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621-2016-RDA-1 RESOLUTION NO. 621-2016 A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY ADOPTING THE FINAL OPERATING BUDGETS FOR THE CITY CENTER REDEVELOPMENT AREA, THE ANCHOR SHOPS AND PARKING GARAGE, AND THE PENNSYLVANIA AVENUE SHOPS AND PARKING GARAGE FOR FISCAL YEAR 2016/17. WHEREAS, the proposed City Center Redevelopment Area Budget has been prepared to coincide with the overall City budget process; and WHEREAS, the proposed City Center Redevelopment Area Budget reflects anticipated construction project costs in addition to operating and debt service costs for Fiscal Year 2016/17; and WHEREAS, the proposed budgets for the Anchor Shops and Parking Garage and the Pennsylvania Avenue Shops and Garage have been included as separate schedules to the City Center Redevelopment Area Budget, reflecting projected revenues and operating expenses for Fiscal Year 2016/17; and WHEREAS, the Executive Director of the Miami Beach Redevelopment Agency recommends approval of the proposed Fiscal Year 2016/17 tentative operating budget for the City Center Redevelopment Area, as well as for the Anchor Shops and Parking Garage, and the Pennsylvania Avenue Shops and Garage. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHARPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, that the Chairperson and Members hereby adopt the final operating budget for the City Center Redevelopment Area, the Anchor Shops and Parking Garage, and the Pennsylvania Avenue Shops and Garage for Fiscal Year 2016/17. City Center Redevelopment Area $51,921,000 Anchor Garage Parking Operations 3,811,000 Anchor Garage Retail Operations 1,284,000 Pennsylvania Avenue Garage Parking Operations 1,219,000 Pennsylvania Avenue Garage Retail Operations 389,000 PASSED and ADOPTED this 27 •- if September, 2016, .:� 1,4 ..•••• ' �� Phil' • •irvine, Chairperson ATTEST: TA/f �; • APPROVED AS TO Rafael E.G ranado, Se ret• * °RAOF.O. ..IN FORM & LANGUAGE i c ' D &FOR EXECUTION ION/ ,i -2 A\F � c s Cv.C- I 10 h°m. �� ity Attorney Date Redevelopment Agency - RDA 1. MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: September 27, 2016 SUBJECT: A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY ADOPTING THE FINAL OPERATING BUDGETS FOR THE CITY CENTER REDEVELOPMENT AREA, THE ANCHOR SHOPS AND PARKING GARAGE, AND THE PENNSYLVANIA AVENUE SHOPS AND PARKING GARAGE FOR FISCAL YEAR 2016/17. RECOMMENDATION The Administration recommends that the City Commission adopt the attached Resolution which establishes final budget for the City Center Redevelopment Agency (RDA), the Anchor Shops and Garage, and the Pennsylvania Avenue Shops and Garage for Fiscal Year(FY)2016/17. ANALYSIS The proposed budget for the City Center Redevelopment Area (RDA) for Fiscal Year 2016/17 has been prepared to coincide with the overall City budget process, and is being presented today to assist in providing a comprehensive overview of the district. Please refer to the attached Exhibit A for the proposed budget details. Revenues Based on the 2016 Certificate of Taxable Value from the Property Appraiser's Office, the preliminary value of property in City Center is $5,612,744,843; an increase of 16% over 2015, marking the sixth year in a row values have increased following two years of decline. However, as in previous years, the City has received correspondence from the County, advising of the finalization of the tax roll for the prior year, which in the case of FY 2014/15, reflects a decrease from the preliminary valuation for the same year and will result in a corresponding adjustment/reduction in TIF revenues totaling $3,111,000 for FY 2016/17. Additional sources of revenue include a 1/2 mill levy in the amount of$2.5 million, to be set aside for the Children's Trust pursuant to an Interlocal Agreement, dated August 16, 2004 between the RDA, the City of Miami Beach and Miami-Dade County; and an estimated $60,000 in interest income. Expenditures Project-related expenses account for approximately $10.9 million which includes $4.5 million to be allocated for community policing initiatives in City Center to continue to provide enhanced Page 669 of 692 levels of staffing and services throughout the area, and $6.2 million for maintenance of RDA capital projects. There is no additional funding for on-going and planned capital projects in City Center in the FY 2016/17 Budget due to the RDA extension for the renovation and expansion of the convention center. Administrative Expenses total $1.1 million, which includes a management fee of $984,000 which is allocated to the General Fund to pay for direct and indirect staff support for the RDA; $23,000 for audit fees; and $92,000 for capital renewal and replacement projects under $25,000. The budget includes $21.6 million in debt service payments to cover debt service costs related to the Convention Center bonds, which were issued in 2015. $14.9 million is budgeted in Reserve for Contingency/Debt Service. Funds in the reserve over and above the annual debt payment can be used to finance any potential shortfalls in the RDA fund or pay down the Convention Center bonds early, but not prior to FY 2023/24. Reserve line item expenditures include those items that, pursuant to the existing Bond Covenants, may only be expended once the annual debt service obligations have been met. These include the County's administrative fees, equivalent to 1.5% of its respective TIF payment; and the corresponding contribution to the City's General Fund, equivalent to 1.5% of the City's share of its TIF payment; and the remittance of the 1/2 mill tax levy back to the Children's Trust. The revenues and expenses associated with operations of the City Center area Shops and Garages are presented as separate schedules in order to eliminate any perception that proceeds from the facilities'operations are pooled with TIF and other Trust Fund revenues: Anchor Shops and Parking Garage Garage revenues at the Anchor Garage are projected at approximately $3.8 million, with operating expenses, (including contractual revenue-sharing obligations with Loews and general fund,administrative fees) of approximately $3.8 million. The Anchor retail operation is expected to generate approximately $1.3 million in revenues, with operating expenses totaling approximately $639,000, resulting in a projected reserve of $256,000, after accounting for a $389,000 budgeted transfer to the Pennsylvania Avenue Garage/Retail to offset the RDA's estimated costs associated with the retail and parking operations. Pennsylvania Avenue Shops and Garage In consideration of the fact that the Pennsylvania Avenue Shops and Garage was built by the RDA on City-owned property, the operation of the facility has been structured in the form of a ground lease between the City and the RDA, providing terms for both the Garage and Retail operations. The garage operations include base rent and an administrative fee, consistent with that of the Anchor Garage, Parking's operational fee, and revenue sharing between the City and the RDA. The Retail operations also include base rent and an administrative fee, as well as a retail lease rate based on 2010 retail market cap rates. The retail operations also include revenue sharing between the City and the RDA. The facility is anticipated to generate $1,219,000 in revenues in FY 2016/17, comprising totally of parking revenues. In light of the fact that the retail space is currently not rented, we have taken the conservative approach of not projecting retail rental income. The facility is still anticipated to operate at a loss during FY 2016/17, so the Anchor Garage/Retail plans to subsidize its operations through a transfer of $389,000 to the Pennsylvania operations. Expenses for the facility are budgeted at $1.2 Million, comprising $830,000 in direct operating costs for the garage and $389,000 in lease term-related obligations. Page 670 of 692 CONCLUSION In order to address the existing and future obligations in the Redevelopment Area, it is recommended that the Redevelopment Agency adopt the attached Resolution, which establishes the operating budgets for the City Center Redevelopment Area, the Anchor Shops and Parking Garage, and the Pennsylvania Avenue Shops and Garage for FY 2016/17. FINANCIAL INFORMATION The proposed FY 2016/17 City Center Redevelopment Area Budget is $51,921,000. The Anchor Garage & Shops is $5,095,000 and the Pennsylvania Avenue Garage & Shops is $1,608,000. Legislative Tracking Tourism, Cultural & Economic Development ATTACHMENTS: Description ❑ Exhibit A- FY16-17 City Center RDA Budget ❑ Resolution Page 671 of 692 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA FY 2016/17 OPERATING BUDGET AND STATUS REPORT Mission/Purpose Statement • To assure continued economic viability of the City Center Redevelopment Area and the City as a whole, through the implementation of the objectives and projects defined in the Redevelopment Plan and the amendment thereto. • To incur minimum relocation and condemnation. • To involve community residents in the redevelopment process. • To establish the necessary linkages to tie in the Convention Center, area hotels, cultural amenities, entertainment, residential and business uses in the district. • To enhance diversity of form and activity through the use of established planning and design principles. • To create a traffic system to serve local and through traffic needs. • To recognize the historic structures and designations within the historic districts and facilitate development accordingly. Status Report The 332-acre City Center/Historic Convention Village Redevelopment and Revitalization Area (CC/HCVRRA or City Center) was established in 1993, in order to provide the t A funding mechanism to foster the development of new convention , 1, ,, , , F'-'s,;t hotel development within proximity of the Miami Beach Convention Center and to establish the necessary linkages ,: between the City's many core area civic, cultural and f ;. '' " entertainment uses in order to create the fabric of a true urban ,► �f .; downtown. • Since its inception, the City Center Redevelopment Area has undergone dynamic change through a combination of public t �, and private investment initiatives. - _ _ - `'. - • 1 Page 672 of 692 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA Exciting projects which have transformed the area include: • Two convention-quality hotels, both of which were the result of public/private partnerships between the Redevelopment Agency (RDA) and the respective Developers - the 800-room Loews Miami Beach Hotel and the 425-room Royal Palm Crowne Plaza Hotel, the latter of which had the distinction of being the first African-American owned hotel in the United States; • The development of an 800-space public parking garage (Anchor Garage) to accommodate the parking needs for the Loews Miami Beach Hotel, the Crowne Plaza Hotel and other service and retail businesses in the area; • A $20 million overhaul of Lincoln Road, partially funded with the participation of businesses on Lincoln Road; 'f• An award-winning Beachwalk extending from 21st Street to - , ,' y ' =_'" Lummus Park, comprising an at-grade, landscaped pedestrian 'r ' '' . ---: walkway; = f ..A4- • Implementation of a Cultural Arts Campus Master Plan for the ,. . , area east of the Miami Beach Convention Center, which includes i°" . a new regional library, the headquarters of the Miami City Ballet, l ' the expansion and renovation of the Bass Museum of Art, the re- -`s. . 4.... landscaping of Collins Park, including the restoration of the Rotunda and extensive streetscape improvements throughout the ,' t area. 'T "`--qp a`+ • The completion of the much heralded New World _ — - - - y ., )r. Campus, including the new state-of-the art Gehry- ;,, .+• designed headquarters facility for the New World '"5 - ' ' Symphony and two publicly-funded components, N. including a $15 million municipal Gehry-designed ,4 , 4 parking garage and a $21 million world-class park. ate; l�` logi , , . , ...„ ,_,.. . 1 i , _ v ' ,.. :- --.'1.--21;illiri-f, ,A..,..• - t . :',-* k"< —.,a + t fit' t. ,4r a a; i•`i A 4 r,' t. ■ Page 673 of 692 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA Other important projects include the 650- ,_- , .i.:, ,iii space mixed-use parking facility built on the � : surface parking lot on the west side of City F '= `; Hall, which includes 35,000 square feet of =f �_ � ®• municipal office space; the implementation of �,- * • s _ , major street and infrastructure improvements Y - It , throughout City Center, valued at more than ' 4. $26 million; and the acquisition and renovation of three multi-family buildings ` i. , _t j„ ' : . 1 (Barclay, Allen House, The London House) to = _ - -. maintain the stock of affordable housing in the area. __ Tax Increment Financing (TIF) through the sale of bonds has been a major tool for financing redevelopment activities. To date, four bond issues have occurred in City Center: one in 1994 for $25 million, to acquire land for the hotel development initiatives; one in 1996, in the amount of $43.2 million to fund contractual obligations and capital improvements related to the Loews Hotel and Crowne Plaza Hotel projects; one in 1998, in the amount I�4.- •� * of $38.2 million to finance capital expenditures related to - ;, g t silt ill v the convention hotel projects, the Cultural Campus project 1," •, 'r - ."- " and to repay the $21 .5 million debt obligation to the City, WI 1 L'.' '' Ott, - and the most recent, which occurred in 2005, in the amount R,, ; --�- ,.''•, .A' ' of $80.7 million to refinance the outstanding debt service on e =r ; � -: r prior bond issues. '` " ' 1 -fir- _ ' .. _;,_' � ;ear=- , The City and Redevelopment Agency's commitment to - " i, upgrading and improving the area's infrastructure, _.�, /- addressing parking and circulation issues, and facilitating ` ' ; . .i .� new development has fueled significant new private-sector : n -�{ s;. -ae investment in the area, evidenced by more than $600 ,' ,t- ►�. million in new building permit activity since the area's . 4 inception. Work Plan Since its success in attracting two convention-quality hotels, the Redevelopment Agency has been focusing its efforts on a number of initiatives aimed at upgrading the area's infrastructure, streets and parks, alleviating traffic and parking congestion and encouraging the production and presentation of arts and cultural activities in the area. In 2003, the Redevelopment Agency amended its Redevelopment Plan for City Center to specifically address these objectives in the context of the New World Symphony's expansion plans involving the 17th Street surface lots and the resulting impact to the Convention Center and businesses in the area. Page 674 of 692 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA To this end, the Redevelopment Agency's mission is to coordinate, implement and fund the Plan's objectives and to compliment the City's established vision: • Public Safety; • Management and Service Delivery; • Infrastructure; • Premier Neighborhoods • International Center for Tourism and Business; and • Education Excellence The Redevelopment Agency's objective over the next five years will focus on the planning and implementation of capital projects associated with, but not limited to the Master Plan for the expansion of the Convention Center, upgrading streetscapes and related infrastructure throughout City Center and increasing the inventory of parking facilities, including the pending construction of a new 450-space parking garage to be located on 23rd Street and Collins Avenue. The RDA will also continue to fund public service enhancements provided for under the Community Policing Program as well as ensure the on-going maintenance of capital assets funded with TIF. It should be noted that that a majority of the capital enhancements set forth in the Redevelopment Plan and the 2002 Amendment thereto, have been completed and/or are currently underway, including the City Center Right-of-Way improvements, the City Hall Expansion Garage, the Collins Park improvements and the development of the 17'' Street surface lots into the New World Campus. Miami Beach Convention Center Renovation and Expansion Spanning four city blocks and located in the heart of the South Beach, the Miami Beach Convention Center (MBCC) currently accommodates meetings, conventions, tradeshows and consumer shows. The Convention Center originally ene or o d in 1957 and received a major opened I expansion and facelift in 1989, doubling it in size. Currently the MBCC boasts over 1 million square feet of flexible space, including; over 500,000 square feet of exhibit space, and over 100,000 square feet of versatile pre-function area space and 70 meeting rooms comprised of 127,000 square feet. The expansion and renovation of the existing Miami Beach Convention Center include the re- orientation of the exhibit halls, facade modifications, site improvements along the canal, and along all roadways, the addition of a multi-story ballroom and meeting rooms, and two levels of parking. The interior renovation work focuses on the redistributed division of the four main exhibition hall spaces, and the additional programming of more flexible arrangements of private meeting rooms and additional indoor/outdoor versatile exhibition spaces. Currently, the four main exhibit halls are divided into quadrants—two accessible solely from Washington Avenue (Halls A and B) and the other two solely accessed from Convention Center Drive (Halls C and D). The new Convention Center re-orients the halls in an East/West direction with the primary access from Convention Center Drive, although Washington Avenue will serve as a secondary means of entry. Page 675 of 692 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA_ - __1. s T� . . - ,1:2 � I x - , i +, , aafsaL,m, b t 1; ) ''SOfin".' >' ' _ , l y y ^Si I . ' lt 4--4, 141 - i::" ".- J.-. '1:' ''' '‘ kil `-' " *,, 1 'may.off �sy 9 .,4'.��t ?S�*, " Y �'i�A' "1r. \..1 �;' ".ice The project will also include substantial improvements to the north of the property. The new addition at the northern portion of the property features an enclosed ground floor parking area and truck loading and delivery area. Above this, a grand multi-story ballroom is proposed offering vistas of the beautified 21" Street Park that will span along Collins Canal and feature the to-be-restored Historic Carl Fisher Clubhouse. This addition will create a new internalized loading area and will include Iwo Helix ramping entrance accesses to the roof level parking. The Washington Avenue elevation will become predominately pedestrian in nature with the elimination of the visitor drop-off and cab cueing areas. The streetscape modifications will include a green edge along the avenue with native shade trees to promote a more pedestrian friendly experience. Convention Center Drive will in turn become the main access point for vehicular access and for the visitor drop-off area. Modifications will include a new median along Convention Center Drive and 19th Street creating a more sophisticated streetscape and a more celebrated boulevard experience. The Canal walk will be substantially improved and will create a softer northern edge to the MBCC. The project also includes the demolition of the existing Recreation Center along Washington Avenue and the creation of a neighborhood park. Another architectural feature of the project is the proposed rooftop indoor and outdoor meeting space located in the southwestern corner of the roof. This will offer the patrons expansive views out onto the new Civic park proposed to replace the surface parking lot. In association with the renovations to the Miami Beach Convention Center, a new urban park, pavilion and Veterans Plaza is being created to replace a surface parking lot that currently contains spaces for approximately 800 vehicles. Convention Center Park has been envisioned as a neighborhood park. The park includes a series of six clustered 'shaded edges' that will line the perimeter of the 6-acre park and surround an internal great lawn. Page 676 of 692 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA Convention Headquarter Hotel On January 27, 2015, the City Commission authorized the issuance of Request for Proposals No. 2015-103-ME (the RFP) for the Development of a Convention Headquarter Hotel Adjacent to the Miami Beach Convention Center ("MBCC"). On April 10, 2015, the City received proposals from Portman Holdings, LLC and Oxford Capital Group/RLB Swerdling ("Oxford Capital"). On April 21, 2015, the City Manager notified Oxford Capital that its proposal was not responsive to the RFP's minimum requirements. On April 29, 2015, the City Manager, via Letter to Commission (LTC) No. 176-2015, appointed an Evaluation Committee, which convened on May 7, 2015, to interview the Portman Holdings team and score the proposal, consistent with the evaluation criteria outlined in the RFP. On May 20, 2015, the Mayor and City Commission approved Resolution No. 2015-29029, authorizing the Administration to negotiate a Development and Ground Lease Agreement, including a Room Block Agreement (collectively, the "Lease") with Portman Holdings, LLC, with said Lease subject to prior approval by the Mayor and City Commission before the final execution thereof. On June 3, 2015, the Administration submitted the proposed Lease for the Finance and Citywide Projects Committee's review and input, in accordance with the requirements of Section 82-37(a)(1) of the City Code. The City Commission approved the Ground Lease on September 2, 2015. . ,. - , ;.;4 � ry ',. ''' +- , -tit 9!!-.11a'I4J ..,1 `i+' f *" + % s"� ' a z=v..,,, L t-• - l 2 F' im ► i ✓ t t s.w. cy� ! ,�• om • iiiZ a I ! i ;1 1.- �` -•. 1 - 1 �r f a n Page 677 of 692 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA The project includes the development, design, construction, equipping and operation of a full- service convention headquarter hotel with approximately (but not-to-exceed) 800 hotel rooms and related improvements ("Hotel"), including the design, construction and operation of an enclosed overhead pedestrian walkway or "Skybridge" connecting the Hotel and the MBCC. However, the Lease was contingent upon sixty percent (60%) voter approval in accordance with Section 1 .03(6)(3) of the City Charter. The referendum occurred March 2015 and failed to receive the required 60% voter approval. Subsequently, the Mayor established an Ad Hoc Blue Ribbon Steering Committee on the Convention Center Hotel who is charged with engaging the community in the development of a plan to build a Convention Center Hotel that will meet the needs of the Community and the expanded Convention Center. The Committee is been meeting regularly since. Budget Highlights • Based on the 2016 Certificate of Taxable Value from the Property Appraiser's Office released on July 1st, the preliminary value of property in City Center is increased by 16.4% over 2015 to $5.6 billion, marking the 61h year in a row that values are back on the rise. However, as in previous years, the City has received correspondence from the County, advising of the finalization of the tax roll for the prior year, which in the case 2014, reflects a significant decrease from the preliminary valuation for the same year and will result in a corresponding adjustment/reduction in TIF revenues totaling $3.1 million for 2016/17. • Additional sources of revenue include a 1/2 mill levy in the amount of $2.5 million, to be set aside for the Children's Trust pursuant to an Interlocal Agreement, dated August 16, 2004 between the RDA, the City of Miami Beach and Miami-Dade County; and an estimated $60,000 in interest income. • Project-related expenses account for approximately $10.8 million which includes $4.5 million to be allocated for community policing initiatives in City Center to continue to provide enhanced levels of staffing and services throughout the area, and $6.4 Million for maintenance of RDA capital projects. There is no additional funding for on-going and planned capital projects in City Center in the FY 2016/17 Budget due to the RDA extension for the renovation and expansion of the Convention Center. • Administrative Expenses total $1.1 million which includes a management fee of $984,000 which is allocated to the General Fund to pay for direct and indirect staff support for the RDA; $23,000 for auditing fees; $54,000 for internal services; and $92,000 for capital renewal and replacement projects under $25,000. • $21 .7 million is budgeted to cover debt service costs related to the Convention Center bonds. On December 15, 2015, the RDA Agency issued $286,245,000 in Tax Increment Revenue and Revenue Refunding Bonds, Series 2015A and $35,850,000 in Tax Increment Revenue Refunding Bonds, Taxable Series 2015B. The Series 2015A bonds will be used, together with certain other legally available moneys of the Agency, to (i) provide for the current refunding of all the outstanding Series 2005B bonds, (ii) finance certain costs of acquiring Page 678 of 692 MIAMI BEACH REVELOPMENT AGENCY CITY CENTER REDEVELOPMENT AREA and constructing renovations to the Miami Beach Convention Center and certain other improvements, and (iii) pay costs of issuance of the Series 2015 bond and refunding the outstanding Series 2005B bonds. The Series 2015B will be used to (i) provide for the advance refunding of all the outstanding Series 1998 bonds, (ii) provide for the current refunding of all the outstanding Series 2005A bonds, and (iii) pay costs of issuance of the Series 2015B bonds and refunding the outstanding Series 1998A bonds and the outstanding Series 2015A bonds, including the portion of the premium allocable to the Series 2015B bonds for the reserve policy. • Debt service payments on the portion of the Gulf Breeze Loan used to pay for the Bass Museum expansion and renovation, and the portion of the Sunshine State Loan Program used for Lincoln Road improvements have been paid off. • $14.9 million is budgeted in Reserve for Contingency/Debt Service Funds in this reserve over and above the annual debt payment can be used to finance any potential shortfalls in the RDA fund or pay down the Convention Center bonds early, but not prior to FY 2023/24. • Reserve line item expenditures include those items that, pursuant to the existing Bond Covenants, may only be expended once the annual debt service obligations have been met. These include the County's administrative fees, equivalent to 1 .5% of its respective TIF payment; and the corresponding contribution to the City's General Fund, equivalent to 1 .5% of the City's share of its TIF payment; and the remittance of the Yz mill tax levy back to the Children's Trust. Page 679 of 692 Miami Beach Redevelopment Agency City Center Redevelopment Area Proposed FY 2016/17 Operating Budget Exhibit A FY 2013/14 FY 2014/15 FY 2015/16 FY 2016117 Variance Actual Actual Adopted Proposed From FY 15/16 Revenues and Other Sources of Income Tax Increment-City $ 19,934,948 $ 21,435,094 $ 24,565,000 $ 28,856,000 $ 4,291,000 Proj Adjustment to City Increment (94,491) (1,381,292) (1,452,000) (1,723,000) (271,000) Tax Increment-County 15,991,409 17,264,754 20,080,000 23,588,000 3,508,000 Proj Adjustment to County Increment (73,641) (1,066,658) (1,165,000) (1,388,000) (223,000) 50%Contribution from Resort Tax 5,885,927 0 0 0 0 '1/2 Mill Children's Trust Contribution 1,698,337 1,842,210 2,152,000 2,528,000 376,000 Interest Income 90,904 83,599 60,000 60,000 0 Fund Balance 0 0 0 0 0 Fund Balance Renewal and Replacement 0 0 0 0 0 Other Income/Adjustments: 114,748 3,091 0 0 0 TOTAL REVENUES $ 43,548,140 $ 38,180,798 $ 44,240,000 $ 51,921,000 $ 7,681,000 Admin/Operating Expenses Management fee $ 1,043,000 $ 972,000 $ 982,000 $ 984,000 $ 2,000 Salaries and Benefits 71,006 0 0 0 (0) Advertising&promotion 0 0 50,000 0 (50,000) Postage&mailing 9 0 1,000 0 (1,000) Office supplies&equipment 1,701 533 2,000 0 (2,000) Other Operating 655 200 1,000 0 (1,000) Meetings&conferences 0 0 1,000 0 (1,000) Dues&subscriptions 175 0 2,000 0 (2,000) Licences&Taxes 56,028 0 60,000 0 (60,000) Audit fees 21,000 18,999 23,000 23,000 0 Professional&related fees 98,655 316,133 40,000 0 (40,000) Repairs and Maintenance 24,141 14,924 8,000 92,000 84,000 Internal Services 79,645 220,267 53,000 54,000 1,000 Total Admin/Operating Expenses $ 1,396,015 $ 1,543,056 $ 1,223,000 $ 1,153,000 $ (70,000) Project Expenses Community Policing $ 4,019,542 $ 4,438,935 $ 4,502,000 $ 4,468,000 $ (34,000) Capital Projects Maintenance: Code 68,527 182,121 182,000 196,000 14,000 Property Mgmt 937,890 1,279,683 1,319,500 1,346,000 26,500 Sanitation 2,905,911 3,061,000 3,339,000 3,339,000 0 Greenspace 774,512 644,273 864,500 877,000 12,500 Parks Maintenance 0 178,579 432,000 493,000 61,000 Transfer to Penn Garage Parking 142,765 0 0 0 0 Transfer to Penn Garage Retail 0 0 0 0 0 Transfer to Renewal and Replacement 67,000 0 0 180,000 180,000 Transfer to Capital Projects 16,561,285 0 0 0 0 Total Project Expenses $ 25,477,431 $ 9,784,591 $ 10,639,000 $ 10,899,000 $ 260,000 Reserves,Debt Service and Other Obligations Debt Service Cost $ 8,533,119 $ 7,074,060 $ 10,550,000 $ 21,678,000 $ 11,128,000 City Debt Service-Lincoln Rd Project 825,000 832,000 806,000 0 (806,000) City Debt Service-Bass Museum 547,000 548,000 516,000 0 (516,000) Reserve for County Admin Fee 238,767 242,971 284,000 333,000 49,000 Reserve for CMB Contribution 297,607 300,807 347,000 407,000 60,000 Reserve for Children's Trust Contribution 1,698,337 1,842,210 2,152,000 2,528,000 376,000 Reserve Debt Service/Contingency 0 0 17,723,000 14,923,000 (2,800,000) Total Reserves,Debt Service and Other Obligations $ 12,139,829 $ 10,840,048 $ 32,378,000 $ 39,869,000 $ 7,491,000 TOTAL EXPENSES AND OBLIGATIONS $ 39,013,275 $ 22,167,695 $ 44,240,000 $ 51,921,000 $ 7,681,000 SURPLUS/(DEFICIT) $ 4,534,865 $ 16,013,103 $ 0 $ 0 $ 0 Page 680 of 692 Proposed FY 2016/17 Anchor Shops and Parking Garage Operating Budget Anchor Parking e 1 FY 2013/14 FY 2014/15 FY 2015/16 FY 2016/17 Variance Revenues: Actual Actual Adopted Proposed From FY 15/16 Revenue Area $ 413,510 $ 389,992 $ 402,000 $ 317,000 $ (85,000) Valet Parking 490,401 574,437 489,000 430,000 (59,000) Monthly Permits 2,793,989 2,631,829 3,074,000 3,004,000 (70,000) Attended Parking 45,925 45,720 54,000 43,000 (11,000) Interest Income 50,055 16,158 61,000 17,000 (44,000) Misc./Other 0 0 0 0 0 Fund Balance-Retained Earnings TOTAL REVENUES $ 3,793,880 $ 3,658,135 $ 4,080,000 $ 3,811,000 $ (269,000) Operating Expenses: Salaries& Benefits $ 0 $ 0 $ 0 $ 0 $ 0 Operating Expenses 2,627,351 2,803,205 3,881,000 3,613,000 (268,000) Internal Services 194,696 266,582 199,000 198,000 (1,000) Capital 0 0 0 0 0 TOTAL EXPENSES $ 2,822,047 $ 3,069,788 $ 4,080,000 $ 3,811,000 $ (269,000) Revenues Less Expenditures $ 971,833 $ 588,347 $ 0 $ 0 $ (0) Anchor Shops 11 FY 2013/14 FY 2014/15 FY 2015/16 FY 2016/17 Variance Revenues: Actual Actual Adopted Proposed From FY 15/16 Retail Leasing $ 829,924 $ 754,327 $ 792,000 $ 1,100,000 $ 308,000 Capital&Maintenance 15,597 27,209 25,000 154,000 129,000 Interest earned 29,629 29,500 30,000 30,000 0 Miscellaneous 385 0 0 0 0 TOTAL REVENUES $ 875,534 $ 811,036 $ 847,000 $ 1,284,000 $ 437,000 Operating Expenses: Salaries& Benefits $ 0 $ 0 $ 0 $ 0 $ 0 Operating Expenses 89,628 75,453 791,000 929,000 138,000 Internal Services 20,000 24,000 56,000 55,000 (1,000) Capital - 300,000 300,000 TOTAL EXPENSES $ 109,628 $ 99,453 $ 847,000 $ 1,284,000 $ 437,000 Revenues Less Expenditures $ 765,906 $ 711,583 $ 0 $ 0 $ 0 COMBINED REVENUES-EXPENSES $ 1,737,739 $ 1,299,931 $ 0 $ 0 $ 0 Page 681 of 692 Proposed FY 2016/17 Pennsylvania Ave Shops and Garage Operating Budget Pennsylvania Parking Garage g A y FY 2013/14 FY 2014/15 FY 2015116 FY 2016/17 Variance Revenues: Actual Actual Adopted Proposed From FY 15/16 Transient $ 631,358 $ 652,296 $ 841,000 $ 610,000 $ (231,000) Monthly 180,091 187,422 267,000 272,000 5,000 Miscellaneous 1,473 196 0 0 0 Interest Income 2,983 4,273 3,000 3,000 0 Transfer In from RDA(Garage) 142,765 96,198 47,000 334,000 287,000 Retained Earnings 0 0 0 0 - TOTAL REVENUES $ 958,670 $ 940,385 $ 1,158,000 $ 1,219,000 $ 61,000 Operating Expenses: Salaries& Benefits $ 0 $ 0 $ 0 $ 0 $ 0 Operating Expenses 957,354 940,385 1,158,000 1,219,000 61,000 Internal Services 0 23,059 0 0 0 Capital 0 0 0 0 0 TOTAL EXPENSES $ 957,354 $ 963,445 $ 1,158,000 $ 1,219,000 $ 61,000 Revenues Less Expenditures $ 1,316 $ (23,059) $ 0 $ 0 $ (0) 4' Pennsylvania Shops FY 2013/14 FY 2014/15 FY 2015/16 FY 2016/17 Variance Revenues: Actual Actual Adopted Proposed From FY 15/16 Retail Leasing $ 461,374 $ 103,676 $ 0 $ 0 $ 0 Capital&Maintenance 75,969 27,643 0 0 0 Interest earned 312 790 1,000 0 (1,000) Miscellaneous 120,520 0 0 0 0 Prior Years'Adjustment 70,563 0 0 0 0 Transfers In 283,500 0 526,000 389,000 (137,000) TOTAL REVENUES $ 1,012,239 $ 132,108 $ 527,000 $ 389,000 $ (138,000) Operating Expenses: Salaries& Benefits $ 0 $ 0 $ 0 $ 0 $ 0 Operating Expenses 352,891 360,107 527,000 389,000 (138,000) Internal Services 0 0 0 0 0 Capital 0 0 0 0 0 TOTAL EXPENSES $ 352,891 $ 360,107 $ 527,000 $ 389,000 $ (138,000) Revenues Less Expenditures $ 659,348 $ (227,999) $ 0 $ 0 $ (0) COMBINED REVENUES-EXPENSES $ 660,664 $ (251,058) $ 0 $ 0 $ (0) Page 682 of 692