you, to the vast majority of residents, we need to make sure that we're getting fair market value for assets like this that we have. Commissioner Gort: Now, my understanding, real estate is location, location, location. Commissioner Carollo: Yep. Commissioner Gort: And we have the best locations in South Florida. City of Miami Page 207 Printed on 12/5/2018 City Commission Meeting Minutes September 27, 2018 Commissioner Carollo: Sure. Miguel De Grandy: One last point of clarification. The motion includes deferring indefinitely 6 and 7, correct? Commissioner Carollo: The -- Vice Chair Russell: It does not -- Submitted into the public{Commissioner Carollo: -- no, not indefinitely. It includes the deferment. You asked record fo item(s) 1'\l;r• 7 for 60 days; you're getting a little more, until the end of November, the last day of on \R 13 / I • City Clerk November. Mr. De Grandy: Okay. Commissioner Carollo: As long as you bring in the other 100,000 that you offered -- Mr. De Grandy: Understood. Commissioner Carollo: -- by tomorrow. Mr. De Grandy: Understood, sir. Commissioner Carollo: If not, the motion is off Mr. De Grandy: How would you like the check delivered? Commissioner Carollo: Finance Director. Chair Hardemon: Is -- would the mover and seconder be okay with --? Commissioner Carollo: You want more money? Chair Hardemon: Yeah, I want the amount of money that that gentleman stated on the record, that you said that, you know, they're not in agreement with. Would the mover and seconder agree to that? Vice Chair Russell: What amount? Commissioner Carollo: Hey, if he'll offer 500,000 a month and they're offering 100, I'll even consider going against the City Attorney's legal opinion. Chair Hardemon: I mean -- Commissioner Carollo: Give her a heart attack No. Chair Hardemon: All right. Seeing no further discussion about the motion on the floor, all in favor of the motion, say "aye." Commissioner Carollo: Aye. Vice Chair Russell: Aye. Commissioner Gort: aye. Chair Hardemon: All against? That -- include me as a "nay." Motion passes. City of Miami Page 208 Printed on 12/5/2018