301-98 RDA
RESOLUTION NO. 301-98
A RESOLUTION OF THE CHAIRMAN AND MEMBERS OF
THE MIAMI BEACH REDEVELOPMENT AGENCY
ADOPTING AMENDED BUDGETS FOR THE SOUTH
POINTE AND CITY CENTER REDEVELOPMENT AREAS
FOR FISCAL YEAR 1997/98.
WHEREAS, the proposed budgets have been prepared to coincide wth the overall City
budget process; and
WHEREAS, the proposed budgets have been modified from prior years to reflect
anticipated construction project costs in addition to operating and debt service costs for the fiscal
year.
BE IT DULY RESOLVED BY TH~CHAIRMAN AND MEMBERS OF THE MIAMI
BEACH REDEVELOPMENT AGENCY, that the Board hereby adopts the amended budgets for
the South Pointe and City Center Redevelopment Areas for Fiscal Year 1997/98 as attached.
PASSED AND ADOPTED this
9th
day of September
,1998.
V#I1
CHAIRMAN
ATTEST:
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SECRETARY
T:\AGENDA \SEP0998\RDA \BUDGET97 ,RES
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUnON
Attachments
/f41~~ J?/3_~
Red e opment Agency ~
Genf'.~1 (' (\f'''.~!
MIAMI BEACH REDEVELOPMENT AGENCY
Proposed Budget FY 97/98
City Center Redevelopment Area
Revenues and Other Operating Debt Construction
Sources of Income Fund Service Fund
Opening Balance (Series 96B Bond Fund) $0 $0 $3,700,000
Tax Increment $3,067,502 $0 $0
Contribution from Resort Tax (1%) $0 $1,392,500 $0
Contribution from Resort Tax (2%) $0 $775,998 $0
Contribution from GMCVB $0 $900,000 $0
Interest Income $45,000 $300,000 $0
City's Line of Credit to RDA $0 $0 $13,690,000
Operating Transfers In $0 $2,612,502 $0
98 Bond Issue Funds (Series A&B) $0 $0 $37,000,000
Fund Balance Carryover $0 $0 $0
Total Revenue: $3,112,502 $5,981,000 $54,390,000
Operating Debt Construction
Operating Expenses: Fund Service Fund
Management Fee $414,000 $0 $0
Advertising & Promotion $3,000 $0 $0
Debt Service Cost $0 $5,981,000 $0
Postage & Mailing $3,000 $0 $0
Printing $3,000 $0 $0
Office Supplies & Equipment $5,000 $0 $0
Meetings & Conferences $2,000 $0 $0
Dues & Subscriptions $1,000 $0 $0
Audit Fee $4,000 $0 $0
Professional & Related Fees $50,000 $0 $0
Miscellaneous Expenses $15,000 $0 $0
Total Operating Costs: $500,000 $5,981,000 $0
Transfer to - Debt Svc: $2,612,502 $0 $0
Repayment of Line of Credit wI interest: $0 $0 $22,558,170
Total Expenditures & Transfers: $3,112,502 $5,981,000 $22,558,170
Construction Project Costs:
16th Street Garage $0 $0 $8,200,000
Cultural Arts Campus Land Acquistion $0 $0 $3,370,000
Project costs for Convention Center Hotels $0 $0 $5,650,000
Beachwalk Project $0 $0 $330,000
Street-end Projects $0 $0 $60,000
Other Capital Projects/Streetscape: $0 $0 $0
Total Construction Project Costs: $0 $0 $17,610,000
Excess (Deficiency): $0 $0 $14,221,830
MIAMI BEACH REDEVELOPMENT AGENCY
Proposed Budget FY 97/98
South Pointe Redevelopment Area
Revenues and Other Operating Debt Construction
Sources of Income Fund Service Fund
Tax increment $5,195,059 $0 $0
Marina Rental $120,000 $0 $0
Cobb Receivable $89,667 $0 $0
Interest Income $42,000 $45,000 $0
Operating Transfers In $0 $830,000 $0
Capital Project Funds $0 $0 $3,472,000
Fund Balance Carryover $0 $0 $0
Total Revenue: $5,446,726 $875,000 $3,472,000
Operating Debt Construction
Operating Expenses: Fund Service Fund
Management Fee $414,000 $0 $0
Advertising & Promotion $3,000 $0 $0
Debt Service Cost $0 $875,000 $0
Postage & Mailing $2,500 $0 $0
Printing $2,500 $0 $0
Office Supplies & Equipment $4,430 $0 $0
Meetings & conferences $2,000 $0 $0
Dues & subscriptions $1,000 $0 $0
Submerged land lease $130,000 $0 $0
Audit Fee $4,000 $0 $0
Legal fees $500,000 $0 $0
Professional Services $75,000 $0 $0
Contingency $6,296 $0 $0
Total Operating Expenses: $1,144,726 $875,000 $0
Transfer to Debt Svc: $830,000 $0 $0
Transfer to Capital Projects: $3,472,000 $0 $0
Total Expenditures & Transfers: $5,446,726 $875,000 $0
Construction Costs:
Underground Utility Relocation $0 $0 $200,000
Streetscape & Other Projects $0 $0 $2,922,000
Cobb Streetscape $0 $0 $350,000
Total Construction Costs: $0 $0 $3,472,000
Excess (Deficiency)
Revenues and Expenses: $0 $0 $0
Miami Beach
Redevelopment Agency
1700 Convention Center Drive
Miami Beach, Florida JJ 139
Telephone: (305) 673- 7295
Fax: (305) 673- 7772
REDEVELOPMENT AGENCY MEMORANDUM NO. 98-
3Cf
September 9, 1998
TO: Chairman and Members of the
Miami Beach Redevelop ent Agency
FROM: Sergio Rodriguez
Executive Director
SUBJECT: A RESOLUTION APPROVING FISCAL YEAR 1997/98 SOUTH POINTE
AND CITY CENTER BUDGETS AMENDED FROM THOSE PREVIOUSLY
MADE PART OF THE CITY'S 1997/98 BUDGET DOCUMENTS
RECOMMENDATION
Adopt the Resolution.
BACKGROUND
In September 1997, the Redevelopment Agency operating budgets for City Center and South Pointe
were presented as part of the overall City budget process. (See attachment A.)
Subsequently, in November 1997, the Administration recognized that the assessed values provided
by the Miami Dade County Property Appraiser's Office appeared to be low compared to the value
of construction completed during the prior year. Upon review by the Property Appraiser's Office,
it was discovered that the reported assessed value for the redevelopment districts did not reflect new
condominium units within each of the redevelopment areas and a revised report was prepared. This
review revealed that the assessed values for both South Pointe and City Center were, in fact,
underestimated. The assessed values increased from .5% to 25.9% in South Pointe, and from 2.0%
to 6.8% in City Center.
In the intervening months, the City CommissionlRedevelopment Agency Board requested and
received extensive financial reports on both redevelopment areas, In South Pointe, the report
covered the previous ten years and in City Center, the report covered the entire life of the area from
1993 forward.
S{)lJTti (){)I~Tr=
l)edevelC)pment Uistnct
12
Agenda Item 3E
Date
9-9-4~
ANALYSIS
The operating budgets for FY 97/98 which are being submitted today have been modified from
prior years to reflect anticipated construction project related costs in addition to operating and debt
service costs for the fiscal year. In the case of City Center, on July 1, 1998, the City
CommissionlRedevelopment Agency Board approved an additional $38.2 Million bond issue which
will go towards repaying the City's line of credit to the RDA as well as to completing important
projects underway in City Center.
In the case of South Pointe, the Aministration has, during the past year, provided several different
budget scenarios for capital improvements based on a pay-as-you-go strategy rather than the issuance
of additional bonds. The South Pointe budget presented with this memo reflects this approach.
CONCLUSION
The Administration recommends that the Resolutions approving the South Pointe and City Center
budgets, as amended from the proposed budgets that were included as part of the City's 1997/98
budget document, be adopted.
I
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Att~ents
T:\AGENDA \SEP0998\RDA \BUDG97 ,MEM
MIAMI BEACH REDEVELOPMENT AGENCY
South Pointe
and
City Center
ATTACmlENT A
MIAMI BEACH REDEVELOPMENT AGENCY
Tne Miami Beach Redevelopment Agency was created in 1973. The Agency, in accordance with
the Community Redevelopment Act, prepared the "South Shore Redevelopment Plan" for the area
Ilenerally south of Sixth Street. Due to the Metropolitan form of government and the Dade County
Home Rule Charrer. the creation of the Redevelopment Agency and the plan were endorsed by the
County Commission.
From approximately 1973 through 1983, the agency operated as an independent authority \vith a
Board of Commissioners. In 1983, the Agency was reorganized and incorporated in the City of
Miami Beach administrative structure and the City Commission was designated to serve as the
Redevelopment Agency Board.
In 1993, the City designated a second redevelopment area. The City Center/Historic Convention
Village Redevelopment and Revitalization Area (HCVRRA) encompasses the Convention Center
and Lincoln Road,
Tax Increment Financing (TIF) through the sale of bonds has been a major tool for tinancing
redevelopment activities. To date, four bond issues have occurred, one in South Pointe in 1989, in
the amount of $7 million and three in City Center: one in 1994 for $25 million and 1:'.vo in 1996,
in the amounts of $35.5 million and $7.7 million. It is anticipated that additional debt in the
amount of $20-24 million \\!ill be issued in South Pointe for project area commitments and for
ongoing redevelopment activities such as streetscape improvements. An additional bond issue
is also planned for City Center in the amount of $25-30 million for FY 97/98 in order to finance
capital expenditures related to the convention hotel projects and streetscape projects.
Based on last year's actual gro\vth in tax as~essments for the 1:'.vo areas, only moderate growth is
projected for FY 97/98, In City Center, growth has been estimated at 2 percent since no significant
projects have come on line. As the new hotel, residential and commercial developments come on
line within the next t\VO years, the tax increment for the City Center Area is anticipated to grow
significantly, For South Pointe, tax assessments are anticipated to increase by 0.5 percent.
POLICY DIRECTIVES
· To assure continued economic viability within diverse urban areas.
· To incur minimum relocation and condemnation.
· To involve community residents in the redevelopment process.
· 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,
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.
To recognize the historic structures and designations within the historic districts and facilitate
development accordingly.
SOUTH POINTE REDEVELOPMENT AREA
The area, originally designated in 1973 as the South Shore Redevelopment Area, was later renamed
"South Pointe." This 210-acre area contains several important components. The Marina area, from
Fifth Street to Biscayne Street east of Alton Road, includes the Miami Beach Marina which contains
a core building and a 400-slip marina. Utilizing TIF funds, a three-block, mixed-use residential
development was initiated bi the Agency. Through the RFP process, Cobb Properties, Ltd., was
selected as the developer of this major project, called the Courts of South Beach. Construction is
well undeI"'vVay, and unit sales are strong. The property is expected to return to the tax rolls for the
current fiscal year.
As a result of the South Pointe Study, prepared by the University of Miami School of Architecture,
The City of Miami Beach adopted substantial amendments to the Performance Standards District
(Chapter 20) of the Zoning Ordinance in 1994. In furthering these regulations, The City has
approved in concept draft design guidelines prepared by Duany Plater Zyberk (DPZ), Architects and
T 0\Vn Planners.
During the last fiscal year, a Streetscape Concept Plan for South Pointe has been adopted,
Implementation should begin during FY 98.
CITY CENTER REDEVELOPMENT AREA
The 332-acre City CenterIHistoric Convention Village Redevelopment and Revitalization Area
(CCIHCVRRA) was established in 1993. In order to ensure public participation in the creation of
the plan for the area, the City of Miami Beach created a Citizens Advisory Technical Committee to
provide input and stakeholder participation in the process, A series of public meetings and
workshops were held as well as one-on-one sessions with key members of the Historic Preservation
community, the business community, and area residents, resulting in an unprecedented community
consensus-building effort.
Although relatively new by comparison to the South Pointe Redevelopment Area, the City Center
Redevelopment Area is already undergoing dynamic change through a combination of public and
private investment initiatives.
Exciting new projects shaping the area include the groundbreaking of the Loews Miami Beach
HoteL an 800-room convention headquarter hotel on an Agency-owned site located at Collins
A venue and 16th Street; the execution of a Letter of Intent (LOI) betvveen the Redevelopment
Agency and RDP Royal Palm. Ltd., to build the first African-American o\V!1ed hotel on an Agency-
owned parcel; construction of an 800-space public parking garage to accommodate the parking
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needs for the Loews Miami Beach Hotel, the African-American Hotel and other service and retail
businesses in the area; an $18 million overhaul of Lincoln Road, partially funded with the
participation of businesses on Lincoln Road; design and engineering work for the extension of the
beachwalk from 21st Street to Lummus Park; and implementation of the master plan for the area
east of the Miami Beach Convention Center, including the 17th and 18th street ends and
Washington Avenue benveen Dade Boulevard and 17th Street.
The City and Redevelopment Agency's commitment to upgrading and improving the area's infra-
structure, addressing parking and circulation issues, and facilitating new development has already
prompted significant new private-sector investment in the area. Some of these projects include
II Villagio and 1500 Ocean Steps, two luxury condominium/retail developments on Ocean Drive
and 15th Streets and LRI/Finestra's 18-screen movie theater/retail complex planned for the comer
of Alton and Lincoln Roads. The redevelopment area has also seen the recent major renovation of
several significant hotels including the Delano, National and some others undeI"\Vay.
BUDGET HIGHLIGHTS
South Pointe
· Interface with the Ocean Beach Historic District created in 1996.
· Prepare to issue additional bonds for project area commitments, as well as to undertake
improvements in the area.
· Continue to implement the streetscape design plan in the area.
I
· Facilitate the opening of a new library in South Pointe.
· Close-out the Courts of South Beach project and related streetscapes.
City Center/HCVRRA
· Facilitate/oversee construction process relative to the Loews Miami Beach HoteL
· Facilitate permitting process and commence construction of the Royal Palm CroVine Plaza
Resort (African-American hotel project).
· Facilitate/oversee permitting and construction process for 16th Street parking garage and
16th Street extension projects,
· Oversee implementation of streetscape improvements for the area east of the Convention
Center, between 17th Street and 18th Street.
· Coordinate boardwalk extension project between 21 st Street and Lummus Park.
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Negotiate land acquisition and issue RFP(s) for the development of parking garage facilities
on the east and west ends of Lincoln Road and in the Museum District.
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F acilitate/oversee permitting and implementation of LRl/Finestra multiplex movie theater
project, in accordance with Alley Vacation Agreement.
.
Coordinate impact mitigation strategy for infrastructure improvements underway on Collins
A venue bet\.veen 15 th Street and 22nd S tree!.
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MIAMI BEACH REDEVELOPMENT AGENCY
Proposed Operating Budget FY 97/98
South Pointe Redevelopment Area
Revenues and Other Operating Debt Total
Sources of Income Fund Service
Tax Increment $5,195,059 $0 $5.195,059
Marina Rental $120,000 $0 $120,000
Cobb Receivable $89,667 $0 $89,667
Interest Income $42,000 $45,000 $87,000
Operating Transfers In $0 $830,000 $830,000
Fund Balance Carryover $0 $0 $0
Total Revenue: $5,446,726 $875,000 $6,321,726
Operating Debt
Operating Expenses: Fund Service Total
Management Fee $414,000 $0 $414,000
Advertising & Promotion $3,000 $0 $3,000
Debt Service Cost $0 $875,000 $875,000
Postage & Mailing $2,500 $0 $2,500
Printing $2.500 $0 $2,500
Office Supplies & Equipment $4,430 $0 $4,430
Meetings & Conferences $2,000 $0 $2,000
Dues & Subscriptions $1,000 $0 $1,000
Submerged Land Lease $120,000 $0 $120,000
Audit Fee $4,000 $0 $4,000
Legal Fees $150,000 $0 $150,000
Professional Services $122,000 $0 $122,000
Miscellaneous $77,237 $0 $77 ,237
Contingency $939,059 $0 $939,059
Total Operating Expenses: $1,841,726 $875,000 $2.716,726
Operating Out - Debt Service: $830,000 $0 $830,000
Portofino Loan $2,500,000 $0 $2,500,000
Streetscape (FY 97 Bond Issue to Fund)
Library Purchase of Condo Unit $275,000 $0 $275,000
Excess (Deficiency) of
Revenues and Expenses: $0 $0 $0
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MIAMI BEACH REDEVELOPMENT AGENCY
Proposed Operating Budget FY 97/98
City Center Redevelopment Area
Revenues and Other Operating Debt Total
Sources of Income Fund Service
Tax Increment $3,067,502 $0 $3,067,502
Contribution from Resort Tax $3,489,389 $0 $3,489,389
Contribution from GMCVB $900,000 $0 $900,000
Interest Income $24,000 $300,000 $324,000
Operating Transfers In $0 $6,980,891 $6,980,891
Fund Balance Carryover $0 $0 $0
Total Revenue: $7,480,891 $7,280,891 $14,761,782
Operating Debt
Operating Expenses: Fund Service Total
Management Fee $414,000 $0 $414,000
Advertising & Promotion $3,000 $0 $3,000
Debt Service Cost $0 $7,280,891 $7.280,891
postage & Mailing $3,000 $0 $3,000
Printing $3,000 $0 $3,000
Office Supplies & Equipment $5,000 $0 $5,000
Meetings & Conferences $2,000 $0 $2,000
Dues & subscriptions $1 .000 $0 $1,000
Audit Fee $4,000 $0 $4,000
Professional & Related Fees $50,000 $0 $50,000
Miscellaneous Expenses $15,000 $0 $15,000
Total Operating Expenses: $500,000 $7,280,891 $7,780,891
Operating Out - Debt Service: $6,980,891 $0 $6,980,891
Excess (Deficiency) of
Revenues and Expenses: $0 $0 $0
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