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HomeMy WebLinkAboutCC 1977-06-09 Minutes.j. R 1V1 1 COMMISSION MINUTES OF MEETING HELD ON JUNE 9' 197 PREPARED BY THE OFFICE OF THE CITY CLERK CITY HALL RALPH G. ONGIE CITY CLERK INDc isTEINNIENna SUBJECT D!NANCE OR SOLUTION No. PAGE NO. 1, 2. 3. 4. 5. 6. 7. 8. 9. 10 . 11. 12. 13. 14. 15. 16. 17. 18. 19, 20, DISCUSSION OF PUBLIC WORKS PROJECTS PRIORITIES. WATSON ISLAND DEVELOPMENT - INSTRUCTING CITY MANAGER TO NEGOTIATE WITH FIRMS. PERSONAL APPEARANCE: ERNIE FANNATO REGARDING DOLPHINS' USE OF THE ORANGE BOWL. ACCEPT SEALED BIDS - COLUMBIA SANITARY SEWER IMPROVEMENTS SR-5420 (C) AND (S). PRESENTATIONS, PLAQUES AND SPECIAL ITEMS. SECOND READING ORDINANCE: AMEND MIAMI CITY GENERAL EMPLOYEES RETIREMENT PLAN - DELETE REQUIREMENT OF 4% INTEREST PAYMENT (LABORERS, WATCHMEN OR CUSTODIAL WORKERS), ETC. APPROVE PROPOSAL - LIMITED TECHNICAL STUDY OF THE CITY'S COMMUNICATIONS SYSTEMS. CONSIDERATION OF EXISTING PLANNED AREA DEVELOPMENT (PAD) 21 UNITS - 3495 MAIN HIGHWAY (ABITARE). ESTABLISH CITY COMMISSION POLICY - FRAMEWORK FOR DECISIONS AFFECTING CITY OF MIAMI PENSION SYSTEM AND PLAN (DEFERRED). ACCEPT BID: HEAVY EQUIPMENT FOR PUBLIC PROPERTIES. ACCEPT BID - FINGERPRINT IDENTIFICATION SYSTEM FOR POLICE DEPARTMENT. PROGRESS REPORT - MIAMI DOLPHINS' USE OF THE ORANGE BOWL STADIUM. PERSONAL APPEARANCE: ROBERT HOROWITZ REQUESTING ASSISTANCE FOR "GROVE HOUSE." PERSONAL APPEARANCE: MORTY FRIEDMAN - REPORT ON INTERNATIONAL FOLK FESTIVAL. PERSONAL APPEARANCE: JOSEPH BONGIOVANNI - REDIRECTION OF RESOURCES. CANVAS RESULTS OF STRAW -VOTE QUESTION ON ORANGE BOWL IMPROVEMENTS FOR $15,000,000. AUTHORIZE CITY ATTORNEY TO NEGOTIATE FINAL AGREEMENT WITH JOHN L. FARRELL AS SPECIAL COUNSEL ON THE F.E.C. CONDEMNATION PROCEEDINGS. ESTABLISH TIME AND DATE FOR DEDICATION OF SPORTS LIGHTING AT SHENANDOAH PARK. SECOND READING ORDINANCE: AMEND SECTION 36-5 OF THE CODE - DISCHARGE OF 18 MONTH -AGREEMENT BETWEEN THE CITY & LEWIS A. PITZELL (CONCERTS INC,) FOR USE OF ORANGE BOWL, FIRST READING ORDINANCE: AMEND SUBSECTION G OF SECTION 13-10 OF THE CODE (DOWNTOWN DEVELOPMENT AUTHORITY BOARD). DISCUSSION M-77-463 DISCUSSION M-77-464 PRESENTED 8659 R-77-465 M-77-466 DEFERRED R-77-467 R-77-468 M-77-469 M-77-470 DISCUSSION DISCUSSION R-77-471 R-77-472 DISCUSSION 8660 (1st reading) 1 - 2 2-39 39-42 42 43 43-44 44-45 46 - 57 58 - 66 66 - 74 74-75 76 - 85 85 - 87 87 - 88 88 - 90 90-91 91 92 92 93 ll+tl�( Ct4 isTmlE8REPORILA iE�l tJ�, SUBJECT DINANCEOR SOLUTION NO PAGE NO. 21. 22. 23. 24. 25. 26. 27. 28 29. 30. 31. 32. 33. 34. 35 36. 37. 38, FIRST READING ORDINANCE: AMEND APPROPRIATION ORDINANCE 8589; RE -APPROPRIATE $486,632 FOR 31% SALARY ADJUSTMENTS FOR POLICE; AND RE - APPROPRIATE $437,179 FOR SALARY ADJUSTMENTS FOR FIRE DEPARTMENT. FIRST READING ORDINANCE: AMEND ORDINANCE 8589 - ADJUSTING CERTAIN GENERAL FUND APPROPRIATIONS. EMERGENCY ORDINANCE - AMEND ORDINANCE 8589 - INCREASE SPECIAL PROGRAMS AND ACCOUNTS. AUTHORIZE TRANSFER OF $50,778 FROM CONTINGENCY FUND FOR SUMMER RECREATION PROGRAM. ALLOCATE $210,000 FROM HIGHWAY BOND FUNDS FOR PAVEMENT AT STREET INTERSECTIONS. ACCEPT COMPLETED WORK - ORANGE BOWL SANITARY SEWER PROJECT. ACCEPT COMPLETED WORK - OLD COAST -GUARD BOAT RAMP - MODIFICATIONS 1976. PROVIDE DATE OF PUBLIC HEARING FOR THE DEPT. OF OFF- STREET PARKING PROPOSED BUDGET. PROVIDE DATE FOR PUBLIC HEARING FOR GUSMAN HALL AND OLYMPIA BLDG. PROPOSED BUDGET. CREATE AND ESTABLISH "CITIZENS' COMMITTEE FOR DEVELOPMENT OF WATSON ISLAND." CREATE BUDGET REVIEW COMMITTEE TO STUDY ANNUAL BUDGET PREPARATION PROCESS. AMEND RESOLUTION NO. 76-1018 - CONTRACT WITH WACKENHUT CORPORATION. RE-ESTABLISH CITY OF MIAMI COMMITTEE ON ECOLOGY AUTHORIZE CITY MANAGER TO ENTER INTO CONTRACT W/: BUREAU OF BLIND SERVICES (FOR FOOD AND BEVERAGE CONCESSION AT FLAGLER MINI -PARK). APPROVE PROPOSAL OF STAR ENTERTAINMENT COMPLEX, INC. TO STIMULATE USE OF CITY OF MIAMI PUBLIC FACILITIES. CERTIFY EXISTENCE OF OF VALID PUBLIC EMERGENCY FOR CONTINUED OPERATION OF THE VIRGINIA KEY DISPOSAL FACILITY. AUTHORIZE PURCHASE IN LIEU OF CONDEMNATION - 6 VACANT LOTS - N.W. 2ND AVENUE BETWEEN 52 AND 53 STREETS. AUTHORIZE PURCHASE IN LIEU OF CONDEMNATION - 2 VACANT LOTS - N.W. 53RD STREET, WEST OF N.W. 2ND AVENUE. 7 (1st reading) (1st reading) 8661 R-77-473 R-77-474 R-77-475 R-77-476 R-77-477 R-77-478 R-77-479 R-77-480 R-77-481 R-77-482 R-77-483 R-77-484 R-77-485 R-77-486 R-77-487 93 - 94 94 94 - 95 95 95 - 96 96 96 97 97 - 98 98 99 100 100 101 101 102 103 - 104 104 INDEX tt4 ���isgiaN[ntM SUBJECT AUTHORIZE PURCHASE IN LIEU OF CONDEMNATION - 1 SINGLE FAMILY RESIDENCE - 2568 N.W. 3 STREET APPROVE INCREASE OF CONCRETE SEA WALL SEATING FOR PAYFRONT PARK OF THE AMERICAS. AUTHORIZE CITY MANAGER TO ENTER INTO AGT. WITH: MIAMI-DADE COMMUNITY COLLEGE FOR RECREATION LEADERS, AUTHORIZE CITY MANAGER TO ACCEPT GRANT FOR U.S. DEPARTMENT OF AGRICULTURE FOR SUMMER FOOD SERVICE PROGRAM. AUTHORIZE CITY MANAGER TO ACCEPT GRANT AWARD FROM COMMUNITY SERVICES ADMINISTRATION FOR RECREATIOt SUPPORT PROGRAM. CLAIM SETTLEMENT: RAMON AND MARIA REYES. CLAIM SETTLEMENT: MARIA A. MORALES. ACCEPT BID: N.E. 80 TERR. - COMMUNITY DEVELOPMENT PAVING PROJECT, PHASE II BID "A" (HIGHWAYS). ACCEPT BID: N.E. 80 TERR. - COMMUNITY DEVELOPMENT PAVING PROJECT, PHASE II BID "B" (DRAINAGE). ACCEPT BID: ALLAPATTAH COMMUNITY DEVELOPMENT PAVING PROJECT - PHASE I AND ALLAPATTAH SANITARY SEWER MODIFICATIONS- 1977. ACCEPT BID: CULMER COMMUNITY DEVELOPMENT PAVING PROJECT- B-4413-1977 AND CULMER SANITARY SEWER MOS. B-5429- 1977. BRIEF DISCUSSION ITEM: FEES FOR CITY -OWNED SWIMMING POOLS AND EXPOSITION AT DINNER KEY. CONFIRMING RESOLUTION: AUTHORIZE CITY MANAGER TO EXECUTE AGREEMENT WITH MIAMI DOLPHINS, LTD. FOR USE OF THE ORANGE BOWL STADIUM. rINANCE 0R OLUTION NO, R-77-488 R-77-489 R-77-490 R-77-491 R-77-492 R-77-495 R-77-496 R-77-497 R-77-498 R-77-499 R-77-500 DISCUSSION R-77-501 PAGE NO, 105 105 106 107 107 108 108 109 109 110 110 111 113 MINUTES OF REGULAR MEETING OF THE CITY COMMISSION OF MIAMI, FLORIDA * * * * * * * * ON THE 9TH DAY OF JUNE, 1977, THE CITY COMMISSION OF MIAMI,._ELQRDA MET AT ITS REGULAR MEETING PLACE IN THECITY t AL-L, FAN AMERICAN DRIVE, MIAMI, LORIDA IN REGULAR SESSION. THE MEETING WAS CALLED TO ORDER AT 9:10 O'CLOCK A.M. BY MAYOR MAURICE A. t-ERRE WITH THE FOLLOWING MEMBERS OF THE COMMISSION FOUND TO BE PRESENT: Commi44 Lonek Mano.eo Rebo4o Commi44Lonek J. L. Ptummek, Jn. CommL44ioners Ro4e Gorsdon VLce-Mayon. Theodore GLb4on Mayon. Maunice A. Fen.n.e ALSO PRESENT: Jo4 eph R. Grsa44..e, City y Managers R. L. Fo4moen, A44i4tant City Managers George F. Knox, CL-ty Attorsney Ralph G. Ong..e, City C.Lersk Malty H Ln.aL, A44L4.tan.t City Cten.iz AN INVOCATION WAS DELIVERED BY REVEREND GIBSON WHO THEN LED THOSE PRESENT IN A PLEDGE OF ALLEGIANCE TO THE FLAG. A MOTION TO WAIVE THE READING OF THE MINUTES WAS INTRODUCED AND SECONDED AND WAS PASSED UNANIMOUSLY. DISCUSSION OF PUBLIC WORKS PROJECTS PRIORITIES, Mayor Ferre: We now have item # A, which is the discussion of Public Works Projects Priorities. As I understand it Mr. Manager 'everyone of the Commissioners have expressed their preference and you tallied that or somebody has in the Administration. Why don't you read us the tally and see if anybody has any further discussion on it? Mr. Grassie: Following the last meeting Mr. Mayor and members of the City Commission. in which you indicated that you wanted us to produce a concensus of priority listing for Public Works Projects. We have had the first ten projects prioritized by each of the members of the City Commission. The result is this. And, what we have done is use a very simple system. We've assigned ten points to your number one priority and nine to your number two and so on. The Convention Center was your highest priority with 49 points. The Administration Building next with 41. The Little Havana Community Center next with 40. After that.... The Little Havana Community Center was number three with 40 points. Bayfront Park Auditorium was fourth with 22 points and Community Buildings was tied with the same amount of 22 points. So you can consider either one of those to be fourth and fifth. Mayor Ferre: Well, I only heard Community Buildings. What was the second one? Mr. Grassie: The fourth was the Bayfront Park Auditorium. The fifth then was the Community Buildings, and you remember that that was improvements to Community Buildings in several parks. The sixth was the Orange Bowl ... Mr. Plummer: I think that you should tell them that that paper you're reading from is in the supplemental agenda. That's what I just handed Mayor Ferre: Is that the one we received last night? 1 JO% 091971 Mt. Plummer: Yes. Yes, hey delivered it to my house. 41"., Mayor Ferre: The delivery service on Brickell Avenue is not working too good these days. Mt. Grassie: It's slow. I'm sorry for that Mayor. The Municipal Justice Building was next with 15points. Phase IV of the Bayfront Improvements and the Marine Stadium was the next after that. Mr. Plummer: Mr. Grassie, let me ask this question? The mechanics, I read in the paper this morning that the city will be the recipient of approximately 7.5 million dollars. Mr. Grassie: That is the first indication that we have. That's correct sir. Mr. Plummer: Alright, now is that 7.5 million designated by the federal government where it shall be spent or does the Commission have some latitude by our designation in this area or is this for an additional grant? Mr. Grassie: No. The priorities that you're establishing now are for the money that you have just mentioned that is the 7.5 million. Now there are two things that we don't know. One, we do not know the way in which the federal government will treat the applications that you made on the first round. And, you know that some of the projects for example, the Convention Center was applied for on the first round. The second thing that we do not know is whether or not they may find some problem with some one of our applications as they did the first time in the Convention Center in which they rejected that, because of the environmental impact analysis that they wanted. So, there are those two elements of uncertainty. But aside from that, what they want is your list of priorities and as far as we know the amount of money that they have announced 7.5 million is what we're likely going to get. Mr. Plummer: So what I understand is they set aside in a bulk and it will be applied toward, hopefully these projects which we recommend. Mr. Grassie: That's correct. Now, in order to get the maximum amount of money that is available to the city. We have more projects than money, yes. But also we have projects of all sizes. So we at the last minute may have to take a small project that is not one of your priorities in order to make sure that we get all the money. Mr. Plummer: Ok. 2. WATSON ISLAND DEVELOPENT - INSTRUCTING CITY MANAGER TO NEGOTIATE WITH FIRMS. Mr. Plummer: Mr. Mayor, just for clarification of the record. Mr. Grassie, I asked you yesterday in our corrected agenda, there was an amendment on this Watson Island, would you tell me what the difference is from the original? Mr. Grassie: Yes. Let me ask John Gilchrist to go through that for you in detail. Mr. Plummer: Just tell me what the difference is John. Mr. Gilchrist: There was a typographic error in that Mr. Plummer. Mr. Plummer: Which is what? Mr. Gilchrist: On page 2 of 2 of the financial characteristics -- Mr. Plummer: Yes. Mr. Gilchrist: Under where it says "City" missing 50% remaining funds. Mr. Plummer: Ok. Thank you. Mayor Ferre: Alright, Mr. Manager, the procedure I think we're going to use on this unless somebody objects is that the Administration will make its presentation. You recommend the firm of Tuttle, as I understand, and then we'll hear from them first, and then we'll hear from Mr. Freeland's group second, and then we'll open it for discussion at that time. Mr. Grassie: Very well sir. I would like to introduce the process only in this sense. We have several things that we would like to do for you. One, we would like to have JUN 09197/ the staff discuss with you the process of analyzing the plF:osals. We would also like to have as you have said the Tuttle people speak for themselves, and you know that you have established a Citizens Committee for Watson Island. The Chairman of that committee has reviewed this and is available to speak, as well as the Chairman of Chamber of Commerce Committee. So, if we can we would like to go through those things for you. Mayor Ferre: I think that's very reasonable. I see the two Co -Chairman from the Chamber that are here. I haven't seen the Chairman of the Citizens Committee. Mr. Grassie: He intended to be, and possibly he's be here in a few minutes Mr. Mayor. Mayor Ferre: Oh, there he is. Ok. Very good. We'll proceed. Mr. Grassie: Now, what we'd like to do is to ask Charles Crumpton, who was one of the five members on the Technical Selection Committee start the presentation Mr. Mayor. Mr. Crumpton: Mr. Mayor, and members of the Commission, as you recall back in February the City Commission passed a Resolution 77-204, which requested the staff to proceed to advertise as well as direct solicitation for proposals to develop Watson Island. Also, you may recall that prior to that time we had a pair of consultants on board , Fowler, Ettinger, Potter, and Hart, as well as Economic Research Associates.,who develop- ed with the city a conceptual plan and an economic report for Watson Island. These particular documents were a part of the request for proposals prepared by the city and were made a part thereof. And, as the advertisement proceeded we prepared documents to be sent to anyone who inquired. We had over 40 inquires for this,so that this material was sent to more than 40 people and/or organizations. As a result of the advertisment and the due date of April 26th we had five proposals that came to us. One, Collins Tuttle and Company. Another one, Diplomat World Enterprises, Hernly Brothers Company, The International Group out of California and Gene Schoor Associates. There was a committee set-up to evaluate and review these particular proposals. The staff proposals were reviewed by the staff and three of them we felt did not meet the responsiveness of the city and this left two proposals they were strong and valid. The committee met with both of these in May and further reviewed with them their proposal and made any questions of clarifications on their part as well as our part. As part of the RFP that went to all proposals as you recall that we asked them to look into the develop- ment operation of a park for all of Watson Island. Also there were a whole set of general concepts that had been developed out of the previous reports. The Ettinger, Fowler, Potter editing a report and ERA report. Certain important considerations that we felt the developers ought to look into. These were contained in that particular report. One of these among other things was that they should take a look at the entire island and see how the development will be in harmony with the entire island so that island would look as one rather than being separated by a causeway. Also in the report the word "should" were used, which the words that are not mandatory but are suggesting for instance, as I have already indicated that the entire island ought to be looked at. But it's not mandatory that a proposal submit something for the entire island per se' or that there should be top quality in design and landscaping and other such suggestive types of activities, such as they should respect the location of the island in relationship to the islands that are to the north and to the east of the area. And, there are other indicators through the RFP particular kind of activity. There were a set of selection criteria that were general in nature. That were used and these are included in the report that was sent to you and I presume you have that before you . If not, there are copies here that you can have so that you could follow along if you so desire. These particular considerations for a financial stability, experience, development concept, development team, capacity to obtain sufficient financing and the like. The committee founded both of these organizations known as Diplomat World Enterprises and Collins Tuttle and Carl Marks combination were both financially stable and have the financial capability in our minds to do this part- icular project. We also found that both organizations presenting proposals represent experience in developing and operating projects of this magnitude and are currently involved in the management and operation of visitor attraction enterprises. Although neither of them have the experience specifically in the management and operation of an item that is such as analogous to the proposal of Watson Island. Both submitted a concept. One was much more specific and detail. The other was more of the philosophy which both followed the spirit and intent of the project proposal in that we did not restrict the detail that one could go to. In the experience of teams, both submitted teams, that have great capability. The Collins Tuttle team proposal said that their design consultants would be jointly selected by developer in the city and formerly approved by the City Commission and that the design would be prepared jointly under supervision but subject to the direction and control of the city. And, the inquiries of both as I had mentioned when we met with them, There were certain clarifications made and these are before you. One the Diplomat World Enterprises team of R. Duell and ERA, and Hank Meyer Associates were spelled out and that they felt they were committed to this particular group in our inquiry of them. Additional people were added by Mr. Tuttle when we inquired of them in our interviews and they were Frank J. 3 .11.1N 0 91977 Kooney—LOfl LLUL L1V11 LV31 a c.1I Giatu pt.cyc aw.7a iaaaau ruui+ aaZa ivaao. a�aau, a.aao� Laacy also indicated that if their particular firm was chosen a.... that they were able to work with us and then negotiate directly with the design team that they would pay for all of that. These particular items will be presented in more detail in a moment. I would like to mention to you and present to you that representatives of these two firms are here with members of their teams but I would like to take this time to introduce Mr. Ronald Fine. If he would stand who is represents the Diplomat World Enterprises and then Mr. Wiley Tuttle who represents the Collins Tuttle/Carl Marks proposal. I would like now to ask John Gilchrist who is the Project Director for Watson Island if he would go through the charts that are before you and talk about the financial characteristics of the two proposals. Mr. Gilchrist. Mr. Gilchrist: Commissioners, first of all I want to point out that the Resolution 77-204 that instructed us to advertise and solicit developer proposals established that we include the minimum standards which would substantially conform to the written recommendation of the City Manager presented to City Commission on February 24th. These parameters were established during the negotiations Mr. A. N. Pritzker and the initial column on your left --- after the item for item listing the initial column represents the parameters that had been developed during that negotiation period. And, on the next two columns, first, Diplomat World Enterprises and Collins Tuttle/ Carl Marks. We've carried through each of the items to show how they responded. The Commission instructed us that we should come up with equal or better conditions that were established in this earlier negotiation. So, I'd just like to run through the items to make sure that everyone understands them. If there is any questions on any item along the way please ask them. First of all, Diplomat World Enterprises in response to the pre -financing situation have stated that they will carry all cost through bond sale. This is primarily preliminary design development and financial feasibility or development feasibility. In the case of Collins Tuttle they proposed to put up a$500,000 good faith deposit and to split 50/50 with the city, the preliminary cost which they estimate to be $200,000. The next item which is total projected cost in both cases are equal. The projected cost by each developer suggest that the project can be done for $45,000,000 in our earlier parameters : that we've developed, I should also point out that the initial development cost was suggested to be $45,000,000. This is incorrect on here plus the infra -structure. The total did not include infra- structure in that parameter, but in the resolution that was instructed as specifically said that we should include $10,000,000 to cover the infra -structure and contingency fund. So the Fiimary difference between these two proposals. One is that Diplomat World is telling us that for $45,000,000 that they would hope to be able to develop the island, including a Marina Facilities on the eastern side of the island. Why this proposal here suggest the attraction alone and the infra -structure. Mayor Ferre: John, let me ask a question so I can understand this. Are they both saying that they're going to spend $35,000,000 in the attraction itself? Mr. Gilchrist: I believe that's correct. The reason I would say that is in the Diplomat World Enterprise proposal there's a letter from Randy Duell Associates saying that they believe that the attraction can be built for $35,000,000 and so I would interpret that to say they were both... Mayor Ferre: So in other words the Marina which is the difference between both of these things would come out of the $10,000,000? Mr. Gilchrist: Well, I would say that's true if you looked at the proposal from Diplomat World. It also includes a suggestion that either it can come out of there or additional funds can be raised by selling additional bonds or if the city is able to acquire any of the infra -structure through other sources as is federal funding. Those funds could be applied to the Marina Development. Alright, in terms of the financing Diplomat World Enterprises has proposed that similar to our stated parameters that the city would issue a $45,000,000 revenue bond issue and would guarantee a portion of it. The remainer to be standing on the revenues of the project itself. In the case of Diplomat World they have suggested that the city would be required to guarantee by a non advalorem revenues $20,000,000 and that $25,000,000 would stand on the revenues of the project itself. In the case of the Collins Tuttle /Carl Marks proposal it split 50/50 suggesting that the city would guarantee 22.5 million by a non advalorem tax. The proposal from Diplomat World includes a letter of intent from a managing underwriter representing a team of underwriters. In the Carl Marks proposal the partnership includes -- I'm sorry the Collin Tuttle/Carl Marks proposal partnership includes Carl Marks which is a major investment banking firm in this country and has stated their intent to handle the bond sale. Revenue to the city, the Diplomat World Enterprises proposes a 4% of Gross. Later we'll describe how that's distributed and the Collin Tuttle proposal proposes a percentage based on the amount of income generated in any given year, that is 10% of the first 15 million , 12% of the 15 to 20 million and 15% of everything over 20 million. And, that's called a percentage rental in their proposal. In addition they have a proposed fixed rent which is stated $750,000 parameters. The management fee in the case of Diplomat World Enterprises is 4% of Gross. And, in the case of Collins Tuttle/Carl Marks is 5% of Gross. In trying to explain these, what we next have ‘)9971 4 described here is the distrffilition of revenue. That is assun'I that the bond system is used for financing the distribution of gross revenues carries tirst and I'll go through Diplomat World Enterprises first, entirely. That the current operating expenses be covered and reserve for renovation and then debt service. Well, I've stated these under developer on one side and city on the other. It's really a convenience for putting this out on the chart. Debt service is put on the city side because $45,000,000 revenue bond is in fact the responsibility of the city. Following that, these funds are covered. From the remaining funds the first 2% is rent to the city under the Diplomat proposal. The next 2% is the management fee. If additional funds are available the next 2% is an additional rent to the city. And, the next 2% is an additional rent to the city and the next 2% is an additional management fee to the city. The proposal then states that 20% of the remaining funds would be distributed to the city. Therefore, I concluded that the other 80% of the remaining funds would be distributed to the Diplomat World Enterprises. Now, these are in the priority listing as funds are available. In the Collins Tuttle/ Carl Marks proposal the current operating expenses -reserve for renovation and debt service are put in the same sequence and the percentage rent follows that . Now, it's a little more complicated than that in that if all fees were covered in essence the percentage rent comes off the top. If it broke even I would say all the percentage rent comes off the top. But as funds are not available then the percentage rent to the city follows debt service. Following that is 5% management fee. 5% reserve for expansion, and then the fixed rent follows that. The remaining funds.... Mayor Ferre: John, I noticed up on the top it says $750,000 annual fixed rent. Mr. Gilchrist: Right, and that's... Mayor Ferre: And that's where that comes in. Mr. Gilchrist: That's where that... that's intended to a minimal. Mr. Plummer: But, John let me understand. Getting to the same thing that he just brought up. It's a 750 minimal, alright. Is that an and/or, or is that 10,12,15 , but not less than? Mr. Gilchrist: But not less than. Mr. Plummer: In other words, under that proposal there would be no less $750,000? Mr. Gilchrist: Right. Mr. Plummer: Alright. In other words, let's assume. Let me ask a question. Mr. Gilchrist: Well, I think that's not quite true Commissioner. Mr. Plummer: Well, answer it. Mr. Gilchrist: Ok. I believe as funds are available. Now, I'm trying to read these on face value, same as you have, and the way I read it is that this fixed rent is subordinate to other items which are listed above it. That is the management fee and reserve for expansion. Mr. Plummer: So in other words, on that proposal their 10% plus debt service has to come out first before the city would get the first dollar. Mr. Gilchrist: It's not correct to state it as their 10%.Because the 5% reserve for expansion is the project and not for the developmer. I put it in that column because it's used... Mr. Plummer: Then 10% in debt service have to come out before the city receives the first dollar. Mr. Gilchrist: No. I believe that's not correct. My understanding of this is and we've raised this question with Mr. Wiley Tuttle and if you'd like I'll have him respond to it as well. There's a difference between percentage rent and fixed rent. Mr. Plummer: Well, that's what I asked. Is it an alternative? I'll ask the developer . I don't care who answers it. Mr. Crumpton: Let me clarify here. As on the chart shows after debt service. Current operating expense, reserve for renovation and debt service, then comes the percent rent to the city. Prior to any management fee or any reserve for expansion fund, And, then comes fixed rent, assuming that that would be a minimal. But the percent of the city comes before... Mr. Plummer: Charlie, the question I'm trying to derive in my mind is the percentage one way paying revenue to the city and the minimal annual fix another or is it tied together? JIM 091977 Mr. Crumpton: They're tied kogethet, in that, when you excr $700 in the minimal rent then you go into the percentage. Mr. Plummer: That's what 1 need to know: Mayor Ferre: Ok. Go ahead. Mr. Gilchrist: The other point I wanted to make about this was after the fixed tent it stated in the proposal that the remaining funds would first be used to retire the entire debt. Prior to any distribution between the city and the developer. So in some future time after the entire revenue bond debt is retired then there's a 50/50 split of the remaining funds. Ok. Under these other items which are included are the lease which really should have been stated as term. Under the Diplomat World Enterprises proposed to be the duration of the bond but not less than 30 years plus a 30 year option. In the case of Collins Tuttle that was not included in the proposal and it's intended to be negotiated. The construction financing is suggested by Diplomat World Enterprises to be... Mr. Plummer: Wait, wait a minute, back up John. Let me have an understanding so there's no problem later. As I understand what you said from the beginning that the parameters on the left are a minimum criteria. Mr. Gilchrist: Yes sir. Mr. Plummer: Then I am to assume that under Collins Tuttle where it says negotiated that it is no less than 20 and 20. Mr. Gilchrist: Yes sir. That was clarified with Mr. Mr. Plummer: Well it doesn't state that. Mr. Gilchrist: Ok. The construction financing is suggested by Diplomat World Enter- prises to be one of two ways and I presume since they were in order that the first one would be attempted. That is that the bonds would be pre sold and the money from bond sale would be used for financing interim construction and that if that was not was proved to be a dual process than the interim construction loan against thebond commitment would be used. In the case of Collins Tuttle /Carl Marks they have suggested just that the interim construction loan against the bond commitment would be used. The only other thing which is listed down here and it seems like it was significant to the issue. I have discussed it earlier but that is that the Diplomat World Enterprises suggest that they in fact can develop the entire island within the constraints of this proposal. The Collins Tuttle/Carl Marks proposal suggest that they're still talking about the 30i acre attraction, and that in fact the city would provide the infra structure that is parking,etc. to service the 30 acres. Mayor Ferre: How is the parking? How many acres would be parking? Mr. Gilchrist: Well, a lot depends on the nature of the project there. The assessment of it in the Fowler, Potter, Ettinger .... was somewhere between 16 and 20 acres. If service parking ... Mayor Ferre: I didn't hear you, 16? Mr. Gilchrist: 16 to 20 acres if surface parking were used. The structure obviously is difference. Mayor Ferre: How many acres does the island have net usuable acres other than roads and expressways? Mr. Gilchrist: About 70 acres. Mayor Ferre: Net usuable ? Mr. Gilchrist: Net usuable acres, yes. Mr. Plummer: Approximately how many cars would that park? Mr. Gilchrist: Well, I would reflect on this. I believe they proposed 2,700 car parking in the Diplomat World Enterprises. Mr. Plummer: On flat. Mr. Gilchrist: On flat. And, there acreage is larger. T didn't refer to their proposal here. I haven't measured their acreage frankly. I'd have to call them then to ask that, but in the Fowler, Ettinger, Potter, Hart report they were talking around 2,000 cars parked. JUN 091971 Mr. Plummer: on a ri.at strut are, fir Mr. Gilchrist: On a flat structure, with relatively lush landscaping involved in it. 100 cars per acre is a very lush kind of parking, and you know, you can progress away from that to the degree that you have straight asphalt parking. I have one additional page to the charter if I can get it over here. Excuse me a second. This charter is also in the document that was submitted to you and what it attempts to do is to take the projections that were developed by Economic Research Associate in substantiating the Fowler, Ettinger, Potter, Hart planning concept and to adapt the formulas for revenue sharing as proposed by each of the developers. So, I would like to go down the items and then we can cross through it. The attendance in the first full year of operation proposed by Economic Research Associates which is a third year in their time structure shows 3 million visitors, gross revenues of 22,08 million, cost of goods sold 5.07 million, operating expenses is 9.73 million. Now, I applied a constant figure for what debt service might be on a 45 million dollars revenue bond issue and that's carried throughout the entire diagram. I will just point out that all these figures above are then carried as constant, the year 5 the projection from the ERA was such. In year 10 they projections were such. The fifth column takes the ERA projections and projects them instead of in years in terms of the visitation to the park. One of the reasons I think this seems like a legitimate way of looking at it is that ERA at that time did not propose any expansion to the Fowler, Ettinger, Potter, Hart projections and they carried out a 10 year projection based on just the normal tourist increase over that time. So, straight line projection just by increasing the percentages the figure was used. Now, in the revenue for renovation and expansion there was no percentage given on the revenue for renovation. In normal situation the bond underwriting process would determine what that percentage was. Now, we were in the Collins Tuttle/Marks proposal they had a 5% figure on the expansion reserve. So I used 5% throughout which again is constant through both projections. Mayor Ferre: Repeat that again, I didn't follow that. You're saying that on the revenue for renovations and for expansion? Mr. Gilchrist: I put them together at 5%. Mayor Ferre: You put them 5%? Mr. Gilchrist: I could have put them at another percentage but there is no figure applied in either ERA original projections, nor in either the Collins Tuttle or the Diplomat World projections, except that Collins Tuttle had stated 5% for expansion. Mayor Ferre: But, now wait a minute. On the other one was there an expansion provision at all? Mr. Gilchrist: There was not an expansion but there's a ... it just says that in the initial funds in order of distribution that after current operating expenses they reserve for renovation. There may be a couple of other words in there but the word expansion was not in there. It may say revenue for renovation and improvement, but there was no percentage put on that and that's true also in the other proposal. Mr. Plummer: John, excuse me. Maybe my mathematics is bad, but I did some quick figuring here. And, it seems like if my figures are correct please tell me if I'm wrong. The better they do the worse we are. Mr. Gilchrist: In which case are you talking ? Mr. Plummer: Let me give you what I'm looking at. On the first column -operating expenses, you have 9.73. Mr. Gilchrist: Right. Mr. Plummer: Ok. You have 3.80. Mr. Gilchrist: That's debt service. Mr. Plummer: And, you have 1.10. Mr. Gilchrist: 1.10 is expansion . Mr. Plummer: Is that correct. Mr. Gilchrist: That's 5% for expansion and renovation, Mr. Plummer: And.. go ahead... Mayor Ferre: J.L. the reason it goes up is because obviously 5% of 22 million dollars and 5% of 25 million dollars is more than 5%, you know? SUN 0 9197?, 4114 Mr. Gilchrist: It may be wrong and I would like you to correct me along the way but let me go through the entire thing. This is based on putting together the two percent items that were considered revenue to the city and therefore 4% of the 22.08 is .88. The management fee is .88 as well. And even though these are split 2%, 2%, 2% I put them down here as they are putting the management fee after the revenue to the city. The remaining funds was by taking all of these expenses now deducting them from the gross revenue that is taking cost of goods sold, operating,debt service, renovation, revenue to the city, management developer. We're still a fund left over, and it was split by taking 20% of it as a remaining funds to the city and 80% as the remaining funds to the developer. In the case of Diplomat World, it's an attempt at applying their formula. Now the total funds to the city is derived by adding the .12 and the .88 therefore in the first full year of operating under the ERA projections of revenue total funds to the city would be one million and the total funds to the developer would be 1.38. This is repeated for the 5 year projection, for the 10 year projection, and repeated by taking the attendance projections up to 5 million. And, you questioned the mathematics and in one figure were incorrect there in principal it's basically the same. There's a percentage split and it's demonstrated by that. Now, the Collins Tuttle/ Carl Marks proposal going down the their first operating year is 22.80 gross revenues. The cost of goods sold , the operating expenses, debt service, and then the 5% revenue for renovation and expansion. Now the remaining funds in this case were not adequate to apply the. entire formula . Let me just slip this to the side here. That is that 10% of the first 15 million would be 1.5 million. 12% is based on the 22 million. 12% of the next 5 million is 600 thousand and 15% of everything over 3 million brought the total to 2.4 million. For the sake of putting this in the prospective that we believe was correct we gave the 5% management fee to the developer and reduced the percentage rent to the city to the figure of what was left, the 1.28. There was nothing left for distribution beyond that, and that's the formula which was applied in each of these cases. Mr. Plummer: John, if we use these figures, my question then goes to that column of 10% of the first 15 million. Mr, Gilchirst: Well, I was taking that, you know based on 10% of this. This is 1.5, and as you see it only comes to 1.28, Mr. Plummer: Yes. But the way I had it figured we're talking about based on your based on your projections or ERA projections, that at best from what I see here if those projections are correct that you're coming up with a total dollar of 6 million dollars. Mr. Gilchrist: I don't follow ... Mr. Plummer: Ok, if you deduct from the proposal based on the first year, yes first full year of operation we should come up with a 3 million dollar surplus or monies to be distributed. That's the way I have it. Deducting the cost of goods, the operating expense, debt service, and expansion. Mr. Gilchrist: Ok, it's adding these three figures together. Mr. Plummer: No sir. The top three figures. The cost of goods,... Mr. Gilchrist: Oh, adding these together. Mr. Plummer: Right. Mr. Gilchrist: And, deducting them from this. Mr. Plummer: Four of them, including expansion which is part of ... before . Ok? Mr. Gilchrist: Yes. Mr. Plummer: The first year of operation we would show about a 3 million dollars surplus. Deducting those figures from the 22.08 . Mr. Gilchrist: I thought it was 2.38. Mr. Plummer: Well, I come up, you might deduct something else. Ok. Now, if you go to the last column, I show when you deduct those same four figures that you come up with a total of 6 million. What do you come up with? Mr. Gilchrist: Well, I'll have to add these together very quickly, but it's roughly 6 million, that's everything below there, yes sir. Mr. Plummer: Alright, now my question and I'm getting back to that same point. If in JUN 091977 tact the maximum... ana .19 dbbuming LnaL LnaL is.ana cpuJrp t noia many more tnan 5 million a year. Mr. Gilchrist: Yes, I guess that would depend on the project again. Mt. Plummet: .... that 5 million is pretty well near tops of what you could handle in capacity. Mr. Gilchrist: Yes sir. Mr. Plummer: Now, if that's the case, aren't we really talking that the percentage 10% of the first 15 million will never really, there's no way we can ever get above that figure. Mr. Gilchrist: Alright, I think this figure right here 4.62, 10% of 36.81 just in rough terms would be 3.6 million and what we're saying is that the ... Mr. Plummer: John, wait a minute, when you figure gross, are you talking about every dollar that goes across the cash register without any deductions? Mr. Gilchrist: No. For the sake of the generalized terms of this agreement at this point we're talking about the entire gross. Mr. Plummer: That's without debt service deducted, without any deducts..Is that correct? Mr. Gilchrist: That's right. That's the way these figures are calculated. Mr. Plummer: So in other words, what you're talking... Mr. Gilchrist: So, you see if you say the first 10% of the first 15 million it would have been 1.5 million and then you'll have to take the next 5 or deduct 20 from this and then 15% of the remaining 16 million. And, you have to apply that formula and this is the figure that I got by applying that formula. Mr. Plummer: Ok. Go ahead. Mr. Gilchrist: Alright, at this point, if there are no other questions you might have regarding this. Mr. Plummer: The only question which I asked of you the other day which I want to put on the record, in the first proposal there is the proposal of a Marina and was your answer at that time and still is that none of the revenues that would come from the Marina is included in these revenues to the city. Is that still correct? Mr. Gilchrist: No, I don't believe that was the answer. If I could correct myself? Mr. Plummer: Please, that's why I want to put it on record. Mr. Gilchrist: I would also say the developer is here. My interpretation of the proposal is that these figures are on ERA which is another issue, but their proposal is saying that the city would get and if I am incorrect, I'd like to have them correct me. The city would get 4% revenue based on the entire operation including the Marina. Is that correct ? And, beyond that if the total gross comes to eventually a split the city would get the 20% of that. That does include the Marina. If I mislead you in the first time you asked the question I apologize. Mr. Plummer: The question in my mind as I recall the ERA there was no Marina in their proposal. Mr. Gilchrist: That's correct sir. Mr. Plummer: So how can you base something on a proposal that was not in the original concept. Mr. Gilchrist: Well. Mr. Plummer: Because we just had to admit that there's no... I don't see any equating between the tourist attraction and a Marina operation it's too, you know one is a daily event, the other is a long term event. How do you... Mr. Gilchrist: Yes sir. Matter of fact, normally a percentage of revenue back to the city on a Marina would be based on a different formula than that, However, for the sake of getting this in some prospective. In fact all of these figures are constance down 9 to here, it's just apply the percentage to those gross'"l'gures, Mr. Plummer: Alright, so what I understand you, do that I understand you. that the gross revenue is a figure which represents no deductions. Mr. Gilchrist: No deductions. Mr. Plummer: And, the column that addresses itself to percentage is based upon that figure as you represented called gross revenues. Mr. Gilchirst: Yes sir. Mr. Plummer: Ok. And, I want both developers to speak to that. Mr. Gilchrist: If there's any difference in that I would like to hear that too. If I'm misinterpretating ... yes sir Mr. Tuttle. Mayor Ferre: Mr. Tuttle and Mr. Fine, let's not have any answers until your opportunity, just take a pad , write it down and you'll each have half an hour or 45 minutes to do anything you want and answer any questions. Let's just keep it... at this point. Write down the questions... Mr. Gilchrist: I'd like to turn it back over to Mr. Crumpton. Mr. Crumpton: Mr. Mayor and Commissioners you had a review of the evaluations that the committee has made of the two proposals and you also have before you the recommend- ations... Mayor Ferre: John, don't take that down now. We want to see it. If you want you can put it on the floor so we can see the full spectrum of it. Ok. Mr. Crumpton: That we have made a recommendation to you and these recommendations are based upon primarily the return to the city the revenues of the project by a prospective developer.The kind of formulas that are depicted in their proposals as well as, the kind of formulas that are depicted in their proposals as well as the pre -financing cost and also based upon the selection process for the design team which is in page 8 of your prospectives.That as you recall we had gone through a review as solicitation of 4 firms for the development of Watson Island and some 17 responsed. Of that we had six firms come in for interview and it would be that from these six firms they would present themselves again before the selection committee which then would include whatever developer is chosen and our recommendation. I'll give vou.You could work with that and proceed from that point so that is a part of the proposal. So it is our recommendation that you authorize the Manager to negotiate a successful agreement with the firm of Collins Tuttle and Co,Inc., and Carl Marks and Co. Inc. and that in the event that a agreement cannot be reached that's mutually agreeable to both the city and that firm that the Manager then be authorized from the same resolution to proceed with the No. 2 firm in our recommendation to you of the Development World Enterprises,Ltd. I would like at this time to call upon Mr. Herb Simon, who is your Citizens Committee Chairman and then the Chamber Committee Chairman to speak. I would call Mr. Simon, who is your Chairman of the Citizens Committee for Watson Island. Mr. Simon: I'm not going to get into the merits of one firm against another. I merely want to say that representatives of our committee have met on numerous occasions with representatives from the Chamber of Commerce and from the City, and as you've heard of all of the proposals that were submitted. We felt that both of these firms would qualify with the choice of course, is up to you. I do say that the wheels of government move rather slowly. This concept was conceived by the Mayor and the Commission I believe it was 1975 during something with Watson Island with the Tivoli Gardens concept and it was supposed to jell in 1976 as a Bicentennial Project. We're now in the middle of 1977 in private enterprise. As you know I'm in the Real Estate business. We do it a little more quickly. We have to make decisions and judgments a little more quickly than than that and I'm sort of getting my feet wet or sinking in government mire . But as original can see this by the Mayor this was and is to be a marriage of private enter- prise and government. I feel it can be done. I think that the area , Miami area desperately needs a family oriented amusement entertainment area and which ever choice you make. Whichever firm choice you make. I think Watson Island is a good bet and please let's get going. Thank you. Mayor Ferre: Herb, I only have one correction to make. It's not 1975. It was 1969 and the first time this thing came up was as a recommendation by Edward Durrell Stone, Jr. to make a historic village and amusement semi small amusement center on Watson Island which the City of Miami Commission accepted the recommendation. It was subsequently brought u; again by myself before Chuck Cobbs Committee in 19 late 73, and early 74 with the discussion of what to do with Interama where I recommended at that point that the amusement park portion of it be transferred to Watson Island, 6o it's been a long time. The gestation 10 JUN 491917. ry Mr. Crumpton: I would like also to call upon the Chamber Watson Island Committee, Ca- Chaired by Mr. Earl Powell and Mr. Chuck Cobb and Mr. Earl Powell is here to say a word or two. Mr. Powell: Good Morning Mr. Mayor, Commissioners. The Mayor started off a speech .3` the other day to a group of Chamber Officials by saying'; Behold the lowly turtle he only makes progress when he sticks his neck out.' Apparently, we haven't stuck our neck out far enough with respect to Watson Island because we sure haven't made 1L much progress. I think today represents maybe the first step in consummating some- al thingwe've had on the drawtino boards for a long time. During the last few days -we've had severalconvPrsa n with Alvah Chapman, who is the Chairman of the New s World Center Action Committee for the Chamber, whose sub -committee Chuck Cobb and I .g chair. Unfortunately, Alvah and Bill Colson from the Chamber couldn't be hbre this morning. Chuck Cobb was here for about an hour but had to leave for another appoint ment. I'd just like to say that we're very much behind the Watson Island Project. We feel that it's a viable concept. It's a needed project for the community._ We'll? delighted that we have two quality bidders that we believe are capable of developing the island in a first class way. The Administration has had a difficult task''ir ' r trying to evaluate the merits, demerits of the two bidders. Obviously, they're both high class organizations. We don't take a position as to which firm you should select but we certainly wish you to select one and let's go on down the road with this project. We'll be available to help in any way we can and we've set up a meeting on the 22nd of June between Mr. Simon's group and the Marina Council and the Chamber's group to solidify our positions with respect to the type of project that ought to gq on the island. But in the meantime we would certainly like to see the Commission act on this matter in a very positive way. Mr. Plummer: Mr. Manager, let me ask you a question? Basically, and I'll maybe need to ask the developers. Along the line of what these two gentlemen, the last. two speakers have said. Has there any parameters been mentioned as to a time table or time schedule as to,let's say that you negotiate the contracts by the first of July, just using that hypothetically. When will the first person go through the turnstop? Has_ there been any talk about how long? ' n` `= Mayor Ferre: J. L. I would respectfully ask , because I think that's a general question that we ought to ask after these two firms have made their presentation. Mr. Plummer: I'm only asking was there any minimum or any parameters set in that area as to the time schedule? Mr. Grassie: Only the time schedule outlined by the Fowler, Ettinger Study. Once a developer is selected by you then one of the first steps would be to determine how long it would take them to get the project done. Mr. Plummer: And, what do you look at realistic? Mr. Grassie: We have not had an estimate less than 21 years for the basic design and construction projects, that's optimistic. v. Mr. Plummer: Ok. So we're looking at then 212 plus. Mayor Ferre: Alright at this time then I'll recognize Mr. Tuttle. Mr. Tuttle and Mr. Fine, here's the way I think we're going to do this if it's alright with both of you gentleman: The chair will allow you each half an hour to make your prgsent- ation , discussion, whatever you want and I will retain the prerogative of extendin either/or both another ten minutes ifyou should need it and �'' give you ample time for rebuttal if anything, you know, This is not a debate and I don't intend.or• it to be a debate, but if there are questions that come up during each other's discussion you'll have plenty of opportunity if you wish to address yourself to the points that ` come up. Mr. Tuttle: Thank you Mr. Mayor. Vice -Mayor Gibson, Commissioners. First of all, started so I'll be very brief. I'm very grateful no matter what your decision rhnayJ. pe, today. I'm very grateful to be considered for this project. I'm grateful to get to know a little• more about your area which has brought so much pleasure to so matiy millions of visitors, myself included, and to the inter lecturer stimulous of consider- ing this exciting challenging project. My company is small in numbers and large in volume and large in experience. And to maintain to our volume and to expand it we have to continue to maintain a steady record of successful quality projects. So when` we consider whether we want to make a proposal on Watson Island we considered three` iings.1 We considered whether its profitable for the City and for ourselves of course, we considered whether there would be adequate revenues to properly operate maintain arid� renew the projects so that would insure the long term possibility of the project ariagwe 11 ,SUN o 9 197011 `"C I'll address myself to time limit, half an hour. I'm anxious to get this thing quality of Collins Tuttl.F'ther projects. The answer was ,es. And, consequently we've made our proposal. We've assembled a team of people that we think are which I'd like to present which we think are nucleus a good team to do this project. We'll do it with a good deal of enthusiasm. t plead to you that if I'm selected we will build a project of which both you and we could be proud. I would like to first present the Project Manager of the Collins Tuttle if were selected. Mrs, Barbara Cobbs ,Vice- President of our company. Sitting next to here, that handsome young fellow, I think you all know is Steve Nostrand of Communicate who will be out Public Relations Director, Leon Frazier the firm of Morse Diesel Company, Now Morse Diesel Company is probably the World's Largest Construction Consultants and one of the largest general contractors in this country. They've been the construction arm of our company since we started it 25 years ago and they've worked very closely with Frank J. Rooney in the South Eastern part of the United States. We've heard some criticism expressed that we're not local residents. That's a valid criticism to the extent that it would deminish the economic benefits to the community. Of course the economic benefits of the community will insure its acceptance by the community . And, to demonstrate our commitment to maximize the economy benefits to the community we have retained Frank J. Rooney as our construction consultants, really consultants to Morse Diesel and the Florida area Costly. We have here Mr. Bill Southern from Frank J. Rooney. I might add that Frank J. Rooney and Morse are collaborating on a similar project in Memphis. It's similar in the fact that it is a development of a theme park on an island in Mississippi and Frank J. Rooney just been awarded the contract and Morse Diesel are the consultants for the City of Memphis for the project and I'm open to any questions. I'd like to first respond to your question Mr. Plummer concerning the gross revenues. The only acception to gross revenues that I've made in my proposal is sales tax. Every dollar taken in with the exception of sales tax. No, I'm talking about I won't pay a percentage rent on the sales tax is what I'm saying. And, that's the only... Mr. Plummer: Are you finished with your presentation? Mr. Tuttle: Yes sir. Mr. Plummer: I want to get into that particular area. It's two areas that I want to get into on your particular proposal. First of all, starting at the top . As I under- stand it and John said the other day and it is not clarified there John, so I want it clarified for the record. It is my understanding that you have made some comment to the Administration that you would pay the entire preliminary cost of $200,000 if you were able to negotiate. What was the wording on that John? Mr. Gilchrist: If I can negotiate the design contract to a designer that I would designate with the approval of the city, of course. Mr. Plummer: Then, you would pay the entire cost. Mr. Gilchrist: I would pay the entire cost, yes. Mr. Plummer: Why? Mr. Gilchrist: Because Commissioner Gordon asked me to. Mr. Plummer: What? Mr. Gilchrist: Because Commissioner Gordon suggested that. Mrs. Gordon: Let's clear the record. In the interview that I had with you, and in general discussion. I said this proposal includes this. Is this something you would do? That's all. Mr. Gilchrist: That's correct. Mrs. Gordon: I'm not suggesting that you do that. Mr. Gilchrist: No, no, I meant at your resquest, Mrs, Gordon: And, I want the reflect that. Mr. Gilchrist: At your request Commissioner Gordon. Mr. Plummer; So in other words, then I understand that there what's on the paper, Mr, Gilchrist; Yes sir. Mr, FlUMmer; O), 12 is something more than JUN 0 9197 Mr, Plummer: Now, really I don't know whether I want to get to you or just in general I'm still not satisfied with the terminology gross and how it will be paid. is it your interpretation ?L.et me ask it this way, Your understanding the 5% gross as a management fee, is that deducted from the gross figures as it relates revenues to the city? Mr, Tuttle: No sir. The city would get it's full rent before i get my Management fee, Mt, Plummer: Before? Mr, Tuttle: Before. Mr. Plummer: Alright. Now in your proposal under distribution of revenues, As I Under - Stand it current operating expenses and reserve for renovation, does that come out prior to debt service? Mr. Tuttle: Yes sir. Mr. Plummer: Prior to debt service. Now, you say a percentage of rent to the city but then down you come under that masking tape, the first item is fixed rent. I'm confused there. What is the difference?Since it's under, I assume the 5% management fee and thats why the tape was put there that what is the difference between percentage of rent to the city and fixed rent? What is the difference as you understand it? Mr. Tuttle: Assuming that there was a year in which the percentage rent did not equal $750,000 and a year in which at the same time there was adequate revenue to pay the debt service and pay the city $750,000. The city would receive the $750,000 after my manage- ment fee and before any remaining distributions. In other words, let's assume there was a million dollars left after paying my management fee and after paying the debt service there was a million dollars left. The city would recieve $750,000. Then the $250,000 remaining would then be divided 50/50 between us and the city. Even though the percent- age rent formula would only come to $600,000 for example. Mr. Plummer: So then, you are not offering a minimum annual guarantee of $750? Mr. Tuttle: No sir. Mr. Plummer: Ok. That's really the bottom line. Well, no, that's what I'm trying to get Rose understanding, because to me it's confusing. In other words, that $750 minimum, John, please if I'm wrong interject. As I understand it that $750 is not a minimum guarantee. Now, am I correct sir? Mr. Tuttle: Well, nothing is guaranteed before the debt service to start with. After the debt service is paid there is a percentage rent, which let's take an example .Let's say with the percentage rent formula there will be $600,000 due on the percentage rent formula but there was a million dollars left after payment of the management fee, operating cost,reserve, etc. there was a million dollars left. Instead of paying you $600,000 having $400,000 to split 50/50 I would pay you $750,000 and have $250,000 left to split with you 50/50 so in a sense it's a minimum guarantee. It's a minimum guarantee in the priorities where rent falls in the picture. Mr. Plummer: Joe, you understand it that way? Mr. Grassier The way he's explained it? Mrs. Gordon: In other words, are you now saying that the $600 would be an addition to the $750 ? Mr. Tuttle; No ma'am. I was saying that if the percentage rent calculation using my table came to $600,000 and there was a million dollars left after payment of all the other expenses in the debt service then the city wouldn't get $600. The would get $750,000 and there would be left $250,000 instead of $400,000 to split. That's what I'm saying. Mr. Plummer; Yes, but let's get to more basis, Let's assume it's only $400,000. Mr. Tuttle; Then the city only gets $400,000. Mr. Plummer; Ok. Mr, Tuttle; But I don't get a management fee, (repeat) Mr, Plummer; That answered my question. Ok, So in other words, what you're saying is that the percentage only comes in after debt Service, 13 JUN 09197? Mr, Tuttle: After debt service and before my management fee, yes sit. Mr, Plummer: Is there anything else? bebt service comes out of the gross. Mt, Tuttle: And operating cost. Mr. Plummer: And operating cost. Ok. What about the reserve the renovation? That all comes out. And that comes out before you get a management fee? Mr. 'Tuttle: Before I get a management fee, also debt service comes out befote I get a management fees. Also the percentage rent cones out before I get a nanagetneht fee. Mr. Plummer: Well, I'm trying to get to a point before we get to the rent, Ok7 W. Tuttle. Ok. Alright. Mr. Plummer: In other words, all of those items have to come out before the rent to the city. Mr. Tuttle: That's correct sir, Mr. Plummer: And, then it is possibe that the city could come up with nothing. Mr. Tuttle: Yes sir. It's possible. Mr. Plummer: And, you still get your percentage? Mr. Tuttle: No sir. No sir, I would get nothing either. Mr. Plummer: Well, then management doesn't come out of that. Mr. Tuttle: No I said none sir. I said management fee comes after the percentage rent. But if there is augmentation of the rent to the city because of the difference between the percentage rent and the minimum rent then that augmentation comes after I get my management fee. Mr. Plummer: Ok. Mr. Tuttle: Before I get anything. Mr. Plummer: Before you get anything. But still there is coming out operating expenses, reserve and debt service prior to the city getting the first dollar? Mr. Tuttle: Yes sir. That's correct. Mr. Plummer: And the 750 minimum only applies after that. Mr. Tuttle: No sir. You get the percentage rent,then I get a management fee. Then you get the $750,000 minimum. That's where that comes in. Mr. Plummer: Well, your 5% comes out before the city's? Mr. Tuttle: Before the city's augmentation. But not before the city's percentage rent. Before I make up the difference between the percentage rent and the minimum rent, then I get my management fee. You understand that Commissioner? Mr. Plummer: I understand. Yes. You see where I'm confused is on the bottom chart where it refers to gross revenues and they are trying to determine through gross revenues what the revenue to the city would be. And, it doesn't quite jive. Mr. Tuttle: Well, sir I think that's because in this particular example ... Mr. Plummer: Well, he said he was finished Maurice. Excuse me sir. Didn't you indicate you were finished with your presentation? Mr, Tuttle: Oh yes. Mr, Plummer: Oh yes. I didn't start anything. I didn't ask the first question, Ok, That's where I'mn confused because when you start trying to equate your formula to their formula (I don't want to say a discrepancy ) there's a difference.A big different Mr. Tuttle: Yes there is a difference. Because my formula has obviously a much higher percentage rent than the city in their formula, Mr. Plummer: Yes. Well _ anderstand that, But I'm just tying to get it clarified. Ok. Sir can you indicate beside the word ''negotiate" what you feel about the lease, the year? Mr. Tuttle: Sir, I simply follow the instructions as I understood them for the bidding. And there was no instructions there to suggest what term. The term would naturally have to be something at least equal to the term of the bonds and I would like to have an additional term equal to that first term, For example, if it was 30 year bonds, I'd like to have 30 years plus a 30 year term after that so that I would have the possibility of capitalizing on the past re -payment of the bonds, But there is no indication in the bidding documents as I understood them. Perhaps there was but I didn't understand it if there was an indicating of a term to be specified. Mr. Plummer: Ok. Let me ask one other question of him. John, is it realistic based upon their formula that we would ever get to the 50/50 remaining? Mr. Gilchrist: I believe it is sir, Yes. But you have to take into consideration that in their proposal, first the remaining funds to retire the entire debt before that would happen. Then,I believe it's possible, Mr. Plummer: So in other words, what you're ... I'm getting back, and, maybe I'm try to over simplify. Assuming that would take 15 years, then it's not really realistic on either proposal that that percentage would ever come into play. Is it? Mr. Tuttle: After the 15 years, the assumption is that it would. Mr. Plummer: Ok. Mayor Ferre: You're talking about a long term contract, so I would imagine that once the debt is paid off you don't have a debt burden that that becomes a very important 660. Mr. Plummer: Well, according to this it would be 3.8 additional funds that could be up. Mayor Ferre: Well, you see again you got to be careful with simplicity charts. I'm not saying that this is a simplicity chart per se.But you can't cover all the different varieties of things that could happen. For example, I guarantee that those charts don't take into account the point after debt retirement. Because if you take for example, if you say, well this is true the fourth year or the fifth year or the tenth year. Suppose you projected it and said what happens on the thirteenth or the fifteenth year once you get debt retirement than those figures change completely. Mr. Plummer: Ok. Mayor Ferre: Alright, any other questions of Mr. Tuttle at this time? Mr. Tuttle: Thank you very much. Mayor Ferre: Thank you Mr. Tuttle. Mr. Fine? Mr. Fine: Mr. Mayor and members of the Commission. If I may,first I'd like to pass out some additional information? If the Manager would kindly distribute these to the Commission it would save us some time? Mayor Ferre: Do you have an extra copy so that the press... extra copies for the press? Mr. Fine: Yes. Mr. Mayor and members of the Commission. I'd like to first take the opportunity to thank you for the privilege of allowing our group to bid on Watson Island. Also too, selecting us as one of the two bidders whom you will consider today. I think it's important that the Manager and the Commission meet the entire member:- of the team. Most of whom will participate in our discussion.In as much as,the specialty areas to which has been addressed before will be covered by us. I think because of the nature of the proposal we will address ourselves to our proposal. The distinctions between our proposal, the Collins proposal and the Pritzker proposal and also to the distinctions between the bid documents themselves. The information indicated by staff and those that are making the proposals. I would like first to introduce the members of our entire development team. The first gentleman that I would ask to stand is our guiding factor, our elder statesman known to you all who provided the inspiration and the essence that we consider developing and presenting to the city the finest possible attraction and cvelopment ,and Marina, and international village possible to be developed in the United States on Watson Island. The combined residency of the members of our developing team in the Greater Miami area far exceed 100 years and his activities in this area ranging from the development, ownership of the acquisition of the Diplomat Complex. The defeating of a majority of the people in our county, the retail grocery business 15 JUN 49197i f� r� is leadership to us as a -team. Due to a civic philanthrophy, charitable and religious activities have set the tone for the style, the completeness and the quality of both our presentation and our staff, I'd like to introduce to the Commission Mr. Samuel Freedland. I would also like to take this opportunity to introduce my partner. Another partner in the Venture who has provided leadership in the development, operational, entertainment, amusement attraction, for many years. Probably the out- standing quote, young man in the field, in this state and perhaps the United States with whom we've very proud to be associated. The President of the Diplomat Hotel and Resort Complex, Irving Cowan, The representative of our next major aspect of the team is the firm of Randell Duell, I have distributed to you as additional information o th e r than those cited in our presentation which include detail background resumes of our entire team. A copy of the american annual 1975 Encyclopedia Americana Yearbook which on page 3 quotes the following from the Encyclopedia Britannic a, "building a theme park since Disney's death".Randall Duell, an architect and former motion picture art director has become the number one force in theme park architecture. Duell who has designed most of the nation's theme parks has a set of basic guidelines for theme park design. First, Duell investigates the area in which the park is to be built and secondly he studies the area's population and the modes of entertainment presently offered in the area. As a result of his findings Duell establishes a specific theme for the new park. I would like to introduce representing Duell a gentleman who has been Vice -President of that company since his completion of duties as a U.S. Naval Officer in 1966 and his activities doing this past period of time has been such that he will be the Project Manager based cn his participation in most dual projects. He holds degrees from the University of California at Los Angeles and is a member of the American Society of Interior Designer Mr. Ira West. There's another essential member of our team. We have quoted here this morning by both the city and by Mr. Tuttle, Economic Research Associates. We are pleased t, have with us as a working member of our team, the President of that Company who holds a B.A. from Duke University, an M.B.A. from the University of Southern California who since 1966 has direct and indirect involvement and the initial planning, redevelopment and operation planning for most of the major theme parks in the United States whose clients include Disney World, Marriott Corporation, Sea World, Bush Gardens, and Six Flags and who recently served as general manager of the revitalization of Circus World in Orlando, Mr, Wayne Wilson, who will speak to the economics presented here today and the projections related to and the returns to the city and the economic viability. Mr. Wayne Wilson. We're also pleased to have a member of our own staff whose family has resided in Miami since 1937, a Vice -President of Venture Development Corporation who is a trained and experienced Market Economist having spent all of his business career in the Economic and Marketing Research of Real Estate Processes, who holds his Bachelor of Economics from the Warden School of Commerce and Finance, the University of Pennsylvania and who is presently obtaining his masters in Business Administration at the University of Miami. He was past President of the Miami Chapter of the American Marketing Association and is currently serving on the Industrial Institutional and Commercial Council of the National Association of Home Builders. As well as, the Sales and Marketing Council of the National Association of Home Builders and who will represent Florida this month in Denver, Colorado as the national expert on commercial development relating to home building and residential areas, Mr. Jay Lewis. We are pleased to have with us two gentleman from the Underwriters who issued the letter of intent set forth in our proposal based upon the extensive work that was accomplished by our development team in some 26 days which is almost half the time it took for city staff to read and evaluate the proposals and bring them here to this Commission. The General Partner of the firm of Prescott,Ball and Turbin who has spent 23 years in the security field, primarily tax exempt, financing for industry and local government. He presently serves on the legislative committee of the Securities Industry Association and is a Trustee of the Ohio Security Dealer's Association and recently served as Vice -President, Vice -Chairman of the N.A.S.D. Business Conduct Committee Mr. Norman Reed,Jr. We're also pleased to have with him the Senior Partner of that firm who executed the letter of intent whose input,concern, willingness, experience and ability allowed us to be the only bidder to produce to the Commission at the time of the opening of the public bids or through today a letter of intent indicating to the City the vitality of the economic parameters set forth in our proposal, Mr, Don Chadwick. Mrs. Gordon: Would you repeat the name of the firm please Mr. Fine? Mr. Fine: Prescott, Ball and Turbin. You'll find that within your brochure. The letter of commitment is in the section entitled,"Financing". In light of the staff figures and memorandums furnished to the Commission we will within the time allotted to us by different members of our team demonstrate to the Commission that our proposal is complete professional- ly and competently prepared with the interest of the city and the taxpayers foremost in our consideration. It will be a quality designation for an attraction. It will generate revenues to the city at the earliest possible date and will be a minimum risk to the city. In terms of its pledge of non ad valorem taxes and franchise fees. It is a tried and proven concept, and it will impact beneficially in three ways on this community. Employ- ment in construction. Employment in parks staff. Primarily,under employed youths. Increase tourism and regeneration of the image of Miami as a city on the go. It will also provide for our taxpayers and residents family entertainment. Urgently needed marine facilities. 16 JUN u$1977. We will also demonstrate that we have the flexibility to design the development at maximum return for minimum investment. Because of the quality, qualifications, experience, and performance of our team and others. Including cooperation from the Danish Government, which I mentioned at this point because we had some time during the discussion a discussion that originally was initiated in some relationship to Tivoli Gardens, And, we will pass around to the members of the Commission, a letter that we have received from the Royal Danish Consulate on behalf of the Danish Govern- ment arrising for our meetings with the Consul General of Denmark last week and the C o ns u l of Denmark located in Miami, where we reviewed with them our concepts. Invited their participation in terms of attractions in Tivoli, in terms of input from the Danish Agricultural and Marketing Departments who supervise and develop the.Danish Government Exhibit at the New York World's Fair. As an indication of one positive step forward to create an international atmosphere in the free village available to the citizens and taxpayers of Miami outside the paid Theme Amusement Park. We will demonstrate as we have in our bid proposal that our developing is financiable under our proposed agreement at the best possible rate in the shortest possible time. We will address ourselves to the representations that were made here today. We will address'ourselves to the line items set forth in the city staff memorandum. We will explain to the city that the list- ing of $500,000 letter of credit constitutes in our judgment a sham. That the $200,000 figure for free developing cost has no supporting data, either by the city nor the developer that sets that amount. And, we will remind the Commission that we have reduced the city's exposure in this project by over 21 million dollars. We've heard the word flexibility. We will demnonstrate that flexibility is being interpreted as having no shape or form, no defined concept, except perhaps for a hotel. That without the concept you cannot develop a financiable project and without the concept the city will have substantial risk of their entire secondary pledge funds in such a project. Mayor Ferre: Mr. Fine I don't mean to interpret you and please forgive me for doing this. But I want to remind you that we do have a time limitation and I expect that you will follow that and you seem to have a lot of things that you do want to bring out. I just want to remind you that I think what, ten minutes have gone by or fifteen? Mr. Ongie: Almost twenty minutes has gone by. We have eleven minutes left. Mayor Ferre: Basically, you have about ten minutes and then the extra ten minutes left. Mr. Fine: In keeping with the time requirements Mr. Mayor then I will then ask for the next section of our Presentation to be presented by the Design Consultant, Mr. Ira West of Randall Duell & Associates. Mr. West: I'll try to be as quick as I can with this explanation. Basically, what I'm going to go through is an explanation of what we've accomplished today and how we arrived at this, and why we arrived at it. To start with this first plan you see here. This is a second in a series of two plans that we arrived at. It's very preliminary in concept but we feel it's very definitive at the same time. It was arrived at with input from ERA as to sizing and we had to do this in order to prove the viability and that a park could be built for $35,000,000 or less. It would have been presumptuous of us to say it could without going through this process. As I say it looks definitive but it has a great deal of flexibility built into it. But the area is basically, or somewhat fixed in their parameters as far as spacing goes. We do need this space. We know. First of all, it falls within the parameters of the city's traffic study. We know that we can accommodate the number of cars required for the success of the project and that it won't affect traffic adverserly. What we have done is we've moved the major highway to this side of the island. The reason for that was to have as much flexibility between the park, theme park proper and the parking lot. We find that as the park must expand in size it'll have to generate space in the parking lot. The parking lot will either shrink, become muti stored, removed completely off the island onto the mainland. We need this flexibility in the future. What you see here basically is approximately 23 acres of theme park which includes 4 acres of maintenance area and 19 acres of park. Along with this we have roughly 31 acres of a village, a thematic specially center which is free of charge to the public. This works in conjunction with the park so that we have a paid area and a free area . In order to generate traffic returning again and again we have to have this sort of arrangement. We've maintained everything that was called for by the staff in that we have kept the Japanese Village. We have a Marina with 400 slips. We have Chalk's Airline. And, of course, we have the highway. We've made special allowances to take traffic off the highway. Move them into the parking lot as quickly as possible. We have only one overpass over the highway and we have no cross traffic on the highway which will make it safer than it is now. Traffic will pass through. In order to leave the highway we have off ramps and we have an overpass. We also have additional underpass and it is existing bridge to save the additional cost. Just to give you some statistics on the park to show you what we've done. We compute that the park is capable of handling nearly 22,000 people theoretically per hour. Now this actually translate into the park's ability to hold slightly over 13,000 people, that's what we call a peak in park. And, we anticipate at least a 4 hour stay. And, we're talking about this area now. With this kind of a stay and that kind of a peak the maximum daily attendance of what you see here is $17,000 people and this trans- 17 JUN 091977 lates roughly into somen1ere between 2 and 3 million people a year. Now, these figures are rough because it will require further study by ERA to refine them. We know that we are in that area but we can't tell you exactly what the final number is. The sizing of the park may go up a few acres or down. And, the parking lot may go up or down, but it works basically. Mayor Ferre: Let me ask you a question? Is the new road going to be part of the 10 million dollar infra structure expense? Mr. West: Yes it would, We found that it was cheaper. We think it is. If it's not cheaper it's a toss up to move the road and miniminize a number of overpasses. The first plan we had showed the road as it was. But it meant we had to cross over it. Because it was creating tremendous traffic conjestions. This one is somewhat more refined and we feel if it is a toss up it's well worth it. We need that flexibility. If this .is to exceed three million in attendance it won't work the other way. What I've done is I've brought some photographs along from five projects. Not that this project will look like any one of these but only to give you some idea of the quality. The type of quality that we build in other projects. The five projects include Magic Mountain in Los Angeles. Opera Land in Nashville,Tennessee. Park in Pennsylvania. C winds in Charlotte, North Carolina and Marriott is Great America in San Francisco and Chicago. I'll pass these around so you can look at them. There was some concern about landscaping and how the island will look from both the steamship terminal and from the islands with residential housing. So we did just a quick little section. We call a section through critical areas to show you that we consider those things. Now, this is really premature but because the subject was brought up we thought we ought to talk a little bit about it. Basically, we use what we call berms, trees and landscaping to hide things thatare not attractive. For instance, where we have a fence.You can see a small fence here. This is actually an 8ft. fence., to hide that fence from the water side we built a berm up on this side of the fence and plant trees. So that the fence litter is invisible. Generally speaking we have variations of topography all around the park. Where ever there is something that we feel isnt's attractive we either hide, we cover it or we change it. I think we can guarantee you that the park will be attractive from all areas and that's not going to become a problem. And, lastly, I think we should stress that the final shape of the project will definitely be unique. It will be unique to this area. In no way will it be like any others except in concept. We have to use approving concept, The risk is quite high and no one here is prepared to take that kind of a risk. Mrs. Gordon: I have a question. Just from the standpoint of the re-routing of the road. Has this been checked out with the State Road Department or the Authorities that would have jurisdiction over final say of the routing? Mr. West: No. There hasn't been time to go into that much detail. We know that in principal it's possible and unless there is some very unusual soil problems. It's not that difficult a task. Mrs. Gordon: I don't mean that. I meant would that present any problem from some other agencies? Mr. West: I don't know. I doubt it. But I can't answer that. Mrs. Gordon: In event there would be a problem are you prepared to develop it without that concept of moving the road? Your original proposal ... Mr. West: It can be done, but I think it's a better project to do it this way. But it can be done the other way too. Mrs. Gordon: Yes, but since we're at the very beginning of decision making we have to know that if one didn't go would another be able to be done? Mr. West: I think it would. Yes. This is the original. This is how we start it. And, you noticed we had a cross over here and we had another cross over at this point. But we loose flexibility by not doing this. In short,you have a fixed area in this side of the highway and you have a fixed area in this side. Mrs. Gordon: I recognize the merits of your chance. But I'm asking for a point of information. Mr. West: Yes it will work the other way. Mayor Ferre: Could you go back to the other map? I have one question there. The 400 boat slips, how will those people- where will they park and how would they get to their boats? Mr. West: That's a separate facility in that we have parking all along here. 1.8 JUN 091977 Mayor Ferre: Oh I see. ok. Mr. West: And, they come off the highway, This particular case they come off here or going the other direction. You notice we have an off ramp. We show four lanes so we can stack as many cars off the highway, They would continue and go over the bridge and come back down, Mayor Ferre: Alright. I see. Mr. Plummer: The difference between your proposal and the other. Both state a total project cost $45,000,000. Your proposal includes the Marina Facilities in that $45,000, 000, My concern is what are you doing so radically different? What are you doing differently, or less or more that you can put a Marina in your proposal for $45,000,000 and their's doesn't include a Marina? You understand the question? Mr. West: I'll let Mr. Fine answer that question, Mr. Fine: We developed plans that could be estimated to determine cost. And, therefore we're able to validate the city's $45,000,000, Had we not developed plans to develop cost we would be unable to validate the city's $45,000,000. What we eliminated from the city's prior cost of $45,000,000 was approximately $2,000,000 to get into the ferry service business, which we believe was a business that should be financed and operated by private enterprise or the Metropolitan Transit Authority and not by the City of Miami. Mr. Plummer: So in other words you took that money as proposed for that area... Mr. Fine: And applied it toward the cost of the Marina. Father Gibson: Proceed. Go right on. Mr, West: That's all I have. Unless there are any more questions. Mr. Plummer: Well, just for the record. This is a proposal on your part? This is not etched in concrete? Mr, West: No, this is just a concept to prove that one could be done for that money. Without this we couldn't write a letter. Mr. Plummer: Final question sir. You very boastfully made mention of the fact of all of these parks that you've done, Are they all making money? Mr. West: As far as I know they are. Yes. Mr. Fine: I will pass around to the Commission because I only have one copy by circum- stance. A publication entitled,"Travel and Leisure", published, I guess by American Express or perhaps I could read it to you. But nothing but glowing comments. And, out of these I would say 90% were done by Duell. Cedar Points ,•Sandusky , Ohio. Great Adventure, Jacks, New Jersey. Hersey Park, Hersey Pennsylvania. Magic Mountain, Valencia, California. Marriott Great America, Gurney, Illinois. Worlds of Fun, Kansas City, Missouri. Six Flags over Georgia, Atlanta, Georgia. The essence of all of these being the success of the park is in the essence of the design. And, the experience of the designers are an essential part of the security of the park. I would also like to state that the economic validation and the underwriting were done on the first proposal with the roads splitting the island and we hopefully think that if we're able to effectuate the second change that it would be better than what we discussed and validated on the first proposal. Mrs. Gordon: Question. Same kind of question that I asked Mr. Tuttle, which was that that their proposal says 50/50 split of the final profits, whatever they may happen to be, Your's is something less than that, Are you flexible on that? Mr. Fine: Let me relate to the proposals in the financial area so that we explain that it's more than that. Number one is I'm going to ask the financial people to come up now. But second is that we take no money up front. We supply the front money. The only time we get any money is after the city's gotten its first profit and we come second. We're not taking 5% off the top. Now, if we went technically according to the specifications, where the proposals had to be better than Pritzker. Pritzker only took 2% off the top. The other proposal you're considering today, not ours takes 5% off the top and would technically disqualify it if the Pritzker proposal was to be the bottom line. We've structured it so that all of the debts. All of the expenses are paid then the city gets 2% before we see the first 2%, then the city gets the next 2% before we see the second 2%, then the city gets the next 20% before there's any remainder. And, we're going to show you that it's impossible for you to obtain the 50/50 view under the bid documents as submitted at the time that the public bids were opened. And, with that in mind I would like to call .... 1,9 JUN 0 91977 Mr. Plummer: Wait a minu,:e.... whoa, whoa. Are you sayi,.�,, that the remaining dollars are not split 80/20? But the city gets 20 then you get yours? Mr. Fine: Whatever is left. That's correct. Mr. Plummer: It's not a 50/50 or an 80/20 split? Mr. Fine: That's correct. There may be nothing left for us. The city gets the first. 20. They get the first too. Then they get the third too. Then they get the first 20. They come before the developer all the time. The burden is upon us to develop quality, profitable project before we can be compensated . Mr. Plummer: Let me just one more time understand this. When it comes to the bottom line split. Mr. Fine: The city gets the first 20% of whatever the remainder is. Mr. Plummer: Is that the way you understand it? Mayor Ferre: Ronnie, the thing that I see that I don't... If you're saying we get 20% of whatever is left. If there is a million dollars left we get $200,000. Mr. Fine: Can we read to the real numbers ? I'd like for the economist now. We've been quoting... We have two economist here. One, R.J.Lewis and two Wilson, who did the Pritzker economist and who has done ours. We have charts here and we can show you where we think it stands. Mayor Ferre: Alright, let's get into that then. Mr. Lewis: My name is Jay Lewis and as Mr. Fine mentioned I have been involved in Real Estate Economics for quite some time. Quite a few projects in this area and elsewhere in the southeast. Mayor Ferre: Mr. Lewis, what's the name of your firm? Mr. Lewis: Pardon me. I'm associated with the Venture Development Corporation Mr. Mayor. And, we took a good hard look at two things. First, we wanted to find out if in fact the park would ever reach a revenue level at which the 50/50 split would come into play. That's very important because as we look at these things from both the economic standpoint and from the standpoint of the eventual terms that will be negotiated. It is inconceivable to us that the city would enter into an agreement which might look very well on the surface but might not really have any real reward until some fictitious time way out in the future or if certain absolutely impossible parameters were to be met. So we looked at that first and to do that we involved another member of our team, Wayne Wilson. And, I'd like Wayne at this point to address himself to the fact or the point at which a 50/50 split would be possible under the Collins Tuttle proposal. Wayne? Mr. Wilson: Well, just to say that in doing a calculation of the revenue projection and what the cuts would be it came out to $35,000,000 would be the point at which the 50/50 would take into effect. Which is I guess what we saw earlier. But the point I'd like to make . . . What I want to do this morning is clarify something. John Gilchrist mentioned that the first full operating year was 3,000,000 and in fact our projection was 2.25 which gave a revenue number of 16.5 million. The other point I wanted to make is that we did not make projection of 5 million and I would be concerned that that number could ever be achieved given the density problem that would result and by taking the 10 year range of, say 16 million to 22.8 million. I think kind of sets the parameters within which we should measure the two plans and Jay could you pull that other chart? Ok. What we did was to do an analysis of both plans based on a range of revenues from 14 million to 24 million which is outside the limits that we just discussed of 16 to 23 million roughly. And, to see what would happen at these various revenue numbers. And as you can see ... well,it's difficult for you to see, but at the 16 million dollar level. Mayor Ferre: Well, why don't you explain first the green, red, and blue? Mr. Wilson: I'll be happy to. The green is the money that is received the the City of Miami in terms of rent equivalent or profit distribution. The black in this case is the Diplomat Group and the red is the Collins Tuttle Group in terms of what they personal receive. So, what happens is that at the 14 million dollar level all of the excess funds are distributed to the city and not to the developer. Under the Diplomat Plan. Conversely, under Collins Group, they receive all of the funds, the city receives nothing And, the same thing occurs under the 16 million dollar level where Collins Tuttle distributes nothing to the city, whereas the Diplomat Group distributes rougly half to the city. And, it continues on until you reach the point of roughly 20 million where there's almost a parity between the two plans and then as you get up to a higher 10 year out level the Collins Plan begins to over take in terms of distribution to the city. So, basically I 20 JUN 091971 think what this demonstrates is that the Diplomat Plan operate more downside protect- ion to the city. It pays out money first. There's nothing off the top. Whereas, the city would benefit from the other plan on somewhat of a basis really, if revenues really do go very high which as I mentioned before I would be somewhat doubtful about, Jay? Mr, Plummer: Wait a minute, please, On that proposal sir, at what point under your team would the city receive it's ,,, excuse me, At what level of dollars would your team start realizing the first dollar of the 80% factor? You follow My question? Mr, Wilson: Yes I do, Mr, Plummer: In other words I'm trying Mr, Wilson: About 18 to 20 million .., . Mr. Plummer: 18 to 20 million before your team Would get the first dollar Of the 80% factor, Mr. Wilson: I believe that's right. I have to check it, Mr. Plummer: Ok. The second question, in that factor, what would be the city's dollar factor of that 20% at that 20 million dollar level? Mr. Wilson: Hold on just a second. Commissioner Plummer of the 20 million dollars the city would receive... Mr. Plummer: No, 20% sir. On the 20 million level. .... would receive 4% of the 20 million which would be $800,000 and at that level, .. Wayne,.. Mr. Plummer: Do you understand my question? Yes. Yes I certainly do. Mr, Wilson: At the 20 million dollar level your question was what is the amount of money received by the city verses D.W.E. on that 20/80 split? Mr. Plummer: Assuming we get to that point as a 20 million dollar level, what dollars does that represent in the city's first getting the 20%? Mr. Wilson: Approximately, four thousand dollars. Mr. Plummer: Four thousand dollars? Mr. Wilson: I'm sorry. I got my decimal points wrong, forty thousand. Mr. Plummer: I don't think that's right, but go ahead. I'll accept your answer. Mr. Lewis: Basically, the point of the chart and the point of the display is to indicate the fact that under the Diplomat World proposal the downside risk which I think we'd all have to admit is the most critical list. The downside risk is obsorbed by the developer. (repeat) In the Collins Tuttle proposal as we view it. With 5% coming off the top for/and let me make this point. Not a management fee but an additional management fee. Now if in their proposal you were referenced section 6, where they discussed the fact that a management contract will be negotiated with the city at a date sometime in the future to be established. Without any consideration of what the management fee in that contract to be negotiated will be. No mention of it. It could be 5%, 10%, could be anything and that that management fee would in all probability be considered in the operating cost of the development. There is no way at this point to determine precisely the amount of monies that would be available for debt service and consequently the amount of monies that could return to the city under the fixed or the percentage rent. Let me say it again. What I'm saying is that in all probablility we do not know at this point. I certainly don't and nobody does until a contract is negotiated. The true management fee of Collins Tuttle which would have great bearing on two things. Number one,obviously has great bearing on the bottom line. But number two, it has great bearing on the amount , the net interest cost to the bonds. Now, that's a little technical but what it revolves is the amount of coverage above the debt service. How many multiples of the debt service is available for coverage? Depending upon the Bond Underwriting Regulations if that figure gets too low the bonds are in technical default. Now, let me make a very important point. If there are charges that come out ahead of that debt service other than operating expenses and reserve for repairs and maintenance, if there are charges that come put ahead of those 21 JUN 0 91977 V two things it's entirely possible to have bonds and technical defaults within operating part. And, if that situation should occur the remedies, frankly, are to accelerate the debt service which further reduces the position the city is in other remedies which might involve removing the managing team from the park. So, what we did in order to work out a program that was financiable and furthermore a program that could be financied with tax exempt municipal. This is another very important point which Don Chadwick will address in a moment. Finally, it's a project with tax remissible. We had to come upon a formula which would at the same time render the bond tax exempt, turn out to be a formula that was most beneficial to the city. And, so in our formula we don't take out the first dime . The first return to the developer occurs at 102% of break even. 102% and then we begin to participate with the city, Now because I mentioned the subject of bonds and bonding I'd like to turn this over to some people who are very expert in the field and it's Don Chadwick. Don? Mr, Chadwick: I'll only take a few short minutes of your time. I want to describe our involvement from inception with Mr. Fine's group. Mr, Fine consultated with us and asked us to give our expertise in industrial revenue bonds. Mayor Ferre: What's the name of your firm? Mr. Chadwick: Prescott, Ball and Turbin. Giving our expertise taxing, financing, and revenue bond financing, specifically. How he could structure his proposal so that it would meet the marketability test that bunderwriters are going to impose upon any transaction which is to be structured in instance. We described what we as Underwriters would require and that is an issue which is issuable as tax exempt bonds personally. That he should minimize the downside risk of the bond holders . Secondly, to the city and then lastly, he would be the fellow that would stand last in line. We also said it would have to be structured legally. Such that these bonds will be tax exempt and the bond purchasers will rcccive complete full assurance that they have a tax exempt security. Lastly, we were given the opportunity to review and consult with the design consultants as Mr. Fine has mentioned earlier ERA. And, we looked over primarily numbers and determined that the bond issue could be marketed. That debt service would be met from the revenues of the park, but to make it a truly marketable high quality security the pledge of the revenues from the franchise tax should be in- cluded in the proposal. With that, w II��1 ac ituation and we felt very comfortable with and issued cur letter of intent.ENt note for the record that we so advise staff that if you structure this proposal in the form of a ground lease as was proposed by the Collins Tuttle people it will not meet the requirements of Internal Revenue to provide for tax free exemptions and therefore these bonds would never be sold under the structure of that type of a proposal. Number two is had some concern about the State Authority for the city to engage in this type of venture. And, to avoid litigation and to create absolute assurance that we would have no difficulty in marketing these Aume. aTat we would have nodifficulty in establishing the public purpose of amusemenli parks. At request of bond counsel I contacted Mr. Grassie and requested the assistance of the city's lobbyist in Tallahassee to amend the Florida Statutes which were passed by both the Senate and the House in order to assure that there can there be no interruption or interference in the development of this project. Something the staff has not put forward to this Commission has been our total input in corporation. Mayor Ferre: Let me make sure I understand now. Was this passed by the Senate and the House? Mr. Fine: And the House. It passed both sessions of the legislative. Mayor Ferre: Has the Governor indicated whether he's signed the bill? Mr. Fine: He's indicated that he will sign the bill. Mayor Ferre: And, what you're saying is that that bill gives us a clear sailing.... Mr. Fine: Absolute, clear, public purpose and bond financing authority to issue bonds for theme and amusement parks. Mayor Ferre: So that in other words the city could then proceed in issuing bonds that would be within the law of the State of Florida? Mr. Fine: In the judgment of our counsel. In the judgment of counsel for the Under- writers who have committed themselves to furnish the money under the descriptions described in their letter of intent the answer is an absolute affirmative "yes". pro Rev. Gibson: Let me ask a question? Mr. Grassie, you heard what that gentleman is that true? Mr. Grassie: It is absolutely true Commissioner. We have been working with Rick Sisser 22 JUN 0 91977 in Tallahassee, And, Sisser has got for the last step. this through the legislature and it is waiting Mrs. Gordon: The last step is what? Mr. Grassie: To go to the government. The Governor's signature? Mrs. Gordon: Mr. Fine and also W. Knox says it's a legal point, This does not have to go the Electra of the State. Mr. Fine: That's correct, The bond financing statutes presently provide for the city that's public purpose, etc. under the statutes and bonds that have been validated for such purposes,stadiums, marinas, utilities, etc. and it require the modification of those same statutes underwhich all city bond financing has taken place before. For the inclusion of the definition of theme and amusement parks. Mayor Ferre: Mr. Grassie do we have a copy of that bill? Mr. Grassie: I don't have one, but I think the staff does. If you would like a copy of it. Mayor Ferre: Alright, Mr. Fine, anything else? Mr. Fine: I'd like to read into the record, Senate Bill 1350 by Senator Winn . A bill to be entitled an act relating to the bond fiancing... Mayor Ferre: Mr. Fine, let me just save time, I've got a copy of the bill. I'll pass it around. We'll put it into the record. So, you go ahead and proceed and let's wind it up. Mr. Fine: Without going into more definite clarification which we're prepared to do item by item on what we consider misinterpretations by the staff of items that are set forth and the memorandum dated June 3, 1977. We can go through item by item if you want what we consider , lack of authority, misinterpretation and the evaluation performed by staff, In the memorandum furnished to the Commission as the basis for the staff's recommendation in terms of ranking. I'd also like to note that there's... Rev. Gibson: I didn't hear that. Please repeat that again. Mr. Fine: I said that we are prepared if the Commission desires to go through item by item the items within the staff memorandum furnished the Commission dated June 3, 1977 setting forth the ranking. It is our belief by the information we've set forth before and we're prepared to give more information that this is a misleading incomplete evaluation of the public bid documents that were opened. Rev. Gibson: I see. Ok. Mr. Fine: The staff is not further mentioned and addition to our advice and counsel and legislative support of the city in their report to you which I believe you have knowledge of, A letter of recommendation from the Greater Miami Hotel and Motel Association addressed to the Commission copies of the City Manager which said that our association has thoroughly examined the proposal submitted to the City of Miami on April 26, 1977 relative to the above captioned matter. We believe the that community concurs without finding.That there is a critical need to immediately develop Watson Island for a major family oriented attraction both to service the existing tourist and potential that would be attracted by this major undertaking as well as taking another positive step. In filling tremendous void of family oriented activities in the City of Miami and South Florida. A proposed development would enhance both the cultural and economic prospects for our entire community and we urge your immediate action on finalizing and accepting the best proposal. However, we would like to recommend to you that in our opinion the concept of the New World Center Park represent- ed by Diplomat World Enterprise Ltd. highlighted a theme Amusement Park Marina, New World Village, and related facilities best meets the needs of all citizens of Miami as well as the tourism industry of which we are apart. Respectfully yours, Greater Miami Hotel and Motel Association, Robert Jackson, Executive Director. Nor did the staff read into the record a memorandum furnished to us from the Greater Miami Chamber of Commerce from Earl W. Powell and Charles E. Cobbs,Jr. dated May 4, 1977 addressed to Alva H. Chapman, Jr.; Subject: Conclusion of combined Watson Island subcommittee, of the Chamber New World Center Action Committee and the citizen committee for Waston Island. In — ---- 4 SimnD, G. Gilchrist, L. Freeman, C. Cobb, E. Powell. Only two of the five proposals, to develop Watson Island, met the specifica^ 23 JUN 0 91977 tipns, outlined in their request for proposals Of the two bidders, who met the minimum criteria required, this Committee recommends that the City enter into ► negotiations for a priliminary contract in the follow- ing priority; 1. Diplomat World Enterprises 2. Collins -Tuttle & Company, Inc. It is the Committees' .understanding that the preliminary contract to be negotiated will provide; 1. That the City establish a semi-autononmous governmental agency, to negotiate the final contract ... supervise the completion of final plans and then oversee the operation of the project. 2. That the final financial conditions contained in the contract, will be at leas as beneficial to the City, as the preliminary agreement with Mr. , including a requirement that the develop - or have a significant sum at risk. However, we urge the parties to re- member that final financial aspects and distributions. of revenue could very well be dictated by the bond underwriters... end of memorandum. : I'm sorry that I only caught the last part of that, but... Mr.yor Ferre: He did as I intended... he read the memorandum, which is... : Furnished to us by staff. Mayor Ferre: Which is dated when? . May 4, 1977. That memorandum is addressed, to whom? Mr. Fine: Its from Earl W. Powell and Charles E. Cobb, Jr. to Alva H. Chapman, Jr., that was a copy of which we furnished to the commission. . well, I don't know that they need a copy of that to the Commission... the official position of the Committee, was that... which was released from the press... alright, -this vas a —preliminary draft of a meeting we have, there was a subsequent meeting for that... I believe everybody was invited to attend it... in which the Committee, recommended the two firms, and there was no priority. we de- cided at that time not to take a position as to which should be it. We didn't feel that was our job, it was the City Administration's job... Mayor Ferre: Correction, City Commission. Mr. Fine: Let me summarize... very briefly for you, because I know that it is involving, I'm sorry for taking your time, but I strongly feel that this is a major and important aspect of the development of this City and its our desire to put out all of the plat , so the City can make the best judgement in terms of whats good for the City, whats good for the tax payers in terms of risks of its money, the growth and the immediate develop- ment of the City,'protection of its employment and industry levels, and therefore, we have taken the time to go through and to bring to you today the developing team... the specialists... some of whom are quoted by the City, add of context improperly, in terms of presenting information within that memorandum to you... there is no 'highlight that our bid proposal said that we would take a unlimited'responsibility for all of the front money required. There is no highlighting in that, and if it runs above $200,000 today, there is still no answer where the money is going to come from. 2. That we have reduced the City's monetary risk by.21/2 million dol- lars. 3. That we have put the burden upon ourselves, not to be rewarded in terms of fees or commissions or compensations, until after the project is successful and the City has received an additional 2% profit on the project. And with that I want to thank you, for your time and end our presentation and stand ready to answer any additional questions. Mayor Ferre: Alright, Mr. Fine, first of all are there any other question of, Mr. Fine? Mr. Plummer: Mr. Fine, the only question... well basically two, but one directly. Since, there has been some things that were not on the chart I'm going to ask for the record. Is there anywhere in your proposal or in your discussions with staff... was there any fixed annual minimum in- come discussed; 2. Speaking for your team you have heard the Manager state that 21 years plus, is a reasonable ;figure. What is your opinion? Mr. Fine: It depends upon the ability of staff to perform their obligations under the agreement. Mr. Plummer: If it is a Utopia ability of staff. Is 21 years too, long too, short... what is your opinion? 24 JUN 091977. V Mr. Plummer: This is strictly an opinion. Mr. Fine: Under a Utopia, I believe that the bonds can be financed be- fore the end of this year and in the City's construction of account and we could be prepared to commence construction the first of next year. And construction can be comnleted as rapidly as conditions permit and I would think that 21 would be a reasonable' period of time. 1 Mr. Plummer: The final question I have of you sir,... Other than the amusement park, the thing that interest me is the marina. Is your pro- posal, tied with the marina? Mr. Fine: The only affective way of developing this island in our judge- ment, is as a unit. All of the studies and information, distributed to us by the City, including a request for proposal to include a marina. We gave the City Manager and staff a two page memorandum, outlining the call in our judgement for a marina in this proposal. It would be un- feasible at this point to start all over... break out the economics, break out the cost, break out the concepts and destroy the unity of development of the entire island and in my opinion, it will be most affectively, most efficiently and most quickly done under one total development program. Mr. Plummer: I don't disagree, but what of... the answer I'm trying to derive, if in fact the marina was taken out of the concept, are your group still interested in the proposal? In other words is that a maker or break type of situation?, Mr. Fine: I say that we are flexible, but I say to you that the economic, that we've done, the commitment that we have from the underwriters, the plans that we have done that they are talking about doing at sometime in the future, are such that to withdraw, would require a total reevaluation, a total new economics, a total study for g new underwriting letter of in- tent and would probably delay the project for at least six months to a year. Mayor Ferre: Alright, further questions? Mr. Plummer: Not of Mr. Fine, I want to go back to the other... Mayor Ferre: Well, we're going to give you ample opportunity to do that. Now, are there any other questions of Mr. Fine, while he's on his feet. Mr. Fine: I want to speak to some points that disturbed me greatly. One, is that, the... Mayor Ferre: I thought you'd winded up your statement. Mr. Fine: Mayor Ferre: Mrs. Gordon: Mayor Ferre: . you asked me if I had something else to say. No, I didn't ask you, I asked the Commission. I want to hear what he has to say. Alright, Mr. Fine. Mr. Fine: The Collins -Tuttle proposal, doesn't come forward with a con- cept... has no design plans, but they've already picked a construction consultant, the construction consultant for what? The request for pro- posal by the City, specifically said, that the construction consultant would be selected after the Commission had selected and awarded to the development. So, what the staff has affectively done... is, although, they talk about selecting design consultants and concepts later, they have already, acquiesce and radified the selection of who's going to do the contract. Because, if you would also, address, which they haven't furnished you, a letter given to me yesterday, by the City... Mayor Ferre: Mr. Fine, may I suggest, that even though I think thats a interesting point, I don't think that it really speaks to the... Mr. Fine: The second point is the proposal called for open construction bids.. Their amended information said that they intend to give this con- tract to . Now, thats in direct violation of the intent of the request for proposal. Mayor Ferre: Alright, anything else you want to add? JUN Q 91977. 245 Mt. Plummer: Well, 1 thihk that should be clafi ied, tf dt t Mayo/ram Perre: Well, You,,, Gr assie: rassie: ..i Mayor Ferre: Well, it looks like Charlie,,, Mr, Plummer: No, i want it clarified by you, it was my understanding that the construction would be on competitive bidding, am I correct in that assumption? Mr. Grassie: Of course, there is no other way that we can do it. Mr. Plummer: Ok, well, we got that point clarified. Mayor Ferre: Well, Charlie, why are you shaking your head? Whats that all about? Mr. Plummer: He's got a twitch. Mr. Crumpton: I'm shaking my head, because that was not correct. statement of Mr Fine, Mayor Ferret Mr. Crumpton,... Charlie, into the microphone for the re- cord. Mr. Fine: Ok, may I just read... Mayor Ferre: No, let him answer... Mr. Fine: No, he can answer because its Collins-Tuttle's letter, just let me read the words and then i'll give him the letter and he can... It says;... All things being equal within the limitations that might be imposed by the law, Frank , will be given the priority to build the project. Mayor Ferre: Ok. Mr. Fine: Now, thats very clear'to me. Mayor Ferre: Well, but... you want to answer? Mr. Crumpton: Mr. Grassie, has answered the question... there is only one way that this project can be built and that is by open bids. Mayor Ferre: So, in other words , participation is as a consultant on construction, of course, I understand. Mr. Plummer: Well, lets ask the obvious question, so there is no misun- derstanding. Mr... is it Tuttle or Collins? Is that your understanding sir? Mr. Tuttle: That letter is correct... Mr. Plummer: But, you understand that it must go to open competitive bidding. Mayor Ferre: Alright. INAUDIBLE Mayor Ferre: Of the law. Mr. Plummer: Ok, as long as you understand it... Mayor Ferre: Mr. Fine, anything -else you want to add? Mr. Fine: Yes, I do, If the city said that we would perfer to have Frank , as a contractor, what type of notice is this to the general contracting community? Who do you think will bid on the plans and specifications? Mayor Ferre; I think we've covered that sufficiently, now, is there any- thing else? JUN 0 91971, 26 Mr. Fine: Last ' oin P , _ , is represented in the pro- posal, as an experienced Municipal tax free exempt dealer. We have made a diligent search to find his experience in municipal tax free bonding. I hold before you and submit to you, the Bond Buyers Directory of Municipal Bond Dealers of the United States, the bible of those firms qualified to deal and experienced in dealing with municipal bond issues. And I re- present you that no where in this bible... no where in the listing of qualified, experienced Municipal Bond Dealers, is listed the firm of & Company. And I leave this with the City Manager. Mayor Ferre: Alright, Mr. Fine, thank you, very much. Mr. Tuttle, I imagine you would like to address the Commission? Mr. Tuttle: I would like first to point out, that I cannot design a Theme Park in 26 Days, so I can respect the 30 minute limit. Mr. Fine, used the word "sham", a few minutes ago, I'm surprised that he'd use such word. Mayor Ferre: I don't think he was referring to you or to your firm, I think he was, unfortunately referring to the staff... as I understood Mr. Fine. Mr. Tuttle: I'm going to refer to his conversation as a sham... if any- body can tell you that the first 20% of a set sum of money is the first 20%, is trying to fool you, thats all... just plain ordinary, trying to fool you. 20% is 1/5 of something thats there... I'm going to give you the first 50%, instead of the first 20%... how do you like that... thats better, huh. That kind of stuff I don't understand at all. Four times they've said that I get my management fee before the debt service are payed, before the City gets rent. Thats absolutely not true, its printed right on the chart, sir, we discussed it , I get my management fee after the debt service and after the City gets its percentage rent. Thats clear, its clear in my proposal, its clear on that chart there and we discussed it at , i think four different times includ- ing an economist, if thats an economist who can't read a chart, I don't understand. P•1r. Plummer: Wait a minute, now. You've, udderly confused me, sir and I'm not an economist, I admit to it, sir. Mr. Tuttle: Well, I think I can make it very clear one more time, the priorities are... Mr. Plummer: Let me ask the questions in my vernacular and then you answer them, sir. As I understand under your proposal, its a fifty, fifty split... for every dollar you get 50and I get 50. Mr. Tuttle: You get the first and I get the second, according to the chart. Mr. Plummer: Alright, but before the second dollar comes in to play its split again, is that correct? Mr. Tuttle: No, no. Mr. Plummer: Its not. Mr. Tuttle: No sir, you're addressing to fifty, fifty in a ... Mr. Plummer; Forty years sir, I've been under a misunderstanding of what fifty, fifty means. Mr. Tuttle: Yes, if we got a dollar, you get a half dollar and I get a half dollar... thats what fifty, fifty means. You don't get the first and I can't give you the first. You're going to get half of what ever there is... it isn't possible to give you the first. Neither, the first 20% or the first 50%, thats all there is to it. I'm just... Mr. Plummer: So, that isn't the way I understood it, now. • I think the point, Mr. Plummer, is that we are talking about on the fifty, fifty and the eighty, twenty, is all of the remaining funds, after everything else has been done, including rent. mr. Plummer: Thats right. Mr, Tuttle: How can anybody give you the first 20%7 27 JUN 091977. Mr. Fine: Noone cal.1give the first 20%. Mr. Tuttle: Nonne can give the first any percent of anything, by de- finition. Thats what the word percent means, its part of a specified sum, thats what percent means and he comes up and tries to tell you that you're going to get the first 20%, well, I'm going to give you the first 50%... thats even better. Getting back to the management fee, which is much more important than this, because they've got some charts on the down side, up side stuff I don't understand at all. But, I've said re- peatedly, that first the operating expenses will be payed, next the debt service, next the City's percentage rent, then my management fee. First the City gets its percentage rent, then I get my management fee. Now, they've said repeatedly , I don't know why there should be any confusion on it, I just want to make it very clear. The last thing is the ridiculous remark about the management contract. I copied the lanugage out of the mono contract you sent me. The management contract, will be the management fee, to be payed on the management contract... will be payed under the terms and conditions of the proposal. That is my 5%, after the City gets its percentage rent and the debt service, and not a cent till then. So, what Mr. Fine, has said is such a ridiculous effort to confuse... the people I'm sure can't be confuse... that there is nothing more to say, really. Mr. Plummer: May I ask, sir, basically the same question of you? You've heard the manager speak of the 21 year time. What is your feeling on that matter? Mr. Tuttle: That would be very unprofessional of me to tell you the tine, I haven't designed a concept to this thing, I would think that the proposal that we've made sets forth following the time limit, set forth in your contracts... sets forth a period of six months, to obtain a preliminary design, a period of 60 days thereafter, to obtain a financing commitment priliminary designs, with the underwriters and then we will be getting pricing information. I might try to clarify roll. roll, is to be consultant to is my consultant on all works in the south - my consultant, the projects that we build and when east part of the United States, they take on Frank J. to give him local imput a;; to pricing, thats very important. The method of building, any kind of a building within a budget. Is to set up a budget of $45,000,000 and then design within that budget. No trick goes within a $45,000,000 budget. You will simply have to design within that budget and to design within that budget you would have to have constant imput r.bout what are Florida conditions for this kind of materials... this kind of construction, etc., etc. And thats what job is in this thing, strictly that. And as I said in my letter, within the limitations of the law and all other things being equal, they will have a priority in the... to do the construction. Within the limitations of the law, I've put that very specifically, that I'm aware of the fact that it absolutely has to be over public bidding. Mr. Plummer: Do you feel that the 21/2 years is a realistic figure, too, little, too much? Mr. Tuttle: Mr. Plummer: of a hotel.. My guess would be, yes. My final question to you, sir. In your proposal, you speak . Is that wed to your proposal, is it manditory? Mr. Tuttle: No, its not manditory Mr. Plummer, I said that I would like to do it. I was trying to be responsive to your proposal document... your proposal asked me what else would I like to do? And I mention two things I would like to do very much. One is to have a hotel there be- cause I think its important. I think that a lot of people would be in- timidated... might arrive at the port, right across from the amuse- ment Park and want to spend a couple of days there. Would be intimi- dated of the idea of going over to Miami Beach expensive high-rise hotels ... would like to know there is a place right there, I think its im- portant for the success of the project. Its also, a revenue producer, because a motel could be created without any additional investment by the City, and would produce some income to us. Mr. Plummer: But, in other words you're not wed to it, you would do the proposal without it? Mr. Tuttle: I would do the proposal, without it, There is a second JUN 0 91977, 28 1 feature in my proposal which I insist is a good one, also, and that is I would like to get some commercial exhibits. Mayor Ferre: Some what? Mr. Tuttle: Commercial exhibits. Some big companies, f:r example, the first thing that come to mind is Good Year, with their Good Year Blimp... then we might get Good Year to build some kind of exhibit of the history of flight of an aircraft. And keep the blimp there, which is a big at- traction in Miami. These commercial exhibits will give us, first of all some free entertainment, which is important and secondly the ability to pick the brains of multi -million dollar corporations, designers and sales people, promotional people, advertising people, to come up with different concepts...different ideas. Mr. Plummer: Why. does your concept not include a marina? Mr. Tuttle: Well, my concept didn't even consider whether there would be a marina or not, there Mr. Plummer. I didn't have a concept, I fol- lowed the documents of the... my bid is based upon the documents that was presented to me by the City,because I didn't have a time to consider, I consider it totally unprofessional as a designer with all due respect to these gentleman, it is totally unprofessional to design an a- musement park in 26 days... I mean its just incredible... you just can't be serious about it. And I think that we ought to be serious about it, when we put something in paper with our name on it. Mr. Plummer: Mr, Grassie, as I recall, one of the actions of this Commis- sion was, when the Pritzker deal fell through... that the new proposals that would be solicited... it was indicated in the proposals about a marina to the north and I think the Mayor, made that proposal. And it should be reflected... now this gentleman is saying that that was not in the bid documents and I'm questioning why? Mr. Tuttle: No, I didn't say that, maybe I misspoke myself, Mr. Plummer, I didn't say that I said that, I said that I based my proposal on what was in the bid documents, if it was a marina in the bid documents, the marina...? I haven't got a concept about... I didn't even consider the concept... Mr. Plummer: The bid documents contain the idea or concept of a marina? Mr. Grassie: Yes, the concept of a marina is part of the Potter Ettinger study, and that study was referred to and made a part of the documentation which every bidder would need to be acquainted with in other to make a proposal. . Put. its not a requirement. Mr. Plummer: Nothing was a requirement, as I understand. Mr. Tuttle: You got to be either for or against the marina, I got to start off with a main thing...amusement park and we certainly want to keep as much of whats there, now. The beautiful Japanese Gardens, for ex- ample, you want to keep those... you don't want to just throw them away... and I am way ahead of myself... its not the kind of designing of an amuse- ment park, but I certainly have nothing against the marina. Mayor Ferre: Alright, any further questions of Mr. Tuttle, at this time? Mr. Fine: Mayor Ferre: Alright. Mr. Plummer: I doubt it. Mr. Cowan: Unfortunately, what does not seem to have been brought out here, let me preference it by saying... Your name sir. Mr. Cowan: Excuse me, " Irving Cowan", I'm sorry. I'm a general partner of Diplomat World Enterprises. When these bid documents were distributed, we bid in good faith based on what we read in the documents and tried to follow them very closely. What I have seen in the charts, presented by JUN 091977 29 ./ staff... by the City's staff and what I have heard, Mr. Tuttle, stated today, unfortunately I'm not in the contract. Now, I want to be speci- fic, I'm not going to be long worded or windy, but if you have copies of the Tuttle Agreement, you will look and see that #2, under rent, on page 2; It states the developer shall pay to the City a minimum rent, during the long term lease, $750,000 per anmum, payable etc., etc. That is on page 2... which sounds like the City is being guaranteed a $750,00 figure, that is absolutely not true, there is no $750,000 figure... this is a very cleverly worded document, that is a rehash of the original agreement. If you will turn from page 2, where they talk about fixed rent and go to 2.7, on page 5, you will find... Mayor Ferre: On page what? Mr. Cowan: On page 5, 2.7, you will find on page 5, 2.7; payment of fixed rent to the City, shall be payed from funds available, after payment of... and shall be specifically, subordinate to and only to. Mayor Ferre: Well, thats quite clear, I mean... Mr. Cowan: Well, we keep talking... I don't think it is clear. We keep talking about a $750,000 guarantee and that $750,... Mayor Ferre: But, the $750,000 guarantee is after current operating cost, sufficient funds for reserve, renovation, repair, painting... debt service of revenue bonds, payment of the sum equal to 5% of gross revenue to management. 5% of gross revenue shall be reserved as a fund for the future improvement of the park and after that, I would imagine, is when we get to the $750,... Mr. Cowan: That is correct, but... Mayor Ferre: Isn't that correct... I'm not confused about it. Mr. Cowan: If there are funds available, only if there are funds avail- able. A guarantee implies, that it is a guarantee. There is absolutely no guarantee, by the Collins -Tuttle... Mayor Ferre: There is a guarantee after these things are done. Mr. Cowan: But, are... Mrs. Gordon: Its not the way I read it, Mr. Mayor,... the way I heard it its not a guarantee at all and if Mr. Tuttle, would correct me if I'm wrong, there is not guarantee on the $750,000 at any point in time. Mayor Ferre: Commissioner Gordon, this document speaks for itself, it says very clearly... Mr. Cowan: But, in staff's original list, as it was layed out, they charged us and the staff, with an additional 5%, which we have not set aside... which is not correct and they show up on top percentage... Mayor Ferre: Ok, I get your point. Mr. Cowan: Now, lets look at page #2, again and go to the next..., where we say percentage rent: the developer shall pay to City as further and additional rent, after the $750 the difference between the minimum rent as here and above determined, and the total amount, which shall be the sum of the ollowing. And then it goes into that. Now, I'm not an at- torney, but, thats very clear, that percentage does not enter into this agreement, until after the $750,000 and the $750,000 is a complete fiction of the imagination. Mayor Ferre: Alright, anything else? Mrs. Gordon: Mr. Tuttle, would you clarify that point of the $750,000? Please, because it is extremely confusing, at this point in time, after the verbal conversations took place here today and the written document before us. Mr. Tuttle: Wouldn't it be better if I spoke for my proposal and these gentlemen spoke for theirs. Mayor Ferre: Yes, 0 JUN Ui1977, 1 Mr, Tuttle: I think that would be very much better,.,, pow, is INAUDIBLE Mr. Tuttle: Sir, you are misreading... Mayor Ferret Well, lets... Mr. Tuttle: This document... like you have 'misread everything else, and misspoke everything else, here. Mayor Ferre: Please, Mr. Tuttle, and Mr. Cowan, I apologize for both of you and to both of you and Please, lets... this is not a debate, this is an important thing for both of you, its important for the City... why you just... both of you address yourself to your own proposals... Mr. Tuttle: Thats what I'd like to do, sir. Mayor Ferre: And then lets move along. Mr. Tuttle : Once, again the priorities in my proposal, are the follow- ing; First out of the revenue, first comes the operating expenses, next comes the debt service, next comes the percentage rent, next comes my management fee... oh, excuse me, operating expenses and the 5% for replace- ment and renewal. Mayor Ferre: Its spelled out in page 5. Mr. Tuttle: Then comes the percentage rent to the City, then comes my management fee, then comes the difference, if there is still the sum• of money and if the City has not received $750,000 lets assume for a moment I'll use it again if there is $1,000,000 left after all those payments, but, the City has only received $600,000 through the application of per- centage rent formula. Out of that Million dollars that left, the City will then get the first $150,000 and the $850,000 will be available to be split. Now, thats where the guaranteed percentage rent... the cleverly worded document that they are referring to is the model of contract, word for word, that was included in the bid proposal, which I followed. Did I answer the question Commissioner, because I'm sorry, I don't want to be excited. Mrs. Gordon: Yes, you answered the question... Mr. Tuttle: ... the question properly... once again; operating costs, 5% replacement--- renewal, debt service, percentage rent, management fee, the difference between percentage rent and minimum rent, if there is any and then the fifty, fifty... Mrs. Gordon: In other words the $750 is a guarantee at the tail end, if there is ... Mr. Tuttle: If there is a surplus and you have not received $750,000 by application of the percentage rent... you will receive the difference out of the surplus, before the surplus becomes a matter for division. Mayor Ferre: Very good, Alright, anything else? Mr. Cowan: Yes, we want get into tackling the credibility of the collins- Tuttle agreement, since obviously everybody is getting edgy in times of the essence, I don't think we'll get into staff's charts, because we've kind of rehash them at that. I do not think that they clearly represent what was written in both proposals... if both documents were completely gone over, I think that the recommendations as provided by the staff letter probably... well, in my opinion might not have been the same. But, in closing I would like to say that we have been in tourism all our lives. As a local individual, what ever assets I've accumulated I owe to the City, when I say to the City, I mean South Florida. 90% of my net worth is still located here in the state of Florida and all I'm... I want to close with saying, that regardless of our gets this proposal, I want to see Watson Island built, because of my deep concern with tourist and whats needed with the City. I think that we layed out, what in my estimation would have been the best proposal, but again the final determination is with City and I thank you, for your time. Mayor Ferre: Mr. Tuttle, anything else you want add? Alright, sir, Now, JUN 091977 31 the... are there any questions from the Commission, at. this time? hoes the Manager, want to make any further statements or anybody in staff? If not I think... Rev. Gibson: Wait, let me ask... I'm concerned that the marine people... where are they in this business? Mr. Grassie: There is a person from the marine council here Commissioner, if you'd wish to have... Rev. Gibson: Well, I'd like to see that man up here for the record. See, because that Watson Island, right now houses a very important part of the marine industry, here. At least the people are there... we can't kick them out and if we're going to develop, we ought to make some pro- visions. I'd like to hear your reaction to both proposals. Mr. Graves: Thank you, very much. I'd like to introduce myself. Rev. Gibson: Sir, please. Mr. Graves: "Richard Graves", I'm the Executive Director of the Marine Council. Mr. Mayor and Commissioners, we are very concerned about the matters you are talking about, the reason we have not stepped forward earlier today, is because we're... this mostly has been a matter... it seem to me at any rate, of which is the better proposal, financially for the City and we are not gr'ing to interject our views and so forth, when all of you are capable of that more than we are. We have already addres- sed a letter to Mr. Grassie,... two letters as a matter of fact, concern- ing our very vital interest in several issues that concern us regarding the use of Watson Island. We think that this is a critical piece of land in the City of... in the heart of the metropolitan area of Miami, that should be utilized to the extent that is feasible for marine uses... we think that,.that will be good for tourism, we think that, that will be good for the City, we think that, that would be good for the whole area. Not just the boaters, not just the people who are in the marine industry, but, the entire community and we feel that, when it gets to the point where the... you have selected a developer and the design concept is being gone into detail, that we would like to have as great an imput as we can to make sure that, that concept includes a maximization of use of these facilities for marine purposes and thats really our position. Rev. Gibson: One other question, Mr. Mayor. I never heard before that we were going to do something to that street. What will happen... I'm concerned about what will happen if we do happen to do something to that street. Mr. Fine t It was our discussion with staff and to be finalized in the negotiations, that when the new marine was built, that the right of first refusal would go to the members and the owners of those votes presently being utilized and presently stored on the island. Rev. Gibson: Now, the street... I heard thats now the street. Mr. Graves: Excuse me, sir. Mr. Plummer: I don't understand. Rev. Gibson: That... Mayor Ferre: Oh, you mean the causeway,... : Yes, the causeway. Mayor Ferre: Whats the question? Mr. Fine: Again, Rev. Gibson,... Mayor Ferre: You understand the question? Mr. Fine: Yes, The street? Rev, Gibson: Yes. Mr, Fine; As to what would happen with the Rev, Gibson: Yes, sir, road? JUN 0 194 32 Mr. Fine: The road would be so design, subject to the approval of the City. Everything we're doing today is subject to the approval of the City. The plan will be subject to the approval of the City, the finaliza- tion of who stays and who goes, will be subject to the approval of the City. What we have discussed with staff, was relocating the exsisting people into the new marina and giving them the right of first refusal if they wanted to remain on the island. Mayor Ferre: Alright, further questions? Mr. Plummer: The only other question Mr. Mayor, I think that really should be said or should be asked, is of the staff. Now, I've heard a lot of things here today that were not in any of the documents. You heard the same as I have, is there anything that you have heard here today, that you feel is any different than what you understood from the documents in the meetings with these people? You follow me? Mr. Fine: From... If I understand your question Mr. Plummer, from what we have presented, which is what our understanding of the two documents, have we heard anything_differently today, that would change our mind from what we have presented...our understanding of the documents. Mr. Plummer: Not in just... I'm not limited. Is there anything you heard today, that in any way is a different opinion than you had prior to hearing these things today. Was there anything brought up here today in your opinion, that was new? ... that need further clarification? Mr. Grassie, or anyone... Mr. Grassie: Well, go ahead and answer first and then I'll answer next Commissioner. INAUDIBLE Mr. Grassie: I guess my answer is different, Commissioner,... there is one thing that I think needs further clarification and its that chart right in front of you. I think that we need to understand the assumption behind it and we need to understand what it implies... not today obviously, but, we need to do that in some detail or one of the individuals who pre- pared it. And I would suggest that, thats a necessary step. Mr. Plummer: You mean as part of negotiation? Mr. Grassie: Well, maybe even prior to this. Mr. Plummer: That one point, thats... Mr. Grassie: Well, I would like... you know, before I would make a re- commendation to you, I'd like to know what appears to be on that chart, is the case as you project the specifics of the two statements. Because I have not understood the two proposals to give the results that appears on that chart. Mayor Ferre: Well, there is obviously a contradiction between the two statements. Mr. Grassie: There is obviously a contradiction and I would like to have that analyzed in some detail. Mayor Ferre: Well, thats something that we're going to get to after the will of this Commission is... whats going to happen? Is there anything further that you'd like to add, Mr. Grassie? Any other questions Mr. Grassie? Mr. Grassie: No, sir. Mayor Ferre: You stand for what purpose, Mr. Fine? Mr. Fine: I stand to identify that, that was prepared by Economics Re- search Association... Mayor Ferre: Alright, I think that these... that this information will be part of the record and obviously will have to be looked at. Mr. Grassie: Just so Mr. Fine, understands,.. we're not questioning the paternity of that chart, what I'm saying is... JUN Q 91977, 33 Mayor Ferre: You better be careful, now you're jkcting... Mr, Grassie: You know, what I think, at least from my information, the information that I have from staff does not present from the two proposals, the picture that you showed. I am starting by assuming that, that chart is well done, what I'm saying is that I would like to understand from the proposals, how you arrived at that chart. Mayor Ferre: Mr. Grassie, I'd just like to correct you, that in todays vernacular, you don't talk about paternity or maternity, you talk about parent hood. Mr. Plummer: No, today you can talk about it. Mayor Ferre: Alright, No, are there further questions? If not, I think the appropriate way to do this is we have a recommendation from the Manager and from staff, and therefore, I think I would like to ask if there is a motion, for the acceptance of that recommendation, on the part of the Commission. I think thats the appropriate way of approaching this thing at this point. Is there a motion, for the acceptance of the Manager's, recommendation? Alright, that obviously, leaves us with a second proposal, which is Diplomat World Enterprises. Is there a motion for Diplomat World Enterprises? Mr. Plummer: Mayor, like I've always said, when everything else is down, I'll make the motion. Even though this is not the norm of the way that we handle it, I will accept it, because we're down to two people, so its no big surprise... we normally would have taken and put our choice 1 and choice 2 and... Mayor Ferre: Do it that way, I don't... Mr. Plummer: Its immaterial Mr. Mayor, we're down to two people,'its either A or B. Mayor Ferre: Thats why I think this would be simpler and quicker. Mr. Plummer: 'fir. Mayor, with the clarifications of everything here today and of all the study which I have given to this proposal, there are three things that are very foremost in my mind, as to the presentation of Dilop- mat World... or what ever... D.W.E.; #1. For something I've been criticiz- ed before and it doesn't bother me, not the first bit and I'm sure will be criticized in the future. All things being near equal, I want local people. Thats #1. Mayor Ferre: Local people. Mr. Plummer: Local people, as Father Gibson, has said in the past, they were here before and they'll be here afterwards. Mayor Ferre: We misunderstood, we thought you said local people... you didn't mean that, you meant local people. Mr. Plummer: Thats only people who, well I won't say that... although, that was a good one too. #2. The area of design monies... this was a big thing in my craw, with the formal proposal. As I see it, and on the chart, that I understand fully that it is negotiable. D.W.E., will pay the entire design concept. With both proposals, by the way, as I under- stand it... John anything I say, please correct me if I'm wrong. That the City holds final control. And Mr. Mayor, as you and the rest of this Commission, are fully aware of my great and keen interest. On behalf of the voting public, one proposal does definitely address itself to the entire concept, including the marina. #4. --- Mr. Grassie, please, don't take this as a detrimental to you. But, Mr. Grassie, in seven years that I have sat on this Commission, I have consistently seen beautiful pictures drawn and only half completed. But, somewhere along the line we get a 100%, but, we never get a completed 100%. I like the concept of the en- tire design of the island, rather than piece -meal. The only question that I raised, which I would like to further, but, I'm not going to, because I'm sure thats something, but, its for you to look deeper into, is that both proposals are $45,000,000. But, one proposal includes the marina and the other one does not. Now, I will accept that Mr. Fine's answer, but, I want you to go into it deeper... that, that money is derive, through .,. as he referred to the steam ship. To me it offers the first class tourist attraction, with the marina and the other one does not. And that 34 JUN 0 91977. 1 interest me tremendously, we need without question a tourist attraction of first caliber, that is paramount, but, there is no question e to the need of marina facilities in this community, as we addressed many times in the past. Based on that or the main criteria, I would make the motion, we accept Diplomat World Enterprises as A, and Collins -Tuttle as B. And let me just merely conclude by saying, I think the City should be very pride,.) that what I had somewhat predicted could not be done, has been doA_ati'd that is that we have two of the finest proposals, I think that are a- vailable and I think Mr. Grassie, not you sir, but, staff is to be com- plimented... you for whipping them into line, but, the staff for really doing the hard work. Mayor Ferre: We'll give you some credit too, Joe. Mr. Plummer: I offer that... Mr. Grassie: I can't stand these kind of compliments very often. Mr. Plummer: I offer that sir, in the form of a motion. Mayor Ferre: Alright, is there a second to the motion? Mr. Plummer: You mean I made all of that speech for nothing? Mayor Ferre: Is there a second to the motion, that Diplomatic World Enterprises, be considered #1 and Collins- Tuttle #2? INAUDIBLE Mayor Ferre: Commissioner Reboso, seconded the motion. Now, under dis- cussion, Father Gibson. "ev. Gibson: Thats alright, Mr. Mayor, I had my mind pretty much made up to accept the recommendation of the staff, only because I thought they had some answers there. But. I became a little distressed that I didn't have the same evidence and this kind of bothered me. You know I'm not always the smartest guy... and nor do I see. But, they tell me that a picture is worth a thousand words... and what I see I like and I like the whole thing being done. I have some reservation, you spend $45,000, 000, on that piece of property and then you only go half of it... that bothered me, in making my decision... and I don't know. But, I have to say this... I got some evidence... I didn't have it from the others... and I don't know whether they had the same opportunity and the same chance. Yes, sir?... You want to say someting? Mr. Fine: If I may, the plan that you see before you, "yes", was shown to staff in part of the discussion proposal, it was not a part of the original proposal, per -se. And also, when you speak of marinas or also, where... that a marina activity as a separate activity can return more than 4% gross to the City. We have a current one that is producing some- where in the neighborhood of 10% gross. Mayor Ferre: Alright, any other discussion. Mr. Plummer: Well, you know, that can't go on answering Mr. Mayor. You and I have been doing this marina thing just a little bit too, deeply. Charlie?... you know, lets be fair. And fairness tells us the City has great ideas of building a marina, we've had a great idea of building a marina, right behind this City Hall, but, you know whats held us up?... the money as well as the state permission. to I understand this concept from the papers that you showed me the other day, 311 million dollars will be dedicated money to the marina. Is that correct? Mr. Fine: We've looked at it as somewhere in the neighborhood of $4,000, 000. Mr. Plummer: Alright, what ever your figure was. And thats where in my estimation, the City has always... the money. Thats why we don't get projects completed, we put a dollar amount... inflation eats us up and we never get them finished. Mr. Fine: Let me clarify a point. I'm not talking about City, per -se to do it. But, for City to get a marina operator to build and construct for the City... not the City doing and you can get a better return... lets say better than 4%. By doing it as a separate.,. JUN 0 919774 4 s Mayor Ferre: Alright, are there any other comments before... Mrs. Gordon: Let make a few comments Mr. Mayor. On my observations this morning... which really I came here with a very open mind about the whole thing, I had staff recommendations, I read both reports and I had really no position when I came to this meeting. However, I've heard many things that have had an influence on me and have lead me to... as you know I've been opposed to the whole concept of the developing on Watson Island, in its entirety, you know that and I've said so. But, ... Father be patient... I've listened today, to a presentation thats exciting... I'm really excited about it, even though I still have some fears about traffic that might be a problem for the causeway and hopeful that the re-routing and the imaginative use of the road... that road that will be leading into the development might eliminate some of those concerns that I have. I also, am pleased as I can be about this marine development on the north side, because it had been my hope that the en- tire island would be a marine centered area and I think by doing it this way we've got the best of two worlds... we've got a large percentage of marine involvement, we also, have other attractions. So, I'm very much opposed to the concept of a hotel on public land and would be oppose to that at any time and so, therefore, these... this proposal does not even have room for any hotel development. So, that takes care of that. Again the local developer is an important part of my consideration...its always has been and I've indicated that in many votes that I have made on dif- ferent subjects, on this commission level. I'm not taking anything away from the out of towner who has, tremendous track record all over the world and... but, never -the -less, with all things being equal, the home boy gets my confidence first, because I know, I've lived in the community with those people for a long time and I can look at many successful ven- tures that have been put together in this community, which add to the benefits that the and the county are receiving right now. So, with all these things and with the fact that the... one of my objections was that, the City would have to put forth $100,000, toward a initial planning ven- ture, was objectionable to me. I found that very objectionable... thats why I mentioned it in my initial presentation that I was given of it, by Mr. Tuttle. I find that... and I did not discuss it with Mr. Fine, when he showed me his presentation. Because, he already had it in there and I saw Mr. Tuttle, first and I had read both proposals. So, here a- gain I didn't twist anybody's arms to not include that initial investment to the City's expense and yet, here we have it, its part of their report. So, everything taken into consideration, I'm going to go with the motion. Mayor Ferre: Any further discussion? Well, I have some comments that I have written here, that I'd like to put into the record and I would like consideration to be given to these things and final vote. First place I want to say that it is the intent of this City Commission, as I under- stand it and as I perceive it, that we not end up with a Corny Island on Watson Island. We did not want a Corny Island. We have been using the concept of Tivoli, all along because we want to express the image, that we're not going to have neon signs and lot of rides and that type of a thing, without taking into account a vegetated, well design, pleasing esthetics location. This piece of property in my personal opinion, is without any question the single best, most beautiful piece of property in Florida. Its at the entrance to Miami, its at the end of the sea channel, its the beginning of biscayne bay, from there it opens out... its an ex- citing location and I would hope that as was made... the statement that Mr. Fine, made, that... and Mr. Tuttle, that they would be respected for the location and respected for the natural attribution of the island... that would imply, that what ever you design here, would take that water and the location into account. That you're not going to put a wall ten feet high around it and that once you get inside the amusement park, that it would not... the theme park... that it would not... you could just as easily be in Chicago, or Cincinnati or Cleveland or Los Angeles or in the middle of Texas. I would hope that you would take the design concept of the location into account. #2. I think the question of a hotel... and I'm against a hotel, but, just for the record... I'm against the hotel in this location. Just so that we don't box ourselves in, in the future, in other properties. I might point out that the City has, for example, very successfully put restaurants in public property, when they are for the public good and I think... not for this case, but, for future situations that we need to leave ourselves flexible in that, because we might find ourselves in a situation someday, some place, where a hotel might make sense on public property and I wouldn't want to preclude that. Again, not in this location, #3, The thing that really concerns me the most, are two things, first of all the economics of it. I think that we have JUN 0 91977., to... before we start retributing 20% or 80% or 50%. I think its im- -important that we try to lower the debt. So, therefore, I would like an negotiation package, Mr. Manager, for you to discuss with Diplomat World, the concept of... first of all reducing the debt as quickly as possible... before we go into the distribution of any monies. Then re- garding the economics, the only thing that concerns me... I accept Mr. Fine and his associates, concept that in the lower end of this thing its a fairly equal type of a distribution and as a matter of fact, it looks like Diplomat World, at the lower end is probably more... its better for the City. I think once and I would agree that its highly unlikely that we would have more than five million people. But, we're talking about a concept that maybe with us for sixty years, they we're negotiat- ing this and we don't know what the future is going to hold and it seems to me, that at the higher end we really should have something that should fifteen or twenty or thirty years from now, because of inflation, because tickets might be more, but, the income might be higher, that we really should try to protect ourselves and get a little bit better than a 20%... at the very high levels. Now, #4, I am concerned about the design and the City's control over the design. After all, the City of Miami is go- ing to put up $20,000,000 and is putting up this unique piece of property. And therefore, I think its essential that in your negotiations, that the City have firm control... based from an approval point of view of the de- sign. I recognized that the investor, obviously, does not want to come up in a revenue bond with $25,000,000 unless they know its going to be successful and obviously, we cannot have another Bicentennial New World Center Park... a pasture type of a park here, because thats not going to be able to payoff the debt, on the other hand I think we've got to balance this thing out, so that it is... that it does not become a Corny Island. I think thats an important part of it. Now, lastly #5, on the aspects of the Marina. I think there was a point stated here that the formula for the Marina Revenue, perhaps should be different than the for- mula for the Theme Park. And I would like to include that as part of the negotiating a-pects of it, that the development of the Marina and the pay back in the formula income... perhaps be studied somewhat to see what kind of a direction we could make on that. Now, in regards to Marinas, I'm concern... v7e do have two Marinas there, one is the Out Board Club and the other one is the Miami Yacht Club. I notice in the Herald story by Gail , that reporting on the Dade County Marina Counsel Endorse- ment of the concept, they specifically refer to the expansion of the pre- sent yacht clubs... Miami Yacht and the Out Board, including the train- ing and education program for the public. I think its great to end up with 400 additional slips. I think that we have to take into account,that the City has a certain responsibility to the marine world and to the marine aspects, that we not end up with rentals at such a high level, that what in effect we're going to do is eliminate these two small clubs... you got to remember that these two clubs are made up of small, middle class, work- ing people who can not afford to pay what the large luxurious marinas pay. And I think that some where in the scheme of things in your negotiation... we've got to have some type of protection in the area for the small user... the guy who works all day and happen to have a 18 foot boat that he main- tains to great expense because he loves it and I think we ought to have some consideration somewhere in these negotiations for that type of boating activity on Watson Island. And lastly the Good Year Blimp. We've heard discussion that Good Year is not going to leave... they're going to be in Miami. I personally don't think you're going to be able to fit the Good Year Blimp into this project, because there is just no room. I think we've got to be very careful that what ever we do, that we keep Good Year here and we satisfy them with a good location for the Good Year Blimp to be... perhaps we might be able to do it in Virginia Key or some place that... where there is ample room. I think that should be a very important part, not of their consideration but of your consideration in solving these problems. Now, does anybody have any objections to including those five points into your motion? Mr. Plummer: I have no objections. Mayor Ferre: Do you have any objections, Mr. Seconder, to include those five points? Alright, with that in mind then I'm ready to vote. Is there any... Mr. Plummer: Mr. Mayor, I just want to interject, because this is merely sending it to the Manager for negotiations. To both proposals, I want to reiterate one thing that the Mayor has said. And I'm only speaking as one out of five votes. I am greatly concerned in the concept of this proposal. I will not accept anything, except the highest degree of an attraction. JUN 0 91977. 37 • ..--t Will not under any circumstances, be agreeable to a ___ amuse - tent type of park, and I merely made that mention of it now, because un- der the proposals as I read them and understood from staff, we hold final approval. And what I'm really saying to both proposals is, that you better in my estimation, consult this Commission as you go along, so that you don't come up at the end with a concept and spent $200,000 and this Com- mission tell you no. So, all I'm saying to you is... speaking for one I have intentionally avoided the terminology amusement park and used the terminology a first class tourist attraction.... theme park if you will, but I didn't by accident use that terminology, so... Mayor Ferre: I'll tell you on that point, I think its important for those of yoo that will be designing this... this is not the wild west, you know, so we don't... I hope you avoid having that type of a cowboy... you know... we have a natural historic aspect of Florida. Old Florida, the Key West aspect of it, the Carribean aspect of it... we are the gate way to the amexicas... I hope that you and your design will make this unique, so that it reflects :the history... the past and the future of our community. Al- right, any further discussion? If not, call the roll. The following motion was introduced by Commissioner Plummer who moved°its adoption: MOTION NO. 77-463 A MOTION AUTHORIZING AND DIRECTING THE CITY MANAGER TO NEGOTIATE AN AGREEMENT FOR THE DEVELOPMENT OF WATSON ISLAND WITH FIRMS RANK- ED IN THE FOLLOWING ORDER: a) DIPLOMAT WORLD ENTERPRISES, LTD., or b) COLLINS-TUTTLE, INC., ENCOMPASSING THE FOLLOWING GUIDELINES TO BE USED BY THE ADMINISTRA- TION IN THE NEGOTIATION PROCESS: 1. THAT THE UNIQUE LOCATION OF WASTON ISLAND BE RESPECTED, i.e., DESIGN AND DEVELOP A THEME PARK UNIQUELY REFLECT- ING MIAMI AS A GATE -WAY TO LATIN AMERICA, ITS WATER -ORIENT- ED POSITION AND ITS HISTORY; 2. THAT NO CONSIDERATION BE GIVEN TO THE DEVELOPMENT OF A HOTEL ON THIS PARTICULAR SITE; 3. TO DISCUSS THE CONCEPT OF LOWERING THE DEBT AS QUICKLY AS POSSIBLE PRIOR TO DISTRIBUTION OF ANY MONIES; 4. ATTEMPT TO NEGOTIATE AND INCREASE THE 80/20 SPLIT FOR FU- TURE HIGH LEVELS; 5. THAT THE CITY OF MIAMI IS TO MAINTAIN CONTROL OVER THE DESIGN PROCESS AND THAT SAME SHALL BE SUBJECT TO CITY COMMISSION APPROVAL; 6. THAT THE FORMULA FOR PAY -BACK AND INCOME FOR THE DEVELOP- MENT OF THE MARINA PORTION BE DIFFERENT THAN THE FORMULA DEVELOPED FOR PAY -BACK AND INCOME ON THE THEME PARK PORTION; 7. THAT CONSIDERATION OF THE SMALL BOAT -TYPE ACTIVITY ON WATSON ISLAND BE INCLUDED IN THE NEGOTIATION PROCESS; and 8. THAT CONSIDERATION BE GIVEN TO A SUITABLE AND CONVENIENT LOCATION FOR THE GOOD YEAR BLIMP TO INSURE ITS STAY IN THE CITY OF MIAMI. Upon being seconded by Commissioner Reboso, the motion was passed and adopted by the following vote: AYES: Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor Theodore Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. Mr. Plummer:. Now, the next question. Mayor Ferre: Ladies and gentleman, thank you, very much for your patience... Mr. Plummer: Wait a minute , Mr, Grassie, we have now sent to hear back from you as to a 30 days, 60 days. Mr, Grassie; Let ne voice an I think its something we all should hear. our recommendations you, when do we expect final negotiation? Within what time frame? assumption with regards to -the negotiations, 38 JUN 091977, And I -think that it is important for all present to be on the same wave lihk'with regard to what you intend. My assumption is, that the proposal it you have heard, is a zero ground... its a being point for the dis- cessions that we are going to have and that in fact there will be modifi- cations in those proposals as they come back to you. And hopefully we're talking about improvements. Now, assuming that we all work at this diligently ... is 30 days... 30 working days reasonable from your Point of view? Then I would say 30 working iq the time that we're going to shoot for. Mr. Plummer: So, the point I'm trying to get at is, that we hopefully... Mr. Grassie: ...? Mr. Plummer: The last meeting in July, because we're going in August. And I think from what I have heard by everyone. is, lets get moving... that we didn't want to delay the month of August... that we would definitely like something done before we go on vacation at the end of July. Mayor Ferre: Alright, further discussion on this? klriyti`t, thank you, very much ladies and gentleman for your patience. And Mr. 'Tuttle, to you sir, and specially your group... our appreci:.tion for yotr interest and your involvement. 3. PEES AL APPEARANCE: ERNIE FANNATO REGARDING PJLPHINS' USE OF THE MANGE BOWS.. Mayor Ferre: You want to be heard on "E". Alright, Ernie if you'll make it quick we'll listen to you, so that you won't have to come back this afternoon and then hopefully we'll adjourn, and we'll pick up the Items C, D, and E, in the afternoon. Mr. Grassie: You want us to order... Mayor Ferre: Well, let me ask... let me pull the Commission on this. Al has his big celebration today... unfortunately its up at the Jockey Club, which is a half hour ride. I told Mr. we'd try to make it, but I thought it was going to be just impossible for us to get up there because its Commission day and we've got to back in session at 2, and just driving time will take 45 minutes or 50 minutes to get up and back. Now, does anybody intend to go to lunbh? Mrs. Gordon: I can't Maurice. Mayor Ferre: You can't. Can you? are you going to go J. Mr. Plummer: This is the first I know about. Mayor Ferre: Alright. Yea, I think what I'll•do, is I'm going to ask Frank... Alright, now Ernie, we'll listen to you and then we'll adjourn. Mr. Fannotto: Mayor Ferre: Mr. Fannotto: Honorable Mayor, men of the Commission... First of all Ernie, before you... Yes? L. ? Mayor Ferre: Before you speak... I wonder... you and I in ten years have maybe disagreed in maybe two things, we disagreed on whether or not to put that Orange Bowl thing on the ballot and I'm... excuse me for telling you in public, but you were wrong and I was right. Mr. Fannotto: Oh, Mayor, let me tell you about that, let me just answer you fast on that. That was not the war, thats only a drill, because the real war is going to come up in November, when you vote on the box. But, anyway "Ernie Fannotto", is my name and I'm president of the Tax Payers League Miami -Dade County. I just like to discuss the Orange Bowl... spending for $15,000,000, in the Orange Bowl. You know, I don't mind spending money for the Dolphins, I always said they are an important factor in this com- munity, they give us a lot of advertising and they give a lot of people business... hotels, motels,.. but I do want to do business in a business like manner. If you're going to spend $15,000,000, and the Dolphins only 39 JUN 091977, • have a three year contract and you're going to have $20,000,000, bond issue... t mean $15,000,000, bond issue osier a period of years... Mayor Ferre: Mt. Grassie, why don't you join us here and then later on we Could do... lets finish here... we'll let you go on television just for a little while. Mr. Fannotto: In plain words what I'm saying is, what is the point of spending $15,000,000, on the Orange Bowl, if Mr. Robbie, is going to leave in three years, who's going to pay for it? Mr. Plummer: Ernie, do you really believe there is a... Mr. Fannotto: Say, wait a minute, you got fooled... yourself, didn't you Plummer?... before with Mr.... all come on. You know what you cause the City when you got fooled?... plenty. Listen, a verbal agreement is no good, you've got to have a written agreement with Mr. Robbie. Mr. Plummer: Would you like to see it Ernie? Mr. Fannotto: What? Where is it? Mr. Plummer: Since you said I got fooled... this fool read the agreement. Mr. Fannotto: You remember when you took Mr. Robbie's agreement?... If you remember Rev. Gibson, speak up Mr. Reverend... talk up a little bit, just go ahead Reverend... lets go, wait a minute, lets let the Reverend speak a little bit. Rev. Gibson: Thats right, I want to agree with you. Mr. Plummer: Ask me, you said I got fooled, not the Reverend. Mr. Fannotto: Yes, you did get fooled, you fooled... and the public got fooled, too. Rev. Gibson: Right, I was for putting it to him, I was the one guy that stood out to put it to him and everybody thought I was a 'SOB". Mr. Fannotto: I commend you. Rev. Gibson: And I came up and you found out that I wasn't and I still am not. Mr. Plummer: ...? Mr. Fannotto: No, it just goes to show you, if you're aoina to do busi- ness, you have to have written agreements. Rev. Gibson: Right. Mr. Fannotto: Thats what I mean by this here. Where is the written agree- ment, that Mr. Robbie, is going to stay here for ten years? Mr. Plummer: There is none. Mr. Fannotto: I... then why do you want to spend $15,000,000, of tax payers money, if he is going to leave in three years and maybe go in the other county? I ask you that, why do you want to spend $15,000,000,... and you won't have anybody to plan the Orange Bowl. Mr. Plummer: Can I answer it for you? Mr. Fannotto: Yes. Mr. Plummer: And not argument it. Mr. Fannotto: No, go ahead. Mr. Plummer: No argument it,,, but, you're asking my opinion, which 2'n' entitled to. Mr. Fannotto; Yes Sir, Mr. Plummer: There is no way in god green earth', that Mr. Robbie, is JUN 091977, 40 IT 411 going to do anything to move from that Orange Bowl., period, linen, Mr, Fannotto: Mr. Plummer, I told you before.,, Mr, Plummer: He asked my opinion and I gave my opinion. Mr. Fannotto: Wait a minute, Mr. Plummer, you got fooled in a verbal agreement and Rev. Gibson, knows it, now you want to do the same thing.,. we got $15,000,000, of the tax payers money and we should have a written agreement he's going to be there ten years in writing, before you spend $15,000,000. I'm going to tell you this, if you fellows were directors of a bank and you pledged $15,000,000, without any security, everyone of you would be fired. Mayor Ferre: Alright,... Mr. Fannotto: And you have a responsibility to the tax payers, don't spend $15,000,000, unless you have a written agreement where you're going to have so much revenue to pay off the bond. Mayor Ferre: Ernie, I think that you're right this time, I disagreed with you last time... I think you're right... I think that there is no way we can spend $15,000,000, without having a major user, but, we're not at that point, we're not crossing that bridge--- what you're saying is make the decision now and I guess what we're saying is, we'll make the decision when we get to the bridge. Ok, we've got between now and November to worry abcut it. This may not go on the ballot in November, I don't know, we'll have to see. Now, I think that it will, but, I think we have to discuss... Mr. Fannotto: I say this... Mayor Ferre: I think... did you read between the lines, between now and November I'm sure Mr. Robbie, is going to be doing a lot of thinking and I hope some serious negotiation. Alright, you get the picture. Mr. Fannotto: Well, if he comes up with a written contract... Mayor Ferre: Thats right. Mr. Fannotto: ---where the tax payers won't suffer a financial loss,... Mayor Ferre: Yea. Mr. Fannotto: ---I'll go along with it. And maybe he should give it a 25 a head on these seats,... Mr. Plummer: Wait a minute,...credit me personally, go ahead. Mr. Fannotto: ---so as to go on and get the tax payers out of debt on that. But, Mayor Ferre: Ernie, we got a long way to go between now and then and there is going to be a lot of water under the bridge, so just be patient and just assume that this is not a foolish Commission, that we're not going to Vote... Mr. Fannotto: As far as this vote's concern, this hasn't been anything. There was nothing at stake for the tax payers, it wasn't binding. Mayor Ferre: Alright. Mr. Plummer: Mr. Fannotto? Mr. Fannotto: It will be bind in November. Mr. Plummer: May this fool educate you? Are you familiar with page five of the proposed agreement, Section 3, Article D? Mr. Fannotto: Mr. Plummer: Are you familiar with it? Mr. Fannotto: No I don't... I maybe... Mr. Plummer; Ok, then Mr. Fannotto, the fool is not Plummer, because only a man who is half informed is dangerous and obviously, you're not informed at all, JUN 0 9 1977. 41 IR Mr. Fannotto: Give me the.,, Mr, Plummer: And let me tell you what it says, for your edification,.,. for your edification, that which I just quoted you, sir,,, clearly states that no improvements,,,major improvements which this is, will be done without renegotiating with the Miami Dolphins, for a better deal than what is in this proposal. Amen, Mayor Pierre: Mr. Fannotto? Mr. Fannotto: Well, I'm going to answer you Mr. Plummer, Mayor Ferre: No, now Mr. Fannotto,,, Mr. Fannotto: Let me answer Mr. Plummer, now, if I don't mind, You know, negotiate then one thing and negotiating in writing is another thing, thats what you didn'tdo before, if you had did it before you wouldn't have got in trouble, like Rev. Gibson, says. You know, I remember how much you caused the City in that deal, you've been a good Commissioner though Plummer, I'll give you credit, but you lost the City a lot of money that time, be- cause we didn't have a written agreement. Mr, Plummer: The rest of you be fools and you'll be a good Commission. Mr. Fannotto: No, no, listen Rev. Gibson, knows, he was the one who spoke up. Mayor Ferre: Alright, Ernie, thanks for your opinion and we'll be back at 2 O'Clock.• ACCEPT SEAIEU BIDS - COuxIBIA SANITARY SEWER Iti'Rov isJTS SR 5420 (C) P D (S) . Mayor Ferre: Alright, ladies and gentleman, our apologies... we broke up a little bit later than usual and so, we're behind schedule. We're going to get the open bids now... Father Gibson, moves... Rose Gordon, seconds, that the bids on the 2 O'clock agenda be opened. These are sealed bids for construction of Columbia Sanitary Sewer Improvements SF.-5420, C. This being the date and time advertised for receiving sealed bids for, the Mayor announced that the City Commission was now ready to receive seal- ed bids: The following motion was introduced by Vice -Mayor Gibson, who moved its adoption: MOTION NO. 77-464 A MOTION TO RECEIVE, OPEN, READ AND REFER TO THE CITY MANAGER FOR TABULATION AND REPORT BIDS AUTHORIZED TO BE RECEIVED THIS DATE FOR: (Here follows body of motion, omitted here and on file in the Office of the City Clerk) Upon being seconded by Commissioner Gordon, the motion and adopted by the following vote: AYES: Commissioner Manolo Reboso Commissioner J. L. Plummer Commissioner Rose Gordon Vice -Mayor Theodore Gibson Mayor Maurice A. Ferre NOES: None. BIDS WERE RECEIVED FROM THE FOLLOWING FIRMS: Intercounty Construction Corp. Bac Construction, Inc. Paul N, Howard Company Sullivan Long & Hagerty Southeast Underground Const,, Inc, was passed Iacobelli Construction, Inc. Goodwin, Inc. Chas, F. Smith & Son, Inc. Anzac Contractors, Inc, 42 JIM 0 9 197b PP EiffATIl , P1P ES AIM SPECIAL f l8'u6 Presentatioh bf Black _Intie City i gh__g o01 At fete s bay proclamation to Mr. Nathaniel Spooky-" Miller, Sports Director, WEDR Radio Station and Ms. Dee Alexander, Community Service Director, WEDR Radio. B) Presentation of plagues to all members of the Child Care Executive Committee for their hours of of Miami without remuneration. Anne Wilson, Chairperson Dr. Alma David, Co -Chairperson Maria Allen Pernella V. Burke Dr. Jo Crown Maria Hernandez Wanda Slayton Ruth Wasky Helen Weinstock C) Presentation of We Are America Day proclamation to Mr. Dan Engel. D) Presentation of Central Presbyterian Church proclamation to Rev. W. Robert Polland and Mrs. Gladys Baker. Presentation of a Commendation to Mr. Angus Smith, in appreciation of hos many years of service with the Downtown Development Authority and with our best wishes on h s new position as Executive Director of the Orlando Central City Neighborhood Development Board. Presentation of a Certificate of Appreciation to Mr. Carlos S. Villagra for his efforts to increase tourism and understanding between the citizens of the City of Miami and South America in his position as promotion director for a major airlines. Presentation to the City of Miami of a bowling trophy won by the team of the City. Mr. Tom Johnson will make the presentation. Presentation of plaques to Fire Department personnel upon their retirement: Chief Fire Officer Christ A. Anderson - 26 years Fire Captain Jimmie C. Conner - 37 years Fire Lieutenant Donald T. Fortune - 25 years Fire Fighter. Edmunc R. Cathels - 26 years Fire Fighter Joel C. Lossing - 26 years Fire Fighter John R. Cisco - 25 years Fire Fighter Jack M. Starr - 25 years Presentation of Miami Swordfish Tournament Week proclamation to Mr. Bill Ward, Co -Director of said event. service to the City SECOND READING ORDINANCE: AMEND MIAMI CITY GENERAL EMPLOYEES RETIREMENT PLAN - DELETE REQUIREME T OF La INTEREST PAY- MENT (LABORERS, WATCM1EN OR CUSTODIAL WORKE2S),ETC. Mayor Ferre: Alright, take up Item #4. Mr, Grassie: Item #4, Mr. Mayor, is a second reading on a ordinance change that you had seen the last time. At that time we indicated to you that we would probably want to provide for some additional latitude for the people that would be covered by that provision of a waiver of interest, And we would like to suggest that to you now, that is that the ordinance be changed as Mr. , memorandum suggests, so that we would insert in it the phase of such payments to be completed prior to retirement. What this does, is it allows the employees who were not able to join the system before, to have as long as possible in order to make the repayment and of- Aq JUN 0a1,97 ig doutse you know that this otaihande dhahtje is w-..11 Vihg the 4 ihtere§t, so there would be ho interest oh those repayMehts. mid we'd like to tedOM,,, Mend that we do that, tteV. Gibson: Mayor Perre: I move. Alright... Mrs. Gordon: We're not removing anything that we passed, we're just add- ing to it ah additional tiMe. Is that correct/ Mr. Grassie: Mrs. Gordon: Mr, Grassiet Mrs. Gordon: We are liberalizing it in the... to the benefit of... ---of the employee... --- the individuals coveted. I second the motion. Mayor Ferre: Moved by Gibson, second by Oordo1-i,.. further discuasion on item 2? Read the ordinance. AN ORDINANCE ENTITLED - AN ORDINANCE AMENDING THE MIAMI CITY GENERAL EMPLOYEES' RETIREMENT PLAN (ORDINANCE NO. 5624, MAY 2, 1956, AS AMENDED): AS APPEARING IN CODIFICATION FORM AS PART OF CHAPTER 2 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, 1957, AS AMENDED, BY DELETING THE REQUIREMENT OF THE 4% INTEREST PAYMENT ON THE PART OF CERTAIN EMPLOYEES EXERCISING THEIR ELIGIBILITY TO BUY BACK CREDITABLE SERVICE IN THE PLAN FOR THE PERIOD OF NON -MEMBERSHIP COVERED UNDER ORDINANCE NO. 8568 WHICH CREATED ELIGIBIL- ITY FOR PRESENT MEMBERS OF THE PLAN WHO WERE EMPLOYED AS LABORERS, WATCHMEN OR CUSTODIAL WORKERS BETWEEN APRIL 1, 1955, AND SEPTEMBER 30, 1962, AND WHO WERE DENIED MEM- BERSHIP STATUS IN THIS TIME PERIOD; REPEALING ALL ORDINANCES, CODE SECTIONS OR PARTS THEREOF IN CONFLICT, INSOFAR AS THEY ARE IN CONFLICT; CONTAINING A SEVERA- BILITY PROVISION. Passed on its first reading by title at the meeting of April 14, 1977, was taken up for its second and final reading by title and adoption. On motion of Vice -Mayor Gibson, seconded by Commissioner Gordon, the Ordinance was thereupon given its second and final reading by title and passed and adopted by the following vote: AYES: Vice -Mayor Theodore Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Mayor Maurice A. Ferre NOES: None. ABSENT: None. THE ORDINANCE WAS DESIGNATED ORDINANCE NO. 8659. The City Attorney read the ordinance into the public record and announced that copies were available to the members of the City Commission and to the public. 7, APPROVE PROPOSAL - LIMITED TECHNICAL STUDY OF THE CITY'S COMMUNICATIONS SYSTIBMS. Mayor Ferre: Take up item #13, and Associates, for $28,488 for cityls Communications Systems. and J, L. Plummer. approving the proposal of Sachs/Freeman conducting a Limited Technical Study of the This is recommended by the City Manager Mr, Plummer: Wait a minute, item what? 13. Mayor 'etre: Mt, PlunMet, moves, Mt, PlU tMer: I did? Let me hear front Mrs �...� Who's ._ irect1 y volved, from the d.epartitent, Mt, Grassie? Mt, Grassie: Commissioner, by way of reminder, this itnpletitehts the dew cision that you took about a Month or five weeks ago, Mr, Plummer: I remember. Mr. Grassie: In which you approve generally the plan.,, Mr. Plummer: Mr. Grassie, what I'm speaking to.,, Ism sorry l should have clarified it. Was this a proposal that was put otit to a number of people? Mr. Grassie: Yes sir, this was put out to six different consulting firms, that responded and four additional ones that did not respond, A total of ten firms and the staff have selected this one for your consideration. Mr. Plummer: I'll move it, Mayor Ferre: Plummer moves,,,, Mrs. Gordon: Seconded. Mayor Ferre: Gordon seconds.' roll. PUrther; discussion 13? Cali the The following resolution was introduced by Commissioner Plummer, who moved its adoption: RESOLUTION NO. 77-465 A RESOLUTION APPROVING THE PROPOSAL OF SACHS/FREEMAN ASSOCIATES, INC. IN THE AMOUNT OF $28,488 FOR CONDUCTING A LIMITED TECHNICAL STUDY OF THE CITY'S COMMUNICATIONS SYSTEM; EQUALLY ALLOCATING FUNDS THEREFOR FROM THE POLICE HEAD- QUARTERS CRIME PREVENTION FACILITY BOND FUND AND THE FIRE FIGHTING, FIRE PREVENTION AND RESCUE FACILITIES BOND FUND; AND AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH SACHS/FREEMAN ASSOCIATES, INC. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Gordon, the resolution was pas- sed and adopted by the following vote - AYES: Commissioner J. L. Plummer Vice -Mayor Theodore Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: none. ABSENT: Commissioner Manolo Reboso • NsIbERAfiioN OF EXISTING PLANNil AREA DEVELOPMENT (PAD) 21 UNI1`t 3495 MAIN HIGHWAY (ABITARE) i Mayor Ferre: Take up item No. 15, a tesolution tequesting consideration of change of existing P.A.D. Has that been withdrawn? Mt. Grimm: Mr. Mayor, I just passed out a request from the Applicant for withdrawal of this item. Mayor Ferre: The Applicant has withdrawn his request. Mr. Simonhoff, you are raising your hand, would you? Mr. Simonhoff: Mr. Mayor, members of the Commission, my name is Mike Simonhoff, of 3503 Main Highway, it is immediately adjacent to this parti- cular property and it was my understanding that the City was the one that required that this come back before the Commission because of certain dis- crepancies and violations and not the Applicant, the developer, and I would like to have a ruling on that because if there was any question in the past I would have gone..I would have ask that they come before the Commission in another way or have the State of Florida do it. Mayor Ferre: Mr. Grassie, would you answer the question? Mr. Grassie: I'm sorry Sir, Commissioner Plummer was asking me a question. Mr. Grimm: That is a very difficult question to answer with a finite type of just yes or no. Yes we did request that the Applicant resubmit his ap- plication because the plans which the City has permitted were different from those of the P.A.D. application. He has subsequently stated to us and is in the process of revising his plans to conform to the P.A.D. application so as a consequence re -application is not, at this date, necessary; in other words, if he were going to build according to the approved plans then this would be necessary, if he revises his plans to build according to the P.A.D. applica- tion, it's academic. Rev. Gibson: I'm sorry, the reason I ask this...I remember this particular project very distinctly and it's a very peculiar thing; I don't understand how a building permit was issued if the man did not conform with the stipula- tions in.... Mr. Grimm: You want my simple answer to that, Father? Rev. Gibson: If you have a simple one I would like to hear it. Mr. Grimm: The simple answer is we shouldn't have ever granted the P.A.D. application the way it was permitted because we have laws that would not allow us to build it that way. We have laws 011 the books which require that we fill land south of Rickenbacker Causeway to a minimu elevation of plus 6. The original P.A.D. application was to be build to natural grade which did not comply with that minimum elevation. I can't give you something that, you know, says this is right and this is wrong. The review I have made of this is that we should have never approved that P.A.D. application, now what the Build- ing Department did was approve a set of plans which required the developers to comply with minimum Federal Flood elevation. Now the question then comes up as to how do you get there?..Do you build that building let's say on stilts or do you fill the land? That then becomes a matter of professional judgment but since this was subject to review by several different agencies and since the plans as permitted were not the same as presented at the P.A.D. we felt that this clarification was necessary. Now what I'm telling you is that the developer is withdrawing that and is going to redesign his project to comply, so at this date in time, it's academic. Mr. Plummer: This time that we, the City, where a mistake has been made are better off with having him re -design and comply with the new Code. Mr. Grimm; Yes, .Sir. ae JUN 9 1977 Rev. Gibson: And let me ask, are those people,...because you know„ I know Coconut Grove... Mt, Grimm: All of the people who ate involved in this project ate here in this room right now. Rev. Gibson: Well, the point I make is do the people who agree willingly and those who object..have they been notified?..that you have changed and that we ate going to go through it again; I mean, you know, I know how Coconut Grove is. Mr. rlummer: Father, you are not going to go through it again, as I under- stand tt. If he complies there will be nothing to go through again, is there? Mr. Grimm: That's right, if he complies with the P.A.D. application as originally presented, there is nothing more to go through. Mrs. Gordon: Mr. Simonhoff, would you clarify some things for me, please?... regarding that entire situation?... Mr. Simonhoff: Yes. It really is not quite as simple as Mr. Grimm is stating. First of all, this is an R-1 PAD. The working drawings that were submitted for permit to the City indicate certain parts of some buildings over 40 feet and 4 stories. R-1 indicates that the restriction on height are 35 feet or 2-1/2 stories. That, in conjunction with the eleven feet of fill required out at the shore on Biscayne Bay with a 13-1/2 bulkhead compounds this.... it's really not simple enough to just say --the developersare going to go ahead and re -submit plans....They are under construction now!, and one of those buildings that is going up to 40 feet or over 40 feet is under construction, and that's right next to me and I feel that this Commission is being made fools' of by having any developer come before you, say some- thing and then go back to the City's Building Department and get a permit on something else, and I'm an affected property owner and I'm here today personally along with a number of other people to ask this Commission to re- voke that permit and to have the developers then come back with the proper things under an R-1 PAD. This thing is under construction right now. Mrs. Gordon: I agree, I think it's incredible if that is the case. Mr. Grimm, how could we have allowed that to happen? Mr. Grimm: Well, you have an opinion stated by Mr. Simonhoff.... Mrs. Gordon: No, I heard a fact, that it is a 40-foot building, is that an opinion or a fact? Mr. Grimm: You heard a fact of opinion, Mrs. Gordon, Mr. Solomon is here, who is the Director of the Building Department and he can adequately explain to you why he issued a permit for the height of that building. Mr. Solomon: My name is Gerardo Solomon, I'm the Building Director of the City of Miami. The elevation zero, which we consider the elevation of that group, should be taken to consider the height of the buildings...is an average elevation between Main Street and the bulkhead. Main Street at this point is plus 20 more or less, the bulkhead is plus 3, so the average elevation is.... excuse me, plus 6, so the average elevation would be plus 13, so 13 is the zero elevation at which we start considering the elevation of any building that is to be built in that lot. Mr. Simonhoff has stated that it has 4 stories, that is incorrect. Mr. Simonhoff is considering the story a flat roof that's used as a deck for sunbathing or whatever they want to do with it. It is considered as a fourth story the mechanical equipment which is the elevator box and the stairs going to that floor which is incorrect. As long as this area is not more than 10% of the whole, this area is not considered as a built area, it is considered as an accesory use to the area which is not considered as part of the height, so the height is to the flat roof which is 261 feet from the first floor or elevation 13, so I think that Mr. Simonhoff is completely wrong in his appreciation and he is accusing the Building Department without knowing too well the building code. Mr. Simonhoff: Axe the plans here? Mr. Solomon: Yes, here they are, 47 JUN 9 1977 Mt, Simonhoff: I would like to show them to the Mayor and to Commissioner Reboso. They are involved in consttuction and I'd like to point out... Mt: Solomon: This is the approved Master Plan that I'm showing now to you Mr: Reboso. This is plus 11...that's what we approved,...this is plus 13, the minimum elevation that a land can go is plus 6. But this means...it does not mean that it can go over the minimum, so when we approve we approve a legal thing. It's always the minimum. His wall is plus 13.6, he can go according to the zoning in an R-1 area, 8 foot of established elevation. The established elevation is plus 6, 8 feet is plus 14, so 131 feet is under the established elevation that he can go with the wall, so that is legal too. Now, the floors. This is one level...or level one, excuse me, let me start at the beginning. We are talking about a group of three units, the center being higher the two lateral being lower, let me show you. This is the second level, this is the third level,...and this is the so called fourth level. As you may see, here we've got the stairs going to the roof, here you have the elevator and the mechanical equipment room; this is well established that this is not counted as another floor.... Mr. Simonhoff:People show up in that area,..and they stand up on the fourth level, pedestrian traffic is up on that level. Mr. Solomon: What pedestrian traffic?... Mr. Simonhoff:The people that are in there, that's not the principle of the intent of R-1. If you look at the elevations and the dimensions on the eleva- tion I think you'll see the...what I'm talking about. Mr. Solomon: Now we go to that. Okay, here is the section that Mr. Simonhoff is worried about. Here we've got the floors, here is the elevation of that I call it a deck, it's a flat roof, here is the stairs, and back of the stairs is the elevator space with the mechanical equipment. What he had is..as an artistic thing if you want to call it that way. Let me go to the floor plan. We've got an entire roof here and an entire roof there and the area that he is so using(the blue area here) as a deck. 'there is no roof it's only a deck, that's not considered as a floor. Now, ... Mr. Simonhofff: That's a usuable space, if I came to this City and I wanted to design a house in an R-1 area and I came to this Commission and I asked you to do it, you wouldn't let me do it; it's against what the R-1 says, it's against the height elevation, this is an R-1 PAD and if this was ever submitted at the time that it came before the various Boards of this City or this Commission I don't believe it would ever have been granted. This is not what was submitted. Mr. Solomon: May I continue Mr. Simonhoff? This is part of the P.A.D. applica- tion which was approved by the Commission and us.. Mr. Plummer: Let me stop you right there, the man has withdrawn, what are we arguing about? Mr. Simonhoff: It's under construction, if he has withdrawn it where are we then, are we going to stop construction until new permits are brought forth?, that's what I'm asking. Mr. Plummer: If the man has withdrawn it, does that stop construction? Mr. Solomon: It will stop construction in the areas that will be conflictive, but there isn't any that is conflictive. Mr. Plummer: If the man has withdrawn his application and he is only going to build in those areas that are legal, where is the discrepancy? Mr. Simonhoff: I contend it is not legal. Mayor Ferre: Ladies and gentlemen, now..please sit down and I'll recognize each one of you who wants to speak. At this time, I think.... Mr. Plummer: Mr. Mayor, point of personal privilege, you know, I don't mind sitting here all afternoon if we can accomplish something, but now, if I'm not mistaken when a man who is the Applicant withdraws an item that ceases the situation. 48 JUN 9 1977 Mayor I'ette: Rio, it's not quite that Sit ple. So ) I'd like I'athet) if l tray, th tecognite... MAi Reno: My name is Janet Reno) I represent David Swetland, he is the property owner text south of Mr. Sitnonhof. f . Mr. nuttier) you heard a state meat by Mt. Grimm that the Building Department had asked that it be put oft the Agenda. Now, that the Building Department was in effect withdrawing it because the Applicant was going to comply. Commissioner Gordon asked how did this happen and asked for a simple answer. She got a simple answer that the P.A.D. should never have been approved in the first place because it wasn't legal and I want to see how it can comply with something that wasn't legal. Mr. Plummer: Ms. Reno, that's all well and good except you hear the man who issues the permit stand here and tell you and they are only going to allow them to build that which is legal. Rev. Gibson: But, wait a minute J.L., a P.A.D. takes into consideration the totality of the program. Mr. Plummer: Father, I understand that. Rev. Gibson: Well, then you can't build parts and then don't build the other part.... Mr. Plummer: Oh, I see what you mean... Rev. Gibson: You see?..no, no, no, if he wants to build he has to put the whole package together, go before the various Boards again... Mr. Plummer: But Father, didn't I also hear Mr. Grimm say that the builder was in fact withdrawing to the point and was going back to the drawing boards to comply with that which he was granted. Did I hear you say that, Mr. Grimm?. Mrs. Gordon: I don't think so, J.L. Mr. Grimm: Yes, you heard me say that with a little bit of a qualification. Mr. Plummer: Well, qualify it. Mr. Grimm: The qualification is that two of the units, and when I say two of the units I'm talking about two of a collection of three, is in an area that needs to be filled in order to bring that area of the site to minimum eleva- tion which is plus 6. Now, in that frame of mind, the answer to your question is yes. Ms. Reno: That is a new answer that Mr. Grimm is now giving. Mr. Grimm: That's not a new answer. Ms. Reno: The P.A.D. that was approved by the Commission, he is saying now illegal but this was the same plan that was submitted to surrounding land owners which they agreed. I would like for the Commission to consider one final thing. Flood criteria is established by 33-4 of the Metro Code, and it does not establish a 6 foot minimum level in all instances and it provides for variations, and I see nothing in that nor in any City Ordinance that would prohibit the City from approving the natural slope. Mr. Plummer: Well, let me ask so I'll understand, Ms. Reno. Is it your belief in your being here today that the entire...as Mike says, that the entire permit should be pulled? Ms. Reno: That is correct. Mr. Plummer: Okay, then I know where you are coming from, let's see if we can get somewhere in here. UNIDENTIFIED: May I make a statement? Mayor Ferre: Yes, Sir, your name and address for the record. 49 Mt. Wright: My name is Carson Wright, I'm an architect practicing at 2951 Soy Bayshore Dr., I'm also one of the owners of the property. We came today to request a withdrawal because we found that we could comply with the minimum 6 foot fill requirement. I merely came here saying, I don't want what I was asking for, I'm going to stay with what you approved. I am going to go back and then I'm going to go to your professional and satisfy him, he should have the final word. Now, I've sitting here with my mouth shot and he came before you and stated that he, your professional, finds nothing wrong with the height of the building, your professional has said that my plans will now comply with the Flood Criteria and I wonder why you won't let me go home and take this application away. I don't want what I was asking for. I don't want to modify the P.A.D., I promise you that our building permits will be suspended in only those areas that are in conflict; there are a lot of buildings on this site that are not in conflict. Now, if anyone has an objection or wants to challenge the Building Director he should do it in another manner. I'm almost ashamed to be in this room to see Gerard Solomon standing here being questioned that his decisions are right by someone who is not your building professional. All I'm saying is I'm going to have to comply with P.A.D. as approved in order to finish this project, why don't you let me just do that and withdraw my applica- tion, why would you want to make ask for something that I don't want..I don't want to modify it, I just want to go home and go back to see Mr. Solomon and satisfy him. What is this this isn't even a hearing, now, I haven't even been able to ask for my request yet. Rev. Gibson: I want to say as a member of the Commission...you know, every so often I get the feeling up here that the people forget, that the people out there put us up here to protect their interests and equity and not the staff, okay? When people come to us and we agree with the people under certain circumstances to proceed, it seems to me only fair, right and just morally so that these questions ought to be answered, and for us to permit a builder to do something on their P.A.D. and then modify and all that later on, either we want the P.A.D. --and...or since I've been here when you talk about P.A.D.s you are talking about the totality of the land. Mr. Wright: Absolutely. Rev. Gibson: All right, either we want that and stop all of your doing until suth time as you are able to come up to the requirements or, you know.., the other thing. I see too many people come here, I want to mention something else later on around here, people come here and say to us we want you to do thus and such and we take them at full face value, trust them, and then later on we get caught in this kind of thing so I understand your problem, and all I'm saying to you is I hope you will understand our problem. Mr. Wright: Rev. Gibson, absolutely Sir, except I will ask you one question. In keeping with what you just said, may I go build what you approved? Rev. Gibson: It isn't that simple, it isn't that simple because when you came here we agreed to let you do certain things on the totality of the land and that's not what's happened now. Mr. Wright: Rev. Gibson, may I just respond? I thought for a moment that I was articulating well but evidently I'm failing. This whole issue is a differential between plus 6 and plus 10. We felt that if we get a bad storm we may get a bad wave down there and we wanted to build our project up, it was our solution to combating a potential harsh storm on that site. Now, if in the interpretation of the City,..and believe me the City stood out and said we issued you a permit, we don't think you can go to 10 only because of PAD so II went back and I said -okay, let's go to 6, I'll make it work, I'll make it comply. What more can a man do? I'm not coming here asking you to change from what you had. I just want to build it as you approved it prior. Pardon me, Sir, I'm repeating myself, I'm sorry. Mayor Ferre: Anything else you want to add? Mr. Wright: No, except that I'd like to have a ruling on whether I can withdraw. Mayor Ferre: You will, all right. Mr, Simonhoff: I would like to just say one thing, because I have never, in 50 JUN 1977 • all the time that I have been before any Commission, listened to such bold face lies as I have just heard. There.is no way, ..I want them to go and do that P.A.D. the way this Commission approved it, they showed it with 35 feet in height, they made testimony that there would be parking underneath and two livable floors with pitched roof. You look at the plan that was submitted there and it shows 35 feet. There is no resemblance whatsoever to what came in for working drawings and what these people submitted to the Environmental Preservation Review Board, to the Urban Development Review Board and to your Commission. Now, if you want to draw this line and say, you can start building heights of over 40 feet and if there is no way that you can say those plans.. that the bathroom height do not exceed 40 feet; and if they don't exceed 40 feet then they are either drawing out of scale or the people are going to have to become midgets in order to live in there. Mr. Wright: Oddly enough, I just want to point out that as part of our P.A.D. you approved two buildings 4 stories which I have the plans here to support it. It shows on the site plan and it shows here. We chose not to build those 4- story buildings but you approved them and I'm not building them. Mr. Simonhoff: We are talking about density in an R-1 P.A.D. Mr. Wright: Density has been approved. We are not over the density. Mr. Simonhoff: The density was the main factor that we are all concerned about. I, as an architect, feel that if a person cannot rely on the integrity of the zoning and of the Ordinances of the City and believe that architect or developer that comes in is going to abide by those, then we are into a pretty bad state of affairs. I design under R-1 and I keep it within the 35 feet and I'm going to be designing R-1 right next door to it, and I don't want to have buildings in excess of that. Mayor Ferre: Mike, let me understand that, your objection is the height, is that the only objection that you have? Mr. Simonhoff: No, there is..you know, this is under a cease and desist by the State, the County, the court is coming in, there are violations, there are all sorts of various things.. Mayor Ferre: So it's more than just the 35 foot height. Mr. Simonhoff: Yes, it's more than that, it's an entire thing, they have a letter from also Mr. Solomon, the Building Director, which says they are not going to get a C.O. on the building because they destroyed the hammock that they were not supposed to touch; it's been a sour project from the word "go" and I don't think that it should be condoned by this Commission at this time and say- continue with that and allow this project to go on without having a real soulsearch as to where we are and the total part of it. Mayor Ferre: All right, first Mr. Solomon and then Ms. Reno. Mr. Solomon: Mr. Simonhoff I don't allow you to put words in my mouth, I never said that they were destroying the hammock, would you present that letter. No, right? because it just doesn't exist. Mr. Simonhoff: You informed me through Amparo Cardenas, who is the Administrative Assistant to the Environmental Preservation Review Board upon which I sit, that they were put on notice that they would not get a Certification of Occupancy because... Mr. Solomon: IF they destroyed the hammock...present,..give me that letter. Mr. Simonhoff: I'll withdraw the wording because... Mr. Plummer: Well, wait a minute Mike, we are throwing charges back and forth and accusations, do I understand that you told them IF they destroyed the pro- ject they would not get it. Mr. Solomon: Of course. Mr. Plummer: Mike, do you accept that? W. Simonhoff: I accept what he said, however, the fact is in the pictures 51 JUN 9 1971 that are there that.the hafllock was destroyed in violation of that Ordinance 8301 and that's only one part of the entire parcel here. Mayor Ferre: All right, Ms. Reno,..I'll recognize you in a moment,..counselor. Ms. Reno: Just so we understand, the plan that the Commission approved provided for essentially a natural slope without the 6 feet that they now say they are going to put in. This is the point as I understand Mr. Grimm is now saying it could not have been approved by the City in the first place and should not have been approved because it needed the 6 feet at the mean sea level, to meet the flood criteria. That is what was approved and they can't go home and build what was approved according to Mr. Grimm.. Mayor Ferre: Well, then we are in a hiatus... Ms. Reno: but I would suggest to you that no one has addressed himself to the flood criteria Ordinance that was furnished to me, the County Ordinance, that controls here, and what it says is that nothing shall be allowed in the premises in any district which would in any...other than crops, groves, nursery and grazing purposes or similar uses. There is no other use other than open space that's going to be made down by the bay. He is not talking about safety, he's talking about the fact that he doesn't want to redo his building plans. The same flood criteria Ordinance provides that you can build below grade living rooms, you can build below grade parking garages, what you have to make sure is that it provides for the proper elimination of water. The truth is that they can construct, at least the way I understand it and as I read the Code and I have not heard anybody dispute it, they can construct according to the plans that they submitted to the Commission, but that is not what they are going to go back and do, they are going to go back and construct now a 6 foot wall that will not blend in with the environment, particularly of the Barnacle to the north, and is not what this Commission approved or the surrounding land owners agreed on when they looked at the plans. Mrs. Gordon: Where would that wall be? Ms. Reno: What they propose are retaining walls down the side on either side to retain the fill that they are going to put in and then a wall along the bay. Mr. Gassin: My name is Joseph Gassin, I'm an attorney at 101 E. Flagler Street I represent the owner. Really, I'm kind of non plus as to what is going on in here. We've withdrawn an application for any change, is this meeting going to be a forum between the neighbors and the owner to argue about what the legalities are? If so, then I submit to you that we have nothing before us on which to argue legalities. There is nothing here, there is no application to cancel our building permit, there has been no suit filed by anybody to cancel our building permit. Mayor Ferre: Excuse me, counselor, that's the first time that I've ever heard that, ,..the building permit, will it be cancelled? Mr. Gassin: No, there has been nothing to suggest that, then why are we arguing about something that is not an issue before anybody, including this body? Mayor Ferre: second. Yes, us and argue good or bad, I personally because this Well, let me answer your first question and try to answer your this is a public forum, yes —every citizen who wants to come before about anything and every thing they want to this is a tradition, that the City of Miami has for long had, and, as a matter of fact, think this is one of the reasons that this City has survived is is an open forum for people to come before us and talk.. Mr, Gassin: Even when there is nothing before the City to make a decision about? Mayor Ferre: But that's your opinion, you see, but there are a variety of opinions. We have another well known attorney here, just like yourself who happens to have a different position. Mr. Gassin: Well, what is it that is before the Commission that the other side is arguing... Mayor Ferre; Well, counselor, ..et me see if I can mower that second 52 JUN 9 4977 question. I thinks as I understand it, what's happened is this. The City of Miami Commission made a mistake. The mistake that was made is that we approved and really it was a mistake also that staff has to bear, something which cannot be, and the reason we made a mistake is because we agreed to pass on something which did not require any filling but on the other hand does require now a 6 foot filling, and therefore, I think we are in a very tight situation where we've approved something that we were really not entitled to approve. Now, what happens is that in view of the fact that you didn't want 6 feet but you wanted 10 feet, now you say well, we withdraw that and these people are saying, well, you can't quite do it because that doesn't solve the problem. The problem is that if you go back and build it to 6 feet that hasn't been approvedby this Commission and therefore you can't..you really can't do that. As I understand the argument, did I mis- represent it? Ms. Reno: Except for one point, your Honor, again the way I read the Flood Criteria Ordinance, they don't have to build the 6 feet if they meet the condi- tions of that Ordinance. You could have done what you did if you look at this Ordinance and if you construe it the way I do, and I have not heard any one construe it to the contrary. It provides there buildings are going to be down there by the bay, there is no provision --I haven't seen them try to put in a plan that could be designed and constructive and contains the necessary equip- ment to prevent an infiltration and provides for runoff. There is no showing that they can't do what this Ordinance requires and what the Commission approved. Mayor Ferre: I'll tell you my only concern, Ms. Reno, from a practical point of view. I hope, and now I am not accusing any of you of this because I know you are just not that type of people, nor your clients, but you know, I was just telling Father Gibson, we get more problems from Coconut Grove than from the rest of Miami put together, there isn't one project or property that does not come before us with all kinds of...and it's always a problem, whether it is a P.U.D., or...always somebody, some neighbor, or Ms. Bettner or some group, or somebody is always coming down with petitions to close up the streets, open the streets, do that, do this, accusations of trees being cut and what have you. Now, sometimes, like there was a lady, a very nice lady, who got very angry with a hat..what was the name of the lady who came down with the hat?,she kept saying- "you just don't understand, we don't want anything to be built on that property." And I tried to tell that lady, look, we live in the United States of America, you just can't tell a property owner that they can't develop the property, now what you are saying is that it's got to be within the law, which is what you are saying, I understand, I hope that we are not going into an exercise of trying to stop construction of a project. Ms. Reno: Let me respond to that Mr. Mayor, because I think that it's very im- portant and I think you should hear from representatives of the Barnacle. My client met with these people, he approved plans, he approved a building, which is not what they are constructing. Mayor Ferre: Thank you for clarifying, I think that's very important for the record because we get a lot of misconceptions around here that the neighbors in Coconut Grove are always trying to stop everything and that just is not the case, is that right? Rev. Gibson: Mr. Mayor, for the record I want to say this, when that project was approved, I was amazed that this man was agreeing, I was amazed and I said to him, do you mean to tell me that you are agreeing and he said yes. This is the thing that really surprised me at least that neighborhoods had come together and agreed to what we okayed. And then I was very disturbed when I heard to the contrary, just within the last three or four days. Mr. Kolsky: My name is Jay Kolsky..,I'm an assistant state attorney in the llth Judicial Circuit here in Miami. And I would just like to say that as the result of an investigation that has been going on between State Attorney's office and the Dade County Department of Pollution Control and the increased height, the fill that was placed in this property on May 26, a cease and desist order was issued to the construction in this particular property because of run-off into Biscayne Bay. In the water samples taken on that particular date by the Dade County Pollution Control Board indicates in excess of 50 units of turbidity, 130 and 200 units of run-off into the bay, and when you are dealing with an aquatic reserve as Biscayne Bay is, the State Attorney's office feels that it is not just a neighborhood complaint now, it is a situation where people in Dade County are being involved with pollution in Biscayne Bay and we are going to continue to file any charges that we feel are necessary to prohibit that sa JUN 9 1977 pollution and I'm here just to adjust thyself to the Commission on that patti= culat aspect of the building. Mt. Kolsky: Mr. Mayor, just briefly, I agree with everything you've said that there should be open, complete discussion of every issue that is properly before the City; however, there is another democratic concept which is that you should have a notice of what is going to be discussed, the due process of knowing what is going to be presented, there are various conflicting opinions here there are various co nflicting allegations of fact here, no one is prepared to conduct a hearing today on what is a fact, what is an opinion, what is the law. I submit to you that it is grossly unfair to submit this issue to the charges and counter- charges and I guess we could go on until midnight and just rail at each other about what has happened and what is going to happen and we are speculating about this and we are speculating about that. Mayor Ferre: Counselor, unfortunately we sometimes do on until midnight because of reasons like that much to our regret, but let me asnwer if I may your question; Mr. Grassie and Mr. Ongie, I notice that this is on item 3 PM it says Public Hearing, it's a Resolution, was it properly advertised as a Public Hearing? Mr. Ongie: No Sir, I was not told to advertise it. Mayor Ferre: Tell me what the procedure is. Mr. Davis: As required by the City Code, Mr. Mayor, notices were sent out to property owners within 375 feet 10 days prior to this hearing. Also, as required by the Code the sign was posted on the property 10 days before this hearing. These were the only two requirements to provide for public hearing. Mayor Ferre: So what you are telling me for the record is that you have done what was required under the law. Mr. Davis: Yes, Sir. Mayor Ferre: Well, counselor, your answer is that what was advertised was "Requesting consideration of change of existing PAD consisting of 21 units at 3495 Main Highway granted by Resolution 76-559 to modify elevation of structure and fill land as required by the Federal Flood Control Criteria." Mr. Kolsky: That request has been withdrawn and I don't know now what we are having a hearing on. Mayor Ferre: Well, you may have withdrawn it but the problem still exists. Mr. Kolsky: What are we having a hearing on? Mayor Ferre: What we are having a hearing about is item No. 15 which is the fact that Resolution 76-559 which was granted is in question. That is exactly what Ms. Reno,..and that's what you said, am I wrong? Mr. Wright: Excuse me, may I respond to that?,.... the permits on only those items affecting the filled area have been suspended, so there is nothing going on there right now. Obviously, the only alternative we have is to satisfy whatever it takes to satisfy the PAD. You know, it sounds pretty bleak but what I want to tell you is that it is not a bad project. The turbidity in the bay, the fill that's been put on the property, we don't want to pollute Biscayne Bay but I have to tell you, the condition of that shoreline as it stood right there was a filthy mess. Now, that doesn't make the rain washing the fill down at the bay, we want to build our wall and the fact that the wall isn't built there now was not an intent in malice. I want you to know that, we weren't trying to do something around the law. The other thing is, ..that's been brought up about is the height. There has been no citation by the Building Department of a violation of height so it shouldn't be an issue here and the fact that we are having discussions with the State of Florida is not an issue here, it's an issue between the State and us. Obviously, we'll have to satisfy that problem and we are making every effort to do so. Now, we are not our project on only those units in filled land. Now, I hope you'll also think about would you deny filling the land so we could get flood insurance? Do you know what this is all hinging on?..a graph that was drawn to show the elevation height of build- ings and if you lay a scale on it it's almost to six considering mean low JUN 9 107.7 watet, So, it's a very mute point, We ate only going to fill to satisfy flood ctiteria so that we can get insurance on out buildings, and we will do that: And we can build a property line wall by Ordinance also, I want you to know that, it.isn't.that by filling the land just creates, there is an Ordinance in the City of Miami that permits a man to fill an 8 foot sideline perimeter wall; now I wasn't even doing that, we don't want to build a wall that high. Mayor Ferre: Well, look, I think what we are doing is repeating the same statements three and four times, Mr. Grassie, I'll now turn over to the Administration and in what is a rather complicated...because I see arguments on both sides, I'd like to ask for your best counsel and advice from the staff's point of view. Mr. Grassie: I understand Mr. Mayor and members of the City Commission that the Building Department is in the process -one, of making sure that no illegal work continues and that whatever work does take place conform to City Ordinances. Now, it seems to me that, in addition to that proces§we obviously have a second process which should take place which has to do with an understanding between the property owners adjacent. Mayor Ferre: Between the property owners and who? Mr. Grassie: Adjacent, the adjacent property owners. They should understand what restrictions are being placed on this particular development and I would suggest that that should be the next order of business that our Building Department make sure that they do understand what the law requires and what is being required of this particular development. Mayor Ferre: And therefore your recommendation is what. Mr. Grassie: First that the request for withdrawal be honored obviously, you know, we really don't have too much of a choice about that but second, that we make a special effort so that whatever provisions of the Ordinance are applied to this project are clearly explained to the neighbors and they have a chance to express themselves about that. Ms. Reno: They did not make the application, they can't withdraw. This whole hearing began by the Building Department being asked, well, we can say yes or no, but what they told us they are going to do is required by what you approved so that in effect withdraws it. They are not, and it has nothing to do,... there is a third possibility that the City Manager has not enumerated, and that is for the property owner and the City Commission and what the City Commission approved. And it's simply a matter that they have said they are going to comply with what you approved. Mayor Ferre: Well, Janet, if we pass a Resolution reiterating our action under 76-559 and s aY that that's what you have to live up to, does that satisfy your problem? Ms. Reno: That would be great. but that's not what the Building Department... Mayor Ferre: I'm not saying what the Building Department says..if the City of Miami Commission says we ratify 76-559 and instruct the Administration to live up to it...does that cover? Ms. Reno: That would cover it. Rev. Gibson: I move. Mrs. Gordon: Second. Mayor Ferre: There is a motion and a second by Mrs. Gordon that the Adminis- tration be instructed to comply with the previously passed Resolution 76-559. Mr. Plummer: Well, wait a minute, okay, okay,..under discussion. What does that accomplish? Mr. Grassie: The Building Department is in agreement with the Resolution proposed by the Mayor, we will see that it gets accomplished and it seems to Me that if the neighbors feel that this accomplishes their purpose that everybody 55 JUN 1977 ought to be satisfied if they give the ptoject and the City a little time to wake sute the Otdinace is cotiplied with, Mayor Ferre: Is.that acceptab1e.counselor? All tight. Mr, Roberts: I would like to say something. Dick Robetts, I am biologist for Division of Recreation and Parks, I also did the historical work on this site, Something that we would really like to do is to work with the developer on the site. We have reviewed the.plans previously and we are on firm denial .of these plans, as they have been changed.We've got a pretty good investment here on this site historically and monetarilywise. We are trying to create an image and it is going to be darn hard to do if you are talking about the air of the bay, if you are talking about the early part of this century and if you are going to walk down that site and see a bunch of concrete beside the side, How can we get the visitor into this feeling of the site if the developer of the other adjacent side does not work with us, I think this is something that we could really... Mayor Ferre: I think it's pretty important; on the other hand I'm sure your preference as probably mine would be to have nothing built there, right? I'd prefer not to have anything built there because this is park area and really it should be preserved the way it is. Mr. Roberts: Well, I would hope that the developer would go ahead and blend into our site instead of being apart and above our site. Mayor Ferre: The problem is that in all these things I guess you need to go through due process and just compensation, you just... that's a middle ahppy ground, that's what you are trying to come up with and I hope... Mr. Roberts: I think, you know, we did try to work that out with the developer earlier, you know, we think that we have something that we can live with but now we are still talking about, you know, another ten more feet or so and they are right down our lawn right now, it's going to be pretty hard. Mayor Ferre: Well, you see, if we go back to Resolution 76-559, according to what I understand from two attorneys here, that will accomplish, I think, what you are trying to accomplish. Mr. Roberts: A11 right, the point I want to make is that also we get into some kind of discussion or review of the plans at a later date. Mr. Wright: Mr. Mayor, to help clarify this the State has put up a wooden fence in the property, I don't believe that our wall of retention will even come to the top of their fence, so they wouldn't even see it in the first place and maybe since we are discussing it the State would like to put the trees back in Main Highway, maybe we could get together and do that....It really doesn't but you know, we are really trying just as hard as you are, that was my analogy. Mayor Ferre: All right, for a last statement, Mr. Simonhoff. Mr. Simonhoff: I just wanted to remind the Commission that an R-1 P.A.D. is not something that is anything other than a conditional use and when we are talking about the terms of what R-1 really is we are talking about P.A.D. being able to allow for flexibility and creative of design within the limita- tions of what that Ordinance says, so we are talking about 35 feet or 21 stories and I believe that if any construction is allowed to continue at this point which, Mr. Mayor, there is a building under construction, I'm asking that until this is resolved that this building part of which is going to be over 40 feet and four stories should not be allowed to continue. Mayor Ferre: Mike, the trouble with you and me is that we are architects instead of lawyers, you see, but I think these lawyers have got this thing properly...I think they've got it properly under control because if we comply with 76-559 one of the things that was approved was a specific height, wasn't it? Mr. Simonhoff: That's correct, but.., Mayor Ferre: ,,therefore, if we say comply with it then that satisfies your 56 JUN9 1977 prObitm, dneatilt it? 4fs imonhaff: That/a rights MAW Vette: I bath, you knov4 veva said thin about four a6 I think its plenty Oh the !wird* Call,the toll. The folloving motion VAS introduatd b Commiaaioner Cibaonl who moved its adoption. MOT/ON NO. 77-466 • A. MOTION TO RATIFY RESOLUTION NO, 76$ PASSED AND ADOPTED ON JUNE 9i 1976 AND INSTRUCT THE,CITY MANAGER TO COMPLY W/TH:THE PROVISIONS CONTAINED THEREIN. . 'Upon being seconded by Commissioner Gibson the totied was passed and adOpted by the folloving vote- . AYES: commissioner Hanolo Reboso Commissioner 3, L. Plummer) Jr. Commissioner Rose Gordon Vice Mayor (Rev.) Theodore R. Gibson Mayor Maurice A. Verne 1977 • ESTABLISH CITY COMMISSION POLICY FRAMEWORK FOR fECISIONS Aff ECtING CITY OF MIAMI PENSION SYSTEM Aft PLAN (RD) Mayor Ferre: Take up item #18; Establishing policy of the City Comte Mission providing a framework for decisions affecting City of Miami's Pension System and Pension Plan. City Manager recommends. Now, who are the people who want to speak on this? Anybody?... Anybody here want to speak on it? Lieutenant, you want to speak on this? Lt. March: I didn't know what it was... I was concerned... I saw the item on the agenda and didn't have a copy of the proposed resolution... I'd be interested to hear the... Mayor Ferre: Alright, you reserve the right to speak on it after you hear the presentation. Alright, sir? Mr. Grassie: Mr. Mayor and members of the City Commission, we have two things that we would like to do on item 18. One... I would like first to ask Howard Gary, Mr. Mayor, to do what the City Commission had ask, and that is that we report to you once a month on the budget... this is a budget update to begin with, the reason that we are doing it now, is it... because it relates directly to item 18. Mr. Gary: Commissioners and Commissioner Plummer, I submitted to you last night our second budget estimate,... first before I forget, I have to let you know that this is only a projection and it includes reasonable objection about those things that are known as of today. Other changes may occur as information becomes less certain... Mr. Plummer: But, its not going to be for the better? Mr. Gary: No comment, I don't think so. The second estimate... the dif- ference between the second estimate and the first estimate, is only one, all other assumptions remain the same as they exsisted in the first esti- mate. The second estimate has a new budget problem of $9,540,000, and that assumes that we maintain the 1976-77, millage rate of 9592 in 77-78. However if we increase the millage rate to ten mills, our budget problem would be $8,018,658. The difference between the old budget problem, on the first estimate and the new budget problem is approximately $1,896,414. This is mainly attributable t-.n some information that we received recently regarding a increase requirements for the pension fund. Mr. Plummer: Information received from who? Mr. Gary: From actuarial studies by way of the finance director. Mr. Plummer: Who's actuary? Mr. Grassie: The Pension System. Mr. Gary: The Pension System. Mr. Plummer: The ones that are hired by the City or the one by the Pension System? (INAUDIBLE) Mr, Gary: No, what we have done as of today, is to assume that we will increase it to ten mills and that our budget problem, the first estimate of $6,000,122, will now be $8,018,658, which would require additional re- ductions by the departments of the City of Miami. Mr. Grassie: Very briefly then Mr. Mayor and members of the City Commission. What Mr. Gary is saying is that the latest report by the actuary would add to our budget problem, an amount slightly over $2,000,000 It is with that in mind then, that we bring to you item 18 and I would like to ask Jim Gunderson, the Finance Director, to speak to that. Mr, Gunderson: Mr, Mayor and members of the Commission. Item 18, presents to you the continuing saga, the increased cost relative to the Pension �JH 091977, System and Pension Plan. What you're witnessing in this memorandum and in this year, is an increase in the system from 31.8% to 40% and in the plan from 10.7 to 11.8. Now, that is a net increase of approximately $3,000,000, over and above last year's cost. In order to put... Mr. Plummer: that we understand and the Commission understand, what Mrs. Gordon and I already know, please, tell them what that $3,000, 000, primarily addresses itself to. Mr. Gunderson: Its composed of two major factors, first is the change in assumptions to both the system and the plan. Those assumptions in the main relate to the way that the actuary applies his percentages, re- lative to one salary. Salaries for instance in the system worth 1.5 as a factor, were raised to 4%. Now, the reason for the raise was to make it to comply more with actuality. The other factor that was raised, was the investment return. It was formally computed at 4.75, it has now been raised to 6, in the system. In the plan side the figures were raised from 2.7 per salary , up to 5% and for investment purposes were raised from 4.75 up to 7%. Now, over and above the changes and the assumptions... and I've just given you two of the major ones, there were the normal things that occur during the course of the year, that the actuary is very, very interested in and has to make his computation based upon. One of those is the fact... what was your assumption about salaries and what was the realities. The realities of that... last year's effort in the system, were that your salaries increased 7.3%, as opposed to his assumption .of 1.5, that was the biggest increase and the reason for the change. The second reason for the change was the estimate that he uses on terminations. In terminations he anticipated terminations in the system approximately 99 and he got about 50, so it caused increase. The third thing that was affected in the system was a change in the way that the losses, previously incurred in 1974, were actually going to be booked. Now, that change a- mounted to a 1.8% salary, although it means that $7,000,000, were booked. Basically what we'll have before you then, is an attempt to put the peri- meters around the pension plan within the prospective and the criteria that the City Commission itself has outlined as the two major factors. One is to make certain that equity is done to all employees, both within the system and within the plan and between them. Secondly is to curtail the continuing rise of cost relative to the operation of the pension system. But, as proposed here before you is to do exactly that in terms of a policy, the policy is to do equity and the last portion of it is to curtail the amount of money that is going to fund this and that both the plan and the system boards, go back and alternately ask how this can be done within the frame work of the three mill limitation that is set for it within the memorandum before you. Mr. Plummer: How do you address the question for the provision which -says . not that I agree... how do you address the thing which says that the City shall make a contribution and amount to keep the fund the actuarial sound. Mr. Gunderson: The actuarial sound will apply to the assumptions... we would not have changed the assumptions as to the mortality rate, as to the aspected retirement times for instance...both the system and the plan The system anticipates that they will retire at age 53, they're actually retiring at age 52. The plan has an identical -type of approach, their retiring slight... those assumptions would not be changed and that is maintaining the actuarial financial stability of the. plan, by maintaining the components on an actuarially sound basis., those assumptions. And I think that what both the system board and the plan have now adopted as their basic assumptions applying to all those elements, are actuarially sound. Now, the only thing is,'is to keep the other components of the plan and the system in to prospective. For instance, it is not an actuarial need that the assumption be made that you must pay 21% on the average final compensation of an employee,... thats not an actuarial question, thats a benefit question and thats the kind of question, that the City Commission would address itself in keeping and controling the cost within each the system plan and.the system. Mayor Ferre: Come on. Mr. Grassie: What we are asking then of the City Commission, Mr. Mar and members, is that you consider the policy that is in front of you, if you agree with the two basic points that are being made. One is that we need to seek egity in all of the retirement plans of the City and two, that we need to control the costs of these plans ,.,. if those two points are 59 JUN 0 91971 acceptable basic policy points and we need this kind of di.tection, if we are going to put together any kind of a budget for you for this com- ing year. Mayor Ferre: Mr. Naples? Mr. Naples: Mr. Mayor and members of this Commission, my name is"Gene ME Naples", and I'm here representing the Miami Association of Fire Fighters. Mr. Mayor and members of the Commission, as you recalled when Mr. Gunderson, - came before this Commission, before, I suggested at that time, that since mm we had a reopener in our contract to negotiate for pension this year, that we might consider the possibility that he would be infringing on that particular negotiating process. I was assured at that time that !_ there would be some input... that he would accept some input from our organization and what ever he came back with. I haven't been notified... a this is the first time I've seen this document. Let me just suggest to that there is a strong possibility in my mind at least at this point, that we maybe in fact, getting involved in the negotiating process of which we are negotiating right now, on pension. Now, I have every intention of showing this to our attorney and to seeing what his thoughts are, on what has been suggested here. I don't know what equitable means, from the stand point of either Mr. Gunderson or the_ Manager and I thought that some of the things that are mentioned here are subject to collective bargain- ing. Now, I see down here on item 4, that it says here this would in no way inhibit the collective bargaining process. I'm not too, sure that it wouldn't and I suggest to you that you look into that particular thing ... I don't knew if the City Attorney has looked into this and I'm very, very surprised and shocked really, that Mr. , is not present to have something to say about this thing, because I do believe that he would agree with me, that there is a possibility that this may infringe on our rights under collective bargaining. So, I bring that to your attention .. I think it ought to be examined a little more closely... unless some- body could explain something that I don't see here that might be... Mayor Ferre: Mr. Mielke, right now. Mr. Naples: Well, I suggest that you ask Mr. Mielke, if he thinks there is a possibility or not that this would be something that might infringe on the process. Mayor Ferre: Mr. Grassie? Mr. Grassie: Yes, of course he's walked in on the end of this conversation and hasn't heard the comments, but, basically... while you're coming up to the mike... I think that it bares pointing out although, I'm sure that all the members of the City Commission have seen it... that the policy specifically speaks to the question of this being a policy which estab- lishes perimeters to guide the staff, that is the purpose. It also, speci- fically recognizes the bargaining process under the statute of the State of Florida. Now, you know... I feel that, thats quite clear and we say in the body of the policy, that the bargaing process is clearly recognized. But, this is your policy, management policy and it is our point of depart- ure. That is not to say that we can do this unilaterally. Mayor Ferre: Alright, Mr. Mielke, do you want to add anything to that? Mr. Mielke: Not particularly, I agree with what the Manager says, that there are items that you cannot take suit from unilateral action on... Mayor Ferre: Alright. Mr. Mielke: collective bargaining and I recognize that we will have to negotiate... Mr. Naples: Mayor, my point is, that if you're putting some perimeters on there and you have some particular point, it would just be like saying that the City's budget, will be such and such and then something thats bargained that is over and above that City's budget, then that... I think that it would be that you're limiting the extremes if you will... Mayor Ferre: So, what you're asking is... Mr. Naples: One might be bargaining. Mayor Ferre: Is to set policy on an item, which is obviously, perhaps 60 JuiV Vy1971 one of the most impoant things affecting the r`y of Miami. Mr. Naples: I don't think there is any question about that Mr. Mayor. Mayor.Ferre: And you know, the question is whether or not we should leave it completely in the hands of the Manager or whether or not the City of Miami, Commission, should take the... Isn't that basically what... Mr. Grassie: Thats exactly it, and you know.. without trying to be dis- agreeable Gene, about it. This is in fact one of those dreas about which the City Commission and Management, if you wish, should be able to take a posture just as your executive council can take a posture on negotiat- able items that you want, without our interference... you know... we don't try and come down and condition the sorts of demands that you're going to make and this is basically a City Commission policy. Mr. Naples: But, I think you are taking a unilateral action here... what I'm saying, is you're going to put the limits on it, then the negotia- ting process will be limited to what ever that limit is, and I don't think thats proper, but, what ever. Mr. Grassie: Mr. Mayor, I should point out that we would like for that to be true... I wish it were true... I wish it were in fact true that we could adopt a budget that said that everybody would get a 2% increase and that would be it, but, thats not the way it works and you know... Mr. Naples: I understand your problem, don't misunderstand I'm not sym- pathetic to your problem, but the thing that is never mention,...never ... in all the news paper articles, in all the television appearances by the Manager or people who come before the television cameras, is why the City is in the posture that its in. And its simply because the City has never funded the unfunded portion liability properly. And their trying to put it on to make it looK like the employees are responsible for the problem. The employees are given a contribution rate that is fixed and they have contributed that without question. And when it come out in the papers that you are spending some absorbed amount to fund the system nobody says why we're in that process. Mayor Ferre: Yea, but Gene, as I am telling J. L., over here... he says five years ago there was $2,000,000, unfunded, now there is a $180,000,000 unfunded, now where is the City of Miami, going to get a $180,000,000? Mr. Naples: Mr. Mayor, I'm not arguing that point, there is a law coming down the pie by the way that is going to tell you how you're going to have to do that. They're coin¢ to tell you how to do that Mayor Ferre: Well, you know... that law may come along and that maybe bye-bye City of Miami and then we'll have to worry about something else. But, I mean we're trying to face up to this thing as best we can and I think what we've got to do, is we've got to take some... this City Com- missionor who ever is going to be here in the next four or five years is going to... and it may not be that long... is going to have some very, very tough decision to make. Mr. Naples: And we're going to help you Mr. Mayor, in every way that we can... like we always have in the past. And we'll do what ever we can and we'll try to do whats responsible, but I think you're infringing on the law now, is what I'm talking to. Mayor Ferre: I understand Gene. Alright, Lieutenant. Mr. March: My name is " Don March", of the Fraternal Order Police_ Walter Headley, Jr., Miami Lodge #20. I have similar concerns as express by Mr. Naples, and I can't wholly subscribe to your thought that you're doing the similar thing that we do. I think what you've done here, is you've prepared something based upon a staff recommendation and as the path that you should take -while involved in the negotiations. You've decided that this is • the positioneu'wart_ to-take:and you're now coming to the City Commission and saying please t.el.1.4$._to fake this position. I think thats entirely different than... its a different posture than what you earlier outlined. I have concerns as to the fact that this is brought the open in this form here while this is a subject of negotiations and as is Mr. Naples, I too, am going to consult with our attorney, as to the verification of this particular event. We weren't given a courtesy copy of this resolution, we weren't given the opportunity to intelligently rebut anything that might come here to perhaps persuade the Commission, to take a different 61 JUN 091977, t and I think that this issue is the kind of thin? that we could have established in the environment of negotiations, in good faith and we could have looked into with the benefit of actuarial asistance. And arrived as conclusion, possibly even consistent with your recommendation. I wouldn't shut the door on that kind of thing. But, we do have our concerns. Mr. Plummer: Grassie,for the record, let me ask a question. Just for argumentive sake if we go to the 3 mill cap... is then do I understand that it is these figures that is being presented to us in the second budget estimate, are the applied figures? Mr. Grassie: No sir. Mr. Plummer: Are if we do not go. Mr. Grassie: That is correct. Mr. Plummer: Ok. Mr. Gunderson, may I ask a question of you sir?... through the Manager. You did not in anyway address the point that if we were to place into law 3 mill cap... has there any study been given to what that within itself will do to unfunded liability? Mr. Grassie: Commissioner? Mr. Plummer: Excuse, do you want to answer it.• Mr. Grassie: Yea., if i could, because I don't want to give you inadvert- ently the wrong impression. We are not suggesting that you convert this to law. This is prepared as a City Commission, policy. This is direction to us and particularly direction to us in the budget making process. Now, obviously, as we say in the policy itself, this has to be done through the negotiating process in part at least. And we recognize that, but this is a policy it is not law, it does not shut off the bargaining process, it simply sets a ground rule for us... we are asking you to set a ground rule which v'e feel is a proper ground rule, principally to guide us as we approach this next budget year. Mrs. Gordon: I don't know how in the world we can proceed in this direction for more than one reason and in effect it we set our own arbitrary 3 mill cap, we're in effect also saying we're going to permit the unfunded lia- bility to remain unfunded to... you know, or increase. Mr. Grassie: In no way Commissioner. Mrs. Gordon: Well, how can you prohibit that, how can you stop it? Mr. Grassie: You have to assume that everything stays as it is or gets worse. Mrs. Gordon: Thats right. Mr. Grassie: And thats not our assumption. Now, it may turn out in life that, thats the way things are, right? Right. Mr. Grassie: It may turn out that in fact things will get worse, but, thats not the assumption we start with and certainly we don't want to set a policy which will perpetuate the existing circumstance and make it worse,. what we're asking you to do is to at least adopt a policy which tends to make it better. Mrs. Gordon: I don't think it makes it better Mr. Grassie. Mr. Grassie: Well, Commissioner, what I'm trying to explain is that if you assume that current expenses will continue and if you interpret this policy to mean that we will contribute less to the pension system, then you're right, but those aren't reasonable assumptions. You know, we cannot as- sume that everything is going to stay the same and we're going to con- ribute less money, thats not reasonable. What we're trying to do is to make sure that the unfunded liability does not get any worse, that means that some of the expense considerations are going to have to change. Some of the things that make the pension system expensive are going to have to change, Now, what we're talking about is setting a policy, which will set 62 JUN 0 91971, us in the direction of decreasing the cost of the pension system, We ate also saying that you can't do this unilaterally... you can't just do it by adopting a policy, but, this has to be part of the negotiating process. But, if you don't even start out with a policy knowing where you want to get, its very unlikely that you're going to get there. Mrs. Gordon: Well, then what you're saying to me in effect, is that at the bargaining table you would then be asking to remove or reduce some of the benefits,... am I correct? Mr. Grassie: We are going to have to reduce cost, that is correct. Mrs. Gordon: And cost are benefits, correct? Mr. Grassie: Cost one way or another, well, not all of it... but, many many cost reflect themselves in benefits... you're right. Mr. March: Mr. Mayor, it that doesn't inject itself right in the process, I don't know what does. And if you're telling the Commission, that they will be able to assess a lesser millage, then you definitely have to do something about decreasing the benefits. And what I'm. saying is, you're getting involved in the bargaining process. Mrs. Gordon: You're doing one of the two... you're either doing that or you're doing the other, right? Mr. Grassie: Let us be clear once again, we are not talking about chang- ing the law as it affects imposition of millage... what we're talking a- bout is out of the millage that you impose, what ever it is... whether its 91%, or 917 mills as you now have it or whether you go to 10 mills, what ever the millage is. What we're talking about is limiting the of tax millage money going to the pension system and limiting that to 3 mills. Now, that does not affect the tax rate, this is not law... this is not a statement which has anything to do with imposing the taxes or limiting the taxes. This is simply a policy statement with regards to how much of the tax money you're going to have put aside for pension purposes. And --hat we're indicating to you is that we cannot continue to have the amount of your taxes going into pension, continuouly go up. Look its almost, you knotty... we're moving towards forty percent right now. Mayor Ferre: Look you've already... P^rs. Gordon: I understand the problem probably as well as anybody could understand and I don't see any solution in your recommendation. Mr. Grassie: Commissioner, again this is simply the first step, it is not a magic solution by itself, this is simply the first step... if you don't even have a policy, how do you expect to have any implementing action. What we're suggesting is that you've got to start with a reasonable policy. Mayor Ferre: Mr. Grassie, it is 4:30, we've only handle five items, so far today and I don't want to be here 9 O'clock, again tonight and therefore, I think unless somebody has something new to add, lets get over and either vote yes or no or do what ever the major of this Commission want to do. You want to add anything else Gene? Mr. Naples: All I know is that Mr. Mayor, I'm not very good at math, but if you're going to put less money into the pension system,... the benefits ... and the less money you're putting in now and you're going into a great- er unfunded acquitted liability... you're going to put less money in it. The only way that you can do that is by bringing benefits down and if that doesn't involve itself directly into the negotiate, he is going to limit what is negotiated at that table. He is going to tell them the only way that you can go is down. Ok, and we're sitting there spinning our wheels and I'm saying its an unfair Mr. Plummer:.. There is another way Gene, you don't like the other way either and neither do I, and that is that the unfunded liability goes up. Mrs. Gordon: Thats what he said. Mr. Plummer: Thats right. Mrs, Gordon: He said that. JUN 091977, 63 Mr. Grassie: Thats not one of our Mr. Plummer: I say that is one of the options of what could happens Mayor Ferre: Alright, but, thats been said before now and now that you're repeating it... please lets not repeat anything. If you have something new add it, otherwise, whats the will of this Commission? Mr. Plummer: You know as I sit here Mr. Mayor, and I know you don't want to hear this... but, its... Mayor Ferre: I want to hear it. Mr. Plummer: Very, very poor consolation that I brought this very thing to the Commission, four years ago, that this day had to come. Mayor Ferre: Well, Mr. Plummer, the day has come and I'm glad that your vision then has brought it to a fore front now, I'm sorry that this Com- mission, didn't have your vision to act on it and now its something that needs to be done, one way or the other. So, as you had that vision four years ago, he have that vision today. So, whats... you go ahead and make the motion. Mr. Plummer: You don't want to hear the motion that needs... Mayor Ferre: I ,-ant to hear the motion, make the motion. I think its time for us to stop talking and have the courage of our conviction on these things. Now, if you got something that you think is so earth shaking, that should have been done four years ago, I recognize you to make that motion sir. Mr. Plummer: I tried to make it four years ago. Mayor Ferre: Make it right now and stop talking about it. You know these people who are prophets, who keep saying, oh, dooms day is coming and something horrible could happen... alright, I recognize you right now and you make your motion... four years late... make your motion. Mr. Plummer: Mr. Mayor, now that the cat is out the doer don't ask me to make a motion that I could have made and did make four years ago. Thats what I'm telling you, the cat is gone, we're now going from a liability of $2,000,000 to a $150,000,000. I gave this Commission, at your direction ... I believe, 13 recommendations to try to turn this thing around, un- fortunately, only five were accepted. Now, you're asking me to try to turn around something which I tried to do four years ago, when the un- funded liability has now gone up a $150,000,000, no sir I can't so it. Nobody can do it except Jessie James, with his gun and rob a bank. Mayor Ferre: Is there anything else that anybody wants to say with re- gards to item. 18? What is the will of this Commission? I think we've got to be one way or the other, I think we got have the courage of a con- viction and state our decision. How ever we feel on this. Mr. Plummer: Well, you know... Mayor Ferre: When everthing else fails... Mr. Plummer: Yea, I'm trying to think what... Mayor Ferre: Plummer is ready to make a motion. Make your motion Plummer. Mr. Plummer: My motion has to be for deferral. Mayor Ferre: Mr. Plummer, moves that item #18 be deferred. Mr. Plummer: It has to be, Mr. Mayor, you know the one thing that you have to remember, that we're not talking here in this item to these people, these union heads or these people in the audience. We're talking to people who have died and their families are looking to this for their very survival. Mayor Ferre: Alright, whats... you know got it deferred for four years. How long are we going to defer it for? Mr. Plummer: Well, I don't know... what are we going to defer it for? .4 These people are in negotiation, Mayor Ferre: You're the one thats making the motion, Mr. Plummer: The Manager is in negotiation. Mayor Ferre: But, are you making a motion? Yes or no Mr, Plummer? Mr. Plummer: I'm making a motion for deferral, 1 want to give some more thought to the answer. Mayor Ferre: There is a motion to defer, is there a second? Mr. Plummer: Yes sir, we can address this again on the 28th. Mrs. Gordon: I'll go along with the deferral, but, I know whats going to happen and by deferring it or anymore than if we don't act on it, because the Manager is in labor negotiations, thats his job... he's got to negotiate. Whether we do this or we don't do this, he's going to negotiate to the best of his ability and the people that work for him... he's going to still negotiate. Ok, go ahead who's stoping you Mr. Grassie, go ahead and negotiate. I don't think we have to pass this for you to negotiate. Mr. Grassie: Two things Commissioner, no you don't have to pass it for us to negotiate, I just hope that I don't hear from you, that we never consult you on policy about things like this. And the other thing is that the basic thing that we are trying to achieve has to do with the budget. Now, it is very difficult to disassociate in peoples minds, the budget from the negotiating process and we understand that. Mayor Ferre: You know what she is telling you Joe, she's telling you look you're going to do it and you take the heat and its your job,, why should we take the heat off of you. You go ahead and stand up to it. Mr. Grassie: 1 understand that Mayor. Mayor Ferre: So,... if he's stronger than you are and you up and start blinking, when you guy start eye balling, well, thats your problem. Why are you putting it on us. I think thats what being said. Mr. Naples: Mr. Mayor, it maybe small consolation to you, but you're in no different position than Jacksonville, with about $200.000,000, in unfunded liability... but, it was all for the same reason, because City Managers, in the past have asked their actuaries how much money was available for that particular year and the actuaries came back and they set their assumption to what the City Manager, told them they had. We have letters to this effect, ok. And so thats what created the problem. So, I'm sure thats small consolation to you, there is a law thats coming down the pike that is going to take some 472 retirement systems... municipal systems and county systems in the state. And telling them for the first time there is about 30% of them that had never had an actuary review and thats going to tell them that now you will have an actuary review, now you will find out in fact what your unfunded committed liability is and now you will that based on... and you know everybody is getting very uptight and we've talked about this and you said you're not afraid of thirty five years... I'm not either. Detroit is currently funded, as long as the City is in existence, they're going to fund that. But, they have to be realistic about putting the money in thats necessary to fund it on a annual basis. Mayor Ferre: Ok, you heard the motion, there is a second, further dis- cussion? Call the roll. Mr. Plummer: Motion to defer. Mr. Ongie: Yes. Mr. Plummer: May I ask a question? Mr. Grassie, if we don't defer, what is the alternative? ...on a policy. Mr. Grassie: If you don't defer Commissioner, the alternative is that you would either approve the policy or you'll disapprove it. Maybe you're asking a different question, maybe what you're asking is, what is the consequence of'defer? Mr. Plummer: Sure, 65 JUN 0 91977 Mr, Grassiet The consequence of deferring is, that you continue basically the same kind of no policy, no constructive action, Lets take care of little problem as they come up, lets acede to little requests .as they come up and compoufd the problem from-hete into the future, That basical- ly is the alternative to continue the kind of action that has gotten you from'$2,000,000 to $180,000,000 of unfunded liability. Mrs. Gordon: You know, every time I hear that, I think back to that study. You know, that was a management sponsored study and that what really increased the big load on our back, if I'mn not misstaking, Thats when it happen, it didn't just...you know, happen for anyother reason. Mr. Grassie: You're entirely right, it did not just happen and if the City Commission, would like I would be happy to give you a summary of what has happen in the last four years that has made major contributions to your unfunded liability. Yea, I think that might be a good idea. Mayor Ferre: Mr. Plummer: Mr. Grassie: Mayor Ferre: Five years. Five years would cover that problem very nicely. Without any further discussion, call the roll. Thereupon the proceeding motion to defer introduced by Commissioner Plummer and seconded by Commissioner Gordon, was passed and adopted un- animously.. 10. ACCEPT BID: HEAVY EQUIPMENT FOR PUBLIC PROPERTIESI Mayor Ferre: Alright, take up item #42, a Heavy Equipment, Public Pro- perties, replaces equipment beyond repair. A total of $739,966. 42, accepting the bid and authorizing the Manager. The low bidder was? Who is the low bidder? Mrs. Gordon: Which number are you on Maurice? Mayor Maurice: 42 is the next one that the people are here for. Mr. Plummer: Well, Mr. Mayor, there is a number of successful bidders here. Mayor Ferre: Oh, I see... these are the different things, contractors for all five international harvester and so on. Ok, are there any ob- jectors? . Yes. Mr. Grassie: Mr. Mayor, could we have Mr. Ed Cox, speak briefly to this bid, so that the City Commission has some back ground on it. Mayor Ferre: Mr. Cox, you speak to it and then we'll hear the objectors, and then we'll vote. Mr. Cox: If I might Mr. Mayor... Commissioners, I have a chart here on the only item that I feel there is going to be any discussion on. We are basically recommending in all items, that the award be made to the low bidder. However, in items one and two is the garbage packer units, which consist of a body and a chassis . If any of you would prefer, I have copies of that, that I can pass out if thats not really plain. As you see on the chart, item 1, was for the and beside each one of the bids we have the FOB cost for delivering of that to the body manu- factory. And as you will see, FOB Leech, FOB Howell, FOB Packmore and FOB Garwood. The International ... International Harvester was the lowest acceptable bid on the -item of the truck body. If you'll notice in Leech and Howell, in the basest price without option, there is only two dollars difference in their bid on the bodys... two dollars. We bid three options, which are outlined on the chart. We chose to accept options two and options three. You will note then, if you go across the 66 JUN 0 91977, chart, that when you consider options two and options three combined with the FOB cost, this makes Leech... the Leech body or in your brochure HF Mason Equipment Company, the low bidder by some $51.00... $53.00, something like that. So, thats why I think that the discussion will be on this item. We had to combine the unit to make the entire garbage packer to identify all of the options in the bid, which we do call in the provisions of our document. We call for the FOB price to be identified, otherwise, if one were left out there might have to be an addition to the bid after the fact. We may in fact have to eliminate a bidder because he did not include ar. FOB delivery price. Mayor Ferre: Make your recommendation. Mr. Cox: The recommendation therefore, is that the award be made on item 1, to the International Harvester Company, for 15 and to the HF Mason Equipment Company, for 15 bodys, for the GMC Coach and Truck Division, for item three... Motors for item 4, Massey -Ferguson for item 5, South Florida Mac Truck for item 6, which by the way was for used vehicles. Its unusual that we purchase used equipment, however, the need at this time for the Virginia Key, field operation is urgent. We therefore felt that we should go out for equipment that was available immediately. There is an awful lot of used equipment available. The total of our bid being $739,966: Mr. Plummer: So we can get a point of discussion, I'll move that we accept the recommendation. (INAUDIBLE) Mr. Plummer: I'll make a motion and then get a second so that they can discuss it. Mrs. Gordon: Second. . Yes, we're open for discussion purposes... she was a seconder. Mr. Plummer: Alright, sir. Mr. Provone: My name is "Dan Provone", and I own Florida Municipal Sales Company and my prime reason for being here is on the HF Mason award. I sell the Packmore garbage packers and we have quite a few in the City of Miami, at present... in fact a majority of them are Packmore. But, the reason that I am here is because the way the award is or the way that that break down comes about is a base unit option 1, which is for a 1 to 2 cubic yard pick container system and as option 2, which is for the over- head through a 6 yard container system and item 3, which is a washout system. I believe that my unit is low with all options except the ones that was awarded with options number 2 and 3. My question to the City, is this... presently they only have up to 2 yard containers in the City, being picked up by the City trucks. And if they award the trucks to the HF Mason Company, overhead system, they might be creating a frankinstein. Number 1, does the City plan on buying 6 yard containers or having the commercial uses by themselves?... and if they are doing so ... you know, then its fine if you're buying the units as they are. But, I just think that you would be creating a problem for the City itself, without questioning it a little further. And the second question that I have,... on the bid they ask for a cashier's check. I don't believe that HF Mason, said that they would comply with this... they would give them a performance bond, which is a major issue at hand. The performance bond cost relatively nothing and enters into the fact that the money in- volved in the... per each price. I know that I included in my bid pro- posal the cost of this additional cost. So, I'm questioning whether the City or not should question HF Mason, as to their complying with this or not. The only reason I'm here is to that reason and to enlighten the council. So, thats my questions. Mr. Grassie: We'll have... I'm assuming that the City Commission, want some answers. : Yes sir. Mr. Grassie: We'll ask Mr. Cox, to answer them. Mr. Cox: I'll answer that to the best of my ability, As the Council Commission knows my department purchases and provides all using depart- 67 JUN 091977 rents equipment throughout the City and provides maintenance of that equipment. We order what the using department requires. What their requirements are based upon... whatever objectives or future plans that Using department has. We go over each purchase with each department, based upon their needs and based upon the equipment that we're planning to replace. Option 2, was the decision made by the using department. We don't question that decision where it deals with options. We assume that the using department has plans for using this type of equipment. The only thing that I can say to that or add to that is if you want ad- ditional information, Mr. is here and I'm sure that he can give you that. Mayor Ferre: Alright, sir. Mr. Yettiger: My name is " Earl Yettiger", with Roland Trucking Equip- ment of Miami. Mr. Plummer: Roland who sir? Mayor Ferre: Trucking Equipment. Mr. Yettiger: Roland Truck Equipment and I'm here on the same deal about the ward to Leech. Pair. Plummer: Well, excuse me... for my edification which one are you? Are you Howell, Packmore... Mr. Yettiger: I'm Howell. We represent Howell and Howell is the largest manufacture of rear loaders and municipal units. We current have sixty units in operation at Metro -Dade County, eighteen at the Beach and eight at the Gables. But, the big thing that I want to state is that I am low bid. I am low bid by two dollars and I wish I could get all your attention on this. I am low bid by two dollars, now I talked to Mr. Cox, and he said that they had to take into consideration that the rate on the to the garbage packer company would put me $50.00 high. But, also on the bid there is statement in there which calls for a discount on parts and I offered a 10% discount on parts , HF Mason offered zero. These are very expensive packers that you all are going to purchase and over the period of the next five, six or seven years. I feel sure that a garbage packer, which receive such extensive use that the 10% discount on parts... over what?--- seven year period of time, will more than offset the initial out lay. However, I... I won't take the ten minutes Mayor, I promise you. Mayor Ferre: The problem is that we've got bo... we cannot make unilateral decisions like that here. Mr. Yettiger: Yea, I... Mayor Ferre: We've got to be guided by what staff tells us and I'm sure they've taken all that into consideration. Mr. Yettiger: No sir, because noone asked me for my parts list to com- pare with Mason's. Mayor Ferre: Well, let me tell you this... Mr. Yettiger: But, let me... Mayor Ferre: Well no let me tell you, that you're talking to the wrong people. You really... you said nobody asked you, well this information then should have been gone to Mr. Cox and his people, long before this Commission Meeting and this Commission is not going to substitute... Mr. Yettiger: Oh, no... no I realize that, I did offer it to them, but they said that this would be too, hard to determine Mr. Mayor, and I a- gree it would be a very difficult item to determined on something like this of where this $50.00, over a period of five, six, seven years... However, I do want to state that I do agree with Mr. Provone, on his statement about... that some of them should have some container lists. And what T would like the Council to recommend and I'm suggesting, is that they buy five units from Florida Municipal Sales, five units with the container lift attachment, five units from Roland Trucking Equipment--- with the attachment and five units from HF Mason, with the at- tachment. If HF Mason is also, willing to put up a certified check like JUN 091977, the other of us are. Which was also, called for in the bid and which should become an exception in that instance. This would give the City, the opportunity to evaluate all three packers and if you're going into this high density equipment purchasing over from here on out, then certainly you should want to evaluate three packers when actually purchasing them as I am requesting, would actually mean a substantial savings. Not a substantial savings but, a small savings, because we're right close to- gether. So, I sincerely hope that you will consider a split award of five units each. I think this would be a just and equitable award. Mr. Cox: Mr. Mayor and Commissioners, I am not in accor0 with that recommendation, I stand that we're satisfied with the low bid, it is our recommendation that we award to the low bidder based on these figures before you. On the 10% for parts this does appear in our bid items and has appeared for sometime, that is primarily to encourage the suppliers to give us a discount. There is no way that we can evaluate any percent- age put in there, its merely to encourage a discount. We cannot evaluate it... the price structure in any catalogue is subject to change without notice but, it is there to encourage bidder to give us a break on parts. Mr. Plummer: Vice -Mayor, I've heard nothing to make me change my mind, I call for the vote. Mr. Provone: I'd like to say something, we didn't have an answer on that certified check business. Mr. Plummer: On what sir? Mr. Provone: 6n the certified check. Mr. Plummer: Mr. Cox? Mr. Cox: The certified check as I understand it will be fore coming when the award is made by the HF Mason Company... I think they are here. Is that correct? Mr. Plummer: Within the frame work. Mr. Cox: They had this under an exception, that they would post a per- formance bond. I took no exceptions, and neither did Florida Municipal Sales, it states that a performance bond... where your bid clearly states that a certified check or a cashier check must be posted. SPEAKER UNKNOWN: Mr. Mullins, would you like to speak to that? Mr. Mullins: Mr. Mayor and Commissioners, the City Code... Mr. Plummer: Please, state your name and position. Mr. Mullins: My name is "Art Mullins", and I'm the City Purchasing Agent. Mr. Plummer: Yea, I've heard of you. Mr. Mullins: The City Code gives the City Manager, the option to accept a performance bond on any purchase. Mr. Plummer: Are you telling me that everything is in order? Mr. Mullins: As far as I'm concerned it is. Mr. Plummer: I call for the vote. Mr. Cox: Mr. Plummer, could I ask you then, why is it stipulated in the bid... and this is a big stipulation. Mr. Plummer: Let me answer you sir, I didn't see the bid, I didn't ana- lyze the bid. I am merely saying to this department sir, is this thing in order and if it is I'm backing the recommendation, Now, if you find something to the contrary sir,: and you have done it... well you don't understand. I've ridden pretty hard on these people, ok, But, all I'm saying is that if they're not telling me the truth or what they're saying is not the truth, they're not going to get the opportunity to be asked a question like that again. Now, I have knocked down any deviation from fact in what they have been telling me, These people say to me that the man has... the City Manager has this right, Sir I can't go on anything Ivil!9e1'!'11 69 JUN 0 91977 else. Mt, Provone: Mr. Plummer, t would like to say something on that, When I took into consideration the price that I was giving to the City of Miami, I put in that the cost prorated over 15 units for the cashiers check that was going to be held, probably somewhere in the vicinity of four to six months. Now, if you'll notice the price on the sheet up here, there is probably a difference of $50.00 between the three awards or three low bidders. My cost for that cashiers check over six months is a lot more than $50.00 a unit. And I just like to,.. I'd like to know in the future whether you'd accept the performance bond from every- body instead of just calling out for cashiers check. Now, my bid probably would have been lower and so would have Roland Truck, I'm sure. Mr. Plummer: The only man that can answer that sir, will be the City Manager, in the future can they do it... yes or no. Sir, I can't answer that. Rev. Gibson: May I ask a question out of fairness for me? Did all of them have the same option.... the same right to put up a performance bond or a cashiers check? Mr. C:ox: No, in the bid it clearly states that we should put up either a cashiers check or a certified check in order to insure that if we are late on delivery, that the City will be allowed to deduct a certain amount of this check as a penalty. It becomes pretty difficult to deduct on a bond. S figured also, on my units the interest on the money that I had to put up. Otherwise, -I could have been lower. Mr. Provone: the city. Mr. Cox: Thats thrue and I think that I would put up a certified check or a cashiers check check or a cashiers check. And this is done in the City's protection, we're protecting Mr. Plummer: Father, I'm not arguing the point, I'm arguing... not arguing ... I am stating that the Manager and his people have asserted to me, that what they have done is perfectly in order and they still recommend this company and thats all I'm voting on. Rev. Gibson: But, what worries me is if we were... if they were told to put up a certified check or... you know, the same thing happen to us with the dolphin business... you remember that. Instead of the dolphins putting up that money, the dolphins put up a performance bond,... put up a bond, isn't that right? SPEAKER UNKNOWN: Yea. Rev. Gibson: ... tell the public. Mr. Grassie: They put it in • Rev. Gibson: No, they didn't put no money up, thats the point I make... isn't that true? Mr. Grassie: Thats correct. Rev. Gibson: Alright, now if we say to them put up money... now I know one thing, if I have to go to my church and take out of the treasury of the church $50,000, which we don't have but, if I have to get it and if I could promise to put up a bond which I'd put up a fee, thats a different story... thats what these men are saying. Mr. Plummer: I'll ask my question... Mr. Cox: Thats exactly.., Mr. Grassie: Lets ask... Rev. Gibson: Thats what they are saying. Mr. Grassie: Lets try and answer your,.. Mr. Cox: Thats exactly what I'm saying, could I make some,,, this is'why, are down here,,, and we're talking about a big bid when the bids 70 JUN 091971 and Cohen we all get down within like $50.00 a.,. we're really trying to get the bid fot the City. So, I either think then if someone is going to take an exception that the City shouldn't honor it, either they should put it up for rebid again and give us all a chance and say hey, you can each put up a performance bond or like I said... hey pick five of each. This will give the City a chance to evaluate these packers as you go along and then you won't have any problems next go around. But, give us all a chance because, we all really got down and try fot it as you can see, By either throwing it out or... Mr. Provone: In the long run the City benefits no matter what happen here. If you throw the bids out you're going to get lower bids the next time out of here, because we all know each others prices. You can't loss, Mr. Cox: Mr. Mayor,... Mr. Grassie: We're still... Commissioner, we're still trying to answer your question. (INAUDIBLE) Mr. Grassie: Ok, just answer the question. SPEAKER UNKNOWN: In the time I've been with the City, we have always accepted a per- formance bond as a deposit... a bid deposit, in lieu of cashier checks and this is because of our interpretation of the Code that says that the City Manager, has the option to accept a performance bond or a performance deposit. All of the people that have ever done business with the City, in the time that I've been here who have requested to submit a performance deposit bond in lieu of a cashiers check, have been granted that permission. Mr. Grassie: So, the answer to your question Commissioner, is yes. They all have the same opportunity. Rev. Gibson: Mr. Grassie, that doesn't answer my question. If you say in a bid that you must... that your bid must be accompanied by or with a cashiers check that one thing, it doesn't say in lieu of that or a bond. Thats what I'm trying to understand. And what these men are saying to you is that there was no discretion given them, there was a specific direction. Now either we're going to be specific and carry out what we say we're going to carry out or we aren't and this is what those two men are saying. Mr. Yettiger: Mr. Commissioner, the actual specifications'did not offer an option. Rev. Gibson: But, it said a check. Mr. Yettiger: It said a cashiers or certified check. However, I might point out at this point. That the cost in dollars of a performance bond exceeds the cost of a cashiers check. SPEAKER UNKNOWN:• No. Rev. Gibson: You know, I hope you're right. But, that isn't the way that the dolphins situation was... Mr. Yettiger: No sir it.... no not... depending on the size of the company and what business you... there is no way. I could get a performance bond for next to nothing , putting up a cashiers check means putting up money, its actual cash right there that once you deposit it you are drawing the interest off of it. You do not draw the interest off of a performance bond and the interest that you draw I lose. And this can also, more than offset any bid down there where you're coming within dollars, like this bid has been call for. Therefore, I'm saying that you either got to give us the fair right by calling for a rebid or give us five each, hey, I'm happy with that... I'm not greedy. Mr. Plummer: No way. Mr. Plummer: No way which sir? Mr. Plummer: No way that I'm going to split it up into three different parts where you three different kind of replacement parts, three kinds of mechanics, oh no. Mr. Yettiger: Mr. Plummer, this would give yo':... you've never gone into these high density machines before. This would give the City a chance to evaluate each machine. Now wait, don't worry about the parts because I carry plenty of parts. Because, next year it could be... you're going to advertise 15 again and then you could end up with an entirely different theme like you're talking about ending up with five. Mr Plummer; Let me tell you thus, if I find out that these people haven't aready eval- JUN 091977 bated... let tie tell you they have. x N±4 'fettigett We have. Mt. Gtassie: We still have the tecottendatioh in ftoflt of the City Cotissioh, it is that we award to the low bid and I think that you have heard the statement from the purchasing agents that the process followed has been proper, it has followed the pro- visions of the Code and it has been a process that the City has followed for years. Rev. Gibson: Mr. Manager, I want... I dontt know about another Commissioner, I have difficult to bid this way. The successful bidder will be required to submit a per- forinance guarantee prior to the issuing of a purchase order. This performance guaran- tee shall be a certified or cashiers check, in amount of not less than 5% of the bid. I just want to read what I ... Mr. Plummer: Father, there is no deviation from that.,, prior to the purchase order. There is not any purchase order been given,... Rev. Gibson: But,... M'dutemser: Excuse me sir, I didn't want to interrupt you aiid Ill ask the same There is purchase order given until approval of this Commission. There is no problem with that at all Father. Rev. Gibson: I see. Mr. Yettiger: Yes, because he took an exception to it. Now, if you are allow to say that you will do it on a bid and then after the purchase order comes through then change ... hey, he took an exception and said he would put up a bond, I took no exception, Ism willing to put up the cashiers check. Mr. Plummer: Let me ask a question. Mr. Cox, I got a awful lot of faith in you and I always have. Mr. Cox, I want to know another question totally unrelated of what these people are bring out. Mr. Cox, in your estimation is this the finest equipment we can buy for the City? mr • • Mr. Yettiger: Wait a minute, would you put that in another phase and say would you• ask Mr. Cox, whether the other two machines that have been bid are as equally as fine. Mr. Plummer: Fair question, Mr. Cox, if you just open the door, I think...Mr. Cox, was these machines used in Rochester? Mr. Cox: Are you speaking of the Howell machines? Mr. Plummer: Yes sir. Mr. Cox: Yes. Mr. Plummer: Whats the results... Mr. Cox: In my discussions with the... went. Mr. Plummer: Where is he from Mr. Cox? Mr. Cox: Rochester. Mr. Plummer: Did he have new machines? Mr. Cox: Yes sir. Mr. Plummer: Well tell us what the results were. Mr. Cox: The results as quoted to me was extremely poor. It resulted in much down time of the equipment, there were many problems in manufacturing that had to worked out after the machines were delivered. There is in fact some on going problems at this moment as I understand it. Mr, Plummer: Thank you, sir. MT, Yettiger: Now, could I introduce fir. ,John Thomas, of the Howell Company, who was with these Rochester deals right from the beginning and so that we here two sides. Mr. Cox: Yes sir. our present director of the sanitation depart - ME, • ■ ■ Mr, Plumper: Please do, 72 JUN 0 91977, Mr, Thomas: My name is 'John Thomas", and I'm the sales manager for the Howell Co► I kind of hoped that I didn't have to come up here and talk at all, I was hoping we'd go without this. The City of Rochester, is primarily ; they recently received approximately twenty units and there was some difficulty. The difficulties have since been solved and I can report today that the City of Rochester, recently bid another 16 units of identical nature to these and or nearly identical to these, the same type of bodies. I was informed this morning by telephone, that Com- missioner Watson, at the City of Rochester and the purchasing agent at the City of Rochester, have approved and purchased 16 more Howell Mark V Collect-o-matics. In discussions with Joe , the purchasing agent, for the City of Rochester, he assured me that they are delighted with the performance and current servicd they're getting out of their Howell equipment. Thats really all I can say. Mr. Yettiger: Would that answer... Mr, Plummer: I've called for the vote three times, I'm not going to call for it again. Mr. Yettiger": Well, I know Mr. Plummer, but could you also, think about calling for a rebid? Mr. Plummer: Sir, let me tell you something,... I 11 tell you again, I've told you three times and I don't mean to be mean. Mr. Yettiger: No, I realize that. Mr. Plummer: I am not an expert in garbage trucks, I must rely on my people who get paid pretty good salaries to give me the best advice available. I have dealt with Mr. Cox, now for seven years that I've been a public official and not one time has that man lead me wrong. It is his recommendation, he is indicating to me that, that is the low bid, he is well pleased that this is the thing and sir, I've got nothing else to say. Mr. Yettiger: No sir, the only thing I was talking about was the exception on the bid. Mr, Plummer: Sir, you're bringing out a technical point on a check, am I correct? That technical point, if Father will read it again... as far as I'm concerned, the administration has complied with. That before these people... who ever the winners are--- this Company here, they get a purchase order--- they have got to put up that check. Sir,... Mr. Yettiger: Make an exception Mr. Plummer, they said they would put up a bond in their bid. Mr. Plummer: will you admit that whats in this bid is an option. Mr. Yettiger: No sir, I figured on putting up... the way that is written, I figured on putting up either a certified check or cashiers check, which gives the City of Miami, the opportunity not only to draw interest of it, but then I lose interest and this is where my bid is $50.00 higher. And thats the way its written. Mayor Ferre: Look I'm going to tell you... Mr. Plummer, if you'll forgive for doing this, but you know we're getting into deep water in this thing and these are matters that are very, very technical in nature and very difficult to follow and frankly, unless its something that... if its illegal and somebody has been dishonest or something, then you take it to the State Attorney or to the Grand Jury. Otherwise, as far as I'm con- cerned I'm following the Manager's recommendation, I might be putting myself in a position to get involved in wading through some very difficult things which either staff is capable of doing and if Mr. Cox, is not capable of doing, then Mr. Cox, shouldn't be working for the City of Miami and if he is capable of doing it I'm going to follow his recommendation. Now, whats your recommendation Mr. Manager? Mr. Grassie: My recommendation Mr. Mayor and members of the City Commission, is that we concur in staff's recommendation that we award the bid to the low bidder. Mayor Ferre: Any motion at this point? Mr. Plummer: There has been a motion made. SPEAKER UNKNOWN: Mr. Mayor? Mayor Ferre: I'm sorry, when was the motion made? Mr. Plummer; I made the motion. Mayor Ferre: Whats your motion, I'm sorry I was.., 4r. Plummer; Accept the recommendation of the low bidders, 73 JUN U919fl Maya tette: A1tight;is there a e and 'to them tiuml Mrs. Gordon: Mayor tette: Rose totdon,..l further diacussiofi oii this1 MAKER UNKNOWN: Mt. Mayor, One thing before you make M watch I just like to say that in this City, you have two of the finest then uotking tut you! btgani2Stion and hooking out for the Cityts interest in Mr. Rush and Mr. Cok and I have nothing futthet to say. Mayor Fette: Thank you, vety much. Altight, further discussion tin this/ Call the roll. The following resolution WAS introduced by Commissiohet Plummer, who moved its adoption: RESOLUTION NO. 77-467 A RESOLUTION ACCEPTING THE FOLLOWING BIDS FOR FURNISHING HEAVY EQUIPMENT FOR THE DEPARTMENT OF PUBLIC PROPERTIES: BID OF INTERNATIONAL HARVESTER COMPANY FOR SIXTEEN CAB AND CHASSIS AT A COST OF $405,445; BID OF H. F. MASON EQUIPMENT FOR FIFTEEN REFUSE BODIES AT A COST OF $200,520; BID OF GMC TRUCK & COACH DIVISION FOR THREE TRUCKS AT A COST OF $65,196; BID OF CALLAHAN MOTORS COMPANY, INC. FOR ONE TREE CRANE AND THREE DUMP BODIES AT A COST OF $23,250 BID OF MASSEY-FERGUSON , INC. FOR ONE LOADER-BACKHOE AT A COST OF $16,055; BID OF SOUTH FLORIDA MACK TRUCKS, INC. FOR TWO DUMP TRUCKS AT A COST OF $29,500; ALLOCATING FUNDS FROM FEDERAL REVENUE SHARING FUNDS AND THE REPLACE- MENT RESERVE FUND; AUTHORIZING THE CITY MANAGER AND THE PURCHASING AGENT TO ISSUE THE PURCHASE ORDERS FOR THIS EQUIPMENT. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Gordon, the resolution was passed adopted by the following vote- AYES: Commissioner Manolo Reboso Commissioner J. L. Plummer, Jr. Commissioner Rose Gordon Vice -Mayor Theodore Gibson Mayor Maurice A. Ferre None. 11. ACCEPT BID FINGERPRINT IDENTIFICATION SYSTEM FOR POLICE DEPARTMENT, Plummer: Mr. Vice -Mayor, I would like to move item 43. Rev. Gibson: Alright, moved. Do I get a second please? Mr. Plummer: 43. Rev. Gibson: 43, this fingerprinting identification system, Mrs, Gordon; Second. Rev, Gibson; Alright, call the roll please, JUN 0 91977 1wiftg t 1utio t, A i!ti8duted by Com i rioter Pin e 1ES6LUTION NO. 77.468 A RESOLUTION ACCEPTING THE EIt) OP ROCKWELL INTERNATIONAL IN THE AMOUNT OF $403,187 FOR PURNISlING AN AUTOMATIC • • PINGERPRINT IbENTIPICATION SYSTEM; ALLOCATING FUNDS PROM THE POLICE HEAWAkTERS ANL CRIME PREVENTION FACILITIES EONb PUNO AUTtORIEINO'TRE CITY MANAGER TO ENTER INTO A CONTRACT WITH THE APORESAIb FIRM; ANb INSTRUCTING THE PURCHASE !APARTMENT TO ISSUE A.PURCHASE ORDER POR SUCH EQUIPMENT. (here follows body of resolution, omitted here and oft file in the Office of the City Clerk.) Upon being seconded by Commissioner Gordon, the resolution Was passed atd,, adopted by the following vote- AY Commissioner Manolo Reboso Commissioner ,. L. Plummer, Jr. Commissioner flose Gordon • Vice -Mayor Theodore Gibson. Mayor Maurice.A. Ferre NOES t one. m i 11 Er a iI ■ II !IIIIIII!II IU 11 III!II!4I!!II!IIJIIIII JUN 0 91977 . PROGRESS SPORT - MIAMI DOLPHINSUSE OP THE ()PANG BOWL STADIUMI Mayor Ferre; Mr. Grassie? Mr. Grassie: Mr. Mayor, this item Was listed on the agenda a progress report because at the time we prepared the agenda we did not have a completed document representing a 10 year contract between the City and the Dolphins. The last changes were made by the Dolphins on this yesterday. Yesterday morning we received it. We have tried to get it around to each of the members of the City Commission during the evening and this morning. I'm sorry for that time crunch. The one thing that puts us a little bit on the timetable that's tighter than I would like is the whole question of going to New York to make a representation for the city with regard to the Super Bowl. You know that thats place next week. Mayor Ferre: What does that have to do with this? You mean to make a representation for the Super Bowl until we have a signed Mr, Grassie: No. I'm not saying that to you. I'm saying that delegation, particularly our staff. I believe that this is the would prefer that this not be an issue. That this still not be limbo. Mayor Ferre: Is that --- Mr. Grassie: It's simply preference. I'm simply explaining to only reason that we are not dragging.... Mayor Ferre: These are opinions not facts. Mr. Grassie: It's simply a judgment that's all. tell me we can't go and contract with the Dolphins? the people in that case of Mr. Plummer also, hanging out there in you that that's the Mayor Ferre: Judgment. Judgmental value. Ok. Alright, so what do you recommend that we do now? Mr. Grassie: I would if you... I know that you're pressed for time, I would like to go through this and point out the major elements if you think that that's necessary. I think all of you had a chance to read through it. Would you like me to go through and mention the major points? Would you like me to go through the document and mention the major points? What this does is it puts on paper the agreement reached in principle between the City and the Dolphins with the assistance of the Chamber of Commerce and the Orange Bowl Committee. You remember that we were in the process a couple months ago of trying to reach that agreement. Now, what this document does is makes specific what the city has agreed to. The basic provisions are that it is a 10 year agreement. It does provide that the Dolphins can indicate a willingness to cancel the agreement on three year notice if a new stadium is built. It does provide for doubling of the rent, and it does provide an increase in those rental rates. I said it was a 10 year agreement. It also covers 1976, You remember we wanted to pick up that one year. So, in reality it covers 11 years. Rev. Gibson: Mr. Mayor, I have some problems with this contract. I, Theodore Gibson, finds it difficult to be dealing in good faith and you're telling me you want a three year out and you want me to go before the people and invest their 50 million dollars to renovate the Orange Bowl, that's number one. Mr. Grassie: No, that's not what the agreement says sir. Rev. Gibson: Say what? Mr. Grassie: No, that is not what the agreement says. What the agreement says is that if the City and the Dolphins agree on major improvements that at that time we would agree on how the rates would go up and we would agree that when the improvements are made the rates will go up and there would be no escape clause. There will be no 3-year clause. Rev. Gibson: Suppose it is the judgment of this Commission not to do anything, then you mean to tell me.... you know ? Mr. Plummer: Then the 3-year escape clause stays in Father. Rev. Gibson: Let me raise another thing. I don't particularly like that. But let me raise another thing. I hope before we sign this agreement and I'm going to insist for Theodore Gibson, otherwise I'm going to vote against it. I hope before we sign this agreement that we get clarity. I don't know what the term is but you could go to a 11111111111 IIII!!'uil!!!uIIIIII II I IIIII1 76 JUN 0 91977i Judge and ask for advice or an advisory judgment on whether this is taxed or whether this is rent. Now, you know, you ain't fooling met Mayor Ferrel See, they took us to court and fought us on whether it was a tax or not and beat us. Rev. Gibson: Right! Mayor Ferre: Now, they got themselves into a trap. Now they want it to be a tax. Rev. Gibson: Right! Mayor Ferre: See, because they want to get away from paying. Rev. Gibson: That's right and I'm doing.... let me tell you this. I Will not sit on this Commission as a governmental agency and be party to HUD taking advantage of another governmental agency. I will not! Mayor Ferre: Especially, when they took us to court and argued the other side. Rev. Gibson: Right. It was expedient and to their advantage at that time and they ought to live with it. See, my mother taught me and she wasn't no college graduate. She was no big financier, said when you dig one ditch you ought to dig two. Mr. Plummer: Boy, I'd go broke under those circumstances. Rev. Gibson: And, I am not going to be party too. I'm going to hold up the conscience of this Commission. Doggone it. He went to court, won, bravo, bravo. Now, he want me to lie and mislead the Federal Government. No, pay your tax! The State Government. Go in there in the stadium and you have one of those rock and roll , they pay their taxes. Let him pay his tax. I ain't buying them. Right Rose. Right! Right! Right on! Mayor Ferre: Alright. Mr. Grassie, I guess while we're on it. We're going through this. We may as well just get on the record one,question of the scoreboard. Two, the matter of the concessions beyond 1980, and three, the question of security guards and who pays for them. Rev. Gibson: And, four, whether this is a tax or rent. Mayor Ferre: Wait a minute, you made that point. I'm adding mine to yours. Rev. Gibson: Oh I see. Fine. Fine. Mayor Ferre: One is the scoreboard. The other one is the -- who pays for the security. Three is the concession. I had another one. I forget what it was. You remember? Mr. Grassie: The Guards. The Guard Service? Mayor Ferre: I've already mentioned that. Mr. Jennings what was the fourth item that I mentioned to you. I mentioned four. One was the scoreboard. One was the concession. Mr. Jennings: I only recollect three Mr. Mayor. The three that you've talked about. The Security Guards, the Scoreboard, and the Concession. That's the only three that I recollect. Mayor Ferre: Yes. Mr. Grassie: Just so that I can understand. I take it that what you're saying is that you feel that we should get this question of the tax fee clarified. Mayor Ferre: You want me to spell it out? Mr. Grassie: No. If the City Commission is basically in concurrence with the position of Commissioner Gibson,then the direction that I understand is that we would have to go to the court and try to get that clarified. Mayor Ferre: Yes, I think the court would have to clarify that portion. Mr. Grassie: We can't do it by ourselves. Mayor Ferre; If the court agrees to it then i would have no objections to it. That's the court decision. But it seems to me the thing that really concerns me is the fact that I don't want to tie myself into an internal legal battlE. with Dan Paul, the attorney for the Dolphins about a clause regarding the concessions beyond 1980, I don't want those concessions to be concurrent with anything else, In 1980 they are over, over, finished and we have complete freedom to re -negotiate, re -bid, re -contract, or anything else a U 0 91�71, I don't want anythingin the language that would in anyay imply directly, indirectly by inference or otherwise anything other than it's a brand new ballgame. And, if I know the way these attorneys operate and Dan Paul, a great guy, but that's a very sharp attorney. That thing in there is a hook and there's no question about it. Mr. Grassie: Well, Mayor, Dan Paul may get a lot of credit, but the fact is that the basic terms of this agreement are the ones that we arrived at. Mayor Ferre: Not this Commission. Mr. Grassie: That we arrived at. I'm speaking of Bill Colson, Ray Goode, and Lester Freeman and I, with the representatives of the Dolphins. Mayor Ferre: They don't speak for the City of Miami. Mr. Grassie: I didn't say they did sir. I'm simply defining who we is as I'm using the word. Now, that group attempted to solve what was preceived to be a problem. We achieved what was preceived to be a solution and I say preceived to be a solution because when we brought the solution to the City Commission everybody was very happy that something had been accomplished and we were very nice to the Dolphins. We felt that a step forward had been taken. Now, in trying to make that agreement a legal document we've got to cover the provisions that we agreed to. I guess, I don't know how to tell you this any other way than to say to you that we cannot keep dealing, I cannot keep dealing with these people on the basis of my achieving some kind of an agreement with them, and it's having no significance. Now, the only thing that I can suggest Mr. Mayor is that if I can't bring you an agreement that you're satisified with, you know, either he's going to have to deal directly with you. You know, I'm not being critical of the process. All I'm telling you is I cannot be e.ffective for you if I can't achieve an agreement for you. Mayor Ferre: Mr. Grassie, you negotiated a contract with the University of Miami. University of Miami, this is not limited to Mr. Grassie. Mr. Grassie: No. I didn't. Mayor Ferre: Oh, staff did. Is that , Mr. Jennings did? Mr. Grassie: No sir. Mayor Ferre: Who negotiated? Mr. Grassie: You did on the floor of this Commission. Mayor Ferre: No sir. Mr. Grassie: Well, when I say you, the City Commission. I'm simply giving you my understanding of what happened because you brought that up. Mayor Ferre: Would you let me finish my statement here and I have to clarify that? Mr. Jennings, I apologize, not you, one of your representatives. When I say you, I mean you the Administration negotiated a contract. Now, we went several times back and forth because this Commission could not agree on that contract. Now, when we tell you to negotiate a contract that doesn't mean that it's Carte Blanche that you can go sign it and finalize it without bringing it back to this policy making board. Now, in that particular case I happened to notice that we were giving the University of Miami $25,000 a year.and for that we could be getting zero, so we were in effect subsidizing the University of Miami for their football games and I told the man who came to see me from the University. He said, Mr. Mayor, I'm here to see you and I'm going to go talk to all the Commissioners and I say I don't know about all the Commissioners but I'm telling you there ain't no way that I'm voting for a contract that gives University of Miami $25,000 a year unless you give you a minimum guaranteed amount which covers us at least for the minimum expenses and upon talking to Mr. Jennings I understood that $40,000 was the very, very minimum that it would cost and that's how we inserted that into the contract. Now, I go to lengths of pointing it just to stress that this is not limited to the Dolphins. Now, with the Dolphins, this Commission e.grees with the Dolphins to give them one hell of a contract which is a 10-year contract with a three year provision that they could walk away and give us 3-years notice. We also agree we wanted 10%. We were getting 3%, and we ended up getting how much? 5%. Now, I want to tell you something and that's basically all we talked about. We didn't talk about a heck of a lot more. Now, we get a contract before us and number one the 5% is now gone. It's now something new which is a .53016 multiplied by the number of seats in the Orange Bowl, which is something completely new. This Commission has not voted on it and not expressed an opinion. I accept a premise that the 5, after 1977, it's .563295 multiplied so, I understand that that more or less comes out to what 5% or similar to it and that's 78 JUN 0 919771 a new provision. Now,(pecifically # aM concerhed abou a contract ih here tvhich basically says and I think it was item #3 Mr. Jenhings? Mt. Jennings: On which? Mayor Ferre: With regards to the concession. 1980 concession, Mr. Jennings: No, it's item 12 Mr. Mayor on page 11. Mayor Ferre: I'm specifically concerned about item 12 which says,"subject to a successfully negotiation". I can see Dan Paul's lawsuit right now, "Of the provisions of a new concession agreement with partnership". The city agrees that the term of the new concession agreement will coincide with the term of disagreement, Now, what is the successfully negotiation? Are we the sole determined factors of whether it's a successful negotiation? Mr. Grassie: Yes sir. Mayor Ferre: Nobody else can determine that legally? Mr. Grassie: No. Mayor Ferre: There's no room for a lawsuit in here, Mr. Knox? Mr. Grassie: If we don't agree it's not a successful negotiation. Mr. Knox: There's no agreement then as the Manager said there will no successful negotiation. Mayor Ferre: Yes. The next thing is we've been having a fight and a hassle back and forth for years on that scoreboard. Now, Mr. Joe Robbie, who ends up unbelievably ends up being the hero of all these things has been on his own stopping this City of Miami from putting up a two million dollars scoreboard because he's obstructed it every inch of the way for the past, how many years J.L.? Four years. We could have had that scoreboard up four years ago, and then they start complaining about whether the speaking system is no good and the scoreboard system is no good. We end up taking all the heat. We're the bad guys.We get the blame and the guy that's been obstructing it is Joe Robbie. Why? Well, because he wants part of the action. He doesn't want us to be taking the money out of it when he can get some money out of it. It's just that simple. See, so that he can make another $50,000 bucks or whatever it is. We get strong -up, cut-up, and quartered, and we don't have a scoreboard. And, the fans who do they get angry at? They don't get angry at Joe Robbie. They get angry at the City of Miami because we don't have a proper speaker. We don't have the proper score- board and why don't we have a proper scoreboard, well, here we go again and all I'm saying, I guess, on the record,is that I want an absolute clear cut definition that we've got to get a scoreboard, half of it, part of it, whatever it is. And, lastly, now that we've come down from a 10% which is what we were requiring the 5% as you know in most stadiums around the nation Mr. Jennings it is the user who pays for security guard. Is that correct? Mr. Jennings: Yes sir in most stadiums. Mayor Ferre: In most stadiums. In most stadiums they get 10%. We're getting 5%. Mr. Jennings: Well, it isn't 5 Mr. Mayor really. Mayor Ferre: Well, what is it? Mr. Jennings: Well, it's hard to calculate because it depends on the size crowd and the ticket price of cost. Mayor Ferre: Well, this Commission went on record on 5%. Mr. Jennings: This particular contract would work out to probably 8 or 9%. Mr. Plummer: Excuse me. We went on a definite figure a dollar amount. Mayor Ferre: Well, that's not what this contract says. Mr, Grassie: Yes it does sir. This contract, although it is a formula. This contract says you get $40,000 per game for the first year. You get $42,500 per game the second year and $45,000 per game after that. That's what the contract says sir, and that's what you agreed to. Mayor Ferre: Right, Ok, Mr, Plummer; Mr, Mayor, let Ine. , . , 79 JUN 0 91977 Mayor Ferre: J. L. , thest thing, which is the question lif the guards. It seems to me that that's something that we ought to clarify that it certainly was not my vision of it that we'd be stuck for paying for the guards at all. Now, tinsknowlittlethingsa C$ing aj.1u hosett Yngs ano tnaf'sehow we4gettOin'orthese0sitOuations. and you Mr. Plummer: Mr. Mayor, since you took the prerogative of speaking to other than directly to the contract; Let me tell you what bothers me. Not speaking directly to the Dolphins contract, and it's to the point Mr. Mayor that Mr. Grassie made. The thing that I find ourselves increasing everyday becoming more involved in is that we send this man out to do a job and I think where we fail is not setting the parameters in which he has the right to negotiate so that when he comes back here we can back this man up because if we don't do that, all we're doing is spinning our wheels. We're not not doing anything other than losing the Manager or whoever his designee is, their creditability, and to me in some way shape or form we've either got to make a decision that we're going to turn it over to him, give him parameters and if he comes back within those parameters,agree or let's stop that procedure and start negotiating right here in front of this Commission. Now, I know that doesn't speak to this contract, but --- well let me tell you here we are faced up once again with the same damn thing. Rev. Gibson: J.L., you know how I felt all along. Mr. Plummer: Sure Father. Rev. Gibson: You know how I felt all along, and, I didn't you know, if you'd gone on the way I felt you wouldn't be in this predicament. I don't see why,... You know, I see some things happen that just really shock me. I remember... I remember when.. the Dolphins demanded a piece of the concession action. Demanded a piece of the concession action and you know we Mr. Grassie wasn't here. We went right on. I don't think we ought to do it. I don't think we ought to do it. That's why, everybody thinks all they got to do is just come down talk loud to us, raise hell, get in the paper and then all of us just knuckle under, and I want to make sure J.L. understands this. One of the things I've always been for is to sustain and the man that goes out. I've always been on... I said this before. But,let me tell you something I don't plan to give the Manager Carte Blanche to represent Theodore Gibson. I want him to go and come back and report to me, tell me what some possibilites are. I still want to have the final word, because I happen to have the answer. Mr. Plummer: Father, I have no disagreement with that. What I'm saying is when we send that man out or whoever we send out. I think where this Commission has failed is giving the parameters of what he can negotiate and how far and how much. That's where I think that this thing has fallen apart. Rev. Gibson: J. L., you know, I think sometimes it would be nice if we would say no to some of these things and say, well I better ask my Commission. You know, that happens. Let me tell you,that happens in some other things around here. I'm going to mention something else too. I want you to know. I got some dead set feelings about some things. Mr. Plummer: Well, where are we right now? That's .... Mayor Ferre: I'll tell you where we are. In my opinion, I think what we ought to do is with the qualifications expressed on the record, Instruct the Manager to submit our misgivings. Look, as far as I'm concerned you've covered most of them. You've covered the question of the minimum. You've covered the question of Father Gibson's point. Because that's, the Judge is going to determine that. You've covered the question of the concession. I'm satisfied on the record that we have no legal obligation. There's only two things that, as far as I'm concerned are left that I see and one is the sign, and I think we ought to try to make some headway on that, and the other thing is the guard service. How much does the guard service amount to Joe? Mr. Crumpton: It has been amounting to $4,000 per game. Mr. Plummer: Is that with all policemen or with the Wackenhut situation? Mr.Crumpton: No, that's with all policemen. Mr. Plummer: But you're going to the Wackenhut, right? Mr.Crumpton: Yes. We are. Well, hopefully we are, yes. That would reduce it to maybe, 2 to 3,000 per game. Mr. Grassie: But, the difficulty Mayor is that not that it's much money, but that that happens to me one of the items that was specifically discussed when Bill Colson was acting as the intermediary, and we brought that question to the Commission. I believe that Father Gibson specifically asked about that. Because he wanted something done about it. Bill Colson explained it and you agreed. 80 JUN 0 91971 Mayor Ferre: Mr. Grassie, look, we're talking about $40,000 some odd dollars. You've discussed it and agreed upon it. It was brought up before the Commission. As far as I'm concerned we'll go with that too. I'll vote for that. So, that leaves us one thing left and that's the sign. Mr. Grassie: And, basically, the language of the agreement Mayor at this stage simply says that the city can do anything it wants so long as it doesn't construe the agreement to obligate the Dolphins to do something they haven't agreed to. Now, that's all it says. All it says is that we will not take our right to put up a sign, put up a new scoreboard to mean that we can make them carry concessions they don't want to carry. That's all it says. Mayor Ferre: How are you going to get a major company to spend two million dollars which is what a major sign cost,unless they can have the right of advertising in major football games? They're not going to put it after the high school games. Mr. Grassie: Well, there are two answers Mayor. One, we can get an improved scoreboard. Not a video re -play scoreboard but an improved scoreboard with 3-year provision that we have and without any agreement on the part of the Dolphins. If we want a large two million dollar scoreboard we have to their agreement. But part of my premise Mayor, in talking with these people is that we have to have their agreement just like they have to have ours. My premise is that we cannot make the 15,000,000 work of improvement or any serious improvements without their agreement and we're not really going to have a big scoreboard without their agreement. And, why shouldn't we agree with them? Mayor Ferre: I agree that the problem is that we always end up with the short end of the stick and Mr. Robbie uses all these things to whip us all the time and get one more concession and one more deal and sure he comes out ahead everytime and the city stands still. And, all I'm saying is, you know, power to them. But on the other hand, you know, instead of being defensive about it, it's long overdue for this city to become more agressive about it. Because as badly as Grassie and Robbie want to come to an agreement and I want to come to an agreement too. It always ends up that we'll always cornered, we're always put in a position where Robbie ends up making one hell of a deal. Now, fine. I have no objections to him making a deal, but you know we want a little room for the people of Miami too and we want something so that we can go ahead and improve and improve the stadium. He has been holding this up for the last 5 or 6 years and hopefully ... who's the beneficiary of Mr. Robbie's stubbornness? Not Mr. Robbie, so far. Certainly not the City of Miami, and certainly not the Dolphins, and certainly not the people who have to go and sit on those hard wood benches when we could have been well along in doing a lot of things for the ... 4 or 5 years ago. And, here we go on this merry-go-round chasing each other, calling everybody, everybody back and forth, you know, back and forth . My God these negotiations are harder than the Mr. Grassie: Well, Mayor, you know, about three or four months ago, I concluded one of the big problems that we were having was that we were getting into exactly the kind of position that we have right now, which is that I brought back a recommendation and you thought that maybe something better could be done. Now, my response at that time was to work with a team of three people. At that point I wasn't even talking with the Dolphins directly. Upon the assumption that there would be some creditability in people like Colson and Ray Goode, and Les Freeman and if they couldn't get a better deal for the city, that maybe it would be reasonable to think that that was as good a deal as could be got. And, what you have on paper today is simply a recording of that deal. It does not change anything of any significance. It is simply putting down on paper what we agreed to three months ago. Mayor Ferre: Poor City of Miami. Mr. Grassie: Well, sir you have three of your principle citizens who tried to get what they conceived to be for this community a fair deal. Mayor Ferre: Poor City of Miami. Amen. Let's go. I'm ready to vote, reluctantly. Anybody want to make a motion? Mr. Plummer: Mr. Mayor, I have to feel the Manager has done the best job he can do. I have to feel that Bill Colson, who I've talked with on a number of occasions from no standpoint other than the good of this community has assisted both sides in getting a fair, and equitable deal. I don't think I could do better. Based upon that, I will have to accept the recommendation of the Manager in this contract to be accepted with, I think, it is only fair some clarification as it relates to the word, tax. I think that's only fair that it should be. Mr. Mayor, I'll make a motion that we accept this agreement as proffered. Mayor Ferre: There's a motion and a second. Is there further discussion? Mr. Knox: Mr. Mayor, this is assuming of course, that the question about taxes is 81 JUN 091977, tesoli'ed, Mayor Fette: the Judge has to resolve that, Mr. Knox: One thing I have to point out to you is that the Judge will probably fiat resolve it, As I understand and the Judge will be asked to Vacate the order Which declared this taxing power of the city unconstitutional and it Would therefore be presumed to be constitutional that the city has this power. Mr. Mummer: What are you telling us? Rev. Gibson: Wait a minute. Let's make sure. You know, what he's telling you, that in order to benefit themselves they Vacate that order. No, no. Mr. Knox: In other words, the Judge is not, as I understand it going to approve of a contract♦ Rev. Gibson: He's not going to do what? Mr. Knox: Approve. Formally approve of this contract. If the Judge vacates the order then it's as if the order was never issued. Rev, Gibson: No man. No man! We aren't any fool. You can't eat your cake and have it too. Man, let me tell you something. You don't have the money and all this time the guy operated with your money. You didn't pay no interest. That's the same kind of thing that was talked about here. I say that... no you aren't paid. That's what you don't know. You put up a performance bond. Sure. Mr. Grassie: We're trying to get this thing signed so that we can get paid, for goodness sake. That's why it covers 1976. Mr. Reboso: Let me ask you Mr. Manager. As soon as you sign the contract, are we going to get the money? Mr. Grassie: Assuming that the court clears up the question that Commissioner Plummer was talking about. The answer is yes. Mr. Reboso: Is there any possibility that we don't get the money? Mr. Grassie: Not that I'm aware of. No. Mr. Plummer: Wait a minute. I want to hear the legal ... He's shaking his head in circles now. Mr. Grassie: I'm not aware of any provision that would allow us to not get paid. Mr. Plummer: Do you know Mr. Knox, of any reason why if this agreement is signed that the court will not release our money? Mr. Knox: I don't. Mr. Plummer: You don't know of any reason? Mr. Knox: That's right. Mr. Reboso: Then, what's the problem? Rev. Gibson: Look man, this man took us to court. You know what, it's very unfortunate that papers don't write. The twisting changing from position to the other over against rent and tax was engineered by the very lawyer who took us to court. By the very lawyer who took us to court and now we want to get on our bellies and crawl some more. .... Mr. Plummer: Look, hey, come on, we're hung up. Let's try to unhang here. Mr. Grassie, if we don't sign this agreement where are we? Rev. Gibson: I'll vote for the motion, only if that tax situation is cleared up. I be doggone if I'm going to sit on this commission and finagle around with the term tax or rent and then go... no man, because if he's paying rent, he's got to pay the state government that tax. Mr, Reboso; Father, that is part of the motion, Rev. Gibson; Well, I want to make sure everybody understands that, Mr, Reboso; That is covered by the motion. 82 JUN 0 91977 Mr, Grassie: t think we understand what you're saying, Rev, Gibson: Mr. Plummer: Alright, 1 hope you do, Well, in order words,,. let me explain it. t made the motion. My motion was that we accept this lease subject to the clarification of the word tak by the court. Well who else is going to make that determination? And, you're saying that it can't be done? Because if that does then my motion is out of order. Mr. Knox; What I'm trying to do is clarify the word "clarify". Mr, Plummer: Well, you go ahead and clarify it then. Mr. Knox: To indicate to you what the court is expected to do at this point and to advise you that you should not expect that the court will approve of this contract. The question that will be before the court is whether or not it will vacate an order which declared a tax or the power of the city to impose a tax unconstitutional. That is not a declaration, that it is constitutional. It creates a presumption that it is constitutional. Mr. Plummer: George I remember very vividly and refresh my memory in the lawsuit one of their contentions was that this tax was illegal. Am I correct? Mr. Knox: Right, but in the argument... Mr. Plummer: The Judge based her order on the fact that it could not be called a tax that it had to be called rent. Now, here you are in a contract once again calling it a tax. Mr. Knox: Right. Mr. Plummer: Now, you mean to tell me that the Judge is not going to clarify that? Mayor Ferre: Which is exactly what Dan Paul fought us on. That was his argument before the court, right? Mr. Knox: That's right. Mayor Ferre: Now, of course, to his benefit now he wants to take our side on it. Rev. Gibson: That's what I was trying to tell you. So the thing to do is make him live with the tax. I told you if you dig one grave dig two. It was convenient and to his economic advantage. See, now let him suffer the consequence. Mayor Ferre: Well, ok. I think that's a condition ... Mr. Plummer: No, Father, you are the other way around. You are just completely backward if I'm not mistaken. He wants it to be a tax. Rev. Gibson: I don't want it to be no tax that's the point I'm making. I want to go back to the rent. Because if we go to the rent he has to pay tax. Mayor Ferre: Of course, we're not the beneficiaries of it. Rev. Gibson: I don't care. One thing you'll discover. If we went through all that sweat, tears and blood we ought to be paid. Let him pay some of it too. Mayor Ferre: To the state. Rev. Gibson: Alright, that's what I'm saying. Mayor Ferre: Alright, I have one last question. Mr. Jennings, then I'm ready. I have one last question. Mr. Grassie, on the question of the scoreboard. The legal objection is that since he's the concessionaire we cannot advertise things that are against the products that he sells, is that right? Mr. Grassie: No sir. It is a question of what the advertiser would want to establish as a condition for his advertising. For example, a Cigarette Company taking out an ad may want to insure that his cigarettes will be sold in the stadium. Mayor Ferre: No, here's the thrust of my question. In 1980, when is this concession over? 14r, Jennings; In 1980, sir. EUII .1111 1 111111111111.1111 ilionommil 83 JUN0919Z 41 Mayor Ferre: When? January? Mr. Jennings: Not June or July, Mayor Ferret Alright, June and July of 1980 that question is a blood question is that right? Mr. Jennings; Yes it is. Mayor Ferre: So, then we can negotiate at that point and that will be one of the things that we're going to put in. Mr. Grassie: Yes, except that I would hope that we would be able to negotiate With the Dolphins and get something going much before then. Mayor Ferre: I would expect so too. But at worst by 1980 we can get it clarified. Mr. Jennings: Yes. Mayor Ferre: And, I guarantee you the way Joe Robbie operates, excuse me, it'll be July 1980, but by then at least we know that we'll get it clarified. Ok. I'm ready to vote. Further discussion. Mr. Plummer? Mr. Plummer: Mr. Grassie, I'm concerned.These are minute points. Mr. Knox, you better come back here. In item 11, page 11, well it starts on 10, about free parking spaces. I think the wording is very loose. That's 140 parking spaces. Mr. Plummer: Well, but do we understand correctly that there will not be more than 125 parking spaces granted free? Mr. Grassie: That is very clear. As a matter of fact, the city has... Yes it is very clear that this takes care of not only the team management but it also takes care of the coach if that's what you're asking. Mayor Ferre: Alright, I want to make sure that we have this thing with the tax --- Mr. Grassie, Mr. Plummer, you're the maker of the motion, and Rose, I want to add a sentence in there that if at any time there is a lawsuit should we vacate or should the Judge agree or whatever the way this works out if anybody challenges this in the future. I want Mr. Robbie before hand in this contract to agree that he will not use that as a pretext not to pay us and hold up payments. That's a new clause that has to be added to this contract and if that is the decision of the court he obviously has to live by it. But until the court decide I don't want him saying,"well I had nothing to do with the lawsuit, some user of the stadium has sued us and now it's in court and I'm not going to pay you until it's decided and then we go through another one of these... " Ok. Is that acceptable to you Plummer? Mr. Plummer: Yes, sure. Mayor Ferre: Rose? Alright, any other questions? Mr. Plummer: Mr. Knox, just for clarification, because I'm a little indefinite. On page 11, item 12, I want you to read that again and I'm going to ask the question that the Mayor asked once again just to make sure. Because the way I read this baby you're either going to make a successful negotiation with the partnership or you're not going to be doing anything else. Now, this to me it says, subject to successful negotiations of the provision of a new agreement with the partnership. It doesn't give you Mr. Grassie, in my estimation any latitude to deal with any one other than the partnership. Mr. Grassie: Not so sir. Not so. What that says, it's very simply is that if we should at sometime in the future agree with regard to concessions we are stating our present intention that that agreement run concurrent with this agreement. That is all we are saying. Mr. Plummer: Only, if there is a successful negotiation. Mr. Grassie: That's correct. Mr. Plummer; And, if there is not, Mr. Knox, you concur with the feeling of Mr. Grassie from a legal standpoint that would give this city the full right to deal with someone else if the negotiation was not successful? Mr, Knox; Yes sir, If my reading of this provision goes to the term of a new concession agreement rather than any right to negotiate with anybody else, i i 84 JUN 0 91971. Mr. Plummer: Ok, Mayor Ferre: Alright, are you satisfied now Plummer? Mr. Plummer: You're beautiful, Mayor Ferre: Ok. Anything else? Call the roll. Thereupon the foregoing motion introduced by Commissioner PluMmet and seconded by Commissioner Gordon was passed and adopted by a uhahimous vote and was designated Motion No. 77-469. SEE LATER RESOLUTION NO. 77-501. Further Discussion: Mayor Ferre: Thank you very much.... Mr. Plummer: Wait a minute, excuse me. Are we going to validate the election results on the Orange Bowl? Mr. Ongie: Yes sir we do. Mayor Ferre: Well, we can wait on that. There are people waiting for other things. 13. PERSONAL APPEARANCE: ROBERT HOROWITZ REQUESTING ASSISTANCE FOR "GROVE HOUSE." Mayor Ferre: Mr. Horowitz, I'd like to recognize you at this time. The subject is "Grove House". Let's give Mr. Horowitz the attention that this item deserves. Mr. Horowitz: Sixteen years in your city we've had Grove House operating which is the only non-profit Art/Craft Organization in the State of Florida. I know a lot of you have participated with us in our activities and I'm here to really congratulate you and thank you for the support you've given to Grove House over the past. We're here today as the first time we've appeared before a Commission or governmental body sixteen years of operation. The operation of the Grove House is a non-profit organ- ization has been handled not by patrons but by volunteers, some of who you see today. Everybody is a volunteer. Everybody works and everybody is happy at that work. But we provide interest into our gallaries and into our showrooms for everybody, artists and public alike who can't make it any place else. Our invitation list really tells the story better than the words. In terms of outreach to the community we've had the shows for the Black Arts League. We've had the Latin Shows. We've had Bursting into 77. The Opportunity for New Artist . We've had the show for the Women Art Organization. The point is that the Grove House, unlike any other organ- ization a profit nature or non profit nature has been the Statue of Liberty of the Art World in the State of Florida. And, here we are located in Coconut Grove, your city providing this tremendous outreach program for literally the citizens of Florida. But without coming to you once for even cooperation here's what we've done for the City of Miami. Time Magazine, full page ad for Grove House. We didn't pay for it but the people thought we were worthwhile enough. So the Time Magazine has given Grove House one full page of advertising, advertising Coconut Grove. The same ad appears in Harper's Magazine. The same ad appears in Atlantics. The same ad appears in Newsweek. The point of my story on this thing is that here again in an effort to be self sufficient we have gone to people at the press to get this work and this is all advertising for Coconut Grove where we have never said help us, share with us . We have always said this is what we are. This is how we operate and we want to give not take. Now, in an effort to come away from a situation where, because of volunteers and struggles we have to worry every single year about a light. It was a decision of our Board of Directors to self initiate the self-help and hire a professional fund raising grantsman. A person who would write professionally the grants that I've put before you in a professional form. This is how we operate. It's self initiative and all we're asking for are funds from Federal Revenue Sharing and from C.E.T.A. for your approval of this thing, and we're still not going on the city's ... Mrs. Gordon: I have a question Bob. Why didn't you address this to the Revenue Sharing when you really want Manpower Funds, C.E.T.A. Funds ? Mr. Horowitz: It is C.E.T.A. There is two grants there. One is C.E.T.A. and one is for operational, Federal Revenue Sharing and one for C.E.T.A. grants. There's actually two applications. I think you'll find that one deals with request for employees and one deals with request for keeping our doors open. Let me tell you another reason that I'm here, Besides the need for operational expenses on this thing •11111 III Iuiniui 85 JUN 0 91977 4111 here we sat with our ma,r fund raising opportunities of our year, our annual auction and everything else. The only reason, we as an art enterprise exist with enough square feet next to the Coconut Grove Playhouse is that we have really a barn that we operate in, It's a nice decorated well-done barn. The only reason we can pay the tents, remember the Grove has scared off every other artist, has made it impossible for them to show. And, we represent the true character of Coconut Grove, and our roof caved in. Two days before the auction and in the rain and with the nails and with the tar paper we went up and corrected the situation. Otherwise,... Mayor Ferre: Bob, let me see. J. L. , just in a minute, let me see if I can cut through. Look, South Florida lives on tourism and many other things, but the Art World is an important part of what we are or what we should be. There are a lot of gallaries here in Miami, but those gallaries, they try to cater to the International Market . They want name artist, etc, They're very expensive. Gallaries does a nice job and there are other people who help out. But there is no place at all anywhere in Florida like Grove House. What Grove House does is it permits artist who are starting or who cannot afford to go to these big gallaries to have a home where they can exhibit their work and where the local people can appreciate it. It's a unique...It's a absolute- ly unique culture heritage and strength that we have in Miami. Secondly, J. L. Grove House is one of the major attractions in Coconut Grove. It's really one of the most important things. It acts as a magnet that gives a lot of the character that Coconut Grove has that we all love and enjoy. And, I really think it's not only a moral respon- sibility but a real, honest to goodness responsibility if we have any. And, the welfare and the structural thing, the higher key of values that we've got to do something for these people, because these are our artists at our local level. I strongly urge that somehow the City of Miami Commission go on record sponsoring and assisting Grove House with C.E.T.A. positions, if possible and Revenue Sharing. You're asking for what? $16,000? Mr. Horowitz: We're asking for only $16,000. Mayor Ferre: And, for how many C.E.T.A. positions? Mr. Horowitz: And, we're asking for six C.E.T.A. positions which include incidently, the C.E.T.A. positions are teaching positions which enable us to extend our outreach and working relationship with the County. Mayor Ferre: Now, Bob I don't think that we can unilaterally, arbitrarily make that decision other tnan here other than as a broad policy matter and therefore I would move that this Commission go on record supporting Grove House and asking the Manager to work out whatever he can which he feels is appropriate and come back to the Commission with specific recommendations. Mr. Horowitz: Is that just on the C.E.T.A. you're talking about? Mayor Ferre: On everything. On both of your requests, but let the Manager have the opportunity to staff to sit down negotiate this with you. Ok? Mr. Horowitz: Well, I guess if I have to go that way I will. I just think that we have made professionally an honest request to you today. We filed these papers well in advance on the deadline. Mayor Ferre: Yes, I know Bob, but I don't see unlessthe Manager tells me that we can do it any other way. I think knowing the way the city proceeds in these things we've got to let the staff have the flexibility of sitting down and working out the details with you. Mr. Horowitz: You see, we're here today because we got a shot at building a whole new structural paradise for an Art Community to start a new season with and we're not a delay. You know you're dealing with volunteers here. Mayor Ferre: Bob, you came to talk to me about this yesterday and the fact is today we're resolving ... Mr. Horowitz: But I filed this way before yesterday. Mayor Ferre: Well, ok. But I didn't know anything about it until yesterday. The Manager knows about it today. Give him a little time and hopefully, by the next meeting which is a week from today or if not by Tuesday the 21st you'll have some kind of an answer. Could we give it that kind of priority Mr. Manager? Mrs. Gordon; Where did you file Bob? I didn't have it before today. Mr. Horowitz: We filed..,, Mr, Grassie: As you say Mr. Mayor I have not seen this until now. Put I'm sure he's 86 JON 091977 been working with somebody on staff. We can get, we could certainly have a response to you in terms of what has happened so far. Maybe thete ate ro problems and Maybe there, 1 just don't., Mayor Ferret If thete are no problems just. go ahead and proceed. If there ate, would you come back to the Commission? Mr, Horowitz; Ok. The only thing is we applied to Mr. Morn, Mayor Ferret Mr. Who? Mr, Horowitz: Mr. Horn, who is... Mr, Grassier He's an employee in the program. Mayor Ferre: Well, look, the only reason we are making the exception is because of the importance of this and because of their special circumstances that confront them. So, I just moved that. Mrs. Gordon: Seconded. Rev. Gibson: It's been moved and seconded. Call the roll. The following motion was introduced by Mayor Ferre, who moved its adoption: MOTION NO. 77-470 A MOTION DECLARING THE INTENT OF THE CITY COMMISSION TO SUPPORT "GROVE HOUSE" AND REFERRING THE REQUEST FOR FINANCIAL ASSISTANCE AND SIX (6) C.E.T.A. POSITIONS TO THE CITY MANAGER FOR HIS REVIEW AND STUDY AND RECOMMENDATION TO THE CITY COMMISSION AT A FUTURE MEETING. Upon being seconded by Commissioner Gordon, the motion was passed and adopted by the following vote: AYES: Mayor Maurice A. Ferre Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.)Theodore R. Gibson NOES: None. 14. PERSONAL APPEARANCE: NbRTY FRIEDMAN - REPORT ON INTERNATIONAL FOLK FESTIVAL. Mayor Ferre: Alright, now I'm going to call Morty Friedman up to make the report on the very successful... Thank you very much ladies and gentlemen for your patience. W. Friedman: Thank you Mr. Mayor, members of the Commission. I'd like to give you a very brief report about your International Folk Festival which was held two weeks ago and which really is the most successful we've had yet. The six annual festival. We had more than more than seventy nationalities and ethnic groups representatives. We had food booths of thirty-five different nationalities, arts and crafts, internat- ional bicycle race and a international bazaar. We had tremendous cooperation from the news media this year and also from the various departments of the City of Miami, which we're very grateful. Some estimates have gone as high as 200,000 as the number of people who saw one part of the festival or another this year. We would like to particularly notify the Commission of the cooperation of various businesses in the area who in view of the fact that our budget was cut by 1/3 were very helpful in making grants to the festival, actual cash or items that we could use such as flowers for the international ball and so forth. Burdines sponsored the Dominos Tournament. Eastern Airlines , the Soccer Tournament. Downtown sponsored a show at the ball. We've had also Jefferson Stores sponsoring a International Doll Show. In addition to this Mike Gordon of Mike Gordon Seafood Restaurant who gave us $5,000 last year as the sponsor with the city of the International Bicycle Race decided that he wasn't satisfied with that this year and he gave us $7,000 and this is really outstanding participation by the business community in the International Folk Festival. I want to tell you that Foreign Governments are now participating to a greater degree than ever in the festival and the Government of Costa Rica, the Dominican Republican, Nicaragua, Mexico, Peru, and Uruguay, Sent official groups here this year, Uruguay is about 5,000 miles from f7 JUN 091977 e OP here: You must also recognize that these governments and other groups from other countries who came here paid their own transportation with no expense to the city. I want to show you a government of the Dominican Republic actually printed these posters to promote the City of Miami Folk Festival , distributed them I understand all around the Caribbean area. So that's the type of impact we're having in addition to the publicity that the city has gotten through the Publicity Department and Lew Price which has cooperated tremendously. We've had stories all over the Americas. And, we appreciate all the cooperation from the City Administration. Thank you. Rev. Gibson: Mr. Mayor, let me make an observation. I don't think I've every seen as many people. We had just a slew of people down at that festival. We have to thank our Mother about that, Rose. But, Mr. Mayor, another thing should be observed. The Fire Department did one of the most commendable jobs at that festival. That place was so packed. I thought about what happened in ,. . somewhere in Kentucky How easy it is for people to stampede and carry on. When they announced at that that auditorium was filled to capacity and that the Fire Department had urged the people to not come in. You should have seen those people. I mean, it's difficult to deal with that kind of a number of people, but those men were most gracious and understanding and so much so that I hope that as a part of the thanks you would say to them that they did a magnificent job. Because we could have had a stampede there. Mr. Friedman: Yes. Well every year, almost every year since we've had the festival we've had to close the doors at one time or another because of the crowd. Mayor Ferre: Well, there's no question Morty, that this is becoming a greater and greater success and I think that we can safely say that the City of Miami has been a great beneficiary of you and your committee's work. I think that it was a great ideal that Rose, and that you had and I think as years go by it's proven to be one of the best things that's happened, I would envision the next two or three years we're going to be able to say that this is just as important to this community as the Orange Bowl Parade is. It's going to be just as big a thing for us nationally as the Orange Bowl. So congratulation. Keep up the good work and keep plugging. Thank you. Mr. Fine: Thank you. - 15, PERSONAL APPEARANCE: JOSEPH BONG I OVANN I - REDIRECTION OF RESOURCES. Mayor Ferre: Alright, Mr. Bongiovanni? Does this have anything to do with our budget? Does this have anything to do with the City of Miami's budget? Mr. Bongiovanni: Well, I'll tell you something. I heard a lot of problems here today and one of the things you can do is if you do what we're asking for about passing a resolution... Mayor Ferre: Joe, let me ask you a question before we begin. You know that we have a five minute rule here. How long do you think it'll take for... Mr. Bongiovanni: Well, I think it will take me maybe ten minutes. Mayor Ferre: Alright, well, you have ten minutes. Alright? Mr. Bongiovanni: Ok. Now I have a statement and I think it's been distributed besides the material that was left here a few weeks ago. But before I get into the statement I want you to take note of that shot. Now, it's too bad it's only a homemade affair and I expected to have two units and put them in between here. But the facts on that chart such as it is is more important than any kind of a statistic dealing with economics that anybody could gather whether it's from the Federal Reserve Board or from Milton Friedman. Because if you look at that you're going to find out that the root cause of our serious unemployment and inflation problems is well pointed out in the chart and hopefully we'll go into that a little later within the ten minutes. Now to the statement, if you want to follow me. In late 1971 our organization, I'm representing,of course the Ministers- Laymen Voter Registration Committee of Dade County. Rev. Thedford Johnson couldn't be here,so.. He was going to introduce me but I was going to go on in this same fashion. Our organization in 1971 voted to approve and promote a proposed Federal Anti -Recession and Full Employment Law. In early 1972, the Miami City Commission passed a resolution that directed the City Clerk to forward copies of the proposed law to various governmental officials-- and to others, including the Secretary of the U.S. Conference of Mayors -- requesting such persons to give due consideration to our proposal. Such action did open some doors for dialogue, but the desired result for meaningful evaluation was never achieved. The Unemployment situation and the general economy is now even worse than in 1971, therefore on May 7, we passed a resolution which urges you to pass a NEW resolution DIRECTING Mayor Maurice Ferre (note this Maurice) to use his 410 JUN 0919774 good office to propose the next meeting of the U.S. d Terence of Mayors... that our comprehensive Econo c proposal, now titled a Socio. Economic National Growth Act, receive proper consideration for endorsement; and further to seek the Conference's active participation in promoting such a proposal to members of Congress, and to the Carter administration. Your resolution should call for Mayor Ferre to request that a knowledgeable member of our group (that's me) accompany him to assist in a thorough presentation of the proposal that the Conference's officers, staff, and committees. You each have reference material replete with reasons why this commission should pass such resolution; but the last paragraph in 'reference item 10' (which is material had previously) it's a letter from the Chairman of Economics, University of Miami, which explains then very well. And, that deals with the fact that this material should receive the proper consideration and should be passed. That's the only way you can test the idea. The benefits which would ensue to Senior Citizens, Youths, and hard Employables, give further reasons as explained in 'reference item 9 A & B.' I'd be happy to go into it but depends on time. You have the material. WE MUST start somewhere to mitigate the problems of Unemployment and Inflation. There ARE solutions! The chart attached is that chart right there graphically exposes the core of the problem. If you take a look at that, this is dated 1960. At this point .... That increase over the 16 years is 304%. The increase in NEW JOBS is only 34%. Imagine 304 and 34. And, there's one more thing ... (NOT SPEAKING INTO MICROPHONE).... I want to say this too. Now you also received a letter from Rev. Johnson sent to the five members of the Congress. Stating that we now have the proposed bill prepared by the Legislative Council of the U.S. House of Represent- atives which covers our proposed Social Economic Growth Act. Here it is. It came in... Therefore we now urge an amendment or an additional resolution which would call for urgent of five members to introduce this proposed bill. Now, before I ask about any questions. I got to say this. I got this book from the Chairman of Economics of Howard University up in Washington,D.C. He wrote the Economic of Black Community Development. Now I do work as you know the Ministers -Laymen, primarily a Black group. At least we all meet in a Black ghetto area. When this was written, this material I worked on for 16 years and I got all my experience in business, not in the --as an Economist I'm a Business Economist if you want to call me that. But the point is that for 18 years I've been promoting this plan, the Federal Anti -Recession and Full Employment Law. He spent four hours with me. Now that's quite different than•ten minutes isn't it? He spent four hours with me and he said that when he wrote this book he knew it could never be funded in this country. This is something that could be done possibly in Japan. He said, but you have the way it can be done here and he says, and I'll back you any time. I could tell you about economic, professors of economics or the chairman of economics and George Washington University said that because we take care ... proposal it's so very deep and it's all incompetence that we take care of looking into the control in the Manpower and we add Management Training in this bill. He says, that alone makes it's worthwhile. The chairman of Economics Georgetown University, Catholic University said the same thing. I can you know, bring all this out but what good is it if we don't get somebody like yourselves to get to the National Organization, say look, here's something that could be done. We're all suffering from this economy. People, I don't care who they are what can be done? Does anybody know the answer to the question? Here it is. It's built right into here because priority use of our money supply to produce goods and services and that's all done through private enterprise. None of this takes tax money. What do you think of that? This is going to bring in taxes instead of causing tax money. That's why it's so hard maybe for people to understand it. But we don't want to talk about priorities and tax needs. We're talking about priorities of our money supply if we are going to overcome these problems. Now, I'd like to answer a lot of questions. I don't know how many minutes I got left. What I want the Mayor to do is this. He belongs to a very prestigious organization, the U.S. Conference of Mayor.S I want him to go up there and say go darnit, look this thing has been floating around for five or six years and nothing is being done about it. Now you tell me why it's no good or less present this for adoption that we will support it and we will fight to get it through Congress, that's the first thing. The second thing I want the Commissioners to do is to send a letter to each of our five congressman, members of Congress. That's our three U.S. Representatives and our two Senators and tell him the same thing, because they have given me nothing but a runaround. They will not sit down and evaluate it because they say it's over their heads. I can't understand it. I think if I had the time I could explain it to anybody in this room why this works and why the things that they have tried to put through does not work. You wouldn't have a letter or you wouldn't have this ... you wouldn't a letter from the Chairman of Economics here in a prestigious university. He says that's the only way it could be done. Now what I need is support to do that. Mayor Ferre: Well, Joe, from a practical point of view the Mayor's Conference begins this weekend and I'm not going. I cannot go. Mr. Bongiovanni: There's another one after that. Mayor Ferre: Yes, it's next year. 89 JUN 09197A 41, Mr. Bongiovanni: Next year? Mayor Ferre: Yes, they have meetings once a year. Mr. Bongiovanni: Oh, come on, I know that you have three or four meetings that maybe by committees or whatever they are. Mayor Ferre: No. The National Conference of Mayors meets once a year. Mr. Bongiovanni: Maybe the city's? How about the city's? There is another organization of the city. Mayor Ferre: I'll tell you, Father as far as I'm concerned I have, if you want to make the motion I have no objections to any of this, I really don't understand it. It's beyond me and you're an Economist. Mr. Bongiovanni: I'm not an Economist. I'm just a businessman like yourself, Mayor Ferre: Well, I don't understand any of this. So, it's beyond me and you're an Economist and I'm not. Mr. Bongiovanni: I'm not an Economist. I'm just a businessman like yourself. Mayor Ferre: But I don't understand any of this. So you know, acquire money in Economic, increase the accumulation and all that, but I just... Mr. Bongiovanni: You know why it will increase inflation? Mayor Ferre: I'll tell you what. I think before we go and pass anything like this. This Commission has to read it. So the thing to do is we'll recognize you again at a future meeting. Right now I don't think that it is fair to ask this Commission to pass something which it hasn't even had an opportunity to read in detail. It's a very serious ... Mr. Bongiovanni: Well, I would even think Mayor that you'd probably committee to gether somewhere and say you meet with Joe Bongiovanni he'll thrask it out. You can't do it in ten minutes. You need a couple of hours. Mayor Ferre: Alright. I understand Joe, but this is a complicated subject and this Commission cannot vote on it today. MR. Bongiovanni: Oh I understand that. I agree 100%. Mayor Ferre: Ok. So, we'll talk again about it at a future meeting. Alright, is there anything else on this item? Thank you very much for your time. And, Joe, and we'll read this and you come back in the future. I know you're the most persistent man I know. Mr. Bongiovanni: No lie. You know, everybody talks about the economy and it's just getting worse. Now, why doesn't somebody in this audience ... and I was here this morning before the County and I'm going there again. Why don't they say hey listen, let's look at this. Oh, incidently the County did say that they are going to have a meeting with the (what is it) Economic Development Committee... Mayor Ferre: Alright. Thank you very much. 16. CANVAS RESULTS OF STRAW —VOTE QLESTICIV cm ORANGE BOW:. IPPROVEICITS • FOR $15,000,000. Mayor Ferre: Alright, now we're going to get to the You want to canvass Mr. Plummer? Several precincts were checked prior to the adoption the vote. validation of the election. of the resolution canvassing 90 JUN 09197i • the followinc resolution Was introduced by Commissioner Piuf neti Who Matted it§ adOpticn: RESOLUTION NO. 77,-471 A RESOLUTION CERTIFYING AND DECLARING THAT THE SPECIAL STRAW BALLOT REFERENDUM ELECTION HELD JUNE 7, 1977, RESULTED IN THE APPROVAL OF AN EXPENDITURE OF AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $15,000,000, PLUS INTEREST, FROM AD VALOREM TAXES OVER A PERIOD NOT TO EXCEED 25 YEARS, FOR THE PURPOSE OF IMPROVING AND REe. BUILDING THE MIAMI ORANGE BOWL MEMORIAL STADIUM AT ITS PRESENT SITE IN ORDER TO PROVIDE A MAJOR LEAGUE FOOTBALL AND/OR BASEBALL STADIUM AND ALL FACILITIES ATTENDANT THERETO. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice-Mayor(Rev.) Gibson, the resolution Was passed and adopted by the following vote - AYES: Commissioner Manolo Reboso Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Vice -Mayor (Rev.) Theodore R. Gibson Mayor Maurice A. Ferre NOES: None. 17, AUTHORIZE CITY ATTORNEY TO NEGOTIATE FINAL AGREEMENT WITH JOHN L. FIVRELL AS SPECIAL COUNSEL ON THE F.E.C. CONDEMNATION PROCEEDINGS. Mayor Ferre: I think we can get out quicker thananhour if we move quickly. The F.E.C. Property Condemnation, which is item N o. Mr. Knox: Mr. Mayor, I think you have a memorandum which is pretty much self explanatory unless you have some questions about it. Mayor Ferre: You recommend that we use John Farrell and that we compensate him? The only change from what we set before was instead of $250.000 be $275,000 is that right? Mr. Knox: Yes sir and that resolution is item number 44. Mayor Ferre: Alright take up on item number 44. Is there a motion? Is there further discussion. Call the roll. The following resolution was introduced by Commissioner Gordon, who moved its adoption: RESOLUTION N0. 77-472 A RESOLUTION AUTHORIZING THE CITY ATTORNEY TO APPOINT JOHN R. FARRELL AS A SPECIAL ASSISTANT, AND TO ENTER INTO AN AGREEMENT RELATIVE THERETO, TO HANDLE ALL ASPECTS OF THE FLORIDA EAST COAST RAILWAY COMPANY CONDEMNATION CASE, INCLUDING ALL WORK IN THE CIRCUIT COURT AND ALL WORK IN THE APPELLATE AND SUPREME COURTS, IF NECESSARY, IN ACCORDANCE WITH HIS PROPOSAL ATTACHED HERETO AND MADE A PART HEREOF, AND AUTHORIZING AND DIRECTING THE FINANCE DIRECTOR TO PAY THE AMOUNTS REQUIRED FROM THE PARKS FOR PEOPLE BOND FUNDS. (Here follows body of resolution, omitted here and in the Office of the City Clerk.) Upon being seconded adopted by the following AWS: Commissioner NOES; Commissioner ABSENT: Commissioner on file by Commissioner Reboso, the resolution was passed and vote- Gordon, Commissioner Reboso, and Mayor Rerre, Plummer (Rev.) Gibson JUN L S 77. ESfiA91.1SW TIME AND Dl+tE FOR DEDICATION 6F SPdR'fS L� tNG AT M PARK. Mayor Ferre: Take up item 'lb" biscuSSioh of Shenandoah Park, Sports Lightiiss Mt, Grassie: What we're suggesting Mr. Mayor is either the 2ist of the 21rd at your discretion or some other tune if you prefer. Mayor Ferre: Take your pick. Mr. Plummer: Which is best? Mr. Grimm: But keep in mind that's the day that you're doing to meet as a Commission. Mayor Ferre: Alright, then June 21st is the day. Everybody except that? 8:00 o'clock on the 21st. 191 SECOND READING ORDINANCE: AMEN SECTION 36-5 OF THE CODE - DISCHARGE OF 18 MONTH -AGREEMENT BETWEEN THE CITY & LEWIS Ai PITZELL (CONCERTS,INC,) FOR USE OF ORANGE BCML,. AN ORDINANCE ENTITLED - AN ORDINANCE AMENDING SECTION 36-5 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, RELATING TO THE HOURS OF OPERATION OF MUSICAL INSTRUMENTS, RADIOS, AND MUSICAL DEVICES BY PROVIDING THAT THE THEREIN LIMITATIONS AND REGULATIONS DO NOT APPLY TO ACTIVITIES AND EVENTS HELD IN OR UPON ANY CITY -OWNED FACILITY OR OTHER MUNICIPAL PROPERTY; REPEALING ALL ORDINANCES► CODE SECTIONS OR PARTS THEREOF IN CONFLICT, INSOFAR AS THEY ARE IN CONFLICT; AND CONTAINING A SEVERABILITY PROVISION. Passed on its first reading by title at the meeting of May 19th, was taken up for its second and final reading by title and adoption. On motion of Commissioner Reboso, seconded by Vice -Mayor (Rev.) Gibson, the Ordinance was thereupon given its second and final reading by title and passed and adopted by the following vote: Commissioner Manolo Reboso Commissioner Rose Gordon Cornmisioner J. L. Plummer, Jr. Vice -Mayor (Rev.) Theodore R. Gibson Mayor Maurice A. Ferre AYES: NOES: None. THE ORDINANCE WAS DESIGNATED ORDINANCE NO. 8660. The City Attorney read the ordinance into the public record and announced, that copies were available to the members of the City Commission and to the public. 20i FIRST It ING 'MACE: Abiew SussEctIoN G orW cTtoN 440 OF NE COM COVAITM t LOPItit AlfillORIV AN ORDINANCE ENTITLED - AN ORDINANCE AMENDING SUBSECTION (g) OF SECTION 13-10 OF THE CObE OF THE CITY OF MIAMI, FLORIDA, RELATING TO THE POWERS OF THE DOWNTOWN DEVELOPMENT AUTHORITY BOARD BY ELIMINATING THE REQUIREMENT OF 10 YEARS EXPERIENCE IN THE PRACTICE OF LAW ON THE PART OF THE GENERAL COUNSEL; CONTAINING A REPEALER CLAUSE AND A SEVERABILITY CLAUSE. Was introduced by Commissioner Plummer, and seconded by Vice -Mayor (Rev.) Gibson and passed on its first reading by title by the following Vote: AYES: Vice -Mayor (Rev.) Gibson, Commissioner Gordon, Commissioner Plummer, and Mayor Ferre. NOES: None. ABSENT: Commissioner Reboso. ON ROLL CALL: Mrs. Gordon: Don't you want some limitation? How many years of experience are we talking about? Mr. Knox: A member of the Florida Bar. Mrs. Gordon: I don't know. I find some problems with that. Mayor Ferre: If we get into trouble what usually happens is ... Mrs. Gordon: I don't want to second that Maurice. Mr. Knox: As a practical matter by a new agreement the attorney who represents the D.D.A. is an attorney on the staff of the City Attorney's Office.and the requirement absent this 10 year requirement is that the individual be a member of the Florida Bar. Now as long as this agreement is in existence that member would also be a member of our staff. Mayor Ferre: See that would preclude... Mr. Plummer: Rose, if you do anything else you're just going to jack the price up. Mrs. Gordon; Well, I just don't want to second it. Mayor Ferre: Ok. That's alright. 21, FIRST READING ORDINANCE: AMEND APPROPRIATION ORDINANCE 8589; RE -APPROPRIATE, $486,632 FOR 31/2% SALARY ADJUSTMENTS FOR POLICE; AND RE -APPROPRIATE $437,179 FOR SALARY ADJUSTMENTS FOR FIRE DEPART131-. Mr. Plummer: Let's have a little clarification. Mayor Ferre: Ok. Quick. Mr. Grassie: For Budget purposes and remember that we were in the negotiating process at the time that you adopted the budget. For Budget purposes we put all of the money that would normally be made available for increases in this very large account that you have got to know as the special programs and accounts. AN ORDINANCE ENTITLED - AN ORDINANCE AMENDING APPROPRIATIONS ORDINANCE NO. 8589, AS AMENDED, ADOPTED NOVEMBER 11, 1976, BY TRANSFERRING $486,632 TO THE POLICE DEPARTMENT AND TRANSFERRING $437,179 TO THE FIRE DEPARTMENT FROM SPECIAL PROGRAMS AND ACCOUNTS - 312 SALARY ADJUSTMENT ACCOUNT, REPEALING ALL ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT HEREWITH AND CONTAINING A SEVERABILITY PROVISION. Was introduced by Commissioner Plummer, and seconded by Vice -Mayor (Rev.) O,,ibspn and passed on its first reading by title by the following vote: 93 JUN 0 9197Z Commissioner Rose Gordon Commissioner 11. L. Pluto er, dr, Vice -Mayor (Rev.) Theodore R. Gibson Mayor Maurice A. Fevre NOBS: Bone, AR8RNt: C:'oithissioner Manolo Reboso 22. FIRST SING ORDINANCE: AMEND ORDINANCE 8589 - ADJUSTING CERTAIN GENERAL FUND APPROPRIATIONS AN OEDINANCE ENTITLED AN ORDINANCE AMENDING ORDINANCE NO. 8589, AS AMENDED; ADJUSTING CERTAIN GENERAL FUND APPROPRIATIONS BY TRANSFERRING FUNDS FROM SPECIAL PROGRAMS AND ACCOUNTS-= RESERVES FOR OVERTIME, HOLIDAY, SHIFT DIFFERENTIAL, AND SEVERANCE PAY TO CERTAIN DEPARTMENTAL ACCOUNTS; REPEALING ALL ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT HEREWITH, AND CONTAINING A SEVERABILITY PROVISION. Was introduced by Commissioner Plummer, and seconded by Vice-Mayor(ReV.) Gibson and passed on its first reading by title by the following vote: AYES: Commissioner J. L. Plummer, Jr. Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. ABSENT: Commissioner Manolo Reboso 23, EMERGENCY ORDINANCE - AMEND ORDINANCE 8589 - INCREASE SPECIAL PROGRAMS AND ACCOUNTS. Mrs. Gordon: May I ask a question? Where is that coming from? Mayor Ferre: This ties into 7. Mr. Grassie: No. This allows the city to accept a grant in the amount of $103,000 to run a summer recreation. Summer Youth Recreation Program. Mrs. Gordon: That's fine. I just wanted to know where it was coming from. Now, you say it's a grant. Thank you. AN ORDINANCE ENTITLED - AN EMERGENCY ORDINANCE AMENDING ORDINANCE NO. 8589, AS AMENDED, ADOPTED NOVEMBER 11, 1976, BY AMENDING SECTION 1 AND SECTION 4 THEREOF, INCREASING SPECIAL PROGRAMS AND ACCOUNT BY $103,724 TO $8,262,768; IN- CREASING REVENUES OTHER THAN AD VALOREM TAXES BY $103,724 TO$51,786,928, REPEALING ALL ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT HEREWITH AND CONTAINING A SEVERABILITY PROVISION. Was introduced by Commissioner Plummer and seconded by Vice -Mayor (Rev.) Gibson, for adoption as an emergency measure and dispensing with the requirement of reading same on two separate days, which was agreed to by the following vote: AYES: Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Mayor Maurice A. Ferre NOES: None. ABSENT: Commissioner Reboso Whereupon the Commission on motion of Commissioner Plummer and seconded Vice -Mayor (Rev.) Gibson, adopted said ordinance by the following vote; AYES; Commissioner Rose Gordon Commissioner J. L. Plummer, Jr, Vice -Mayor (Rev,) Theodore R, Gibson Mayor Maurice A, Ferre WES; None. RESENT; Commissioner Reboso (CMNT'A JUN 0 9 1977 l SAID ORDINANCE WAS DESIGNATED ORDINANCE NO. 8661. The City Attorney read the ordinance into the public record atd announced that copies were available to the fleMbers of the city Coindtissioh and to the public. 24, AUTHORIZE TRANSFER OF $50,778 FROM CONTINGENCY FUND FOR SUMMER RECREATION PROGRAM' The following resolution was introduced by Commissioner PlUMMer, who moved its adoption: RESOLUTION NO. 77-473 A RESOLUTION AUTHORIZING THE TRANSFER OF $50,778 FROM THE CONTINGENCY FUND TO SPECIAL PROGRAMS AND ACCOUNTS, RESERVE FOR SPECIAL PROGRAMS - SUMMER RECREATION PROGRAM (Here follows body of resolution omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Gordon, the resolution was passed adopted by the following vote: AYES: Commissioner J. L. Plummer, Jr. Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. ABSENT: Commissioner Manolo Reboso. 25, ALLOCATE $2101000 FROM HIGHWAY BOND FUNDS FOR PAVEMENT AT STREET INTERSECTIONS. Mayor Ferre: Mr. Grassie on item #11, please explain? Mr. Grassie: I'll ask Mr. Grimm to explain that Mr. Mayor. Mr. Grimm: Mr. Mayor and members of the Commission. The Department of Public Works materials code is made up of three different sources of funds. One is Ad Valorem Taxes. Second is the Return of the Gas Tax Monies from the state and third is General Obligation Bond Funds. For those portions of permanent work that we do in the streets which would normally be the city share in any event. And, we have been budgeting funds like this for at least 8 years that I can remember. Mrs. Gordon: Ok. There's no charge to the neighboring property owners in this type of situation? Mr. Grimm: No ma'am. That's the reason why we can do this. Mrs. Gordon: Yes. Ok. I just wanted to understand that. Thank you. The following resolution was introduced by Commissioner Plummer, who moved its adoption: RESOLUTION NO. 77-474 A RESOLUTION ALLOCATING THE AMOUNT OF $210,000.00 FROM THE HIGHWAY BOND FUND TO COVER THE COST OF MATERIALS USED IN MAINTAINING THE PAVEMENT AT STREET INTERSECTIONS. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Gordon, the resolution was passed and adopted by the following vote: A'XRS, Commissioner J. L, Plummer, Jr, 95 CONT#D tea= T Vice�Mayor (Rev.) Theodora k. Coi1Missionet Rose Gordon Mayor Maiitice A. tette iOs : MOM* At8I fT: C6MMigeiohet Manolo Reboso 26i ACCEPT COVLETED W K OBE 1304 SANI110 SOD PROJECTI The f611owinq tesolUtion was introduced by Commissioner Reboso, W 6 MoVed its adoption: RESOLUTION NO. 77.475 A RESOLUTION ACCENTING THE COMPLETED WORK PERFORMED BY SQUIRES CONSTRUCTION, INC. AT A TOTAL COST OF $21,082 AND AUTHORIZING A FINAL PAYMENT OF $2,108.20 FOR THE ORANGE BOWL - SANITARY SEWER PROJECT. (Here follows body of resolution, omitted here and oh file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, adopted by the following vote - AYES: Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. 27. ACCEPT COMPLETED WORK - OLD COAST -GUARD BOAT RAMP (tDIFICATIONS 1976. the resolution Was passed and The following resolution was introduced by Commissioner Plummer, who moved its adoption: RESOLUTION NO. 77-476 A RESOLUTION ACCEPTING THE COMPLETED WORK PERFORMED BY WEBB GENERAL CONTRACTING, INC. AT A TOTAL COST OF $28,178 AND AUTHORIZING A FINAL PAYMENT OF $2,817.80 FOR THE OLD COAST GUARD - BOAT RAMP MODIFICATIONS - 1976. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution was passed and adopted by the following vote - AYES: Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr, Mayor Maurice A. Ferre NOES. None. JUN 091977 lir 28i PROVIW DATE OF PUtLIo HEARING FOR THE or OFF-STREET PAU% PRoPostb teDGEt. The following resolution was introduced by Goltissioher Gordon, who MoVed its adoption RESOLUTION NO. 71'477 A RESOLUTION PROVIDING FOR A PUBLIC HEARING ON PROPOSED BUDGET OF THE DEPARTMENT OF OFF- STREET PARKING OF THE CITY OF MIAMI, FLORIDA FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 1977 ENDING SEPTEMBER 30, 1978. (Here follows body of resolution, omitted here and file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor adopted by the following vote - AYES: Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. (Rev.) Gibson, the resolution was passed and 29, PROVIDE DATE FOR PUBLIC HEARING FOR GUSSMAN HALL AND OLYMPIA BLDG. PROPOSED BUDGET. Mr. Grassie: One question on this Mayor. Just for your information are you interested in getting these budgets in any form other than what you have in front of you because this does not give you any information? Mayor Ferre: Well, I think we ought to have them in our packages for the week you know... Mr. Grassie: For example, do you want some comparisons of other years of this sort of thing? Mayor Ferre: Well, I think some moderate stuff. I don't think we need great detail, because I think we ought know what's going on. Mr. Grassie: For example, this has no revenue in it. It is simply an expenditure budget. Mayor Ferre: I think absolutely they've got to give us that. Especially Gusman Hall. Mr. Grassie: The reason I'm asking you understand is that these come directly to you. They do not come to our Budget Office. Mayor Ferre: Well, I think you ought to write a letter that the Commission brought up a subject that we don't want a token report. We're supposed to accept a budget it's got to be at budget. Mr. Grassie: Fine. We'll do that. The following resolution was introduced by Commissioner Plummer its adoption: RESOLUTION NO. 77-478 A RESOLUTION PROVIDING FOR A PUBLIC HEARING ON THE PROPOSED BUDGET OF GUSMAN HALL AND THE OLYMPIA BUILDING FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 1977 AND ENDING SEPT- EMBER 30, 1978. (Here follows body of resolution, omitted here on file in the Office of the City Clerk,) 1 CbiT' D =�-= 'ir Upon being seconded by Commissioner Gordon, the tesoltutioh Was paed A adopted by the following Vote- AYES: Commissioner Rose Gordon Commissioner J. L. Plummer, Jt. Commissioner Manolo Reboso Vice, -Mayor (Rev.) Theodore R. Gibson Mayor Maurice A. Ferre Mott: he. X, SAE AND ESTABLISH ''CITIZENS' COMMITTEE FOR DEVELOPMENT OF WATT ISuND," Mrs. Gordon: Why are we doing this over again'? We'Ve already done it before. Mayor Ferret We already have a committee. What's '19all about? We have a committee. Mr. Grassie: Item 19, Mr. Mayor? Mayor Ferre: Yes. Mr, Grassie: You have had this committee some time. As you know we have been going through your committee structure. We've recommended that you abolish a number of committees. You have other committees that have never been formalized, that you have really set them up with any kind of guidelines as to what they were supposed to do, what their terms were or anything else. So we are simply going through the whole list of City Committees and Commissions and a few at a time we're trying to formalize them. I think you have about three on your agenda this time and over a period of months we will continue to do this so that you will get this in some kind of order. Mayor Ferre: Alright, I further would like to ask the Chairman, Herbert Lee Simon to inform the Commission as to the attendance record of all the members that are presently on, because I frankly think that if they have not attended we should reappoint new committee members in their place. Ok? Mr. Grassie: Yes sir. Mayor Ferre: I mean, it's a good list, if they attend. The following resolution was introduced by Commissioner Plummer, who moved its adoption: RESOLUTION NO. 77-479 A RESOLUTION CREATING AND ESTABLISHING A CITIZEN'S COMMITTEE FOR THE DEVELOPMENT OF WATSON ISLAND FOR THE PURPOSE OF BUILDING RECREATIONAL AND AMUSEMENT FACILITIES FOR THE ENJOYMENT OF RESIDENTS AND TOURISTS; FURTHER DESCRIBING THE COMMITTEE'S STRUCTURE, TERMS OF OFFICE AND PROVIDING FOR INITIAL APPOINTMENTS OF INDIVIDUALS TO SERVE ON THIS COMMITTEE. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Reboso, the resolution was passed and adopted by the following vote - AYES: Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Mayor Maurice A. Ferre NOES: None. 98 JUN 081977 lir 31, CREATE BUDGET VIEW COMMITTEE To SAY ANNUAL tamPREPARATION PROCESS, Mayor Petre: The same thine is true of the Budget Committee. If they're hot attehdihc let's find out. As I recall Marty Fine is the Chairman of that one. Mr. Grassie: Yes, but he has resigned Mr. Mayor. Re has indicated that he wantg to be replaced. So... Mayor Ferre: Ok. The following resolution was introduced by Commissioner Plummer, Who roved its adoption: RESOLUTION NO. 77,480 A RESOLUTION CREATING A BUDGET REVIEW COMMITTEE FOR THE PURPOSE OF STUDYING THE CITY OF MIAMI'S ANNUAL BUDGET PREPARATION PROCESS AND RECOMMENDING TO THE CITY COMMISSION WHAT STEPS CAN BE TAKEN TO BETTER COMMUNICATE TO THE CITIZENS OF MIAMI THE CONTENTS OF THE BUDGET AS WELL AS THE PROCESS OF THE COMMISSION'S REVIEW OF THE ALTERNATIVES PRESENTED AND DISCUSSED DURING THE BUDGET PREPARA- TION CYCLE. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution was passed adopted by the following vote - AYES: Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Mayor Maurice A. Ferre NOES: None. ON ROLL CALL: and Mayor Ferre: Again, Mr. Grassie I think it's important that you give us a list of who the members are . Who's participating and all that so we can start ... This committee in particularly should really start to function sometime in the summer so that they can have a report for us. Mrs. Gordon: If you'll notice this also calls for five alternate members. As well as five members. It's on the back page. Which is a good idea because in that case there will always be a full forum. A full body of the board. Mayor Ferre: As I remember my appointed were... I appointed Morty as Chairman I think I appointed Wolfson as a member. Mitchell Wolfson. Mr. Grassie: I believe you did sir. Mrs. Gordon: I appointed Steven Chepnick. Mr. Grassie: They have not met and ... Mrs. Gordon: Well, the Chairman hasn't called that meeting together. I have talked to my appointee and he's willing to serve again. Mayor Ferre: Well, why don't you bring us up-to-date by the next meeting as to who is on the committee and whether or not they've met ... Yes, he's the chairman. And, so we can appoint a chairman and re -appoint the committee so that they can function. There was one man, I sent you a memorandaum about three or four months ago who wrote me a letter who seemed to be very knowledgeable . He wrote me a letter and I sent it to you, Mr. Grassie: We have that, but I don't remember the name. c 1 AMEND RUOLUTION No. 764Oi CONTRACT wtmH WACKUVUT COPPORATIONI the following resolutiot, Was ihttoduCed by Coi ibti 'her Prier, Wha rowed its adoption RESOLUTION NO. 77=481 A RESOLUTION AMENDING RESOLUTION N0. 76-=1018 TO PROVIDE THAT THE TERM FOR THE CONTRACT WITH WACKCENHUT CORPORATION FOR THE FURNISHING OF SECURITY PERSONNEL AND DOGS FOR ORANGE BOWL EVENTS SHALL BE 15 MONTHS FROM THE DATE OF THE AWARD OF CONTRACT FOR THE FIRST TERM, THE TWO SUCCESSIVE TERMS AT THE OPTION OF THE CITY TO BE 12 MONTHS EACH; FURTHER AMENDING THE RESOLUTION TO PROVIDE THAT WACKENHUT SHALL BE EXPECTED TO PROVIDE SAID SECURITY PERSONNEL FOR APPROXIMATELY 20 EVENTS, MORE OR LESS, AS REQUIRED, ON A PER HOUR PER PERSON AND PER EVENT PER DOG BASIS, AND OTHER- WISE IN ACCORDANCE WITH THE TERMS OF THE ATTACHED AGREEMENT; FUNDS THEREFOR TO BE A PART OF THE PUBLIC FACILITIES DEPARTMENT BUDGET. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution was passed and adopted by the following vote - AYES: Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. 331 RE-ESTABLISH CITY OF MIAMI COMMITTEE ON ECOLOGY AND BEAUTIFICATION. Mayor Ferre: Again, Mr. Manager the same thing is true for item #22. The following resolution was introduced by Commissioner Gordon, who moved its adoption: RESOLUTION NO. 77-482 A RESOLUTION RE-ESTABLISHING THE CITY OF MIAMI COMMITTEE ON ECOLOGY AND BEAUTIFICATION, DESCRI- BING ITS PURPOSE, STRUCTURE, MEMBERSHIP REQUIRE- MENTS, AND OTHER REQUIREMENTS THAT THE MIAMI CITY COMMISSION DEEMS NECESSARY FOR THE ACHIEVEMENT OF THE OBJECTIVES FOR WHICH THIS COMMITTEE WAS CREATED. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Plummer, the resolution was passed and adopted by the following vote - AYES: Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Mayor Maurice A. Ferre NOES: None, 100 JUN 0919774 341 AUTHORIZE CITY MANAGER TO ,., WPM OF $LIND SERVICES (FOR Foot ANb ENTER INTO CONTRACT W/. MVERAGE CONCESSION AT FLAGLER MINI''PARK). The following resolution Was introduced by Commissioner Gordon, who ioVed its edoptiOn: RESOLUTION NO. 77,6483 A RESOLUTION AUTHORIZING AND DIRECTING THE CITY MANAGER TO ENTER INTO AN AGREEMENT WITH THE BUREAU OF BLIND SERVICES FOR THE FOOD AND BEVERAGE CONCESSION AT FLAGLER MINI PARK. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk,) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution Was passed and adopted by the following vote- AYES: Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J, L. Plummer, Jr. Commissioner Manolo Reboso Mayor Maurice A. Ferre NOES: None, 35. APPROVE PROPOSAL OF STAR ENTERTAINMENT COMPLEX,, INC,) TO STIMULATE USE OF CITY OF MIAMI PUBLIC FACILITIES. The following resolution was introduced by Commissioner Plummer, who moved. its adoption: RESOLUTION NO. 77-484 A RESOLUTION APPROVING IN PRINCIPLE THE PROPOSAL OF STAR ENTERTAINMENT COMPLEX, INC., TO PROVIDE ADVERTISING AND PROMOTIONAL ACTIVITIES TO STIMULATE THE USE OF THE CITY OF MIAMI'S PUBLIC FACILITIES BY DEVELOPMENT OF APPROPRIATE NEW EVENTS FOR PRE- SENTATION AT THOSE FACILITIES, AND AUTHORIZING THE CITY MANAGER TO PREPARE A CONTRACT FOR SAID SERVICES BETWEEN THE CITY AND STAR ENTERTAINMENT COMPLEX, INC. FOR REVIEW AND ACTION THEREON BY THE CITY COMMISSION. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution was passed adopted by the following vote - AYES: Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. JUN 091977i Vr I t VLRULII1M J\LI L JJ wr,L 1 I1NLLa 1 1, Mayor Perre: We need mote information. Mt. Grassie: Yes. I'd like to have Frank Medera Wh0 is the bir'ector of the bepatt !Went speak to this and I'll add to it. Mayor Ferre: Yes. Mr, Medera? Mr. Medera: Mr. Mayor and members of the City Commission. I know it's very late and we've all been working very hard. However, I will be... however I would first like to commend the City Commission on it's action relatively to the low bid of Refugse Packers having been in garbage up to my neck the best part of my life. I can assure you've bought for the department and the citizens of the City of Miami the best piece of equipment available. On the matter of the resolution which is before you. Several �nonhs back the City of Miami was served with, what was tantamount to the cease orsder'by the Department of Environmental Regulations,State of Florida, which is Florida's Environmental Protection Agency. I say it was tantamount because it was a threat. The operation was in poor condition. We implemented some operational improve- ments. I have had several meetings with DER representatives in West Palm Beach. We have reached a compromise. Wherein, instead of complying fully with Chapter 17.7 of the Florida Regulations as they apply to land -fill operations. We have been able to get them to agree to a consent wherein they will allow us to continue to operate this facility if we submit certain closure plans which would be... In essence Commissioner Plummer that's what I'm telling you. Mr. Plummer: Alright. Now let me ask you about the selection of the engineer? Did you go through the normal processes of competitive bidding or whatever the hell that is? Mr. Medera: No we did not Commissioner. Mr. Grimm communicated with four engineering firms whom he felt had the qualifications in the field of solid waste management. Solid Waste Pollution, etc. Two responded with informal proposals directly to Mr. Grimm and myself. I interviewed both those firms and we... Mayor Ferre: Look, cut through. There isn't any other firm in this town other than Greenleaf & Telesca that I know about. Is that right? Mr. Grimm: No sir. There are four that we felt were qualified. We contacted four as Mr. Medera said. Two refused to do it because of time limitations. The other two submitted proposals. And, what we'd like to do is get authority to negotiate with Greenleaf for the services and we'll come back to you with a contract before we sign it. Mayor Ferre: Ok. As far as I'm concerned they're the number one firm. In fact, I think they've probably the only firm that really has... Mr. Plummer: The only point I'm making Maurice we're being forced to do it .... The following resolution was introduced by Commissioner Plummer, who moved its adoption: RESOLUTION NO. 77-485 A RESOLUTION CERTIFYING THE EXISTENCE OF A VALID PUBLIC EMERGENCY NECESSITATING CONTINUED OPERATION OF THE VIRGINIA KEY DISPOSAL FACILITY, ALSO KNOWN AS THE VIRGINIA KEY DUMP, THEREBY JUSTIFYING NON-COMPETITIVE SELECTION OF AN ENGINEER- ING CONSULTANT; FURTHER AUTHORIZING THE CITY MANAGER TO ENTER INTO A CONTRACT FOR PROFESSIONAL SERVICES WITH GREENLEAF AND TELESCA, ENGINEERING CONSULTANTS, FOR PRE- PARATION OF AN "ENGINEERING PLAN FOR CLOSURE" OF THE VIRGINIA KEY DUMP WITH FUNDS THEREFOR IN AN AMOUNT NOT TO EXCEED $50,000 ALLOCATED FROM POLLUTION CONTROL BONDS. Were follows body of resolution, omitted here and on file in the Office of the City Clerk.) 102 JUN 0 91977 Upon being secondE by Vice -Mayor (Rey j dibaoh, teboi'ti fi daa panted and adopted by the following vote - Mt: t: Cothtissioner 7. t. Plummer, dr: Cofimissiohet Manolo heboso Vice=Mayor (Rev,) Theodore he Gib iii Cotitissioher Rose Gordon Mayor Maurice A, Perte R t8: Mane, ie, i AUTHORIZE PUS IN LIEU CIF i if NATtON ' 6 VACANT` LOTS NiWi 2NO AVENUE BETWEEN 52 AND 53 STREETS' Mrs, Gordon: I have a question on that. I want to know if there's been ah Made? appraisal Mr. Grassie: There has been two appraisals made Commissioner. One by Atlantic Appraisal Associates. The other by Leonard Bisz. The appraisal prices in the first case were $1,500. Mrs. Gordon: How much? Mr. Grassie: You're talking about the fees,are you? Mrs. Gordon: No, no. I'm talking about the amount of the value of the land or property that was shown in the appraisal. Mr. Grassie: The first Appraisal appraised it $52,350.00 and the second Appraisal appraised $52,250.00. In other words, a hundred dollars difference. The price being offered by the city is approximately $750.00 less than the low appraisal. Mrs. Gordon: That's interesting. Mr. Grassie: The two appraisals were Atlantics Appraisal Associates. Mrs. Gordon: Who is Atlantics Appraisal Associates Mr. Grassie? May I ask a question please? Mayor Ferre: Yes, I'm going to answer it for you and I don't mean to be rude to you and I'm not trying to me, and I'm not trying to be coy. But these things are all in your agenda packet. If you will look at item 27. All the questions you've asked ... Mrs. Gordon: Yes, but it does say Atlantic Associates Appraisals but it doesn't say who they are. Mayor Ferre: Yes it says it right there on the top of it Rose. It says Atlantic Appraisal Associates - $52,350.00. Mrs. Gordon: Who are they? Maurice that's not what I asked. I asked who is the appraisal in Atlantic Appraisal Associates? Mayor Ferre: I'm sorry. Mr. Grassie: Commissioner, my understanding is that there is a list of either 16 or 17 approved firms. Firms approved by the City Commission. They are all MAI's. We sent a notification out to all of them. We get their responses and take the two best. Mayor Ferre: There a hundred dollars difference between the two appraisals. Mrs. Gordon: That's what so strange about it. Mayor Ferre: Ok. 103 JUIN 091077 the fat:wino tesoludich was introduced by Vice4 ayoi Glatt,) Gibson i Who it§ adoptioii: RESOLUTION No, 77.486 A RESOLUTION AUTHORIZING THE CITY MANAGER TO BURCHASE IN LIEU OF CONDEMNATION; SIX (6) VACANT LOTS, ONE LOT ZONED FOR DUPLEX, FIVE LOTS BEING ZONED COMMERCIAL, LOCATED ON THE WEST SIDE OF NORTHWEST SECOND AVENUE BETWEEN 52nd and 53rd STREETS, N,W,, MIAMI, FLORIDA, AND ONE LOT LOCATED ON 53rd STREET LYING 110.6' WEST OF NORTHWEST SECOND AVENUE, MIAMI, FLORIDA, SAID VACANT LAND COMPRISED OF 31,720.08 SQ. FT., MORE OR LESS, FOR THE SUM OF FIFTY-ONE THOUSAND FIVE HUNDRED ($51,500,00) DOLLARS AND ALLOCATING FIFTY-THREE THOUSAND ($53,000.00) DOLLARS FROM COMMUNITY DEVELOPMENT FUNDS TO COVER THE COST OF ACQUISITION OF FEE SIMPLE TITLE TO THIS PROPERTY AND OTHER COSTS INCIDENTAL TO THE ACQUISITION. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Reboso, the resolution was passed and adopted by the following vote - AYES: Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Mayor Maurice A. Ferre None. 38, AUTHORIZE PURCHASE IN LIEU CF COUENNTICN - 2 VACANT LOTS N,W, 53RD STREET, WEST OF N.W. 2ND AVENUE, The following resolution was introduced by Commissioner Plummer its adoption: RESOLUTION NO. 77-487 A RESOLUTION AUTHORIZING THE CITY MANAGER TO PURCHASE IN LIEU OF CONDEMNATION, TWO (2) VACANT DUPLEX ZONED LOTS COMPRISED OF 14,340 SQUARE FEET MORE OR LESS, LOCATED ON NORTH- WEST OF NORTHWEST SECOND AVENUE, FOR THE SUM OF FOURTEEN THOUSAND THREE HUNDRED FIFTY ($14,350.00) DOLLARS, AND ALLOCATING FIFTEEN THOUSAND ($15,000.00) DOLLARS FROM COMMUNITY DEVELOPMENT FUNDS TO COVER THE COST OF ACQUISI- TION OF FEE SIMPLE TITLE TO THIS PROPERTY AND OTHER COSTS INCIDENTAL TO THE ACQUISITION. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution was passed and adopted by the following vote - AYES; Commissioner J. L. Plummer,Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R, Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOt$i None. MI 491971. 31 AUTHORIZE PURL IN LIEU T ONMATION1 ma FAMILY RtalbENCE 2568 NA 1 Strali the resolution was passed and The following resolution Was introduced by Cot ti.SsiOnet Piumitef, WhO Witted its adoption: RESOLUTION NO, 77=488 A RESOLUTION AUTHORIZING THE CITY MANAGER TO PWICHASE IN LIEU OF CONDEMNATION A SINGLE FiAMILY RESIDENCE LOCATED AT 2568 NORTHWEST 31st STREET, MIAMI, FLORIDA, FOR THE SUM OF TIRTY-FIVE THOUSAND ($35,000.00) DOLLARS PROM COMMUNITY DEVELOPMENT FUNDS, AND ALLOCATING THIRTY SIX THOUSAND ($36,000.00) DOLLARS FROM COMMUNITY DEVELOPMENT FUNDS TO COVER THE COST OF ACQUISITION OF FEE SIMPLE TITLE TO THIS PROPERTY AND OTHER COSTS INCIDENTAL TO THE ACQUISITION. (Here follows body of resolution, omitted here and on. file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution was passed and adopted by the following vote - AYES: Commissioner J. L. Plummer, Jr. Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner Manolo Reboso Mayor Maurice A. Ferre NOES: None, 401 APPROVE INCREASE OF CONCRETE SEA WALL SEATING FOR PAYFRONT PARK OF THE AMERICAS' The following resolution was introduced by Commissioner Plummer, who moved its adoption: RESOLUTION NO. 77-489 A RESOLUTION APPROVING THE INCREASE OF 30 LINEAL FEET OF CONCRETE SEA WALL SEAT- ING FOR BAYFRONT PARK OF THE AMERICAS AT A COST $60 PER FOOT AMOUNTING TO $1,800; ALLOCATING FUNDS THEREFOR FROM TITLE X - BAYFRONT PARK FUNDS; AUTHORIZING THE CITY MANAGER TO INSTRUCT THE PURCHASING AGENT TO ISSUE A CHANGE ORDER FOR THIS INCREASE. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, adopted by the following vote - AYES Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NM; None. Lai AUTHoRizE CtD G Te a ENTER MID AGt WM: MIAMI-DADE COMPUNITY COLLEGE FOR RECREATION LLADERSi the following resolution was ihttoduced by Vice=Mayor ( ter) Oihaonf itS adoption: RESOLt t'ION NO, 77=490 A RESOLUTION AUTHORISING THE CITY MANAGER TO ENTER INTO AN AGREEMENT roll PART=TIME EMPLOY= MENT or MIAMI=BADE COMMUNITY COLLEGE STUDENTS IN ACCORDANCE WITH THE TERMS.AND CONDITIONS SET FORTH IN THE ATTACHED AGREEMENT. (Here follows body of resolution, omitted here ah 6h file in the Office of the City Clerk.) Uptn being seconded by Commissioner Plummer, the resolution was adopted by the following vote- AYES: Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Mayor Maurice A. Ferre NOES: None. ON ROLL CALL: Mr. Grassie: In the case of 31, this is a work agreement that we college. We hire the students for a minimum wage. Mayor Ferre: I know that. But what is the recreation? What... Mr. Grassie: They serve as Recreation Leaders in our parks. have with the Mr. Howard . Yes. We utilize the students in the Downtown Campuses and we have about fifteen of them that come into the program. Mayor Ferre: I know that. What do they do? They play ping-pong? Mr. Howard : They are in the recreation curriculum and this is they're doing their field work, and they work as leaders with the children out in the playground, instruct- ing and league and activities. Mayor Ferre: And, it's being paid for by... Mr. Howard: Yes. They are assigned to individual parks... Mayor Ferre: So. This comes out of our budget. Mr. Howard: We only pay 20% and the school pays the rest. Mayor Ferre: Oh, the school pays for this. Mr. Howard: Yes. Mr, Grassie; The Federal Government actually pays the ,rest, Mayor Ferre: Ok. I just want to know, JUN 091977 URE 421 ; ' AUTHORIZE Ctty MANAGER TO ACCEPT GRANT FOR Ui i A AGR1 FOR OVER FOOD SERVICt PROGRAMi The following resoiution Was introduced by COMMiSSiohek DIUMMet, Who moved ito adoPtibn: RESOLUTION NO. 77.491 A RESOLUTION AUTHORIZING THE CITY MANAGER TO ACCEPT A GRANT AWARD PROM THE U.S. DEPARTMENT OP AGRICULTURE FOR A SUMMER FOOD SERVICE PROGRAM AND FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE THE NECESSARY CONTRACT (S) AND/OR AGREEMENT (S) TO IMPLEMENT THE PROGRAM. (Here follows body of resolution, omitted here and oh file in the Office of the City Clerk.) Upon being seconded by Commissioner Gordon, the resolution was passed adopted by the following vote - AYES: Commissioner Rose Gordon Commissioner J. L. Plummer, Jr, Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Mayor Maurice A. Ferre None. 3 AUTHORIZE CITY MANAGER TO ACCEPT GRANT AWARD FROM COMMUNITY SERVICES ADMINISTRATION FOR RECREATION SUPPORT PROGRAM, The following resolution was introduced by Vice -Mayor (Rev.) Gibson, who_'moved its adoption: RESOLTUION NO. 77-492 A RESOLUTION AUTHORIZING THE CITY MANAGER TO ACCEPT A GRANT AWARD FROM THE COMMUNITY SERVICES ADMINISTRATION FOR A RECREATION SUPPORT PROGRAM AND FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE THE NECESSARY CONTRACT(S) AND/OR AGREEMENT(S) TO IMPLEMENT THE PROGRAM. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Plummer, the adopted by the following vote: AYES: Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Mayor Maurice A. Ferre NOES; _ None. 107 JUti 09 Sr VI CLAIM 'L AND MARIA kat* The foiihwing feStiititioh WAS ihttodtided by Co itieeiohef PIUMMer, 'W itt adoption: RESOLUTION NO, 77=49r5 A RESOLUTION AUTHORISING THE DIRECTOR OP FINANCE TO PAY TO RAMON REYES AND MARIA REYES, HIS WIFE, AND WHITMAN WOLFE AND GROSS, P,A,, THEIR ATTORNEYS, WITHOUT THE ADMISSION OF LIABILITY, THE SUM OF $2,663.33 IN FULL AND COMPLETE SETTLEMENT OF ALL BODILY INJURY CLAIMS AND DEMANDS AGAINST THE CITY OF MIAMI, UPON THE EXECUTION OF A RELEASE, RELEASING THE CITY OF MIAMI FROM ALL CLAIMS AND DEMANDS, AND TO PAY TO TRAVELERS INSURANCE COMPANY, WITHOUT THE ADMISSION OF LIABILITY, THE SUM OF $336.67 IN FULL AND COMPLETE SETTLEMENT OF THEIR PERSONAL INJURY PROTECTION LIEN, CLAIMS AND DEMANDS AGAINST THE CITY OF MIAMI, UPON THE EXECUTION OF A RELEASE, RELEASING THE CITY OF MIAMI FROM ALL PERSONAL INJURY PROTECTION LIEN, CLAIMS AND DEMANDS. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution Was passed and adopted by the following vote - AYES: Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Mayor Maurice A. Ferre NOES: None. 47, CLAIM SETTEME T: MARIA A, MORALESI The following resolution was introduced by Commissioner Plummer, who moved its adoption: RESOLUTION NO. 77-496 A RESOLUTION AUTHORIZING THE DIRECTOR OF FINANCE TO PAY TO MARIA A. MORALES, AN INDIVIDUAL, THE SUM OF $5,800.00 IN FULL AND COMPLETE SETTLEMENT OF ANY AND ALL CLAIMS AND DEMANDS AGAINST THE CITY OF MIAMI, UPON THE EXECUTION OF A RELEASE, RELEASING THE CITY OF MIAMI FROM ANY AND ALL CLAIMS AND DEMANDS. (Here follows body of resolution, omitted here and on in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resoiuton was passed and adopted by the following vote - AYES; Commissioner J, L. Plummer, Jr, Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre 108 JUN 09187 481 A MD! NEB Tfti- MOM f L ffPAVINGPOEM, PHASE 11 t tb "A" (H tGHwAYs) A foi.idWih§ ke6oitUtiah Was intboduced Commissioner Plummer, who Moved. ic c it bh RESOLUTION No. 77-497 RESOLUTION AWARDING THE BID OF WILLIAMS PAVING COMPANY,INC. IN THE AMOUNT OF $56,802 FOR N.E, 80 TERRACE COMMUNITY DEVELOPMENT PAVING PROJECT PHASE II .. BID "A"; ALLOCATING THE AMOUNT OF $56,802 FROM THE ACCOUNT ENTITLED "HIGHWAY BOND FUNDS" TO COVER THE CONTRACT COST; ALLOCATING FROM SAID ACCOUNT THE AMOUNT OF $6,248 TO COVER THE COST OF PROJECT EXPENSE; ALLOCATING FROM SAID ACCOUNT THE AMOUNT OF $1,136 TO COVER THE COST OF SUCH ITEMS AS ADVERTISING,TESTING LABORAT- ORIES, POSTAGE; AND AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH SAID FIRM. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice-Mayor(Rev.) Gibson, the resolution Was passed and adopted by the following vote: AYES: Commissioner J.L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. ACCEPT BID: N.E. 80 TERR, - COMMUNITY DEVELOPMENT PAVING PROJECT, PHASE II BID "B" (DRAINAGE), The following resolution was introduced by Commissioner Reboso, who moved its adoption: RESOLUTION N0. 77-498 A RESOLUTION ACCEPTING THE BID OF MARKS BROTHERS COMPANY (NOT INC.) IN THE PROPOSED AMOUNT OF $26,355 FOR N.E. 80 TERRACE COMMUNITY DEVELOPMENT PAVING PROJECT PHASE II - BID "B"; WITH FUNDS THEREFOR PROGRAMMED AND BUDGETED UNDER THE "COMMUNITY DEVELOPMENT PROGRAM"; AND AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH SAID FIRM. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution was passed and adopted by the following vote - AYES: Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Mayor Maurice A. Ferre None, NOES: JUN 09197 1 ACCEPT AID: ALLAPATTAH COMMUNITY DEVELOPPUT PAVING PROJECT PRUE IAND ALIAPATTAH SANITARY SEER 111DtFICATIr - The following resolution Was introduced by CoMMissioher Gordon, Who MoVed its adoption: RESOLUTION NO, 77-499 A RESOLUTION ACCEPTING THE BID OF HOLLAND PAVING CO,, INC. IN THE AMOUNT OF $317,210.35 FOR THE ALLAPATTAH COMMUNITY DEVELOPMENT PAVING PROJECT - PHASE I AND ALLAPATTAH SANITARY SEWER MODIFICATIONS - 1977; ALLOCATING THE AMOUNT OF $202,433.68 FROM THE ACCOUNT ENTITLED "HIGHWAY IMPROVEMENT BOND FUNDS" AND USING $114,776.67 PROGRAMMED THROUGH THE "COMMUNITY DEVELOP- MENT PROGRAM" TO COVER THE CONTRACT COST; ALLOCATING $22,267.70 FROM THE ACCOUNT ENTITLED "HIGHWAY IMPROVE- MENT BOND FUNDS" AND USING $12,625.43 PROGRAMMED THROUGH THE "COMMUNITY DEVELOPMENT PROGRAM" TO COVER THE COST OF PROJECT EXPENSE; ALLOCATING $4,048.62 FROM THE ACCOUNT ENTITLED "HIGHWAY IMPROVEMENT BOND FUNDS" AND USING $2,294.90 PROGRAMMED THROUGH THE "COMMUNITY DEVELOPMENT PROGRAM" TO COVER THE COST OF SUCH ITEMS AS ADVERTISING, TESTING LABORATORIES AND POSTAGE; AND AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH SAID FIRM. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice -Mayor (Rev.) Gibson, the resolution was passed and adopted by the following vote - AYES: Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Mayor Maurice A. Ferre NOES: None. 51, ACCEPT BID: CULMER COfVI1Y DEVELOPMENT PAVING PROJECT- B-4413-1977 AND CULMER SANITARY SEWER NOD, B-5429-1977, The following resolution was introduced by Vice -Mayor (Rev.) Gibson, who moved its adoption: RESOLUTION NO. 77-500 A RESOLUTION ACCEPTING THE BID OF MARKS BROTHERS COMPANY (NOT INC.) IN THE PROPOSED AMOUNT OF $392,621.65 FOR THE CULMER COMMUNITY DEVELOPMENT PAVING PROJECT - 1977 AND CULMER SANITARY SEWER MODIFICATION - 1977; ALLOCATING THE AMOUNT OF $302,219.38 FROM THE ACCOUNT ENTITLED "HIGHWAY IMPROVEMENT BOND FUNDS" AND USING $90,402.27 PROGRAMMED THROUGH THE "COMMUNITY DEVELOPMENT PROGRAM" TO COVER THE CONTRACT COST; ALLOCATING $35,067.62 FROM THE ACCOUNT ENTITLED "HIGHWAY IMPROVEMENT BOND FUNDS" AND USING $8,121 PROGRAMMED THROUGH THE "COMMUNITY DEVELOPMENT PROGRAM" TO COVER THE COST OF PROJECT EXPENSE; ALLOCATING $6,375 FROM THE ACCOUNT ENTITLED "HIGHWAY IMPROVEMENT BOND FUNDS" AND USING $1,476.73 PROGRAMMED THROUGH THE "COMMUNITY DEVELOPMENT PROGRAM" TO COVER THE COST OF SUCH ITEMS AS ADVERTISING, TESTING LABORATORIES AND POSTAGE; AND AUTHORIZING THE CITY MANAGER TO EXECUTE A CONTRACT WITH SAID FIRM. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Gordon, the resolution was passed end edopted by the following vote- JUN 09 1g77 AVM: Vice Meyor (Revs) Theodore R. GibSoh ed tissioner Rorie Gordon Commissioner a, L. Plummer, df's Cottimissinner Manolo Reboso Mayor Maurice A. Fevre NOtgi None. S2 BRIEF DISCUSSION ITEM: PEAS PCR CITY -OWNED SWIMMING PO= AND POSITION AT DINNER KEY. Mayor Ferret Alright. I've got one pocket item and that is Swimming pools The summer is upon us and we haven't moved on it. Mr. Howard: We haven't recommended a waiver of fee this year. We sought the 15 fee. The County is not waiving their 25 fee this year. They're giving free swimming instructions as we're doing, but they're still paying the entrance fee into the pool. Mr. Plummer: What's your recommendation? Mr. Howard: That we continue with the fee. Mr. Plummer: And, how much is it? Fees. Mr. Howard: Fifteen cents (15f) or 25 aluminum cans will get a child into the pool free of charge. And, quite a few of them do come into the pool that way. But it's only a 15 fee for the pool. Very nominal. Mr. Plummer: Well, as I recall the previous Administration saying that you don't make a damn thing off of 15 when it's a control of discipline that they have with that 15. Is that correct? Mr. Howard: We ran into quite a few problems. Mr. Plummer: What do you want? You want us to ratify that? Mr. Howard: No. Because when you did it before it was just for the season. We didn't need it this year. Mr. Plummer: Ok. Mayor Ferre: So, we don't want to waive it? Mr. Plummer: No. Rev. Gibson: Mr. Mayor, I want to raise a question. Some meetings ago, we took up that Sanitation Worker's problem and I'm concerned about when the lawyer is going to get that brief ready and file. Now, I hope everybody understands my position. I don't believe I will be comfortable having that lawyer file that brief until such time as he submits that brief to this Commission. I think Bailey can do that about Florida East Coast or I'm going to demand that it be done by the Sanitation Employees. Because we have a very peculiar situation and I want members of the Commission to hear this. We took a position. The Administration took another one. And, just remember the attorney doesn't work for us in the same manner. The attorney works for Mr. Mielke. So I have no control over that. I want to make sure I see the brief before it's filed in our name. I think that's only reasonable and it's fair an just and I want it 10 days before time to file it. Because I want to read it. I want to scrutinize it and I want to make sure it's before us...I must have it in time for a Commission... so that if it isn't right that the Commission would then have the authority and ability to order that attorney what to do. I just everybody understands what I'm saying. I want to raise a question. You see, they go before that Commission sometime in July and you know, we have one more meeting in June. I want to make sure I have that brief. Not only me the entire Commission because all of us are responsible. Is that under- stood, Mr. Manager? Mr. Grassie: I hear what you're saying Commissioner. I'm not aware that we're filling any brief, but I'll find out, Rev. Gibson; Well, I was present, Let me say to this Commission. I was present at the hearing and I'll tell you what, let's call Mr, Mielke now, Isn't he somewhere around?Let's find out, Mr. Grassier Apparently, he's not around now, 111 JUN 091977 1 kev, Gibson: Well, 1 want to setVe notice that i don't want that brief filed tihti . such time as we fist read it, If it is filed I'M going to be pretty triad, Mt, Mayor, because I have some serious tesefvations. Mayor Ferret Alright, Mr, Plummer: Mr. Mayor* it's not really a pocket iteta Mt, Grassie, I would like you to furnish members of this Commission who I am sure have received complaints as I have. What is the status of the N. E. corner of l2th and Plagler, other than continuously catching on fire? Mr, Grassie: The status in the sense... Mr. Plummer: Why isn't it either being torn down or being redone? Mayor Ferre: What are you talking about? Mr. Plummer: Where the fire was. There's no activity other than it just keeps rekindling someway. Mr. Grassie: Let's ask Vince to comment on that.Commissioner. Mr. Grimm: Commissioner Plummer, totally unofficially, but yesterday I had a meeting with Mr. Alvarez, who is an Architect. We were discussing some other problems and in conversation he mentioned that he had been approached by the owners of that property for a complete re -design, tear everything down and start over from scratch. Mr. Plummer: Yes, but isn't there someway that the city because of public welfare can make these people move? Mr. Grimm: Well, I think you should ask the Chief of the Fire Department that. I'm . sure that when buildings are insured there is some time lag in before to make sure all evidence and whatever else is necessary is gathered before the people themselves can go in and tear the building down. Mr. Plummer: Well, I would like a better report than that Vince. I'm glad to hear something is doing. But I would like a report that say that the city is doing something to make these people move one way or the other, because it's a damn disgrace to that neighborhood, and all it does is just keep catching on fire. If the responsib- ility of it not moving is with the Fire Chief let's get a report from him. Let's find out what the hell is going on. That's what I would like. No, the World is on Biscayne Blvd. It's hell there if you've ever been in one of those fires. Mayor Ferre: Anything else? Mr. Plummer: Yes. I would like Mr. Manager, I brought to your attention I have with the Mayor. Would you please let me know and I'm sure the rest of the Commission? Someone has brought to my attention that there is an event booked into the Dinner Key Auditorium in the very near future called "A World Exhibition or something with Columbian"... Mr. Grassie: I have that being looked into right now Commissioner, and we'll have that for you tomorrow morning. The information will be to you tomorrow morning. Mr. Plummer: God forbid that we should have something in competition with our biggy and I want to make sure so please let me know what you find out. Mr. Grassie: I certainly will. Mr. Plummer: That's all Mr. Mayor. The other one Father Gibson touched on was the PERK decision. Mayor Ferre: Alright. Anything else? CONFIRMING RESuLUTIONI AUTHORIZE CITY MANAGER tO EXECUTE AGREEMENT wim MIAMI DOLPHINS, LTD. FOR USE OF THE ORANGE BOWL STADIUM. tiev. Gibson: Mani look, you all.. hell man, i get tired of the last minute of eiterything and then when We come back it is as if a gun is to out head. I don't plan to sign an agreement until such time as it is determined whether or not it is tax or rent. No, it isn't. Read it. Doggone it, I can read English. Mr, Knox: But this wouldn't have any validity Father unless the court vacates their order. Otherwise we'd have an unconstitutional agreement and the City Attorney's Office couldn't approve that. Mr. Grassier It has to go through court before ... Mr. Knox: Yes sir. Rev. Gibson: I want to make sure everybody understands. I don't Want us to go there being party to that scheme, that's what I'm talking about. Is that clear? Mr. Knox: Yes sir. Rev. Gibson: Alright. I have that assurance for the record. The following resolution was introduced by Commissioner Plummer, who moved its adoption: RESOLUTION NO. 77-501 A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH THE MIAMI DOLPHINS, LTD. FOR THE USE OF THE MIAMI ORANGE BOWL MEMORIAL STADIUM IN ACCORDANCE WITH THE TERMS AND CONDITIONS CONTAINED IN THE ATTACHED COPY OF A 21 PAGE AGREEMENT, PROVIDED THAT CERTAIN AMENDMENTS BE MADE PRIOR TO SAID EXECUTION. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Gordon, the resolution was passed and adopted by the following vote - AYES: Commissioner J. L. Plummer, Jr. Commissioner Manolo Reboso Vice -Mayor (Rev.) Theodore R. Gibson Commissioner Rose Gordon Mayor Maurice A. Ferre NOES: None. ADJOURNMENT: There being no further business to come before the City Commission the meeting was adjourned at 7:28 P.M. ATTEST: Ralph G. Ongie City Clerk Natty Hirai Assistant City Clerk litrZ MAURICE A. FERRE Mayor 113 JUN 091911 DOCUMENT MEETING DATE: INDEX DUNE 9, 1977 ITEM NO 1 2 3 4 5 6 7 8 9 10 11 12 DOCUMENT IDENTIFICATION COMMISSION ACTION RETRIEVAL CODE NO. COMMISSION AGENDA AND CITY CLERK REPORT. GRANTING MODIFICATION TO PAD APPLICATION ORI- GINALLY GRANTED BY RESOLUTION NO. 76-559 AS PROVIDED BY ORDINANCE NO 6871, ARTICLE XXI. APPROVING THE PROPOSAL OF SACHS AND FREEMAN ASSOCIATES INC, IN THE AMOUNT OF $28,488 FOR CONDUCTING A TECHNICAL STUDIES OF THE CITY'S COMMUNICATION SYSTEMS, ACCEPTING THE FOLLOWING BID, FOR THE DEPART- MENT OF PUBLIC PROPERTIES, FURNISHING HEAVY EQUIPMENT OF INTERNATIONAL HARVEST ON SIXTEEN CAB AND CHASSIS AT A COST OF $405,445. ACCEPTING THE BID OF ROCKWELL INTERNATIONAL IN THE AMOUNT OF $403,187.00 FOR FURNISHING AN AUTOMATIC FINGERPRINT IDENTIFICATION SYSTEM CERTIFYING AND DECLARING THAT THE SPECIAL STRAW BALLOT REFERENDUM ELECTION HELD JUNE 7, 1977, RESULTED IN APPROVAL AN EXPENDITURE OF AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $15,000,000 AUTHORIZING THE CITY ATTORNEY TO APPOINT JOHN R. FARRELL AS A SPECIAL ASSISTANT, AND TO ENTER INTO AN AGREEMENT RELATIVE THERETO, TO HANDLE ALL ASPECTS OF THE FLORIDA EAST COAST RAILWAY COMPANY CONDEMNATION CASE. AUTHORIZING THE TRANSFER OF $50,778 FROM THE CONTINGENCY FUND TO SPECIAL PROGRAMS AND ACCOUNTS, RESERVE FOR SPECIAL PROGRAMS - SUMMER RECREATION PROGRAM ALLOCATING THE AMOUNT OF $210,000,00 FROM THE HIGHWAY BOND FUND TO COVER THE COST OF MATER- IALS USED IN MAINTAINING THE PAVEMENT AT STREET INTERSECTIONS. ACCEPTING THE COMPLED WORK PERFORMED BY SQUIRES CONSTRUCTION, INC AT A TOTAL COST OF $21,082 ACCEPTING THE COMPLETED WORK PERFORMED BY WEBB GENERAL CONTRACTING, INC. AT A TOTAL COST OF $28,178 PROVIDING FOR A PUBLIC HEARING ON THE PRO- POSED BUDGET OF THE DEPARTMENT OF OFF-STREET PARKING OF THE CITY OF MIAMI. R-77-465 R-77-467 R-77-468 R-77-471 R-77-472 R-77-473 R-77-474 R-77-475 R-77-476 R-77-477 00054 0055 77-465 77-467 77-468 77-471 77-472 77-473 77-474 77-475 77-476 77-477 MCUMENTINDEX CONTINU NO. COT+i S TON RETRIE�/�L. 1 CODE NO. DOCUMENT IDENTIFICATION 13 14 15 16 17 18 19 20 21 22 PROVIDING FOR A PUBLIC HEARING ON THE PROPOSED BUDGET OF GUSMAN HALL AND THE OLYMPIA BUILDING FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 1977 CREATING AND ESTABLISHING A CITIZEN'S COMMIT- TEE FOR THE DEVELOPMENT OF WATSON ISLAND FOR THE PURPOSE OF BUILDING RECREATIONAL AND AMUSEMENT FACILITIES FOR THE ENJOYMENT OF RESI- DENTS AND TOURISTS. CREATING A BUDGET REVIEW COMMITTEE FOR THE PURPOSE OF STUDYING THE CITY OF MIAMI'S ANNUAL BUDGET PREPARATION PROCESS. AMENDING REOSLUTION NO. 76-1018 TO PROVIDE THAT THE TERM FOR THE CONTRACT WITH WACKENHUT CORPORATION FOR THE FURNISHING OF SECURITY PERSONNEL AND DOGS FOR ORANGE BOWL EVENT RE-ESTABLISHING THE CITY OF MIAMI COMMITTEE ON ECOLOGY AND BEAUTIFICATION DESCRIBING ITS PURPOSES, STRUCTURE, MEMBERSHIP EQUIPMENTS, AND OTHER REQUIREMENTS THAT THE MAIMI CITY COMMISSION DEEMS NECESSARY FOR THE ACHIEVE- MENT OF THE OBJECTIVES. AUTHORIZING AND DIRECTING THE CITY MANAGER TO ENTER INTO AN AGREEMENT WITH THE BUREAU OF BLIND SERVICES FOR THE FOOD AND BEVERAGE CONCESSION AT FLAGLER MINI PARK APPROVING IN PRINCIPLE THE PROPOSAL OF STAR ENTERTAINMENT COMPLEX INC., TO PROVIDE ADVER- TISING AND PROMOTIONAL ACTIVITIES TO STIMU- LATE THE USE OF THE CITY OF MIAMI'S PUBLIC FACILITIES BY DEVELOPMENT OF APPROPRIATE NEW EVENTS. CERTIFYING THE EXISTENCE OF A VALID PUBLIC EMERGENCY NECESSITATING CONTINUED OPERATION OF THE VIRGINIA KEY DISPOSAL FACILITY. AUTHORIZING THE CITY MANAGER TO PURCHASE IN LIEU OF CONDEMNATION, SIX (6) VACANT LOTS, ONE LOT ON THE WEST SIDE OF NORTHWEST SECOND AVENUE BETWEEN 52ND AND 53 STREET. AUTHORIZING THE CITY MANAGER TO PURCHASE IN LIEU OF CONDEMNATION TWO (2) VACANT DUPLEX ZONED LOTS COMPRISED OF 14,340 SQUARE FEET MORE OR LESS, LOCATED ON NORTHWEST 53RD STREET. R-77-478 R-77-479 R-77-480 R-77-481 R-77-482 R-77-483 R-77-484 R-77-485 R-77-486 R-77-487 77-478 77-479 77-480 77-481 77-482 77-483 77-484 77-485 77-486 77-487 701DOCUMENT IDENTIFICATION 23 24 25 26 27 28 29 30 31 32 33 34 35 36 AUTHORIZING THE CITY MANAGER TO PURCHASE IN LIEU OF CONDEMNATION A SINGLE FAMILY RESIDENCE LOCATED AT 2568 NORTHWEST 31ST STREET APPROVING THE INCREASE OF 30 LINEAL FEET OF CONCRETE SEA WALL SEATING FOR BAYFRONT PARK AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AGREEMENT FOR PART-TIME EMPLOYMENT OF MIAMI-DADE COMMUNITY COLLEGE STUDENTS. AUTHORIZING THE CITY MANAGER TO ACCEPT A GRANT AWARD FROM THE U.S. DEPARTMENT OF AGRICULTURE FOR A SUMMER FOOD SERVICE PROGRAM AUTHORIZING THE CITY MANAGER TO ACCEPT A GRANT AWARD FROM THE COMMUNITY SERVICES AD- MINISTRATION FOR A RECREATION SUPPORT PROGRAM AUTHORIZING THE CITY MANAGER TO ACCEPT A GRANT AWARD FROM THE FLORIDA DEPARTMENT OF HEALTH AND REHABILITATIVE SERVICE FOR RECREA- TIONS PROGRAMS RATIFYING AND APPROVING THE CITY OF MIAMI'S CO-SPONSORSHIP AND THE USE OF THE MARINE STADIUM BY THE MARINE COUNCIL OF GREATER MIAMI ON SATURDAY, JUNE 4, 1977 AUTHORIZING THE DIRECTOR OF FINANCE TO PAY TO RAMON REYES AND MARIA REYES, WITHOUT THE ADMISSION OF LIABILITY, THE SUM OF $2,663.33 IN FULL AND COMPLETE SETTLEMENT OF ALL BODILY INJURY. AUTHORIZING THE DIRECTOR OF FINANCE TO PAY TO MARIA A. MORALES, AN INDIVIDUAL, THE SUM OF $5,800.00 IN FULL AND COMPLETE SETTLEMENT OF ANY AND ALL CLAIMS AWARDING THE BID OF WILLIAMS PAVING COMPANY, INC. IN THE AMOUNT OF $56,802 FOR N.E. 80 TERRACE COMMUNITY DEVELOPMENT PAVING PROJECT PHASE II -BID "A". ACCEPTING THE BID OF MARKS BROTHERS COMPANY (NOT INC.) IN THE PROPOSED AMOUNT OF $26,355 ACCEPTING THE BID OF HOLLAND PAVING CO., INC. ACCPETING THE BID OF MARKS BROTHERS COMPANY IN THE PROPOSED AMOUNT OF $392,621.65 AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH THE MIAMI DOLPHINS, LTD. FOR THE USE OF THE MIAMI ORANGE BOWL MEMORIAL STADIUM )OCUMENTI NDEX CONTINUED OD D CO t1SSION R-77-488 R-77-489 R-77-490 R-77-491 R-77-492 R-77-493 R-77-494 R-77-494 R-77-496 R-77-497 R-77-498 R-77-499 R-77-500 R-77-501 77-488 77-489 77-490 77-491 77-492 77-493 77-494 77-495 77-496 77-497 77-498 77-499 77-500 77-501