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679-2022 RDA RESOLUTION NO. 679-2022 A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, ADOPTING THE FIRST AMENDMENT TO THE FISCAL YEAR 2023 OPERATING BUDGET FOR THE CITY CENTER REDEVELOPMENT AREA, THE ANCHOR SHOPS AND PARKING GARAGE, THE PENNSYLVANIA AVENUE SHOPS AND PARKING GARAGE, AND THE COLLINS PARK PARKING GARAGE. WHEREAS, the Miami Beach Redevelopment Agency City Center Redevelopment Area, the Anchor Shops and Parking Garage, the Pennsylvania Avenue Shops and Parking Garage, and the Collins Park Parking Garage operating budgets for Fiscal Year(FY) 2023 were adopted by the Chairperson and Members of the Miami Beach Redevelopment Agency (the "RDA" or"City Center RDA") on September 28, 2022, through Resolution No. 675-2022; and WHEREAS, based on the preliminary FY 2022 year-end analysis for the RDA operating budget, it is recommended that $68,000 be set aside for encumbrances from FY 2022 for goods and/or services which had been procured, but not received and expended at year end, as well as $288,000 in projects and equipment that were budgeted in FY 2022 that have not yet been expended or encumbered, that the Administration is recommending be carried forward and spent in the respective FY 2023 operating budgets; and WHEREAS, the preliminary year-end analysis for the FY 2022 Pennsylvania Avenue Shops operating budget reflects that there are projects and equipment estimated at $31,000 budgeted in FY 2022 that were not completed and/or received in FY 2022 that the Administration is recommending be carried forward into the FY 2023 Pennsylvania Avenue Shops operating budget. NOW, THEREFORE, BE IT DULY RESOLVED BY THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, that following a duly noticed public hearing on November 30, 2022, the Chairperson and Members of the Miami Beach Redevelopment Agency adopt the First Amendment to the City Center Redevelopment Area, the Anchor Shops and Parking Garage, the Pennsylvania Avenue Shops and Parking Garage, and Collins Park Parking Garage operating budgets for FY 2023 as set forth in this Resolution and in the attached Exhibit"A." PASSED and ADOPTED this .3( day of I'OMP/6e/ , 2022. ATTEST: '--------V DEC 0 5 2022 Dan Gelber, Chairperson Rafae iGranado, Secretary _g.: APPROVED AS TO € �� '` ': FORM & LANGUAGE �.I ou oRaTEo ='',„ :,. 4, ...14-'1 !ILA. .13— &FOR EXECUTION „',„C I--1 2 e) ---- g..... ti- City Attorney Dote Exhibit "A" Miami Beach Redevelopment Agency City Center Redevelopment Area Operating Budget Carryforward Carryforward FY 2023 FY 2023 Adopted Budget Encumbrances Appropriations from Amended Budget from FY 2022 FY 2022 Revenues and Other Sources of Income Tax Increment-City $ 31,660,000 $ 31,660,000 Proj Adjustment to City Increment $ (1,487,000) $ (1,487,000) Tax Increment-County $ 25,133,000 $ 25,133,000 Proj Adjustment to County Increment $ (1,212,000) $ (1,212,000) Interest Income $ 102,000 $ 102,000 Fund Balance/Retained Earnings $ 13,291,000 68,000 288,000 $ 13,647,000 TOTAL REVENUES $ 67,487,000 $ 68,000 $ 288,000 $ 67,843,000 Admin/Operating Expenditures Management Fee $ 606,000 $ 606,000 Audit fees $ 22,000 $ 22,000 Internal Services $ 258,000 $ 258,000 Total Admin/Operating Expenditures $ 886,000 $ 0 $ 0 $ 886,000 Project Expenditures Community Policing: City Center RDA Police $ 4,880,000 288,000 $ 5,168,000 City Center RDA Code Compliance $ 200,500 $ 200,500 Capital Projects Maintenance: City Center RDA Property Mgmt $ 1,930,000 57,000 $ 1,987,000 City Center RDA Sanitation $ 4,364,500 $ 4,364,500 City Center RDA Greenspace $ 922,000 $ 922,000 City Center RDA Parks Maintenance $ 507,000 11,000 $ 518,000 Total Project Expenditures $ i 12,804,000 $ 68,000 $ 288,000 $ 13,160,000 Reserves,Debt Service and Other Obligations Debt Service Cost $ 21,732,000 $ 21,732,000 Reserve for County Admin Fee $ 359,000 $ 359,000 Reserve for CMB Contribution $ 453,000 $ 453,000 Reserve for County Reimbursement: Transfer to County Reimbursement $ 4,443,000 $ 4,443,000 Transfer to County Beach Renourishment Fund $ 1,500,000 $ 1,500,000 Reserve for City Reimbursement: Transfer to General Fund $ 0 $ 0 Transfer to Beach Renourishment Fund $ 1,500,000 $ 1,500,000 Transfer to Fleet Management Fund $ 5,848,000 $ 5,848,000 Transfer to Convention Center $ 4,000,000 $ 4,000,000 Set-aside for Debt Payoff $ 13,962,000 $ 13,962,000 Total Reserves,Debt Service&Other Obligations $ 53,797,000 $ 0 $ 0 $ 53,797,000 TOTAL EXPENDITURES AND OBLIGATIONS $ 67,487,000 $ 68,000 $ 288,000 $ 67,843,000 SURPLUS/(GAP) $ 0 $ 0 $ 0 $ 0 Exhibit "A" Anchor Shops and Anchor Garage Operating Budget Carryforward Carryforward FY FY 2023 Anchor Parking Garage Adopted 82udget Encumbrances Appropriations from 3 Amended Budget from FY 2022 FY 2022 Revenues: Valet Parking $ 362,000 $ 362,000 Monthly Permits $ 566,000 $ 566,000 Attended Parking $ 1,927,000 $ 1,927,000 Interest Income $ 19,000 $ 19,000 Misc./Other $ 1,000 $ 1,000 TOTAL REVENUES $ 2,875,000 $ 0 $ 0 $ 2,875,000 Operating Expenditures: Operating Expenditures $ 2,316,000 $ 2,316,000 Transfer Out to Penn Garage $ 123,000 $ 123,000 Internal Services $ 412,000 $ 412,000 Capital $ 24,000 $ 24,000 Contingency/Reserve $ 0 $ 0 TOTAL EXPENDITURES $ 2,875,000 $ 0 $ 0 $ 2,875,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 FY 2023 Carryforward Carryforward FY 2023 Anchor Shops Encumbrances Appropriations from Adopted Budget Amended Budget from FY 2022 FY 2022 Revenues: Retail Leasing $ 1,077,000 $ 1,077,000 Capital&Maintenance $ 157,000 $ 157,000 Interest Earned $ 19,000 $ 19,000 Misc./Other $ 0 $ 0 TOTAL REVENUES $ 1,253,000 $ 0 $ 0 $ 1,253,000 Operating Expenditures: Operating Expenditures $ 221,000 $ 221,000 Transfer Out to Penn Shops $ 314,000 $ 314,000 Internal Services $ 38,000 $ 38,000 Capital $ 0 $ 0 Contingency/Reserve $ 680,000 $ 680,000 TOTAL EXPENDITURES $ 1,253,000 $ 0 $ 0 $ 1,253,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 COMBINED REVENUES-EXPENDITURES $ 0 $ 0 $ 0 $ 0 Exhibit "A" Pennsylvania Avenue Shops and Pennsylvania Avenue Garage Operating Budget FY 2023 Carryforward Carryforward FY 2023 Pennsylvania Avenue Parking Garage Adopted Budget Encumbrances Appropriations Amended Budget from FY 2022 from FY 2022 Revenues: Transient '$ 483,000 $ 483,000 Monthly $ 336,000 $ 336,000 Interest Income $ 4,000 $ 4,000 Transfer In from RDA(Anchor Garage) $ 123,000 $ 123,000 Misc./Other $ 0 $ 0 TOTAL REVENUES $ 946,000 $ 0 $ 0 $ 946,000 Operating Expenses: Operating Expenditures $ 789,000 $ 789,000 Internal Services $ 133,000 $ 133,000 Capital $ 24,000 $ 24,000 TOTAL EXPENDITURES $ 946,000 $ 0 $ 0 $ 946,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 FY 2023 Carryforward Carryforward FY 2023 Pennsylvania Avenue Shops Adopted Budget Encumbrances Appropriations Amended Budget from FY 2022 from FY 2022 Revenues: Interest Earned $ 0 $ 0 Transfers In from RDA(Anchor Shops) $ 314,000 $ 314,000 Misc./Other $ 0 $ 31,000 $ 31,000 TOTAL REVENUES $ 314,000 $ 0 $ 31,000 $ 345,000 Operating Expenses: . Operating Expenditures $ 312,000 31,000 $ 343,000 Internal Services $ 2,000 $ 2,000 TOTAL EXPENDITURES $ 314,000 $ 0 $ 31,000 $ 345,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 COMBINED REVENUES-EXPENDITURES $ 0 $ 0 $ 0 $ 0 Exhibit"A" Collins Park Garage Operating Budget FY 2023 Carryforward Carryforward FY 2023 Collins Park Parking Garage Adopted Budget Encumbrances Appropriations from Amended Budget from FY 2022 FY 2022 Revenues: Transient $ 1,063,000 $ 1,063,000 Monthly $ 240,000 $ 240,000 Interest Income $ 2,000 $ 2,000 Misc./Other $ 0 $ 0 TOTAL REVENUES $ 1,305,000 $ 0 $ 0 $ 1,305,000 Operating Expenses: Operating Expenditures $ 1,302,000 $ 1,302,000 Internal Services $ 3,000 $ 3,000 TOTAL EXPENDITURES $ 1,305,000 $ 0 $ 0 $ 1,305,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 Redevelopment Agency - RDA 2. MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Alina T. Hudak, Executive Director DATE: November 30, 2022 SUBJECT:A RESOLUTION OF THE CHAIRPERSON AND MEMBERS OF THE MIAMI BEACH REDEVELOPMENT AGENCY, ADOPTING THE FIRST AMENDMENT TO THE CITY CENTER REDEVELOPMENT AREA, THE ANCHOR SHOPS AND PARKING GARAGE, THE PENNSYLVANIA AVENUE SHOPS AND PARKING GARAGE, AND THE COLLINS PARK PARKING GARAGE FOR FISCAL YEAR 2023. RECOMMENDATION Adopt the Resolution. BACKGROUND/HISTORY The Miami Beach Redevelopment Agency City Center Redevelopment Area, the Anchor Shops and Parking Garage, the Pennsylvania Avenue Shops and Parking Garage, and the Collins Park Parking Garage operating budgets for Fiscal Year 2023 were adopted by the Chairperson and Members of the Miami Beach Redevelopment Agency (the "RDA" or "City Center RDA") on September 28, 2022, through Resolution No. 675-2022. ANALYSIS RDA City Center Redevelopment Area revenue sources for FY 2023 include City and County Tax Increment funds, estimated interest income, and use of prior year excess RDA Trust Fund revenues in accordance with the Fourth Amendment to the Interlocal Agreement between the City and Miami- Dade County. RDA City Center Redevelopment Area expenditures for FY 2023 include community policing initiatives to provide enhanced levels of staffing and services throughout the area and capital projects maintenance for repairs and maintenance of existing capital assets in the City Center Redevelopment Area. In addition, the FY 2023 budget includes administrative expenditures that are comprised of a management fee allocated to the General Fund to pay for indirect staff support provided to the RDA, annual audit fees, and chargebacks for internal service department services provided. Page 39 of 53 The RDA City Center Redevelopment Area budget also includes the annual debt service related to the issuance of the 2015 Convention Center bonds. On December 15, 2015, the RDA 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, which financed certain costs associated with the renovation and expansion of the Miami Beach Convention Center. Other line-item expenditures budgeted in FY 2023 include items that, pursuant to the existing Bond Covenants, may only be expended once the annual debt service obligations have been met. These include a transfer to the Miami Beach Convention Center Fund, Miami-Dade County's administrative fees, which are equivalent to 1.5% of its respective tax increment financing ("TIF") payment, and the corresponding contribution to the City's General Fund, which is equivalent to 1.5% of the City's share of its TIF payment. PROPOSED AMENDMENTS TO THE RDA CITY CENTER OPERATING BUDGET Carryforwards from FY 2022 to FY 2023 The preliminary year-end analysis for FY 2022 reflects that the City Center Redevelopment Area revenues totaled approximately$54.2 million while total expenditures were $52.4 million resulting in a projected surplus of approximately$1.8 million. The Administration is recommending that $68,000 be carried forward into FY 2023 to fund goods and/or services that were procured in FY 2022, but not received and/or rendered due to timing issues between fiscal years. Similarly, the Administration is recommending that $288,000 be carried forward into FY 2023 for projects and equipment that were originally budgeted in FY 2022, but not completed and/or received in FY 2022 due to supply chain issues. The remaining projected FY 2022 surplus would be set aside to retire the outstanding debt issued in 2015 for the Convention Center renovation and expansion project as required pursuant to the Third Amendment to the Interlocal Agreement between the City and Miami-Dade County. PROPOSED AMENDMENTS TO THE PENNSYLVANIA AVENUE SHOPS AND PARKING GARAGE OPERATING BUDGETS The revenues and expenditures associated with the operations of the City Center Redevelopment Area Garages and Shops are presented as separate schedules in order to eliminate any perception that the proceeds from these facilities'operations are comingled with TIF and other City Center Trust Fund revenues. Carryforwards from FY 2022 to FY 2023 The preliminary year-end analysis for the FY 2022 Pennsylvania Avenue Shops operating budget reflects that there are projects and equipment estimated at $31,000 that were budgeted in FY 2022 that were not completed and/or received in FY 2022 that the Administration is recommending be carried forward into the FY 2023 Pennsylvania Avenue Shops operating budget. SUPPORTING SURVEY DATA N/A FINANCIAL INFORMATION N/A CONCLUSION Page 40 of 53 The Administration recommends that the Chairperson and Members of the Miami Beach Redevelopment Agency adopt the First Amendment to the RDA City Center Redevelopment Area, the Anchor Shops and Parking Garage, the Pennsylvania Avenue Shops and Parking Garage, and Collins Park Parking Garage operating budgets for FY 2023 as described herein and further detailed in the attached Exhibit"A." Applicable Area Citywide Is this a "Residents Right Does this item utilize G.O. to Know" item, pursuant to Bond Funds? City Code Section 2-14? Yes No Strategic Connection Organizational Innovation- Ensure strong fiscal stewardship. Legislative Tracking Economic Development ATTACHMENTS: Description o Exhibit A- Budgets Page 41 of 53 Exhibit "A" Miami Beach Redevelopment Agency City Center Redevelopment Area Operating Budget FY 2023 Carryforward Carryforward FY 2023 Adopted Budget Encumbrances Appropriations from Amended Budget from FY 2022 FY 2022 Revenues and Other Sources of Income Tax Increment-City $ 31,660,000 $ 31,660,000 Proj Adjustment to City Increment $ (1,487,000) $ (1,487,000) Tax Increment-County $ 25,133,000 $ 25,133,000 Proj Adjustment to County Increment $ (1,212,000) $ (1,212,000) Interest Income $ 102,000 $ 102,000 Fund Balance/Retained Earnings $ 13,291,000 68,000 288,000 $ 13,647,000 TOTAL REVENUES $ 67,487,000 $ 68,000 $ 288,000 $ 67,843,000 Admin/Operating Expenditures Management Fee $ 606,000 $ 606,000 Audit fees $ 22,000 $ 22,000 Internal Services $ 258,000 $ 258,000 Total Admin/Operating Expenditures $ 886,000 $ 0 $ 0 $ 886,000 Project Expenditures Community Policing: City Center RDA Police $ 4,880,000 288,000 $ 5,168,000 City Center RDA Code Compliance $ 200,500 $ 200,500 Capital Projects Maintenance: City Center RDA Property Mgmt $ 1,930,000 57,000 $ 1,987,000 City Center RDA Sanitation $ 4,364,500 $ 4,364,500 City Center RDA Greenspace $ 922,000 $ 922,000 City Center RDA Parks Maintenance $ 507,000 11,000 $ 518,000 Total Project Expenditures $ 12,804,000 $ 68,000 $ 288,000 $ 13,160,000 Reserves,Debt Service and Other Obligations Debt Service Cost $ 21,732,000 $ 21,732,000 Reserve for County Admin Fee $ 359,000 $ 359,000 Reserve for CMB Contribution $ 453,000 $ 453,000 Reserve for County Reimbursement: Transfer to County Reimbursement $ 4,443,000 $ 4,443,000 Transfer to County Beach Renourishment Fund $ 1,500,000 $ 1,500,000 Reserve for City Reimbursement: Transfer to General Fund $ 0 $ 0 Transfer to Beach Renourishment Fund $ 1,500,000 $ 1,500,000 Transfer to Fleet Management Fund $ 5,848,000 $ 5,848,000 Transfer to Convention Center $ 4,000,000 $ 4,000,000 Set-aside for Debt Payoff _$ 13,962,000 $ 13,962,000 Total Reserves,Debt Service&Other Obligations $ 53,797,000 $ 0 $ 0 $ 53,797,000 TOTAL EXPENDITURES AND OBLIGATIONS $ 67,487,000 $ 68,000 $ 288,000 $ 67,843,000 SURPLUS/(GAP) $ 0 $ 0 $ 0 $ 0 Page 42 of 53 Exhibit "A" Anchor Shops and Anchor Garage Operating Budget Carryforward Carryforward FY 2023 FY 2023 Anchor Parking Garage Adopted Budget Encumbrances Appropriations from Amended Budget from FY 2022 FY 2022 Revenues: Valet Parking $ 362,000 $ 362,000 Monthly Permits $ 566,000 $ 566,000 Attended Parking $ 1,927,000 $ 1,927,000 Interest Income $ 19,000 $ 19,000 Misc./Other $ 1,000 $ 1,000 TOTAL REVENUES $ 2,875,000 $ 0 $ 0 $ 2,875,000 Operating Expenditures: Operating Expenditures $ 2,316,000 $ 2,316,000 Transfer Out to Penn Garage $ 123,000 $ 123,000 Internal Services $ 412,000 $ 412,000 Capital $ 24,000 $ 24,000 Contingency/Reserve $ 0 $ 0 TOTAL EXPENDITURES $ 2,875,000 $ 0 $ 0 $ 2,875,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 FY 2023 Carryforward Carryforward FY 2023 Anchor Shops Adopted Budget Encumbrances Appropriations from Amended Budget from FY 2022 FY 2022 Revenues: Retail Leasing $ 1,077,000 $ 1,077,000 Capital&Maintenance $ 157,000 $ 157,000 Interest Earned $ 19,000 $ 19,000 Misc./Other $ 0 $ 0 TOTAL REVENUES $ 1,253,000 $ 0 $ 0 $ 1,253,000 Operating Expenditures: Operating Expenditures $ 221,000 $ 221,000 Transfer Out to Penn Shops $ 314,000 $ 314,000 Internal Services $ 38,000 $ 38,000 Capital $ 0 $ 0 Contingency/Reserve $ 680,000 $ 680,000 TOTAL EXPENDITURES $ 1,253,000 $ 0 $ 0 $ 1,253,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 COMBINED REVENUES-EXPENDITURES $ 0 $ 0 $ 0 $ 0 Page 43 of 53 Exhibit "A" Pennsylvania Avenue Shops and Pennsylvania Avenue Garage Operating Budget FY 2023 Carryforward Carryforward FY 2023 Pennsylvania Avenue Parking Garage Adopted Budget Encumbrances Appropriations Amended Budget from FY 2022 from FY 2022 Revenues: Transient $ 483,000 $ 483,000 Monthly $ 336,000 $ 336,000 Interest Income $ 4,000 $ 4,000 Transfer In from RDA(Anchor Garage) $ 123,000 $ 123,000 Misc./Other $ 0 $ 0 TOTAL REVENUES $ 946,000 $ 0 $ 0 $ 946,000 Operating Expenses: Operating Expenditures $ 789,000 $ 789,000 Internal Services $ 133,000 $ 133,000 Capital $ 24,000 $ 24,000 TOTAL EXPENDITURES $ 946,000 $ 0 $ 0 $ 946,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 Carryforward Carryforward FY 2023 FY 2023 Pennsylvania Avenue Shops Adopted Budget Encumbrances Appropriations Amended Budget from FY 2022 from FY 2022 Revenues: Interest Earned $ 0 $ 0 Transfers In from RDA(Anchor Shops) $ 314,000 $ 314,000 Misc./Other $ 0 $ 31,000 $ 31,000 TOTAL REVENUES $ 314,000 $ 0 $ 31,000 $ 345,000 Operating Expenses: Operating Expenditures $ 312,000 31,000 $ 343,000 Internal Services $ 2,000 $ 2,000 TOTAL EXPENDITURES $ 314,000 $ 0 $ 31,000 $ 345,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 COMBINED REVENUES-EXPENDITURES $ 0 $ 0 $ 0 $ 0 Page 44 of 53 Exhibit "A" Collins Park Garage Operating Budget FY 2023 Carryforward Carryforward FY 2023 Collins Park Parking Garage Adopted Budget Encumbrances Appropriations from Amended Budget from FY 2022 FY 2022 Revenues: Transient $ 1,063,000 $ 1,063,000 Monthly $ 240,000 $ 240,000 Interest Income $ 2,000 $ 2,000 Misc./Other $ 0 $ 0 TOTAL REVENUES $ 1,305,000 $ 0 $ 0 $ 1,305,000 Operating Expenses: Operating Expenditures $ 1,302,000 $ 1,302,000 Internal Services $ 3,000 $ 3,000 TOTAL EXPENDITURES $ 1,305,000 $ 0 $ 0 $ 1,305,000 Revenues Less Expenditures $ 0 $ 0 $ 0 $ 0 Page 45 of 53