94-21024 Resolution RESOLUTION NO. 94-21024
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA,
CONCEPTUALLY ENDORSING THE CREATION OF A
LINCOLN ROAD MANAGEMENT ORGANIZATION; THE
NEGOTIATION OF A PHASE II CONTRACT WITH THE
ARCHITECTS AND ENGINEERS HERETOFORE RETAINED
FOR THE LINCOLN ROAD REVITALIZATION PROJECT;
SUPPORTING EARLY ACTION IMPROVEMENTS TO HAVE
LINCOLN ROAD READY FOR POW—WOW 194; DIRECTING
THE ADMINISTRATION TO IMPLEMENT A LINCOLN ROAD
TRAM SERVICE TO BE OPERATED BY THE LINCOLN
ROAD ASSOCIATION; CONCEPTUALLY ENDORSING THE
CREATION OF TWO SPECIAL ASSESSMENT DISTRICTS
FOR LINCOLN ROAD, FOR PHYSICAL IMPROVEMENTS
AND MANAGEMENT AND MARKETING, RESPECTIVELY;
DIRECTING THE CITY ADMINISTRATION, THE CITY
ATTORNEY AND THE LINCOLN ROAD TASK FORCE TO
TAKE ALL NECESSARY STEPS TO FORM THE
AFORESTATED SPECIAL ASSESSMENT DISTRICTS,
INCLUDING SETTING THE PUBLIC HEARING ON THE
CREATION OF THE ASSESSMENT DISTRICTS FOR MARCH
16, 1994; HIRING BERMELLO/AJAMIL & PARTNERS TO
PREPARE ANY AND ALL SURVEYS NECESSARY TO
ACCURATELY ASSESS THE PROPERTIES, HIRING AN
ECONOMIC CONSULTANT TO DO THE COST BENEFIT
ANALYSIS BY EXTENDING ARTHUR ANDERSENIS
EXISTING CONTRACT IN THE REDEVELOPMENT AREA,
AND RETAINING BOND COUNSEL TO PREPARE THE
ISSUANCE OF BONDS, AS DETERMINED BY THE CITY
ATTORNEY; ENDORSING THE MOVIE THEATER RFP FOR
LINCOLN ROAD, AS AMENDED BY THE LAND USE AND
DEVELOPMENT COMMITTEE AND SPECIAL COMMITTEE OF
THE LINCOLN ROAD TASK FORCE; DIRECTING THE
ADMINISTRATION AND CITY ATTORNEYeS OFFICE TO
ENTER INTO NEGOTIATIONS WITH SUN BANK TO BUILD
A 600-700 SPACE PARKING GARAGE ON THEIR LOT
AND/OR THE CITY—OWNED LOT LOCATED WEST OF THE
PROPOSED MOVIE THEATER SITE ON LENOX AVENUE V.
REFERRING ALL CONSIDERATIONS RELATING TO THE
MIAMI CITY BALLET, THE MIAMI BEACH HISTORIC
MUSEUM, THE 'BLACK BOXI" THEATRE AND THE
PROPOSAL OF MDPL FOR AN INTERPRETIVE AND
WELCOME CENTER TO THE FINANCE SUB-COMMITTEE,
AND REJECTING ALL OUTSTANDING RESPONSES TO RFP
#15-92/93.
WHEREAS, the City of Miami Beach has determined that the
improvement of Lincoln Road is a high priority; and
WHEREAS, a Lincoln Road Task Force has been formed and has met
for the last 22 months to determine a course for the future of
Lincoln Road; and
WHEREAS, the Lincoln Road Task Force has developed a series of
recommendations for the improvement of Lincoln Road including the:
• creation of a management organization;
• proceeding with the design of capital improvements and
implementation of short-term capital improvements;
• conceptual approval of an assessment district jointly
with City funding;
• approval of an RFP for theater development;
• initiating negotiations with Sun Bank to build a 600 to
700 space parking garage; and
WHEREAS, the Mayor and City Commission has received requests
from the Miami City Ballet to reserve a site for its future
expansion; and
WHEREAS, the Mayor and City Commission has also received a
request to consider renting 555 17th Street as a future home for
the Miami Beach Historic Museum; and
WHEREAS, the Mayor and City Commission has determined that the
above actions are necessary and critical to the successful
revitalization of the City Center area of Miami Beach.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, THAT:
1. The Mayor and City Commission endorse the creation of a
Lincoln Road management organization empowered to contract
with the City, with a Management Agreement to be approved by
the Mayor and City Commission.
2 . The Mayor and City Commission endorse the concept of "Phase 2"
for physical improvements and directs the City Administration,
the Lincoln Road Director, and the City Attorney's Office, to
negotiate a Phase 2 contract with the architects and engineers
on. the project to be approved by the Mayor and City
Commission.
3 . The Mayor and City Commission endorse the concept of early
action improvements to have Lincoln Road ready for POW WOW
'94.
4. The Mayor and City Commission direct the Administration to
implement a Lincoln Road Tram to be operated by the Lincoln
Road Association.
5. The Mayor and City Commission endorse the concept of the
creation of two special assessment districts for Lincoln Road;
one that would pay for the physical improvements, including
the early action plan reimbursement to the City, and the
second assessment district for management and marketing.
6. The Mayor and City Commission direct the City Administration,
the City Attorney and the Lincoln Road Task Force to take all
necessary steps to form the aforesaid districts including: a)
setting the public hearing for the creation of the assessment
districts for March 16, 1994 at 4:00 p.m. ; b) hiring
Bermel to/Aj amil & Partners (from the City's list of engineers)
to prepare the survey to accurately assess the properties; c)
hiring an economics consultant to do the cost benefit analysis
by extending Arthur Andersen's existing contract in the
Redevelopment Area; d) retain bond counsel to prepare the
issuance of bonds as recommended by the City Attorney.
7. The Mayor and City Commission endorse the Movie Theater RFP
for Lincoln Road which has been amended to reflect the
recommendations of the Land Use and Development Committee and
a special committee of the Lincoln Road Task Force.
8. The Mayor and City Commission direct the Administration and
City Attorney to enter into negotiations with Sun Bank to
build a 600 to 700 space parking garage on their lot and/or
the City-owned lot located west of the proposed movie theater
site on Lenox Avenue, with any agreement to be approved by the
Mayor and City Commission.
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9. The Mayor and City Commission refer all considerations
relating to the Miami City Ballet, the Miami Beach Historic
Museum, the "Black Box" Theatre and the proposal of MDPL for
an . interpretive and welcome center to the Finance Sub-
committee.
10. All outstanding responses to Request for Proposal #18-92/93
are hereby rejected.
PASSED AND ADOPTED this 19th day f January , 1994.
YOR
ATTEST:
CITY CLERK
FORM APPROVED
RMC:j ph LEGAL DEPT.
BY
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Date
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CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
OFFICE OF THE CITY MANAGER TELEPHONE: (305) 673-7010
FAX: (305) 673-7782
COMMISSION MEMORANDUM NO. -
TO: Mayor Seymour Gelber and DATE: January 19, 1994 '
Members of the City Commission
FROM: Roger M. Cadtar
City Manager
SUBJECT: PUBLIC HEARING TO CONSIDER THE PHASING AND DIRECTION OF
THE LINCOLN ROAD REVITALIZATION PROGRAM, THE MOVIE
THEATER REQUEST FOR PROPOSALS (RFP) , THE REQUEST OF THE
MIAMI CITY BALLET TO DESIGNATE A SITE FOR ITS FUTURE
DEVELOPMENT, AND A PROPOSAL TO CREATE THE MIAMI BEACH
HISTORIC MUSEUM AND LOCATE IT IN THE BUILDING AT 555 17TH
STREET.
ADMINISTRATION RECOMMENDATION:
1 . ORGANIZATION
The City Commission should endorse the creation of a Lincoln
Road management organization empowered to contract with the
City.
The Lincoln Road effort has been nurtured under the guidance
of the Miami Beach Development Corporation. That guidance and
staff support -has allowed the organization time to consider
various options for its future. At the Lincoln Road Task
Force planning workshop of December 19, 1993, a consensus was
developed on the structure of the organization to be a not-
for-profit independent entity with a memorandum of agreement
with the City to provide management services for the district
at the direction of and with participation of business and
property owners and other stakeholder groups. The attached
Exhibit A, on page three, indicates the proposed composition
of the board of directors and a transition strategy. Miami
Beach Development Corporation would continue involvement in
the structure per this outline.
2 . PHYSICAL IMPROVEMENTS
A. The City Commission should endorse the concept of Phase
2 for physical improvements and direct the City
Administration and the Lincoln Road Director to negotiate
a Phase 2 contract with -the architects and engineers on
the project.
The Phase 1 work effort has been concluded and the
concept drawings have been endorsed by the Lincoln Road
community and the City Commission. It is time now to
finalize this effort into working. drawings that can be
costed out and eventually bid. For continuity. sake, the
existing design team will be retained. This continuity
was provided for in the original RFP.
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ITEM -
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B. The City Commission should endorse the concept of early
action improvements to have Lincoln Road ready for POW
WOW ' 94.
Part of the success of the project will depend on the
continuing momentum that is visible to the public.
Because the project drawings for Phase 2 will take
approximately 6 to 9 months as will the formation of the
assessment district, the consultant team and the Lincoln
Road Task Force have recommended an early action plan
that would provide visible signs of improvement and
progress and would not be lost with the final plans .
These improvements would be components of the final
product but are severable and can be placed early. In
addition to the improvements, funding would be set aside
with this action to provide for the implementation and
initial operation of a tram service and a continuing
operations budget for the organization until the
assessment district is finalized. The total cost of this
recommendation shall not exceed $1 million (see Exhibit
A, page two) and tram budget and would be funded from tax
increment funds and an existing Community Development
Block Grant allocation of $175, 000 and would be credited
towards the City' s overall contribution of 500 of the
cost of the physical improvements (less the $175, 000) .
These funds would not be released until the final public
hearing on the assessment district (see below)
anticipated in 45 days.
C. The City Commission should direct the Administration to
implement a Lincoln Road Tram to be run by the Lincoln
Road Association.
The Lincoln Road Task Force has achieved a consensus on
an electric tram vehicle for the mall . This component
.needs to be started immediately in order to keep the
momentum going. The cost of this will be approximately
$180, 000 (see Exhibit B) the first year for operating and
acquisition costs to be funded as noted in B. above.
3 . FINANCIAL
A. The City Commission should endorse the concept of two
assessment districts for Lincoln Road; one that would pay
for the physical improvements including the early action
plan reimbursement to the City and the second assessment
district for management and marketing.
B. The City Commission should direct the City
Administration, the City Attorney and the Lincoln Road
Task Force to take all the necessary steps to form those
districts including: 1) setting the public hearing on
the assessment district in 45 days; 2) hiring
Bermello/Ajamil & Partners (from the City' s list of
engineers) to prepare the survey necessary under the law
to accurately assess the properties; 3) hiring the
economics consultant to -do the cost benefit analysis by
extending Arthur Andersen' s existing contract in the
redevelopment area; 4) retain bond counsel to prepare the
issuance of bonds as recommended by the City Attorney.
4 . THEATER REQUEST FOR PROPOSALS
The City Commission should endorse the attached Movie Theater
RFP for Lincoln Road which has been amended to reflect the
recommendations of the Land Use and Development Committee and
a special committee of the Lincoln Road Task Force. (attached
as Exhibit C) .
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The concept of a movie theater is perceived by the consultants
and the Task Force as a vital component of the Lincoln Road-
revitalization process . Extensive discussion has occurred on
this issue . This current draft of the RFP addresses various
concerns raised during these discussions as well as the
recommendations of the Land Use and Development Committee and
the Lincoln Road Task Force, as follows :
* The size of the movie theater complex may not exceed 10
screens or 2, 000 seats .
* The height of the facility should not exceed 34 feet,
which would allow for a ground level parking height
clearance of 8-10 feet and a height of 24-26 feet for the
movie theaters . There are no setback requirements on the
site with the exception of the north side which has a 10
foot setback.
* There is no longer a provision for air rights over
Michigan Avenue to connect the two sites . There, is
however an allowance for air rights over the alley in
order to enable primary access to the movie theater from
Lincoln Road.
* The provision of "Black Box" theater space is not being
mandated in the RFP. Instead, it is being encouraged as
a "highly desirable" option. The criteria for a "Black
Box" component, developed through meetings with
individuals involved in performing arts and theater
design, is presented in Appendix D of the RFP.
Furthermore, any space dedicated for this purpose
will not have to take away from the space required to
accommodate up to 10 screens for first-run movies .
* All language pertaining to the City of Miami Beach
financing and building the movie theater has been
eliminated from the RFP. As such, proposals no longer
have to respond in a two option format .
* Proposals must address the provision of parking for
theater patrons and contiguous area retailers along
Lincoln Road, during construction and once the theater is
operational .
* Proposals must also include a plan for providing in-house
or contracted security services to ensure public safety.
* In the City resolution approving the RFP, the City of
Miami Beach will commit to building a 600 - 700 space
parking garage on the City-owned lot and/or the Sun Bank
property located west of the site. In addition, the City
will commit to refurbishing the 5-story garage on 17th
Street .
* The citizen-based selection committee will be comprised
of knowledgeable individuals with no conflicts of
interest . The Lincoln Road Task Force would recommend the
committee. members . The committee members will be charged
with reviewing the RFP' s, prioritizing the responses and
making their recommendations to the City Manager, who in
turn would make recommendations to the City Commission.
5 . BALLET HISTORICAL MUSEUM
The City Commission should endorse the designation of the site
on the easterly side of the newly reconfigured Convention
Center Drive northerly of 17th Street as the site for: the
Miami City Ballet. Additionally, the City Commission should
designate the existing City Building at 555 17th Street as the
future home for the Miami Beach Historic Museum. A decision
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should be reached or a process set in motion to determine the
level of City financial support and the source for these
projects.
BACKGROUND
After 22 months of consensus building, the Lincoln Road project has
reached the decision making stage on organizational structures and
financing. More has been accomplished in the last 22 months than
has been possible in the previous 22 years . With the strong
commitment of the City Commission to energize this project, the
funding of the Lincoln Road Director and her extensive background
in putting this type of project together and the strong commitment
of the Lincoln Road community, with the help of Miami Beach
Development Corporation, the project has been given new life . The
public hearing today will set the stage for the implementation of
this precedent-setting program. There are several elements that
need to be acted upon individually today but all are related.
The recommendations as outlined above have been carefully
formulated to put Phase 2 into action. These issues have been
discussed at length by the Lincoln Road Task Force and, as much as
possible, consensus has been built . Where consensus is not total,
it is as close as can realistically be expected considering the
diversity and vitality of the Road. On December 19, 1993 , a
special planning workshop was held by the Lincoln Road Task Force,
which broke into three groups to discuss : (1) moving from master
plan to design implementation, (2) management and organization, and
(3) commercial future of Lincoln Road. The decisions of the group
(attached as Exhibit A) are the basis for the recommendations in
this memorandum.
ANALYSIS
The physical improvements will be dramatic evidence of the City' s
and the Task Force ' s commitment . The Lincoln Road Task Force has,
with the consultants, prepared the budget of approximately $12
million_ to implement the improvements (attached as Exhibit D) . On
the basis of this document and in consideration of fairness because
the City does own significant amounts of property in the affected
area, the City should share in the costs of the project . The
Administration has recommended that 50% of the total cost of the
project for the physical improvement be paid by the City through
tax increment and other sources and 50% be borne by the property
owners in the affected area. The leadership of the Task Force is
not prepared to concur with this (see Exhibit E, letter from
Stanley Levine and Mel Schlesser) , therefore, the City' s specific
commitment should not be finalized at the this time. In no case
should it exceed 500 of the total project costs, including those
costs already advanced. The Task Force has developed three
different assessment option scenarios for funding the improvements .
Those three are delineated in Exhibit A, page 4 . In order to
legally prepare for the assessment district, the City must set a
public hearing and hire four consultants :
1 . An independent consultant engineer to prepare a survey of the
proposed district with accurate information on the properties .
2 . A consultant to do a cost benefit analysis to help accurately
assess the benefits of the specific assessments.
3 . Bond counsel to assist with the sale of future bonds to
implement the improvements. The physical improvements would
be done in two stages :
• An early action plan which would, prior to the POW WOW,
show physical signs of improvement.
• The balance would be done with the preparation of the
working drawings .
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4 . Retention of the current architectural and engineering team to
develop the working drawings for the physical improvements and
to perform construction management/quality control activities
during project construction. The design fee would be approved
by the City Commission after negotiations by the
Administration and the Lincoln Road Task Force.
The project costs are estimated to be $12 million. The design fee
will be approximately $700, 000 . Unlike other assessment districts,
where the property owners are paying for only sidewalk area
improvements, this project is an entire road of 100 feet in width.
The City' s potential share of up to $6 million is eligible for tax
increment, CDBG and other sources as available. The City will
continue to pursue grants and other sources to enhance our funding
capabilities . The City Center/Historic Convention . Village
Redevelopment and Revitalization plan, on page 21, has delineated
the City' s share as a line item, as SOo of the project cost up to
$6 million.
There is a firm acknowledgement and commitment among Lincoln Road
constituents to support an equitable funding formula for the
success of this project . The costs to the property owners are
being developed by the consultants..
The key to the success of the project is the commitment to
establish the management/marketing process to support the physical
improvements . Without this support, the capital improvements will
not achieve their full potential .
THEATER RFP
The Theater RFP has been discussed at meetings of the Task Force
and at the City' s Land Use and Development Committee . The draft
before the Commission today reflects the most current comments of
the City Commission. It limits the overall size of the theater
opportunity to 6 to 10 screens with up to 2, 000 seats, while
allowing some site location flexibility. The RFP also moves away
from mandating the black box theater requirement and the entrance
to the theater from- Lincoln Road and defines these goals "highly
desirable. " The City will provide the land and develop a parking
garage to the west . There is no commitment to finance the project .
BALLET/HISTORICAL MUSEUM
Although not proposed to be on Lincoln Road, the future of the
Miami City Ballet is an integral part of the overall district . The
City parcel currently used for parking westerly of TOPA is an ideal
site. The ballet envisions a 60, 000 square foot building on the
site which will be presented with drawings at the public hearing.
The Historical Museum is proposed to reuse and revitalize the
existing City municipal building at 555 17th Street . While longer
term than some of the other projects, it is important to review the
options for the museum at this time and set a direction.
ECONOMIC IMPACTS
The actions requested will have significant economic implications .
The City is requested to commit approximately $6 million toward
physical improvements which the owners will match. The resultant
improvements will significantly enhance the value and desirability
of Lincoln Road as a unique business location. The positive
implications for the resort tax and tax increment revenues are
anticipated to exceed this investment in very short order. The
project will also reimburse the City for approximately $225, 000
' which the City budgeted for fiscal years 92 through 94 as funding
for the initial planning process.
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CONCLUSION
The City Commission should approve the actions outlined in this
memorandum in order to begin the process of implementing the
recommendations of this extraordinary collaborative process.
RMC:j ph
Attachments
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