632-2018 RDARESOLUTION NO. 632 -2018
A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF
THE MIAMI BEACH REDEVELOPMENT AGENCY (RDA)
ADOPTING THE FIRST AMENDMENT TO THE OPERATING
BUDGET FOR THE CITY CENTER REDEVELOPMENT AREA
FOR FISCAL YEAR 2017/18.
WHEREAS, the operating budget for the RDA City Center Redevelopment Area for FY
2017/18 was adopted on September 25, 2017, with the adoption of Resolution No. 625 -2017;
and
WHEREAS, pursuant to Florida Statutes Section 166.241(4)(c), the City's budget
amendment must be adopted in the same manner as its original budget; and
WHEREAS, on January 26,1993, Miami -Dade County adopted Resolution No. R- 14 -93,
which, among other things, found the area of Miami Beach bounded on the east by the Atlantic
Ocean on the north by 24th Street, on the west by West Avenue, and on the south by 14th
Lane to be a "blighted area" within the meaning of Part III of Chapter 163, Florida Statutes, and
delegated to the City of Miami Beach, pursuant to Section 163.410, Florida Statutes, certain
powers conferred upon the County Commission as the governing body of Dade County by Part
III of Chapter 163, Florida Statutes, with regard to the Redevelopment Area, so that the City
Commission, either directly or through its duly designated community redevelopment agency,
could exercise such powers; and
WHEREAS, on November 16, 1993, the County and the City approved and entered into
an Interlocal Agreement, by which the County delegated to the City certain redevelopment
powers including, but not limited to, the creation of the Redevelopment Area and
implementation of the Redevelopment Plan; and
WHEREAS, the First Amendment to the Interlocal Agreement, approved by the County
Commission, through Resolution No. R- 889 -03, and approved by the City Commission, through
Resolution No. 2003 - 25241, delegated to the City the power to develop and implement
community policing initiatives; and
WHEREAS, the Second Amendment to the Interlocal Agreement, approved by the
County Commission, through Resolution No. R- 958 -04, and approved by the City, through
Resolution No. 2004- 25560, allowed the Redevelopment Agency to refund certain bonds and
provided for an annual fee of one and one -half percent to be paid to the County and City
annually to defray administrative costs after debt service and all other obligations related to the
bonds or future indebtedness was satisfied for the fiscal year; and
WHEREAS, the Third Amendment to the Interlocal Agreement, approved by the County
Commission, through Resolution No. R- 1110 -14, and approved by the City Commission,
through Resolution No. 2014- 28835, among other things, allowed the Miami Beach
Redevelopment Agency to issue $430 million in bonds to refund existing debt and partially fund
the Miami Beach Convention Center expansion and renovation project and delineated the
annual administrative and operating expenditures for the Redevelopment Agency and any
remaining funding to be used to retire debt early; and
WHEREAS, the Fourth Amendment to the Interlocal Agreement, approved by the
County Commission on June 19, 2018, through Resolution No. R- 644 -18, and approved by the
City on April 25, 2018, through Resolution No. 2018 - 30288, among other things, will add certain
expenditures to the authorized expenditures of the Redevelopment Agency, allow the
Redevelopment Agency to reimburse the City $6,914,221 for construction delays and damages
to the Convention Center renovation and expansion project resulting from Hurricane Irma,
include proposed funding in an amount up to $20 million to fund the Lincoln Road project,
previously authorized as part of the Third Amendment, for a total project amount of up to $40
million for the Lincoln Road project, distribute to both the County and the City, beginning in FY
2017/18, and continuing until FY 2022/23, an annual reimbursement based on each entity's
proportionate share of expenditures for administration, community policing, and capital
maintenance, and require that both set aside $1.5 million of the annual reimbursement for
beach re- nourishment that can be utilized to leverage State or Federal funding for beach re-
nourishment projects, and utilize any excess revenues, after the foregoing distributions, for the
early prepayment of debt, as originally stipulated in the Third Amendment to the Interlocal
Agreement; and
WHEREAS, this proposed amendment appropriates $18,463,619 of the RDA's excess
"Trust Fund" revenues available as of FY 2016/17 of approximately $34,940,629, pursuant to
the Fourth Amendment of the Interlocal Agreement, and as set forth in the attached Exhibit "A."
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHAIRPERSON AND
MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, that following a duly
noticed public hearing on July 2, 2018, the Chairperson and Members of the Miami Beach
Redevelopment Agency hereby adopt the First Amendment to the Fiscal Year 2017/18 RDA
City Center Redevelopment operating budget as set forth in this Resolution and in the attached
Exhibit "A."
PASSED and ADOPTED this 2n0 day of July, 2018.
ATTEST:
,;4 %th -
Rafael Gra do, ec etary
Dan Gelber, Chairperson
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
&Lars— cI4(t8'
Redevelopment Agency Date
General Counsel �/
Exhibit "A"
Miami Beath Redevelopment Agency
City Center Redevelopment Area
FY2017/18 Operating Budget
FY 2017118
Adopted
First FY 2017118
Amendment Amended
Revenues and Other Sources of Income
Tax Increment -City 29 411.000
Roj Adjustment to City Increment (1,913.000)
Tax Increment -County 23,986,000
Roj Adjustment to County Increment (1,563,000)
1/2 Mill Children's Tmg Contribution 2.570.000
Interest Income 150,000
Fund Balance - FPlained Earnings 0
Other Income/ Adjustments 0
TOTAL REVEN U ES 52,641,000
Adminl Operating Expenditures
Management Fee
Office Supplies 8 Equipment
Other Operating
Dues 8 Subscriptions
Audit Fees
Rotes gonal 8 !Plated Fees
repairsand Maintenance
Internal Services
Total Adm in/ Operating Expenditures
390.00
23.00
151.00
154,00
718,00
18,463.619
18,463,619
29.411,000
(1.913.000)
23,986.000
(1,563,000)
2,570,000
150,000
18,463,619
0
71,104,619
0
390,00
23,0
151,00
154,00
718,00
Project Er penditures
Community Policing:
Police 4,581.000 4,581,000
Code Compliance 201.000 201,000
Capital Rojects Maintenance: -
Property Mgmt 1,553.000 1,553,000
Sanitation 3.914.000 3,914,000
Greenspace 828.000 828.000
Parks Maintenance 499.000 499.000
Total Project Ex penditures 11,576,000 ' 0 11,576,000
Reserves, Debt Service and Other Obligations
Debt Service Cog
City Debt rvice -Lincoln Po Reject
City Debt mice - Bass Museum
Feserve for County Ad min Fee
reserve for CMB Ad min Fee
IPserve for Children's Trust Contribution
Setegde for Debt &rvice Payoff
Transfer to FDA City Center Capital Fund
Transfer to Beach ft nourishment Fund
Transfer to General Fund
Transfer to Pay As You - Capital Fund
refund for Rlor Year County Operating Expenses
Transfer to Convention Center Fund
Total Reserves, Debt Service and Other Obligations
21.676 00
337.00
41400
2 570 00
14.350,00
6.914.221
1.500.000
1.079.000
3.773.000
5.197.398
1.000.00
40,347,00
18,463,619
21.676,000
0
0
337.000
414,000
2,570,000
14,350,000
6,914,221
1,500,000
1,079.000
3,773.000
5.197.398
1.000.000
58,810,619
TOTALEXPBiDITURES AND OBUGATIONS 52,641,00
SURPtUSI (DEFICIT)
18,463,619 71,104,619
0 0
MIAMI BEACH
Redevelopment Agency - RDA 7.
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, Executive Director
DATE: July 2, 2018
9:34 a.m. Public Hearing
SUBJECT:A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE
REDEVELOPMENT AGENCY (RDA), ADOPTING THE FIRST AMENDMENT TO
THE MIAMI BEACH REDEVELOPMENT AGENCY (RDA) OPERATING BUDGET
FOR FISCAL YEAR 2017/18.
RECOMMENDATION
See Memorandum attached.
Legislative Tracking
Budget and Performance Improvement
ATTACHMENTS
Description
o Memo - FY 2017/18 1st RDA Operating Amendment
Page 402 of 408
MIAMI BEACH
City of Miami Beach, 1700 Con ention Center Dr ve, Miomi Beach, Florida 33139, www.m am beo hfl.gov
REDEVELOPMENT AGENCY MEMORANDUM
TO: Chairperson and Members of the Miami Beach Redevelopment Agency
FROM: Jimmy L. Morales, Executive Director
DATE: July 2, 2018
SUBJECT: A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH
REDEVELOPMENT AGENCY (RDA), ADOPTING THE FIRST AMENDMENT TO THE
OPERATING BUDGET FOR THE CITY CENTER REDEVELOPMENT AREA, FOR
FISCAL YEAR 2017/18
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
KEY INTENDED OUTCOME SUPPORTED
Ensure expenditure trends are sustainable over the long term.
ANALYSIS
The operating budget for the RDA City Center Redevelopment Area for FY 2017/18 was adopted on
September 25, 2017, with the adoption of Resolution No. 625 -2017.
Section 166.241(4)(c), Florida Statutes, requires thata municipality's budget amendment must be
adopted in the same manner as its original budget.
RDA Cily Center Redevelopment Area revenue sources for FY 2017/18 include City and County
Tax Increment funds, a %x mill levy set aside for the Children's Trust pursuant to an Intedocal
Agreement dated August 16, 2004 between the RDA, the City of Miami Beach and Miami -Dade
County, and estimated interest income.
RDA City Center Redevelopment Area expenditures include community policing initiatives to
provide enhanced levels of staffing and services throughout the area and capital projects
maintenance for repairs and maintenance of existing capital assets in the RDA. Administrative
expenditures are comprised of a management fee allocated to the General Fund to pay for
indirect staff support for the RDA, capital renewal and replacement projects under $25,000,
annual audit fees, and chargebacks for intemal services provided.
The RDA also includes the annual debt service related to the Convention Center bonds. On
December 15, 2015, the RDA issued $286,245,000 in Tax Increment Revenue and Revenue
Refunding Bonds, Series 2015A, and $35,850,000 in Tax Increment Revenue Refunding Bonds,
Page 403 of 408
First Amendment to the FY 2017/18 RDA City Center Redevelopment Area Operating Budget
Page 2
Taxable Series 20158, which financed certain costs associated with the renovation and
expansion of the Miami Beach Convention Center.
4114 AMENDMENT— RDA INTERLOCAL AGREEMENT
On January 26,1993, Miami -Dade County adopted Resolution No. R- 14 -93, which, among other
things, found the area of Miami Beach bounded on the east by the Atlantic Ocean on the north by
24th Street, on the west by West Avenue, and on the south by 14th Lane to be a "blighted area"
within the meaning of Part III of Chapter 163, Florida Statutes, and delegated to the City of Miami
Beach, pursuant to Section 163.410, Florida Statutes, certain powers conferred upon the County
Commission as the governing body of Dade County by Part III of Chapter 163, Florida Statutes, with
regard to the Redevelopment Area, so that the City Commission, either directly or through its duly
designated community redevelopment agency, could exercise such powers.
On November 16, 1993, the County and the City approved and entered into an Interlocal
Agreement, by which the County delegated to the City certain redevelopment powers, including but
not limited to the creation of the Redevelopment Area and implementation of the Redevelopment
Plan.
The First Amendment to the Interlocal Agreement, approved by the County Commission, through
Resolution No. R- 889 -03, and approved by the City Commission, through Resolution No. 2003-
25241, delegated to the City the power to develop and implement community policing initiatives.
The Second Amendment to the Interlocal Agreement, approved by the County Commission,
through Resolution No. R- 958 -04, and approved by the City, through Resolution No. 2004 - 25560,
allowed the Redevelopment Agency to refund certain bonds and provided for an annual fee of one
and one -half percent to be paid to the County and City annually to defray administrative costs after
debt service and all other obligations related to the bonds or future indebtedness was satisfied for
the fiscal year.
The Third Amendment to the Interlocal Agreement, approved by the County Commission, through
Resolution No. R- 1110 -14, and approved by the City Commission, through Resolution No. 2014-
28835, among other things, allowed the Miami Beach Redevelopment Agency to issue $430 million
in bonds to refund existing debt and partially fund the Miami Beach Convention Center expansion
and renovation project and delineated the annual administrative and operating expenditures for the
Redevelopment Agency and any remaining funding to be used to retire debt early.
The Fourth Amendment to the Interlocal Agreement, recently approved by the County Commission
on June 19, 2018, through Resolution No. R- 644 -18, and approved by the City on April 25, 2018,
through Resolution No. 2018- 30288, provided for the following:
1. Add certain expenditures to the authorized expenditures of the RDA.
2. Allow the RDA to reimburse the City $6,914,221 for construction delays and damages to the
Convention Center renovation and expansion project resulting from Hurricane Irma.
3. Include proposed funding in an amount up to $20.0 million to fund the Lincoln Road project,
previously authorized as part of the Third Amendment, for a total project amount of up to
$40.0 million for the Lincoln Road project.
4. Distribute to both the County and the City, beginning in FY 2017/18 and continuing until FY
2022/23, a reimbursement based on each entity's proportionate share of previous year
expenses for administration, community policing, and capital maintenance, and require that
both set aside $1.5 million of the annual reimbursement for beach renourishment that can
be utilized to leverage State or Federal funding for beach renourishment projects.
Page 404 of 408
First Amendment to the FY 2017/18 RDA City Center Redevelopment Area Operating Budget
Page 3
5. Utilize any excess revenues, after the foregoing distributions, for the early prepayment of
debt, as originally stipulated in the Third Amendment to the Interlocal Agreement.
This proposed amendment would appropriate $18,463,619 of the Redevelopment Agency's prior
year excess "Trust Fund" revenues available as of FY 2016/17 totaling approximately $34,940,629,
pursuant to the Fourth Amendment to the Interlocal Agreement, for the subsequent items below:
1. Transfer $6,914,221 to the RDA City Center Capital Fund (Fund 365) to reimburse the City
for construction delays and damages to the Convention Center renovation and expansion
project resulting from the large rain event on August 1, 2017 and Hurricane Irma.
2. Reimburse the City for year one (FY 2017/18) of six of its annual reimbursement totaling
approximately $6,352,000, of which:
$1,500,000 is proposed to be transferred to a dedicated Fund to be utilized solely for
beach renourishment projects in and adjacent to the City.
$1,079,000 is proposed to be transferred to the City's General Fund for the
repayment of U.S. Department of Housing and Urban Development (HUD) grant
funds to comply with the completed Office of the Inspector General Audit.
• $ 654,734 is proposed to be transferred to the Pay As You Go — Capital Fund (Fund
302) to fund the repairs of structural and electrical deficiencies required for
recertification of the Fillmore at the Jackie Gleason Theatre to conform to procedural
guidelines,
$3,118,266 is proposed to be transferred to the Pay As You Go — Capital Fund
(Fund 302) to fund the above - ground costs for the 11th Street Flamingo
Neighborhood ($1,058,679) and West Avenue Phase 11 ($2,059,587) projects that
are currently appropriated and encumbered utilizing Line of Credit. It is important to
note that if the General Obligation Bond is approved, these Pay As You Go dollars
proposed to be appropriated to the 11th Street Flamingo Neighborhood and West
Avenue Phase 11 projects for above - ground costs would be released and funded
from the bond proceeds.
3. Reimburse the County for year one (FY 2017/18) of six of its annual reimbursement totaling
$5,197,398.
CONCLUSION
The Administration recommends that the Chairperson and Members of the Miami Beach
Redevelopment Agency adopt the First Amendment to the RDA City Center Redevelopment Area
operating budget for Fiscal Year 2017/18.
JLM/JW/TOS
Page 405 of 408