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Home My WebLink AboutCRA-R-25-0047 MemorandumSEOPW Board of Commissioners Meeting September 11, 2025 SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY INTER -OFFICE MEMORANDUM To: Board Chair Christine King Date: September 12, 2025 and Members of the CRA Board File: 18125 From: James McQueen Executive Director Subject: Adopt SEOPW CRA Budget FY 2025-26 and Employee Handbook Enclosures: File # 18125 - Exhibit A File # 18125 - Exhibit B- SUB File # 18125 - Cover Memo -SUB File # 18125 - Substitution Memo from SEOPW CRA BACKGROUND: A Resolution of the Board of Commissioners of the Southeast Overtown/Park West Community Redevelopment Agency ("SEOPW CRA"), with attachment(s), approving and adopting the proposed General Operating and Tax Increment Fund ("TIF") Budget of the SEOPW CRA ("Budget"), attached and incorporated herein as Exhibit "A," in the amount of Two Hundred Eighty Million Nine Hundred Ninety -Seven Thousand Six Hundred Ninety -Two Dollars and Zero Cents ($280,997,692.00) ("Funds"), for the fiscal year commencing October 1, 2025 and ending September 30, 2026 ("FY 2025-2026"), further approving the compensation of the Executive Director for FY 2025-2026, further directing the Executive Director to transmit a copy of the Budget to the City of Miami ("City") and Miami -Dade County ("County"), further revising and ratifying the amendment to, and implementation of, the SEOPW CRA's Employee Handbook ("Handbook"), in substantially the form attached as Exhibit `B," effective October 1st, 2023. As a note, One Million Six Hundred Sixty -One Thousand Nine Hundred Ten Dollars and Zero Cents ($161,910,000.00) of the proposed Budget includes the proceeds from the Series 2025A Bond Issuance and the related Bond Purchase Agreement executed on August 18, 2025. It is recommended that the Board of Commissioners of the SEOPW CRA approve and adopt the attached Resolution, approving and adopting the proposed Budget, further approving the compensation of the Executive Director for FY 2025-2026, further revising and ratifying the amendment to, and implementation of, the Handbook (See Exhibit `B"), effective October 1st, 2023. JUSTIFICATION: Pursuant to Section 163.387, Florida Statutes, and the Interlocal Agreement(s), the SEOPW CRA is bound to annually prepare and transmit a proposed budget to the City and County. Lastly, Section 163.356, Florida Statutes, permits the SEOPW CRA to directly employ staff for its operations.' BUDGET SUMMARY 2026's SEOPW CRA Budget amounts to $280,997,692.00. The Budget includes the following revenue sources: • $22,188,418.00 — County TIF • $34,618,589.00 — City TIF • $4,027,358.00 — Non-TIF Revenue fund • $2,252,986.00 — Children's Trust Contribution • $173,265,830.00 — Bond Series 2025A Proceeds • $44,644,511.00 — 2025's carryover fund balance Administrative expenses total $6,709,741.00, including employee salaries, fringes, and other related operating expenses, and which represents eleven and eighty-one hundredths percent (11.81%) of total budgeted expenditures, satisfying the twenty percent (20%) cap for administrative costs allowed by the Interlocal Agreement(s), and Section 163.387, Florida Statutes. This allocation of funds contemplates a two percent (2%) salary increase in the Executive Director's compensation, effective October 1st, 2025. Operating expenses total $95,769,235.00 and include: $65,349,255.00 for Grants and Aid, including: • Miami Worldcenter and Avanti economic incentive payments ($6,816,055.00). • Housing Subsidy Agreements ($8,155,370.00). • A reserve for Eligible Activities under Chapter 163 ($11,823,588.75). • Proceeds of Bond Series 2025A for reimbursement of ($17,528,049.25) contributed by the SEOPW CRA in FY 2025 for the construction of the Tri-Rail Extension. Said funds will be allocated towards affordable housing/infrastructure projects. • Other grants and projects such as affordable/workforce housing, arts, culture, infrastructure, job creation and quality of life ($21,026,192.00). $7,803,168.00 for Interfund Transfer, including: t On March 31St, 2014, pursuant to Resolution No. CRA-R-14-0023, the Handbook was last authorized by the Board of Commissioners of the SEOPW CRA. Page 2 of 7 • Refund to the County for the Global Agreement ($4,700,000.00). • Grant to City for Construction of Gibson Park debt service ($850,182.00). • Disbursement to the Children's Trust ($2,252,986.00). $14,207,725.00 for Debt Service payment/reserves $2,500,000.00 for Purchase of Land/Infrastructure $5,704,354.00 for Professional and Contractual Services $204,733.00 for Construction in Progress Reserve for designated purposes total $178,318,716.00 and include: $132,471,951.00 — Reserve for capital projects to be financed with the Bond Series 2025A issuance. $21,067,756.00 — Reserve for refinancing of Bond Series 2014. $2,198,074.00 — Closing cost of the Bond Series 2025A issuance. $14,053,577.00 — Reserve for the development of affordable housing projects at 60% AMI. $4,027,358.00 — Reserve for projects funded with the Non-TIF Revenue Source ($739K has not yet been designated). This reserve is meant to underwrite redevelopment expenditures that are not eligible under Section 163.387(6(c)) and (7). $2,000,000.00 — For maintenance (Operating Expenses) of the Agency's owned/rental properties (79 properties). $2,500,000.00 — For policing initiatives within the SEOPW CRA's boundaries. $200,000.00 for Budget Reserve The Budget was prepared by taking into consideration the following eligible activities below, as specified under Section 163.387(6(c)) and (7), Florida Statutes, respectively. s. 163.387, Florida Statutes: 6(c) The annual budget of a community redevelopment agency may provide for payment of the following expenses: 1. Administrative and overhead expenses directly or indirectly necessary to implement a community redevelopment plan adopted by the agency. 2. Expenses of redevelopment planning, surveys, and financial analysis, including the reimbursement of the governing body or the community redevelopment agency for such expenses incurred before the redevelopment plan was approved and adopted. 3. The acquisition of real property in the redevelopment area. 4. The clearance and preparation of any redevelopment area for redevelopment and relocation of site occupants within or outside the community redevelopment area as provided in s.163.370. 5. The repayment of principal and interest or any redemption premium for loans, advances, bonds, bond anticipation notes, and any other form of indebtedness. Page 3 of 7 6. All expenses incidental to or connected with the issuance, sale, redemption, retirement, or purchase of bonds, bond anticipation notes, or other form of indebtedness, including funding of any reserve, redemption, or other fund or account provided for in the ordinance or resolution authorizing such bonds, notes, or other form of indebtedness. 7. The development of affordable housing within the community redevelopment area. 8. The development of community policing innovations. 9. Expenses that are necessary to exercise the powers granted under s. 163.370, as delegated under s. 163.358. (7) On the last day of the fiscal year of the community redevelopment agency, any money which remains in the trust fund after the payment of expenses pursuant to subsection (6) for such year shall be: (a) Returned to each taxing authority which paid the increment in proportion that the amount of payment of such taxing authority bears to the total amount paid into the trust fund by all taxing authorities for that year. (b) Used to reduce the amount of any indebtedness to which increment revenues are pledged. (c) Deposited into an escrow account for the purpose of later reducing any indebtedness to which increment revenues are pledged; or (d) Appropriated to a specific redevelopment project pursuant to an approved community redevelopment plan. The funds appropriated for such project may not be changed unless the project is amended, redesigned, or delayed, in which case the funds must be reappropriated pursuant to the next annual budget adopted by the board of commissioners of the community redevelopment agency. Any redevelopment project apart from the activities mentioned above will be funded from non -tax funding (non-TIF) sources. Page 4 of 7 AGENDA ITEM FINANCIAL INFORMATION FORM SEOPW CRA CRA Board Meeting Date: September 11, 2025 CRA Section: Approved by: Approval: Executive Director 9/4/2025 e MigUel A Valcntil Finance Officer 9/4/2025 Page 5 of 7 Southeast Overtown/Park West Community Redevelopment Agency File Type: CRA Resolution Enactment Number: CRA-R-25-0047 File Number: 18125 Final Action Date:9/11/2025 A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY ("SEOPW CRA"), WITH ATTACHMENT(S), APPROVING AND ADOPTING THE PROPOSED GENERAL OPERATING AND TAX INCREMENT FUND ("TIF") BUDGET OF THE SEOPW CRA ("BUDGET"), ATTACHED AND INCORPORATED HEREIN AS EXHIBIT "A," IN THE AMOUNT OF TWO HUNDRED EIGHTY MILLION NINE HUNDRED NINETY-SEVEN THOUSAND SIX HUNDRED NINETY-TWO DOLLARS AND ZERO CENTS ($280,997,692.00) ("FUNDS"), FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 2025 AND ENDING SEPTEMBER 30, 2026 ("FY 2025-2026"); FURTHER APPROVING THE COMPENSATION OF THE EXECUTIVE DIRECTOR FOR FY 2025-2026; FURTHER DIRECTING THE EXECUTIVE DIRECTOR TO TRANSMIT A COPY OF THE BUDGET TO THE CITY OF MIAMI ("CITY") AND MIAMI- DADE COUNTY ("COUNTY"); FURTHER REVISING AND RATIFYING THE AMENDMENT TO, AND IMPLEMENTATION OF, THE SEOPW CRA'S EMPLOYEE HANDBOOK ("HANDBOOK"), IN SUBSTANTIALLY THE FORM ATTACHED AS EXHIBIT "B," EFFECTIVE OCTOBER 1ST, 2023; PROVIDING FOR THE INCORPORATION OF RECITALS AND AN EFFECTIVE DATE. WHEREAS, the Southeast Overtown/Park West Community Redevelopment Agency ("SEOPW CRA") is a community redevelopment agency created pursuant to Chapter 163, Florida Statutes, and is responsible for carrying out community redevelopment activities and projects within its Redevelopment Area in accordance with the 2018 Updated Southeast Overtown/Park West Community Redevelopment Plan ("Plan"); and WHEREAS, as a prerequisite to carrying out redevelopment activities for the fiscal year commencing October 1, 2025 and ending September 30, 2026 ("FY 2025-2026"), it is required that the Board of Commissioners of the SEOPW CRA (`Board") approve and adopt the SEOPW CRA's annual General Operating and Tax Increment Fund Budget ("Budget"), attached and incorporated herein as Exhibit "A"; and WHEREAS, pursuant to the Interlocal Agreement(s), a copy of the SEOPW CRA's annual Budget is required to be transmitted to the City of Miami ("City") and Miami -Dade County ("County"); and WHEREAS, all the expenses included in the SEOPW CRA's annual Budget are in accordance with local and state law(s), Interlocal Agreement(s), and the Plan; and WHEREAS, the Board wishes to approve and adopt the SEOPW CRA's annual Budget for FY 2025-2026, as set forth in Exhibit "A," in the amount of Two Hundred Eighty Million Nine Hundred Ninety -Seven Thousand Six Hundred Ninety -Two Dollars and Zero Cents ($280,997,692.00); and Page 6 of 7 WHEREAS, the Board further wishes to revise and ratify the amendment to, and implementation of, the SEOPW CRA's Employee Handbook ("Handbook"), in substantially the form attached as Exhibit "B," effective October lst, 2023; and WHEREAS, the Board finds that authorizing this Resolution would further the SEOPW CRA's redevelopment goals and objectives; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF THE SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as fully set forth in this Section. Section 2. The SEOPW CRA's annual Budget for FY 2025-2026, in the amount of Two Hundred Eighty Million Nine Hundred Ninety -Seven Thousand Six Hundred Ninety -Two Dollars and Zero Cents ($280,997,692.00), as set forth in Exhibit "A," is hereby approved and adopted. Section 3. The Board hereby further approves the compensation of the Executive Director for FY 2025-2026. Section 4. The Executive Director is hereby directed to transmit a copy of the Budget to the City and County, including any and all necessary documents, all in forms acceptable to Counsel. Section 5. The Board hereby amends and ratifies the implementation of the SEOPW CRA's Handbook, in substantially the form attached as Exhibit `B," effective October 1st, 2023. Section 6. Sections of this Resolution may be renumbered or re -lettered and corrections of typographical errors which do not affect the intent may be authorized by the Executive Director, or the Executive Director's designee, without need of public hearing, by filing a corrected copy of same with the City Clerk. Section 7. This Resolution shall become effective immediately upon its adoption and signature of the City Mayor. APPROVED AS TO FORM AND LEGAL SUFFICIENCY: ce Br ounsel 9/19/2025 VrrTce T Br ounsel 9/4/2025 Page 7 of 7