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RESOLUTION 87-19047 RESOLUTION NO. 87-19047 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA ADOPTING THE AMENDED NORTH SHORE FACADE IMPROVEMENTS PROGRAM PROCEDURES AND REQUIREMENTS. WHEREAS, on October 1, 1986, the City Commission adopted the Procedures and Requirements for the first year of the North Shore Facade Improvements Program; and, WHEREAS, the City Commission has authorized the allocation of $80,000 in Community Development Block Grant funding to continue the program for the 1987/88 fiscal year; and, WHEREAS, it is in the best interest of the North Shore business community and the City to revise the Facade Program Procedures and Requirements. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the amended North Shore Facade Improvements Program Procedures and Requirements are hereby approved. Passed and adopted this 21st day of - October , 1987. M • YOR ATTEST: CITY CLERK Fe:1M AFPRSIIED LEGAL Ry• AisAuev;, eceA,a91 3K:SRP:hmis • NSII NORTH SHORE FACADE IMPROVEMENT PROGRAM AMENDED PROCEDURES AND REQUIREMENTS Purpose The purpose of the North Shore Facade Improvement Program is to provide financial incentives to stimulate economic growth and revitalization in the North Shore Commercial District. II. General Program Description The North Shore Facade Improvement Program is designed to provide matching grants to eligible commercial property owners and tenants for the purpose of rehabilitating their storefronts. In subsequent years, if interest rates continue to rise, it is anticipated that the program will function as a low interest loan program. Every effort will be made to provide a noticeable visual effect of the improvements on the streetscape by concentrating one half of the program monies in blocks with participation of businesses comprising at least 40% of the linear front footage on a block. A grant of $5000 per address/storefront will be permitted. A maximum grant (including storefronts) of $30,000 will be permitted for an Ocean Terrace building, mixed use building, or commercial building with 6 or more storefronts. The program will be limited generally to the following improvements: preparation of building surfaces, removal of veneer and debris, paint, awnings, signage, decorative lighting, doors, and windows. III. Eligibility A. Geographic Area Eligible target areas include all commercially zoned properties in North Shore (C-1, C-4, C-5, MXE), as shown on the attached map. These include: 1. Collins Avenue from 66th to 75th Streets. 2. 71st Street/Normandy Drive from Collins Avenue to Rue Notre Dame and those west of Rue Granville to Bay Drive. 3. Ocean Terrace. 4. C-5 commercial area bounded by Byron Avenue, 69th Street, Collins Avenue, 72nd Street. 5. East side Harding Avenue from approximately 68th Street to 69th Street. 6. South side Marseille Drive from Rue Vendome to Rue Notre Dame. AGENDA ITEM 11,B_ DATE O''Zt461 B. Property Uses Any commercial retail, service, or office, mixed-use establishment, or Ocean Terrace building can be a grant recipient except the following: 1. Hotels (excluding Ocean Terrace), condominiums and their ground floor retail establishments will not be permitted to apply. 2. Second story uses alone, unless renovated in concert with ground floor. 3. Improvements to vacant stores will be limited to preparation of building surfaces, paint and awnings. C. Who May Receive Grants? Commercial property owners, tenants, and/or a combination of the two. A property buyer may receive a grant if able to demonstrate a financial commitment to purchase the property, as evidenced by a sales contract or option to purchase. D. How Will Grantees Be Selected? Grantees will be selected from those applicants who meet all requirements for eligibility on a first come/first served basis. The City will notify all eligible property owners and tenants by mail and newspaper advertisement of the availability of funds and program requirements. These notices will identify the earliest date upon which letters of intent and application fees will be accepted. E. Other Requirements The program will be limited to those blocks which demonstrate an interest in participation as evidenced by a signed letter of intent accompanied by a non- refundable application fee, which shall be used to offset the cost of administrative and architectural services. The fee shall be $100.00 for 1-2 contiguous storefronts and $250.00 for 3 or more storefronts, a mixed use building, or an Ocean Terrace building. The applicant must further provide a verification of their 50% contribution in the form of bank statements, loan documents, or similar documentation. IV. Scope of Work A. General The program will be limited generally to the following improvements: preparation of building surfaces, removal of veneer and debris, paint, awnings, signage, decorative lighting, doors and windows. Roof repair and security systems may be permitted under certain circumstances (amounts not to exceed 25% of the total renovation cost or $3500, whichever is less). Bars on windows/doors will not be permitted under this program. B. Eligible and Ineligible Costs In addition to the costs for construction as identified above, other permitted expenditures shall include costs of any and all permit fees for above work performed. Legal fees will not be included. V. Architectural Services/Design The Planning Department will contract with an outside architect/designer to perform the following services: A. Prepare working drawings of buildings included in facade improvement program, based upon design guidelines as set forth in the North Shore Comprehensive Plan, Phase I: A Commercial Revitalization Strategy; Ocean Terrace (MXE) Design Guidelines, and RM-60, C-1, MU (non-historic) Design Guidelines. B. Develop detailed specifications for construction work to be performed; i.e. quality, brand, color, type of paint; size, height, angle, materials to be used in awning construction, etc. C. Develop cost estimates for work to be performed. D. Monitor construction/quality assurance. E. Meet with applicant on at least two (2) occasions to determine mutually acceptable designs. The Planning and Zoning Department will review and approve all plans/specifications/estimates provided by the architect/designer. Architectural/design services will be provided to the applicant at no charge by the City. Applicant must agree in writing to construct improvements based upon designs approved by City. VI. Grant Program A. Maximum Amount of Grant The grant amount permitted under this program will be $5000 per storefront or $30,000 per Ocean Terrace building, mixed use building, or commercial building with six (6) or more storefronts. B. Required Match The owner or tenant will be required to match 100% of the grant amount (50% of the total cost) i.e., if the total construction costs $8000, the owner will provide $4000 and the City will provide $4000. 1 -- C. Reimbursement The City will reimburse the owner for the full 50% grant at completion of construction, subject to the following conditions: 1) The contractor will be responsible for providing the City with all documentation with the request for payments, including invoices, contractor payroll sheets, and all applicable reports and federal labor standards documents. 2) Construction must be completed in accordance with approved plans and specifications, otherwise, the City may withhold funds in whole or in part for non-compliance. 3) The contractor will be responsible for obtaining all required permits. VII. The Grant Process A. Owner signs letter of intent to participate, completes application, pays required application fee. B. Architect meets with applicant, develops preliminary drawings of improvements. C. Owner, Planning and Zoning Department review proposed improvements. Upon approval, architect proceeds with preparation of working drawings, specifications, cost estimates. D. Architect meets with owner, Planning and Zoning Department, reviews drawings, specifications, estimates. E. City prepares bid specifications, advertisements, and proceed with bidding on a maximum of two (2) occasions during the 1987/88 fiscal year. Every effort will be made to bid several small projects simultaneously (total estimated construction costs $100,000 or greater) to reduce costs to the owners and ensure that contractors will bid on the projects. Anticipated bidding dates for the 1987/88 fiscal year are in January, 1988 and June, 1988. F. Owner awards contract; City approves grant based upon an amount not to exceed 10% above architect's estimate. G. Construction, owner pays contractor. H. Construction complete, City reimburses owner 50% of eligible cost. VIII. Construction of Improvements A. Selection of Contractors The owner, with the assistance of the City, will select the low bidder based upon bids prepared by the City and advertised at specified times during the year. (See Section VII(E)). The owner will be provided with a list of contractors who have .1. previously participated in federally funded rehabilitation projects, for informational/assistance purposes only. The owner may; however, select contractors who are not included on this list, provided that said contractors are not prohibited from participating in federally funded projects. B. Contractors will be required to abide by the following regulations at all times: 1. Davis-Bacon Act (DBA) - provides that contracts in excess of $2,000 to which the United States is party for the construction, alteration, and/or repair, including painting and decorating, of public buildings or public works, which involve the employment of laborers and/or mechanics shall contain provisions with respect to minimum wages, fringe benefits, payments without deductions or rebates, withholding funds from contractors to ensure compliance with the wage provisions, and termination of the contract or debarment for failure to adhere to the required provisions. 2. Contract Work Hours and Safety Standards Act (CWHSSA). CWHSSA provides that work in excess of 40 hours per week shall be compensated for at rates not less than one and one-half time his basic rate. 3. Copeland Act (Anti-Kickback Act) - makes it a criminal offense for any person to induce, by any manner whatsoever, any person employed in the construction, prosecution, completion, or repair of any public building, public work, or building or work financed in whole or in part by loans or grants from the United States, to give up any part of the compensation to which he is entitled under his contract of employment. The Act also provides for the submission of weekly statements of compliance and weekly payrolls by all contractors. 4. Fair Labor Standards Act (FLSA) - is applicable to HUD-assisted construction and provides for minimum wages for construction workers, overtime pay (forty-hour work week), recordkeeping and child labor standards. 5. Section 3, Equal Employment Opportunity Guidelines. 6. All other applicable federal, state, and local laws. C. The applicant and contractors will be responsible for obtaining required permits, inspections. D. Contractors must be licensed, insured, and must have an IRS identification number. Sweat equity participation will not be permitted. 2 IX. Administration/Funding The North Shore Facade Improvement Program will be managed and administered by the Planning and Zoning Department with assistance to be provided by other City departments and agencies. Responsibilities are as follows: 1. Recruitment, marketing of program Planning & Zoning Department 2. Assistance with application process Planning & Zoning 3. Monitoring for Federal labor requirements Econ. & C.D. 4. Grant review, approval Planning & Zoning Econ. & C.D. 5. Designs, specs, cost estimates Outside architect (with approval by Planning & Zoning) 6. Review of contractor eligibility Econ. & C.D. 7. Construction monitoring Building, Code Enf. Planning & Zoning Econ. & C.D., outside architect SMR:hm Attachment N.S. 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Park .s 1 \ City Manager ,•- SUBJECT: A RESOLUTION ' DOPTING THE AMENDED NORTH SHORE FACADE IMPROVEMENT PROGRAM PROCEDURES AND REQUIREMENTS I. BACKGROUND The North Shore Facade Improvement Program provides financial incentives to North Shore businesses for the purpose of stimulating economic growth and revitalization in the commercial areas. The program offers 50% matching grants to commercial property owners for the following improvements: preparation of building surfaces, removal of veneer and debris, paint, awnings, signage, decorative lighting, doors, windows, and limited roof repair. Architectural services are provided to the owners by the City CDBG Program at no cost, and City staff prepare the bid specifications and advertisement for bids at no cost. On October 1, 1986, the City Commission adopted the procedures and requirements to be followed in the operation of this program. These procedures limited the geographic areas eligible to Collins Avenue, 71st Street, and Normandy Drive, and also required participation from 40% of any given block. In addition, the maximum grant amount permitted was $20,000, and hotels were not eligible for participation. The limitations the first year of the program were designed to accomplish two primary objectives. First, they were structured to provide the maximum visual impact upon the commercial district by requiring participation of a group of stores rather than individual storefronts and by limiting eligibility to the most heavily traveled commercial streets. Second, the limited funds available in the first year ($80,000) necessitated restrictions upon the grant monies allocated to each owner. II. CURRENT STATUS OF THE FACADE PROGRAM Construction contracts were executed on September 29, 1987 with Carlson Construction Company for the following three facade improvement projects: 1. 701-715 71st Street - 7 stores 2. 969 Normandy Drive - Normandy Supermarket and 3 storefronts 3. Concourse Building 1012-1024 71st Street - mixed use 2 story building with 6 stores. Construction is required to begin by October 14, 1987 and is estimated to be complete within 120 days. Design and construction costs for the 3 projects total $80,950. AGENDA PI ITEM DATE i - WI'Z III. PROPOSED MODIFICATIONS TO THE FACADE PROGRAM IN 1987/88 Approximately $125,000 is available for construction in the second year of the facade program. With a substantially larger allocation available during the program's second operating year, it is possible to eliminate some of the restrictions placed upon the program during its first year. As such, below is a list of recommended modifications to the North Shore Facade Improvement Program procedures and requirements: 1. Eligible geographic areas have been expanded to include all commercially zoned areas of North Shore, including Ocean Terrace. 2. Ocean Terrace hotels and apartment hotels will be eligible for participation. 3. The maximum grant per applicant has been increased from $20,000 to $30,000. 4. The maximum required application will be $100 for 1-2 contiguous storefronts and $250 for 3 or more contiguous storefronts. This fee is non-refundable. 5. Funding for roof repair and security systems has been increased from $2,500 to $3,500 (or 25% of the renovation cost, whichever is less). 6. The 40% participation requirement has been reduced. One-half of the second year funds can be initially allocated for individual store participation. If, after 6 months, the City has not received a sufficient number of applications for the remaining half of the funds from owners representing 40% of a block, individual store owners will be permitted to apply for any available funds. 7. Bidding will occur on only two occasions during the year, rather than on a project by project basis. This will hopefully reduce owners' costs and ensure that contractors will submit bids. All other requirements remain identical to those required in the first year of the program, including the types of eligible improvements; architectural services, and 50% required match from the owner. ADMINISTRATION RECOMMENDATION The Administration recommends that the City Commission adopt a resolution approving the amended North Shore Facade Improvements Program Procedures and Requirements. RWP:3K:hm N.S. II ORIGINAL RESOLUTION NO. 87-19047 (Adopting the amended North Shore Facade Improvements Program procedures and re- quirements)