Loading...
HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM File ID: #17760 Date: 06/16/2025 Commission Meeting Date: 07/24/2025 Requesting Department: Department of Housing and Community Development Sponsored By: Christine King District Impacted: District 5 Type: Resolution Subject: Allocate - Additional Funds - Infill Project D5 Purpose of Item: ALLOCATING ADDITIONAL FUNDS, USING THE SALE PROCEEDS INCOME GENERATED FROM THE SALES OF INFILL TWIN/SINGLE FAMILY HOME UNITS LOCATED IN DISTRICT 5, IN THE AMOUNT OF $313,778.00 TO COVER THE PROJECT COST OVERRUNS, AS SPECIFIED IN EXHIBIT "A," ATTACHED AND INCORPORTED; FUTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE ANY AND ALL NECESSARY DOCUMENTS, INCLUDING AMENDMENTS, RENEWALS, EXTENSIONS, AND MODIFICATION, ALL IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, AS MAY BE NECESSARY FOR SAID PURPOSE. Background of Item: On April 1, 2021, the City of Miami ("City") issued a Request for Proposals ("RFP") inviting qualified private real estate developers to propose developments of single-family homes and/or twin homes on certain City -owned parcels of land (collectively, "Project"). On July 8, 2021, pursuant to Resolution No. R-21-0281, the City Commission accepted the proposals received May 17, 2021, pursuant to RFP No. HCD 2021-03, from RJ Spencer and RF Construction Group. On September 13, 2021, pursuant to Resolution No. R-21-0352, the City Commission approved the allocation of American Rescue Plan Act of 2021 ("ARPA") funds in the amount of $137,639,417.00, which included an amount of $15,500,000.00 to the Department of Housing and Community Development ("Department"). The allocation to the Department included an amount of Two Million, Seven Hundred Fifty Thousand and 00/100 Dollars ($2,750,000.00) to establish a pipeline of new construction affordable housing projects, in which the Department would hire several developers to construct four (4) single family homes in District 4 and another six (6) homes in District 5 with the potential to add more. On January 11, 2024, pursuant to Resolution No. R-24-0009, the City Commission allocated an initial $1,000,000.00 from the total $2,750,000.00 allocated in R-21-0352 to develop single family and twin homes in District 5. Pursuant to Resolution No. R-24-0259, adopted on July 11, 2024, the City Commission approved the allocation of additional ARPA funds from the Department of Housing and Community Development, in an amount of 952,000.00 for the development of single family and twin homes projects, in District 5. On March 2025, RJ Spencer and RF Construction Group (collectively, "Developers") informed the City that the project's actual cost surpassed its original budget. Due to unforeseen events, specifically, economic fluctuations, supply chain issues, changes in labor costs, has led to the cost overruns of the project. City's Administration recommends the allocation of additional funds, using the sale proceeds income generated from the sales of infill twin/single family home units located in District 5, in the amount of $313,778.00 to cover the project cost overruns, as specified in Exhibit "A" attached and incorporated. Budget Impact Analysis Item is NOT Related to Revenue Item is an Expenditure Item is NOT funded by Bonds Total Fiscal Impact: Total Fiscal Impact: $313,778.00 Reviewed B Department of Housing and Community Development Review Completed 06/16/2025 11:32 AM Office of Management and Budget Office of Management and Budget City Manager's Office City Manager's Office City Manager's Office Legislative Division Office of the City Attorney Office of the City Attorney City Commission Office of the City Clerk Luis Hernandez -Torres Marie Gouin Larry M. Spring Natasha Colebrook -Williams Arthur Noriega V Valentin J Alvarez Raymond Pereira George K. Wysong III Maricarmen Lopez City Clerk's Office Victor Turner Budget Analyst Review Budget Review Assistant City Manager Review Deputy City Manager Review City Manager Review Legislative Division Review ACA Review Approved Form and Correctness Meeting Rendered Department Head Completed Completed Completed Completed Completed Completed Completed Completed Completed Completed 06/25/2025 6:50 AM 06/25/2025 9:30 AM 06/25/2025 11:19 AM 06/25/2025 1:23 PM 06/26/2025 8:30 AM 06/26/2025 10:40 AM 07/09/2025 1:22 PM 07/14/2025 4:13 PM 07/24/2025 9:00 AM 07/30/2025 2:15 PM City of Miami Legislation Resolution Enactment Number: R-25-0296 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 17760 Final Action Date:7/24/2025 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), ALLOCATING ADDITIONAL FUNDS, USING THE SALE PROCEEDS INCOME GENERATED FROM THE SALES OF INFILL TWIN/SINGLE FAMILY HOME UNITS LOCATED IN DISTRICT 5, IN THE AMOUNT OF $313,778.00 TO COVER ADDITIONAL PROJECT COSTS, AS SPECIFIED IN EXHIBIT "A," ATTACHED AND INCORPORATED; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE ANY AND ALL NECESSARY DOCUMENTS, INCLUDING AMENDMENTS, RENEWALS, EXTENSIONS, AND MODIFICATION, ALL IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, FOR SAID PURPOSE. WHEREAS, on April 1, 2021, the City of Miami ("City") issued a Request for Proposals ("RFP") inviting qualified private real estate developers to propose developments of single- family homes and/or twin homes on certain City -owned parcels of land (collectively, "Project"); and WHEREAS, on July 8, 2021, pursuant to Resolution No. R-21-0281, the City Commission accepted the proposals received May 17, 2021, pursuant to RFP No. HCD 2021- 03, from RJ Spencer and RF Construction Group; and WHEREAS, on September 13, 2021, pursuant to Resolution No. R-21-0352, the City Commission approved the allocation of American Rescue Plan Act of 2021 ("ARPA") funds in the amount of $137,639,417.00, which included an amount of $15,500,000.00 to the Department of Housing and Community Development ("Department"); and WHEREAS, the allocation to the Department included an amount of Two Million, Seven Hundred Fifty Thousand and 00/100 Dollars ($2,750,000.00) to establish a pipeline of new construction affordable housing projects, in which the Department would hire several developers to construct four (4) single family homes in District 4 and another six (6) homes in District 5 with the potential to add more; and WHEREAS, on January 11, 2024, pursuant to Resolution No. R-24-0009, the City Commission allocated an initial $1,000,000.00 from the total $2,750,000.00 allocated in R-21- 0352 to develop single family and twin homes in District 5; and WHEREAS, pursuant to Resolution No. R-24-0259, adopted on July 11, 2024, the City Commission approved the allocation of additional ARPA funds from the Department of Housing and Community Development, in an amount of $952,000.00 for the development of single family and twin homes projects, in District 5; and WHEREAS, on March 2025, RJ Spencer and RF Construction Group (collectively, "Developers") informed the City that the project's actual cost surpassed its original budget due to unforeseen events, specifically, economic fluctuations, supply chain issues, and changes in labor costs; and WHEREAS, City's Administration recommends the allocation of additional funds, using the sale proceeds income generated from the sales of infill twin/single family home units located in District 5, in the amount of $313,778.00 to cover the additional project costs, as specified in Exhibit "A," attached and incorporated; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. The allocation of additional funds, using the sale proceeds income generated from the sales of infill twin/single family home units located in District 5, in the amount of $313,778.00 to cover the additional project costs, as specified in Exhibit "A," attached and incorporated, is authorized. Section 3. The City Manager is authorized' to execute any and all necessary documents, in a form acceptable to the City Attorney, for said purpose. Section 4. This Resolution shall become effective immediately upon its adoption. APPROVED AS TO FORM AND CORRECTNESS: .ram g III, C y for y 7/14/2025