Resolution 2023-32595RESOLUTION NO. 2023-32595
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING THE DRAFT MEMORANDUM OF
UNDERSTANDING (MOU) BETWEEN THE CITY OF MIAMI BEACH AND THE
MIAMI-DADE COUNTY HOMELESS TRUST THAT PROVIDES FOR THE
CONTRIBUTION OF $1 MILLION BY THE CITY IN EXCHANGE FOR SET -
ASIDES FOR MIAMI BEACH PERSONS EXPERIENCING HOMELESSNESS
OF FORTY-FIVE (45) UNITS AT BLUE VILLAGE, LOCATED AT 18055 SW
12th STREET, MIAMI, FL 33194 AND TEN (10) BEDS AT MIA CASA,
LOCATED AT 12221 HARRIET TUBMAN HIGHWAY, NORTH MIAMI, FL
33161,WITH THE FOLLOWING REVISIONS: (1) THE 90% HOUSING
RETENTION PERFORMANCE MEASURE SHALL BE A REQUIREMENT
INSTEAD OF AN ASPIRATION GOAL; (2) FAILURE BY THE HOMELESS
TRUST TO ACHIEVE THE 90% HOUSING RETENTION REQUIREMENT
SHALL CONSITUTE A MATERIAL BREACH GIVING THE CITY THE RIGHT
TO TERMINATE THE MOU AND RECEIVE A REFUND OF THE CITY'S
CONTRIBUTION; (3) THE HOMELESS TRUST SHALL HAVE THE RIGHT TO
REPAY THE CITY ITS MONETARY CONTRIBUTION AND RECAPTURE THE
UNITS/BEDS SET ASIDE FOR THE CITY; AND (4) THE CITY CONTRIBUTION
TO BE INCREASED BY AN ADDITIONAL $1 MILLION TO $2 MILLION IN THE
AGGREGATE, SUBJECT TO AND CONTINGENT UPON SUBSEQUENT CITY
COMMISSION APPROVAL AND APPROPRIATION FOLLOWING APPROVAL
OF THE MOU BY THE MIAMI-DADE COUNTY BOARD OF COMMISSIONERS'
APPROVAL OF THE MOU.
WHEREAS, on September 21, 2022, the City received a request from the Miami -Dade
County Homeless Trust ("Homeless Trust") for $3 million to scale housing needed to further
combat homelessness throughout Miami -Dade County; by acquiring and renovating no fewer
than four (4) properties to better support individuals and households living on the streets or
staying in temporary emergency shelters without viable permanent housing options; and
WHEREAS, at the September 30, 2022, Finance and Economic Resiliency Committee
(FERC) meeting, representatives from the Homeless Trust presented their request for $3 million
in funding; and
WHEREAS, the FERC recommended initial funding of $1 million, comprised of
approximately $277,912 in HOME Investment Partnership American Rescue Plan Program
(HOME -ARP) funding received by the City from the U.S. Department of Housing and Urban
Development (HUD) that remains unallocated, subject to HUD approval; and approximately
$723,000 from projected FY 2022 year-end General Fund surplus, with the commitment to look
for additional funds; and
WHEREAS, on October 26, 2022, the Mayor and City Commission approved the
allocation of $1 million to the Homeless Trust solely from the General Fund, and the withdrawal
of the allocation from HOME -ARP funds, via Resolution No. 2022-32382; and
WHEREAS, on November 16, 2022, the Mayor and City Commission referred an item to
the Public Safety and Neighborhood Quality of Life Committee (PSNQLC) to discuss the criteria
associated with the MOU with the Homeless Trust, including the timing for placements, the total
number of placements, the duration of placements, and other factors that could serve as a basis
for evaluating any future requests for additional funding from the Homeless Trust; and
WHEREAS, on December 14, 2022, the Mayor and City Commission referred an item to
the FERC to discuss the performance benchmarks associated with the $1 million allocation to
the Homeless Trust; and
WHEREAS, on February 1, 2023, the Mayor and City Commission referred a discussion
item to the FERC to discuss additional funding for the Homeless Trust; and
WHEREAS, on February 17, 2023, the FERC discussed the MOU and approved the
appropriation of an additional $1 million in funding and referred it to be discussed by the full City
Commission to identify and appropriate additional funding in the amount of $1 million; and
WHEREAS, the Administration negotiated a Memorandum of Understanding (MOU) with
the Homeless Trust to contribute the appropriated General Fund reserves in the amount of $1
million in exchange for a set -aside of forty-five (45) units and ten (10) beds to house persons
experiencing homelessness within the city of Miami Beach; and
WHEREAS, the draft MOU included a payment structure in connection to the completion
of the rehabilitation of the forty-five (45) units at Blue Village: (1) 33.33% to be paid within 45
days from receipt of an invoice following the execution of the agreement; (2) 33.33% to be paid
within 45 days from receipt of an invoice confirming of commencement of construction at Blue
Village; and 3) 33.34% to be paid within 45 days from the receipt of an invoice upon the earlier
of a) initial occupancy by 45 Miami Beach persons experiencing homelessness at Blue Village
or b) the issuance of a Temporary Certificate of Occupancy for all units at Blue Village; and
WHEREAS, the MOU also included the following aspirational goals: (1) housing
retention: 90% of clients will not return to homelessness after 1 year and (2) income growth: At
least 20% of persons placed in permanent housing will obtain or increase income as a result of
program participation; and
WHEREAS, on April 28, 2023, the Mayor and City Commission directed the
Administration to make the following revisions to the draft MOU: (1) to make the 90% housing
retention performance indicator a requirement instead of an aspirational goal; (2) to give the City
the right to terminate the MOU and receive a refund of project funds contributed if the Homeless
Trust fails to achieve the 90% housing retention requirement; 3) to grant the Homeless Trust the
right to terminate the MOU by repaying the City, 100% of all project funds; and (4) to increase
the City's contribution by an additional $1 million to $2 million in the aggregate, subject to and
contingent upon subsequent City Commission approval and appropriation following approval of
the MOU by the Miami -Dade County Board of County Commissioners; and
WHEREAS, the Commission has directed the Administration to send the revised MOU
to the Homeless Trust; and
WHEREAS, the Homeless Trust will present the finalized MOU to its Board of Trustees,
the Miami -Dade Public Housing Committee, and the Board of County Commissioners for
approval by each such body; and
WHEREAS, the Administration will seek the approval of the Mayor and City Commission
of the additional contribution of $1 million after the County's approval process.
2
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, the Mayor and City
Commission of the City of Miami Beach, Florida, approve the draft memorandum of
understanding (MOU) between the City of Miami Beach and the Miami -Dade County
Homeless Trust that provides for the contribution of $1 million by the City in exchange for
set -asides for Miami Beach persons experiencing homelessness of forty-five (45) units at
Blue Village, located at 18055 SW 12th Street, Miami, FL 33194 and ten (10) beds at Mia
Casa, located at 12221 Harriet Tubman Highway, North Miami, FL 33161, with the following
revisions: (1) the 90% housing retention performance measure shall be a requirement
instead of an aspirational goal, (2) failure by the Homeless Trust to achieve the 90%
housing retention performance measure shall constitute a material default giving the City the
right to terminate the MOU and receive a refund of the City's contribution; (3) the Homeless
Trust shall have the right to repay the City its monetary contribution and recapture the units/
beds set aside for the City; and (4) the City contribution to be increased by an additional $1
million to $2 million in the aggregate, subject to and contingent upon subsequent City
Commission approval and appropriation following approval of the MOU by the Miami -Dade
County Board of Commissioners.
PASSED and ADOPTED this &1& day of Afro / , 2023.
ATTEST:
RAF
E. GRANADO,
26
3
DAN GELBER, MAYOR
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
Fw, Cify Attorney Dote
New Business and Commission Requests. R9 L
/\AIAAAI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Alina T. Hudak, City Manager
DATE: April 28, 2023
SUBJECT. DISCUSSION ON THE AGREEMENT BETWEEN THE CITY OF MIAMI
BEACH AND MIAMI-DADE COUNTY HOMELESS TRUST.
RECOMMENDATION
The Administration recommends that the City Comrrission discuss the FERC recommendation for
additional funding and provide direction as to this policy matter.
On September 21,. 2022, the City received a request from the Miami -Dade County Homeless
Trust ("Homeless Trust") for $3 million to scale housing needed to further combat
homelessness in the City of Miami Beach and beyond. These funds, in conjunction with funding
received from Miami -Dade County and other municipalities, would be utilized by the Homeless
Trust to acquire and renovate no fewer than four (4) properties to better support individuals and
households living on the streets or staying in temporary emergency shelters without viable
permanent housing options.
At the September 30, 2022, Finance and Economic Resiliency Committee (FERC) meeting,
representatives from the Homeless Trust presented their request for $3 million in funding. After
extensive discussion, the FERC recommended initial funding of $1 million, comprised of
approximately $277,912 in HOME Investment Partnership American Rescue Plan Program
(HOME -ARP) funding received by the City from the U.S. Department of Housing and Urban
Development (HUD) that remains unallocated, subject to HUD approval, and approximately
$723,000 from projected FY 2022 year-end General Fund surplus, with the commitment to look
for additional funds.
However, at the October 26, 2022, Commission meeting, the Mayor and City Commission
approved the allocation of $1 million to the" Homeless Trust solely from General Fund via
Resolution No. 2022-32382.
On November 16, 2022, at the request of Commissioner Meiner, the City Commission referred
an item to the Public Safety and Neighborhood- Quality of Life Committee (PSNQLC) to discuss
the criteria associated with the Interlocal Agreement (Memorandum of Understanding) with the
Homeless Trust, including the timing for placements, the total number of placements, the
duration of placements, and other factors that could serve as a basis for evaluating any future
Page 873 of 991
requests for additional funding from the Homeless Trust.
On December 14, 2022, at the request of Commissioner Fernandez, the City Commission
referred an item to the FERC to discuss the performance benchmarks associated with the $1
million allocation to the Homeless .Trust.
On February 1, 2023, at the request of Commissioner Richardson, the City Commission
referred a discussion item to the FERC to discuss additional funding for the Homeless Trust.
On February 17, 2023, the FERC referred the Agreement to the full City Commission to identify
and appropriate additional funding in the amount of $1 million.
The Administration negotiated a Memorandum of Understanding (MOU) between the City and
the County (Homeless Trust) to allocate the appropriated General Fund reserves of $1 million
for a combination of forty-five (45) units and ten (10) beds to house City of Miami Beach
homeless clients.
While the City Commission can approve the MOU in advance, the terms of the MOU will be
subject to the approval of the Board of County Commissioners (BCC). If the BCC approves
with amendments, the MOU will need to come back to the City Commission for consideration.
ANALYSIS
Memorandum of Understanding
_The Office of Housing and Community Services will be responsible for administering the MOU and
will work in partnership with the Homeless Trust to -refer eligible clients (individuals and households)
to the program. The attached MOU highlights the shared responsibilities between the City and the
Homeless Trust to ensure successful outcomes. Once the MOU is executed, the Administration will
provide quarterly updates as part of the current PSNQLC standing update item regarding homeless
services and activity.
The City's allocation will be utilized for the rehabilitation of permanent supportive housing by the
Homeless Trust. This funding provides a combination of forty-five (45) units and ten (10) beds
available for the City to refer eligible homeless individuals identified by the City's Homeless Outreach
Services Program. Forty-five (45) single occupancy units will be available at Blue Village, located
at 18055 SW 12th Street, Miami, FL 33194, and ten (10) beds for homeless persons 65 years and
older at Mia Casa, located at 12221 Harriet Tubman Highway, North Miami, FL 331.61.
As reported by the Homeless Trust, the County has owned the Blue Village property since 1989, but
the facility has not been operational in recent limes. The Homeless Trust indicated that on January
20, 2023, the Trust bought out a deed restriction on the property at the cost of approximately $4.59
million. The Homeless Trust competitively selected a design firm to renovate the facility from 112 beds
to 199+ units and committed $6.5 million toward renovations. Per the Homeless Trust, design plans
are being finalized and will be followed by renovations spanning approximately one (1) year.
The Homeless Trust also advised staff that on January 31, 2623, it finalized the purchase of Mia
Casa for approximately $6.4 million, using County and State funding. The property is comprised of
120 beds.
The following are reporting requirements as described in the MOU:
Page 874 of 991
• Status report on Blue Village renovations up to and until a Temporary Certificate of Occupancy
(TCO) is obtained (quarterly)
• Total number set -aside beds/units in project(s) utilized by Miami Beach (annually)
The following are goals for clients placed but are not contractual obligations within the MOU:
• Housing Retention: 90% or 50 clients will not return to homelessness after 1 year.
• Income Growth: At least 20% or 10 persons placed in permanent housing will obtain or
increase income as a result of program participation.
The above goals are aspirational and failure to meet any goal is not a breach of contract and may
not be considered as such, nor shall failure to meet any of these goals be the basis for
termination of the contract.
Below are the terms of the MOU, which has been form -approved by the 'City Attorney's Office. The
Housing Trust Board and any relevant Miami -Dade County committee will make a recommendation
regarding the MOU and final approval of the MOU is subject to the City Commission and the Miami -
Dade County Board of County Commissioners.
L•w % - iii
Recipient Name: Miami -Dade County Homeless Trust
Award Amount:
$1,000,000 FY 2023 City of Miami Beach General Funds.
Potential additional funding to be determined.
Reports Due:
Progress Reports: Due annually by December 31 st of each
year
The payment structure agreed upon:
• 33.33% of the project amount to be paid within 45 days
from receipt of an invoice following the execution of the
agreement
• 33.33% of the project amount within 45 days from
receipt of an invoice confirming commencement of
construction at Blue Village
Expenditure Deadline/
9 33.34% of the project amount within 45 days from
Payment Structure
receipt of an invoice issued by the Homeless Trust after
the earlier of (a) initial occupancy by 45 Miami Beach
persons experiencing homelessness at Blue Village or (b)
documentary evidence that a Temporary Certificate of
Occupancy for all units at Blue Village has been obtained
by the Homeless Trust
Invoices to be submitted by the Homeless Trust to the City
shall be in the form of Exhibit 1.
Project:
45 units at Blue Village and 10 beds at Mia Casa available
for referrals by the City of Miami Beach
Project Locations:
Blue Village, 18055 SW 12th Street, Miami, FL 33194
Mia Casa, 12221 Harriet Tubman Highway, North Miami, FL
33161
Service: The funding will be used for the rehabilitation of units at Blue
Page 875 of 991
Homeless Trust
Deliverables:
City of Miami Beach
Deliverable:
Termination Rights:
Village.
• Referrals: The Homeless Trust will provide access to 45
units at Blue Village and 10 beds at Mia Casa. The Trust will
provide a yearly occupancy report on the Homeless
Management Information System (HMIS).
• Annual Report: Additionally, the Homeless Trust will
include in the annual report the_aspirational goals of income
growth, and housing retention for the referrals provided.
• Although, these aspirational goals will be reported annually
the income growth and housing retention will not have a
default or payback provision associated.
e Ongoing Costs: The Homeless Trust will bear all cost and
expenses toward repairs, maintenance, and/or operations of
the units/beds (facilities) post -renovation.
. Payment: The city to provide payment based on the
agreed fee schedule following receipt of an invoice in a form
acceptable to the City.
• Referrals: The city is to provide referrals through the
process highlighted in the MOU.
City: In the event the Homeless Trust shall fail to:
(1) commence construction of the improvements at Blue
Village by or before December 31, 2024; (2) to receive a
temporary certificate of occupancy for all units at Blue
Village by or before 18 months following the date of
commencement of construction, but not later than June
30, 2026; or (3) to comply with its obligations to notify the
City of openings and process referrals in accordance with
the provisions of Exhibit 2, the City Manager or the City
Manager's designee may terminate this Agreement and
withhold or cancel all or any unpaid installments of the
Project funds upon giving five (5) calendar days written
notice to the Homeless Trust, and the City shall have no
further obligation to the Homeless Trust under the
Agreement. In the event of termination for cause by the
City, the Homeless Trust shall be required to immediately
repay to the City all portions of the Project funds which
have been received by the Homeless Trust.
Homeless Trust: I n the event the City fails to pay any
installment on or before its due date, the Homeless Trust
may terminate this Agreement upon giving five (5)
calendar days written notice to the City, and the Homeless
Trust shall have no further obligation to the City under this
Agreement (other than any indemnification obligations that
survive the termination). I n the event of such termination
for cause by the Homeless Trust, the Homeless Trust
shall promptly repay all portions of the Project funds which
have been received by the Homeless Trust.
Page 876 of 991
Available Funding
As shown in the table below, the City's FY 2023 budget includes approximately $5.2 million in funding
to provide services for the homeless. This includes the previously approved $1 million in funding for
the Homeless Trust.
. Police Marchman Act Treatment Beds
Police (General Fund)
Homeless Trust Contribution (Resort Tax Fund)
Homeless Services Division (General Fund)
Additional Homeless Trust Contribution
(General Fund - Resolution No. 2022-32382)
Homeless Services Division (General Fund)
1,554,918
183,000
$1,737,918
$125,000
2,363,000
1,000,000
$ 3,363,0(
Based on the first quarter of the current fiscal year, revenue and expenditure projections through
September 30, 2023, reflect a year-end surplus of approximately $8.0 million in the General Fund, a
difference of 2%, and $2.1 million year-end surplus in the Resort Tax Fund. During the FERC
meeting on February 17, the Administration recommended holding aside as much of the $8 million
surplus as possible for capital funding.
At the February 22, 2023 City Corrmission meeting, the Mayor and Commission approved a budget
amendment appropriating $2.833 million of the projected $8 million surplus in the General Fund. At
the April 28, 2023 City Corrmission meeting, the Mayor and Commission will vote on a budget
amendment appropriating an additional $542,000. If this amendment is approved, the remaining
projected surplus would be approximately $4.6 million.
It is important to note that the City's adopted FY 2023-FY 2027 Capital Improvement Plan (CIP),
identified a total of approximately $1.6 billion in unfunded capital project needs over the next five (5)
years. Further, based on the City's adopted financial policies regarding the Capital Reserve Fund and
Capital Funding, we are recommending that the majority of these funds be set aside for evaluation
through the FY 2024 budget process.
SUPPORTING SURVEY DATA
N/A
FINANCIAL INFORMATION
On October 26, 2022, the Mayor and City Commission approved an allocation of $1 million to
the Homeless Trust solely from General Fund via Resolution No. 2022-32382.
Page 877 of 991
CONCLUSION
The City is working collaboratively with the Homeless Trust to better support homeless
households living on the streets or staying in temporary emergency shelters without viable
permanent housing options. The Administration is recommending that any additional funding be
considered through the FY 2024 budget development process.
Applicable Area
Citywide
Is this a "Residents Right
to Know" item. pursuant to
Citv Code Section 2-14?
Yes
Strategic Connection
Mobility -Address homelessness.
Does this item utilize G.O.
Bond Funds?
Legislative Tracking
Office of Housing and Community Services
Sponsor
Commissioner David Richardson
Page 878 of 991