LTC 236-2024 60-Day UpdateMIAMI BEACH
OFFICE OF THE CITY MANAGER
LTC# LETTER TO COMMISSION
TO:
FROM:
DATE:
SUBJECT:
Honorable Mayor Steven Meiner and Members of the City Commission
Rickelle Williams, Interim City Manager 7f1{L)
June 10, 2024
60-Day Update
The purpose of this Letter to Commission (L TC) is to provide a macro-level overview of the
Administration's major activities during my first 60 days as your Interim City Manager, and offer a
look ahead over the next few months. Since the effective date of my appointment, on April 4, 2024,
the Administration has been intentionally focused on seamlessly doing the business of the City
during this transitional period. We are not only attentive to the day-to-day organizational
management and operational functions, but also the more global, strategic, and long-term goals
and priorities impacting our City.
The information below reflects only a sampling of the efforts of our dedicated workforce and also
highlights deliberate efforts to manage our City in a prudent and responsible manner. Overall, I am
very proud of our City team and our accomplishments as we continue to operate a complex
municipal government during a time of transition. I am grateful to the Mayor and City Commission
for the substantial support and guidance. I am also appreciative of City Attorney Ricardo Dopico
and City Clerk Rafael Granado for their support and collaboration. In addition, the tremendous
support from staff and the community has been inspiring and made each day more rewarding.
Memorial Day Weekend
The Administration is encouraged by the success of Memorial Day Weekend 2024, one of our
annual high-impact periods. With significant planning and preparation leading up to the event, the
Administration was able to execute with precision. The Hyundai Air & Sea Show continues to
enhance one of our brand verticals as a family-friendly destination. The recent activation featured
multifaceted programming including a beachfront show, display village in Lummus Park, a patriotic
concert and 3D mapping projection along Ocean Drive.
The Emergency Management Division developed a coordinated Event Action Plan with assistance
from various departments. Enhanced services and staffing plans in Code Compliance, Police,
Fire/Ocean Rescue, Facilities and Fleet Management, Homeless Outreach Services, Parking,
Parks and Recreation/Park Rangers, Public Works/Sanitation, and Transportation and Mobility
were effective in implementing a traffic mitigation plan, license plate readers, DUI suppression,
parking access management, courtesy shuttles, fire prevention night inspections, and overall
enforcement, among other operational initiatives. The public safety component was bolstered by
the support of 19 local, state and federal law enforcement partners and the return of Miami-Dade
County's Goodwill Ambassadors, following a hiatus during Spring Break 2024, highlighting the
City's efforts to cultivate and maintain collaborative relationships. Other Departments such as
Marketing and Communications/Neighborhood Affairs, Economic Development and Tourism and
Culture focused on messaging, outreach and special event coordination.
1
236-2024
The Administration is preparing a contract amendment with Air and Sea Show event producers, to
be considered by the Mayor and City Commission on June 26, 2024. The amendment would
provide for a three-year extension of the show through 2027 to further solidify the partnership for
the years ahead.
Fiscal Year 2025 Budget Process
The FY 2025 budget process is now in full swing with the completion of the May 20, 2024 Annual
Budget retreat. Per L TC # 219-2024, the Administration notified the Mayor and Commission that
the June 1 preliminary property values reflect an overall increase in property values of
approximately $4.5 billion, or 8.8%. This includes a $4.3 billion, or 8.3% increase in existing
property values, as well as a $255 million increase in new construction values. Applying the overall
increase in values to the City's property tax revenues would result in an estimated increase of
approximately $21.7 million in General Fund property tax revenues comprised of $21.1 million for
operating purposes, $0.4 million in Pay As You Go Capital funding, and $0.2 million in Capital
Renewal & Replacement (CRR) funding. It is important to note that there are upcoming full
Commission Finance and Economic Resiliency Committee (FERC) Budget Briefings scheduled for
June 21, July 12, and July 19 and Commission Budget Hearings scheduled for September 16 and
September 25.
Spring Break 2025
With the viral success of the 2024 "Miami Beach is Breaking Up with Spring Break" campaign, this
summer, the Administration will begin working with the Greater Miami Convention and Visitors
Bureau (GMCVB) and their agency of record VML on an extension of the messaging for Spring
Break 2025. We plan to be in market with all assets by early January 2025 - when most spring
breakers begin to book their travel plans.
To leverage the momentum from the breakup campaign, the City plans to launch "Find Your
Match," this July, a new digital campaign that encourages travelers seeking cultural, health and
wellness and culinary experiences to visit Miami Beach. In addition, the City's "Find Your Play"
campaign will also run with paid promotions this summer with the intent of driving hotel bookings
as well as keeping Miami Beach top of mind among travelers.
The Administration is also mindful of recent Commission Committee discussions related to Spring
Break 2025 including, but not limited to, opportunities for collaborating with stakeholders as it
relates to messaging, extending the beach closure time from 6 p.m. to 7 p.m., enhanced public
safety details beginning on Thursdays during the busiest high-impact weekends, parking plans for
the City's cultural institutions, and enhancement of the Goodwill Ambassador program.
Fiscal Responsibility
Water and Sewer New Money Proceeds
The City has moved forward on a few debt related matters recently. At the May 15, 2024 City
Commission meeting, the Administration was authorized to execute a Declaration of Official Intent
in the amount of $85 million in new water and sewer money proceeds, including issuance costs.
A prior Declaration of Official Intent is a legal mechanism that allows an issuer to use its own funds
initially for project expenses and later reimburse itself with the proceeds from the sale of tax-
exempt revenue bonds. The water and sewer program will fund priority repair or replacement
projects as well as the water and sewer portion of existing and future neighborhood projects, as
identified by the Public Works Department.
2
2018 G.O. Bond Tranche 2
In addition, at the May 24, 2024 FERC meeting, the Committee motioned with a favorable
recommendation to approve the authorization of Declaration of Official Intent to issue for the
second tranche of the General Obligation (G.O.) Bond Program Neighborhoods and Infrastructure
category. This would cover continued funding for sidewalks, street pavement, traffic calming,
seawalls, and trees. This item is scheduled to be heard at the June 26, 2024 Commission meeting.
Miami Beach Redevelopment Agency (RDA) Refunding
The RDA has been working towards a refunding of its outstanding debt. At the April 19, 2024
FERC, RDA staff presented its request to endorse the refunding which was motioned favorably.
The RDA may be able to achieve savings through a tax-exempt refunding. The net present value
savings is estimated at $27.1 million, which would be 10.3% of refunded bonds. The total savings
over 20 years would be approximately $37.6 million. RDA staff are continuing to work with Miami-
Dade County to approve the refunding and an amendment to the lnterlocal Cooperation
Agreement between the RDA, City of Miami Beach, and Miami-Dade County. The selection of the
underwriters for the refunding and the amendment to the lnterlocal Agreement are scheduled to
be heard at the June 26 RDA meeting.
Collective Bargaining
Four (4) of the City's labor agreements will expire on September 30, 2024. As such, collective
bargaining has begun with two (2) of the five (5) unions, International Association of Fire Fighters
(IAFF) and Fraternal Order of Police (FOP). As of June 4, 2024, the Administration has concluded
two (2) sessions with IAFF, with the next session scheduled for mid-June. Three (3) sessions have
concluded with FOP with the next session also scheduled for mid-June. Bargaining session dates
will be provided to Government Supervisors Association of Florida (GSAF) in the coming
weeks. As discussed further below, once a compensation and classification study is complete, we
will also propose bargaining session dates to Communications Workers of America (CWA). Since
the American Federation of State, County and Municipal Employees (AFSCME) bargaining
agreement does not expire until April 2025, we will begin bargaining with this group last.
In the 2021-2024 CWA bargaining agreement, the City agreed to a reopener of the contract upon
the completion of a compensation and classification study. The Administration, via the Human
Resources Department, engaged Evergreen Solutions, LLC, to conduct the classification and
compensation study for CWA bargaining members. The study aims to provide professional and
objective recommendations about the City's classification structure and benchmark the current
compensation structure against internal and external metrics. Select CWA employees recently
attended virtual focus group meetings conducted by the consultant and are now completing a job
assessment tool (JAT) designed to gather primary job tasks performed within each title. The next
phase will consist of a salary and benefits survey of local and regional employment markets to
determine the competitiveness of the City of Miami Beach salary plan for CWA classifications. It is
anticipated that the compensation and classification project will be completed by mid-July.
Personnel Appointments
The Administration is actively recruiting for various key positions within the organization. Thanks
to the competency, proficiency and enthusiasm of our professional staff, effective April 15, 2024,
many interim personnel appointments were made within various departments. The City has
engaged an executive recruiter to assist with filling the Building Director, Facilities and Fleet
Management Director, and Economic Development Director roles. These recruitments were all
advertised and closed and are now in some phase of the review and evaluation process with
several promising candidates being considered.
3
Following the notice of retirement/resignation of Fire Chief Virgil Fernandez, on June 26, 2024, at
my recommendation, Deputy Fire Chief Digna Abello will be considered for appointment, by the
Mayor and City Commission, as the City's next Fire Chief and the first permanent director-level
appointment during this period.
Homeless Efforts
As part of the City's public safety and quality of life strategy, the Office of Housing & Community
Services Homeless Outreach Services Division, in collaboration with the Miami Beach Police
Department's Homeless Resource Unit ("HRU"), and other City departments, have dedicated
resources to addressing homelessness citywide including through a unified outreach initiative.
Over the last 60 days, the HRU has made significant progress regarding the Marchman Act
program. The HRU has utilized all the allotted substance abuse beds to begin ninety (90)-day
treatment plans for those entering the program. Additionally, the Department has implemented
strategies to encourage a greater effort to enforce City ordinances related to curbing
homelessness. Working alongside the City Attorney's Office to further train all sworn personnel,
this initiative also allocated two (2) additional dedicated officers per shift to address the unhoused
issues across the entire city. Of the 78 total arrests related to refusal of placements under Sec. 70-
45 (Camping Ordinance), 46% occurred in May 2024. The HRU continues to partner with the
Homeless Outreach Services Division on additional outreach details multiple times weekly,
including late-night and early-morning missions. These missions have proven very effective, as
the Police Department has been better able to engage clients during perceived vulnerable
moments of their day or night. The Homeless Outreach Services Division actively promotes
resources available to homeless individuals and has yielded a significant number of street outreach
and walk-in center contacts, shelter placements and family reunifications.
Hurricane Preparedness
In preparation for what experts have cited as a very active hurricane season, the City has been
diligently planning. In addition to assisting with updates of departmental emergency operations
plans, the Fire Department's Division of Emergency Management (DEM) sends weekly Atlantic
Tropical Weather Outlooks to City Staff. Police and Fire representatives participated in the Miami-
Dade County Annual Hurricane Exercise at the County Emergency Operations Center (EOC).
Community Emergency Response Team (CERT) courses continue, and 27 City employees were
newly trained this year, bringing the total number of City employees trained in CERT to
approximately 160. Many CERT members embarked on a site visit to the National Weather Service
and National Hurricane Center and learned about storm prediction and how to increase storm
preparedness with weather awareness.
DEM outreach efforts included collaboration with the Office of Housing and Community Services
to visit senior buildings and provide preparedness presentations. Staff met with the Consul General
Miami, and the First Counsel of the French Embassy, to share safety information for visiting French
nationals and expats in our City. DEM and Police officials met with the planners of Adobe MAX-
a 10,000 attendee conference coming to the Miami Beach Convention Center in October 2024-
to assist them with emergency planning and storm readiness. At the end of May, the City, in
conjunction with the GMCVB and the Greater Miami and the Beaches Hotel Association (GMBHA),
presented the annual Hotel Hurricane Preparedness Seminar, which was attended virtually by
more than 230 local hoteliers. DEM is developing several tabletop exercises that will take place
this summer, addressing long-term recovery, as well as training City staff for EOC requirements.
Customer Service
Development Permitting Process and User Experience
As noted in L TC #200-2024, the Administration has initiated Service Excellence initiatives involving
4
the development/permitting departments (Building, Environmental & Sustainability, Fire, Parking,
Planning, and Public Works). To enhance our customer service strategy, we have partnered with
Moran Consulting, an experienced organizational development firm, to work with us to improve
customer service training for staff and administrative leadership as well as facilitate the
streamlining of our processes. One of the first steps in this new initiative will be to obtain additional
perspective from our elected officials, public stakeholders, leadership team and staff. The Service
Excellence project team will work closely with the newly formed "Ad Hoc Permitting Process
Improvement Advisory Committee" established via Resolution No. 2024-32936.
Business Tax Receipt Compliance Task Force
To promote a more business friendly environment and regulatory compliance, in May 2024, the
Administration implemented a new Business Tax Receipt {BTR) Task Force/Working Group. The
purpose of the Task Force is to encourage new and existing businesses to obtain a BTR, as
required by the City, prior to enforcement action which could include closure of the business. As
part of the effort, a working group comprised of staff from Customer Service, Economic
Development, and Neighborhood Affairs do a courtesy visit to businesses which have failed to
apply for or renew their annual BTR. Staff engages with the business, provides information and
instructional materials, and advises that the Code Compliance Department will be following up to
ensure compliance via enforcement.
Major Solicitations
Waste Hauler Request for Proposal
The City Commission approved moving forward with engaging a consultant to assist in developing
the Request for Proposals (RFP) documents for multi-family residential and commercial waste
collection and disposal services. The Public Works Department is working with the Procurement
Department and the City Attorney's Office to advertise a consulting solicitation for solid waste
services as specified in the motion recommended by FERC and approved by the City Commission.
This entails a comprehensive review of the Sanitation Fund, preparing the RFP for multi-family (9
units and up) and commercial solid waste accounts, and to analyze a potential hybrid model and
look at coastal municipalities outside of the state of Florida. It is anticipated that the solicitation will
be advertised by the end of June 2024. Additionally, the Administration, with the support of a
sponsor, intends to bring forward an item to FERC and the City Commission to extend the
residential exclusive solid waste collection agreement while we work on a long-term collection and
disposal agreement.
Transit Circulator (Trolley)
The current Miami Beach Trolley service has been successful in providing free mobility services
throughout the City to tens of millions of residents, visitors, and workforce employees over the past
10 years, however, it has reached the end of its service life. To enhance mobility in the City, the
Administration issued an Invitation To Negotiate ("ITN") for Citywide Municipal Transit Circulator
Services. Proposals pursuant to the ITN were received on May 17, 2024 and an evaluation
committee met on May 24, 2024 to review and rank the proposals. A recommendation to negotiate
with the selected vendor(s) will be brought forward to the June 26, 2024 City Commission meeting
for consideration. The timeframe for commencement of the new citywide municipal transit
circulator service is expected in early 2025 contingent upon the type of vehicle to be provided by
the selected operator.
Pump Station No. 28
Located at 28 Street between Sheridan Avenue and Pine Tree Drive, the Pump Station No. 28 (PS
28) project has all permits in place and is ready to go out to bid. This project is one of our most
critical infrastructure projects, as PS 28 receives all sanitary flows from Mid and North Beach as
well as three (3) nearby cities: Surfside, Bal Harbour and Bay Harbor Islands. Based on the City
Commission's May 15, 2024 approval of the issuance (Declaration of Official Intent) of $85 million
5
in bonds, the project is now fully funded and is expected to be considered at the July 24, 2024 City
Commission as an Invitation to Bid (1TB}. This project also has a $5 million Florida Department of
Economic Opportunity (DEO) grant for hardening of the station. Construction is estimated to take
9 to 12 months and will be completed in phases.
Infrastructure and other Capital Projects
41 Street Water Main Replacement
This project consists of replacing an existing 16-inch water main attached to the 41 st Street Bridge
over the Indian Creek Canal with a new 20-inch water main that is being installed via horizontal
directional drill method under the Indian Creek Canal. The contractor has completed Phases 1
and 2 and is currently working on Phase 3, the final phase. The contractor, Quality Enterprises
(QE) has been able to make significant progress and is currently 2 to 3 weeks ahead of schedule.
We expect that at the current pace, QE should complete the project before Labor Day (September
2, 2024 ). The Florida Department of Transportation ( FOOT) will start the 41° Bridge Rehabilitation
project and Indian Creek Drive dual right turn lane project sometime in early to mid-2025.
The Lincoln Road Improvement Project
Phase 2 of the Lincoln Road Improvement Project was advertised for the selection of a contractor
and a sole bid was received which far exceeded the construction budget. This phase of the project
consists of improvements to Meridian Avenue between Lincoln Road and 17 Street, and Drexel
Avenue between 16 Street and Lincoln Lane North. Meridian Avenue planned improvements
include infrastructure upgrades and new paving, lighting and landscaping. The Drexel Avenue
scope addresses streetscape improvements, including drainage, paving landscaping, lighting and
the pedestrianization of Drexel Avenue from Lincoln Lane South to Lincoln Lane North. After
careful analysis, the sole bid was rejected on May 20, 2024. The City has commenced industry
meetings, including with contractors who elected not to bid on the project, in order to determine
the cost-driving factors as well as any requirements which deterred contractors from submitting a
proposal. Once this research and analysis is complete, any required adjustments to increase
contractor participation will be made. It is anticipated that the project will be re-advertised in July
2024. Anticipated start of construction is scheduled for January 2025 with a duration of 18 months.
The Lincoln Road Improvement project, Phase 3, is currently in the design phase and includes
improvements along the Lincoln Road corridor from Lenox Avenue to Washington Avenue. The
project scope includes restoration/repair of fountains, restoration of the Lapidus follies, refurbishing
seating areas along the corridor, refinishing existing piano keys, restoration of aluminum grates at
existing trench drains, a directional and informational signage package, Lincoln Road gateway sign
at Washington Avenue and Alton Road and implementation of the concept for the Euclid Avenue
oval. The Phase 3 project was presented to the Historic Preservation Board (HPB) on February
13, 2024 and on May 14, 2024, the project obtained HPB approval. It is anticipated that the
contractor selection process will commence at the end of 2024. The anticipated start of
construction is scheduled for spring 2025 with a duration of 30 months.
G.O. Bond Projects
The 2018 G.O. Bond is in its fifth year. There are currently 45 out of the 57 projects in the Bond
that are being advanced in Tranche 1. Of these, 11 are completed and 32 others are in some form
of active status. Significant projects currently being advanced are Bayshore Park, Maurice Gibb
Park, Ocean Drive Corridor, 72° Street Community Complex, Fire Station No. 1, Marine Patrol
Facility in Sunset Harbor, Pedestrian Bridge on Fifth Street & the Baywalk, Tree planting along the
Beachwalk, the Log Cabin, Police Headquarters Renovation including the Real Time Intelligence
Center, and the Flamingo Park Softball Field and Master Plan.
6
Key Advances over the past 60 Days:
• The Flamingo Park Lodge groundbreaking ceremony occurred on May 2, 2024. Once
the $1 million project is completed, the 1,730-square-foot structure will be used for
community and recreational programs.
• The Infrastructure Category of the bonds has reached an 80% expenditure threshold,
therefore $19.8 million in funding from Tranche 2 will be requested to be issued on June
26, 2024 in order to continue street paving and sidewalk repair projects, seawalls, tree
planting and traffic calming projects.
The 2022 Arts & Culture G.O. Bond is in its first year. Currently, 20 out of the 21 projects in the
Bond are being advanced in Tranche 1. One ( 1) of these is complete and 19 others are in some
form of active status. Ten of these projects, or portions of projects, are being implemented by 3"°
parties through Grant Agreements. Significant projects currently being advanced are Collins Park
Artist Workforce Housing, Miami Beach Hispanic Community Center, Holocaust Memorial
Renovation, New World Symphony Renovation, Byron Carlyle Theater, the Bass Museum
Expansion & Renovation, the Miami City Ballet Renovation, the Colony Theater Renovation, the
Miami Beach Bandshell, and the Art Deco Welcome Center.
Key Advances over the past 60 Days:
• The Collins Park Rotunda groundbreaking ceremony took place on April 16, 2024
marking the start of construction on a $3.15 million performing arts space. The existing
1,960-square-foot rotunda is receiving extensive renovations, including an 895-square-foot
addition that will house an entrance lobby and additional improvements.
• All permits for the Aquatic Sculpture Park, i.e., The Reefline project, have been obtained
and an lnterlocal Agreement between the City of Miami Beach and Miami-Dade County for
the creation of the project has been fully executed. A Grant Agreement between the City
and the Reefline project team was fully executed on June 3, 2024. Phase 1 of the project,
consisting of an underwater installation of concrete "cars" depicting a traffic jam by artist
Leandro Erlich, is scheduled to be deployed prior to Art Basel Miami Beach 2024.
Public-Private Partnerships
Barclay
On November 16, 2022, the City Commission authorized issuance of RFP 2023-118-KB (the
"RFP"), for redevelopment of the city-owned Barclay property located at 1940 Park Avenue. The
solicitation resulted in a single proposal from 1940 Barclay Partners LLC ("Developer"). On March
24, 2024, the Administration was directed, via Resolution No. 2024-32977, to negotiate with the
Developer, based on its updated proposal to retain the existing 3-story structure and construct a
new tower reserved for income-eligible workforce and affordable housing tenants, and with a $6
million initial rental payment to the City. To date, the Administration has met with the Developer,
on a biweekly basis, to discuss terms and conditions that are in the best interest of the City. The
Administration continues to work diligently to negotiate a project for recommendation to the City
Commission. The Administration plans to bring forward a recommended term sheet to the Mayor
and Commission once negotiations are complete.
Byron Carlyle
At the June 26, 2024, City Commission meeting, the Administration will discuss the future
redevelopment of the Byron Carlyle, a 2022 G.O. Bond Arts and Culture project. Discussion will
focus on programming for the new multi-purpose cultural arts space and the inclusion of workforce
housing. Additionally, consideration of a public-private partnership (P3) funding model will be
presented. The Administration received favorable recommendations from the G.O. Bond Oversight
7
Committee on May 9, 2024; the North Beach Community Redevelopment Agency (CRA) Advisory
Committee on May 14, 2024; and FERC on May 24, 2024, supporting workforce housing as a
component of the Project. This upcoming discussion will also focus on the next steps, which may
include re-engaging AMS Consulting and Research (for operating plan and pro forma) and
direction to issue a Request for Qualifications / Proposals.
Miami Beach Redevelopment Agency (RDA) - Convention Center Hotel
At the March 13, 2024 RDA meeting, the RDA Board gave direction to negotiate with the hotel
developer on how to close the existing financial gap without using City funds and come back with
a recommendation on how to deliver the long-delayed hotel. The RDA Administration engaged
with PFM Financial Advisors LLC ("PFM"), the RDA's financial advisor, to provide financial advisory
services related to the partnership towards the development of the Convention Center Hotel.
These services included review of project financial pro forma, capacity to complete project,
structure of a potential RDA capital contribution, and potential mechanisms to recapture the
additional capital contribution. RDA staff, external consultants, and the hotel developer's team
have held several rounds of discussions regarding how to close the financing gaps while finding
opportunities for the additional public benefits. This item is scheduled to return to the RDA Board
in July 2024, following further discussions with Miami-Dade County. The hotel site early work,
which will allow the hotel construction to commence upon formal possession of the site by the
developer, was completed in May 2024.
Miami Beach Marina
The Administration has been discussing the Miami Beach Marina with Suntex and Terra to
negotiate appropriate terms and conditions for the possible extensions (short and long term) of the
Marina Lease. The South of Fifth Neighborhood (SOFNA) proposal is also being considered.
Among the terms contemplated, are capital improvements by the Marina Lessee and improved
quality of life items for residents.
Future Outlook
The City of Miami Beach is blessed to have an outstanding workforce of dedicated public servants.
It is with great pride that I report on some of the Administration's strategic and operational activities
over the initial 60-day period as your Interim City Manager. Know that I am grateful for the
opportunity to serve alongside these diligent professionals. As we look ahead, it is clear that with
continued support and collaboration, we are well-positioned to achieve our shared goals and
vision.
8