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HomeMy WebLinkAboutAgenda Item Summary FormAGENDA ITEM SUMMARY FORM File ID: #19006 Date: 03/03/2026 Commission Meeting Date: 04/09/2026 Requesting Department: City Manager's Office Sponsored By: Eileen Higgins District Impacted: Type: Resolution Subject: Allocate Funds - Capital Project - Administration Building Purpose of Item: A RESOLUTION OF THE MIAMI CITY COMMISSION APPROPRIATING AND ALLOCATING FUNDS TO CAPITAL PROJECTS FUND NO. 34100 TO BE USED EXCLUSIVELY FOR CAPITAL COSTS ASSOCIATED WITH THE DEVELOPMENT OF THE CITY OF MIAMI ("CITY") ADMINISTRATION BUILDING CURRENTLY UNDER CONSTRUCTION AND LOCATED APPROXIMATELY AT 1822 NORTHWEST 37TH AVENUE, MIAMI, FLORIDA, IN AN AMOUNT EQUAL TO THE NET PROCEEDS ULTIMATELY RECEIVED FROM THE RENT AND/OR SALE OF THE CITY'S CURRENT ADMINISTRATION BUILDING ("MIAMI RIVERSIDE CENTER") TO BE PAID BY LANCELOT MIAMI RIVER, LLC ("LANCELOT"), PURSUANT TO THAT CERTAIN AGREEMENT AND LEASE DATED AS OF NOVEMBER 21, 2019, GOVERNING LANCELOT'S LEASE AND OPTION TO PURCHASE THE MIAMI RIVERSIDE CENTER; RATIFYING, APPROVING, AND CONFIRMING CERTAIN NECESSARY ACTIONS BY THE CITY MANAGER AND THE DESIGNATED CITY OFFICIALS TO UPDATE THE CITY'S CAPITAL PLAN AND RELEVANT FINANCIAL CONTROLS, ACCOUNTING ENTRIES, AND COMPUTER SYSTEMS, FOR PROJECT CLOSE-OUTS, GRANTS AND OTHER FUNDING SOURCES IN CONNECTION HEREWITH; FURTHER AUTHORIZING THE CITY MANAGER TO MAKE ANY CHANGES TO ADJUST, AMEND, AND APPROPRIATE THE CITY'S OPERATING BUDGET, FIVE-YEAR FINANCIAL PLAN, STRATEGIC PLAN, MULTI -YEAR CAPITAL PLAN, AND ANY OTHER NECESSARY DOCUMENTS; PROVIDING FOR AN EFFECTIVE DATE. Background of Item: N/A Budget Impact Analysis Total Fiscal Impact: N/A Reviewed B Department of Finance Department of Real Estate Office of Management and Office of Management and City Manager's Office Legislative Division City Manager's Office Office of the City Attorney Office of the City Attorney Office of the City Attorney City Commission Office of the Mayor Office of the City Clerk Office of the City Clerk Munirah Daniel and Asset Management Budget Aniska Elliott Budget Marie Gouin Erica T. Paschal Valentin J Alvarez Natasha Colebrook -Williams Jacqueline Lorenzo Xavier Alban George K. Wysong III Nicole Ewan Mayor's Office City Clerk's Office City Clerk's Office Finance Review Andrew Frey Budget Analyst Review Budget Review Completed 03/10/2026 12:26 PM DREAMS Review Completed Completed Completed CPA Review Completed Legislative Division Review Completed Approved on behalf of the City Manager ACA Review Completed Deputy Attorney Review Completed Approved Form and Correctness Completed Meeting Completed Signed by the Mayor Completed Signed and Attested by the City Clerk Completed Rendered Completed 03/11/2026 1:24 PM 03/18/2026 3:49 PM 03/18/2026 6:26 PM 03/19/2026 11:23 AM Completed 03/20/2026 8:22 AM 03/21/2026 2:40 AM 03/23/2026 12:23 PM 04/09/2026 9:00 AM 04/16/2026 4:44 PM 04/16/2026 4:54 PM 04/16/2026 4:54 PM City of Miami Legislation Resolution Enactment Number: R-26-0163 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com File Number: 19006 Final Action Date:4/9/2026 A RESOLUTION OF THE MIAMI CITY COMMISSION APPROPRIATING AND ALLOCATING FUNDS TO CAPITAL PROJECTS FUND NO. 34100 TO BE USED EXCLUSIVELY FOR CAPITAL COSTS ASSOCIATED WITH THE DEVELOPMENT OF THE CITY OF MIAMI ("CITY") ADMINISTRATION BUILDING CURRENTLY UNDER CONSTRUCTION AND LOCATED APPROXIMATELY AT 1822 NORTHWEST 37TH AVENUE, MIAMI, FLORIDA, IN AN AMOUNT EQUAL TO THE NET PROCEEDS ULTIMATELY RECEIVED FROM THE RENT AND/OR SALE OF THE CITY'S CURRENT ADMINISTRATION BUILDING ("MIAMI RIVERSIDE CENTER") TO BE PAID BY LANCELOT MIAMI RIVER, LLC ("LANCELOT"), PURSUANT TO THAT CERTAIN AGREEMENT AND LEASE DATED AS OF NOVEMBER 21, 2019, GOVERNING LANCELOT'S LEASE AND OPTION TO PURCHASE THE MIAMI RIVERSIDE CENTER; RATIFYING, APPROVING, AND CONFIRMING CERTAIN NECESSARY ACTIONS BY THE CITY MANAGER AND THE DESIGNATED CITY OFFICIALS TO UPDATE THE CITY'S CAPITAL PLAN AND RELEVANT FINANCIAL CONTROLS, ACCOUNTING ENTRIES, AND COMPUTER SYSTEMS, FOR PROJECT CLOSE-OUTS, GRANTS AND OTHER FUNDING SOURCES IN CONNECTION HEREWITH; FURTHER AUTHORIZING THE CITY MANAGER TO MAKE ANY CHANGES TO ADJUST, AMEND, AND APPROPRIATE THE CITY'S OPERATING BUDGET, FIVE-YEAR FINANCIAL PLAN, STRATEGIC PLAN, MULTI -YEAR CAPITAL PLAN, AND ANY OTHER NECESSARY DOCUMENTS; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, on February 2, 2016, the City of Miami ("City") issued two (2) competitive solicitations, including Request for Proposals No. 15-16-009 ("RFP") for the development of a new City administration building, and Offering Memorandum ("OM") for the disposition of the City's current administration building, consisting of approximately 3.15 acres and located generally at 444 and 460 Southwest 2nd Avenue, Miami, Florida ("Miami Riverside Center"); and WHEREAS, on December 8, 2016, the City Commission, pursuant to Resolution No. R- 16-0611, approved the City Manager's and the RFP Selection Committee's recommendations to select the top ranked bidder, Lancelot Miami River, LLC, an affiliate of Adler Group ("Lancelot"), for both the RFP and the OM; and WHEREAS, in November 2018, the electorate of the City approved a referendum to approve the negotiation of a ninety-nine (99) year lease with Lancelot, including an option to purchase the Miami Riverside Center; and WHEREAS, pursuant to Resolution No. R-19-0254, adopted June 27, 2019, the City and Lancelot entered into that certain Agreement and Lease, dated as of November 21, 2019, governing Lancelot's lease of the Miami Riverside Center and option to purchase the same ("Lease"); and WHEREAS, Lancelot is required to pay rent to the City in an amount equal to Three Million, Six Hundred Twenty Thousand and 00/100 Dollars ($3,620,000.00) per year, as adjusted pursuant to the terms of the Lease ("Rent") unless and until Lancelot exercises its option to purchase thereunder; and WHEREAS, the purchase price for the Miami Riverside Center is equal to Sixty -Nine Million, Four Hundred Thousand and 00/100 Dollars ($69,400,000.00) less any credits due to Lancelot pursuant to the terms of the Lease ("Purchase Price"); and WHEREAS, the City estimates the current Purchase Price for the Miami Riverside Center, less applicable credits, to equal no less than Fifty -Eight Million, Six Hundred Thousand and 00/100 Dollars ($58,600,000.00), which estimate is subject to verification by City staff; and WHEREAS, pursuant to the terms of the Lease, the City may ultimately receive either Rent or the Purchase Price, or a combination thereof, in each case net of any applicable credits or adjustments (collectively, the "Proceeds"), depending on when Lancelot exercises its option to purchase; and WHEREAS, pursuant to Resolution No. R-19-0255, adopted June 27, 2019, the City and Lancelot also entered into a Development Management and Construction Agreement for the development of the City's new administration building, which was thereafter amended and restated pursuant to Resolution No. R-23-0547, adopted December 14, 2023 (as amended, the "DMCA"); and WHEREAS, the DMCA provides for the development of a new City administration building ("New Administration Building") to be located approximately at 1822 Northwest 37th Avenue, Miami, Florida; and WHEREAS, the development of the New Administration Building is currently proceeding under Capital Project No. 40-6243400; and WHEREAS, the City currently maintains Fund 34100 — City Admin Building 2023 to segregate funds set aside for the development of the New Administration Building; and WHEREAS, the City Commission finds it appropriate and in the best interest of the City to appropriate and allocate the Proceeds received after the effective date of this resolution within Fund 34100 — City Admin Building 2023 to be used exclusively for capital costs associated with the development of the New Administration Building under Capital Project No. 40-B243400; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. The City Manager is directed and authorized1 to allocate and appropriate the Proceeds ultimately received after the effective date of this Resolution to Fund 34100 — City 1 The herein authorization is further subject to compliance with all legal requirements that may be imposed, including but not limited to, those prescribed by applicable City Charter and City Code provisions, as well as all federal, state, and local laws governing the use of the subject funds. This authorization is further conditioned upon receipt of all required approvals, including, but not limited to, approval by the City Attorney, as applicable. Admin Building 2023, under Capital Project No. 40-6243400, provided such proceeds shall be tracked separately within Fund 34100 using an Award for reporting and transparency purposes. Section 3. The Proceeds shall be used exclusively for capital expenditures associated with the development of the New Administration Building under Capital Project No. 40- B243400 and shall not be used for operating expenses. Section 4. Certain necessary actions by the City Manager and designated City officials and departments made in order to update the City's Capital Plan, relevant financial controls and computer systems for project close-outs, and for grants and other funding sources in progress in connection herewith are ratified, approved, and confirmed. Section 5. The City Manager is further authorized' to make any changes to adjust, amend, and appropriate the City's Operating Budget, Five -Year Financial Plan, Strategic Plan, Multi -Year Capital Plan, and any other documents as necessary and applicable, pursuant to the provisions of this Resolution. Section 6. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.2 APPROVED AS TO FORM AND CORRECTNESS: rge Wys•ng IIV, C y ttor -y 3/23/2026 2 If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission.