C6E-Report- Finance And Citywide Projects Committee Meeting On June 28 2012C9 MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beech, Florida 33139, www.miamibeachfl.gov
COMMITTEE MEMORANDUM
TO:
FROM:
DATE:
Mayor Matti Herrera Bower and Members of the City Commission
Interim City Manager Kathie G. Brooks /.cA • ..
July18,2012 ·
SUBJECT: REPORT OF THE FINANCE AND
MEETING OF June 28, 2012.
OLD BUSINESS
1. Discussion rega
acceptance of gifts,
ACTION
The Committee
Citywide Proj
Commission M'
lines for
to the Finance and
September 12, 2012
.. referred this matter for discussion to
Comm . The item referred for discussion
issue of potential amendments to the City Code
ed to the City's Officers and Employees, below
fair m ness with the City or from a lobbyist. At the
September . · ... Committee meeting City Attorney Jose Smith advised
Committee m · · unty's Commission on Ethics was reviewing the issue of
complimentary ; the Committee recommended that the matter be
monitored and a provided to the Committee. The discussion on a ticket
distribution policy from an initial investigation by the Miami-Dade Commission
on Ethics and Public Trust (COE) and State Attorney's Office (SAO) in response to a
complaint by the New World Symphony (NWS) about the inclusion of a complimentary
ticket program as part of the negotiations of proposed revisions to the "public benefit"
section of the NWS's lease with the City for the NWS use of public land.
In 1992 the Florida Commission on Ethics issued its Opinion No. 92-33, holding that City
of Miami Beach elected officials could legally accept complimentary tickets from the City
(obtained via negotiated 'public benefit' clauses in City contracts) to performances taking
place at City-owned venues, subject only to the requirement that public disclosure of
such ticket receipt be made by the recipient/Officials on quarterly gift disclosure forms.
In reliance upon the opinion of the State Ethics Commission, the City of Miami Beach
adopted its Resolution No. 93-20694, in which the City Commission formally established
157
Agenda Item CrtJ!E
Date "J.-If-1 L
a procedure for the City's distribution of its tickets to performances taking place at City-
owned venues, whereby designated municipal officials and deserving members of the
community would receive complimentary tickets to such productions. A complimentary
ticket program has been negotiated as part of resulting public benefits programs for
other venues with management and/or lease agreements, including the Miami City Ballet
and Byron Carlyle Theater. Based on this longstanding City policy and State
Commission on Ethics opinion, the SAO closed its case on October 18, 2011, with a
finding of no wrongdoing, but referred the matter to the COE for further review on the
policy elements of the issue. On March 1, 2012, the COE released a DRAFT
"Guidelines and recommendations regarding 'public benefit' clauses in certain
government contracts. The focus of the guidelines was on complimentary ticket
programs in those public benefits clauses, and what they perceived to be "flawed"
policies by several municipalities related to such. The Attorney's Office reviewed
the COE's recommended guidelines and on 28, 2012 submitted a
Memorandum of Law to the COE addressing the by their guidelines, and
challenging the authority of the COE to issue s idelines. It is the opinion
of the City Attorney that these are matters of · .· ·. .. not subject to review by
the COE. .
Assistant City Manager Hilda Fernandez .t:m:,:ser
current ticket distribution policy. Discussion:;r~n:sueld
ained the City's
added that he
what is and
. resolution
felt that only the County Commission or the
what is not a "public benefit"
should the City Commission
concerned that the guidelines
contradicted each other.
missioner Jorge ito was
the proposed City resolution
Jamesu~a that the language
defining a "public benefit" in the oroaeisea Ms. Fernandez
a single/performance
ru~o;:cnt•ng members of the
at assist in promoting and
stated that City entitled ·
event and that ning ti
community, 1
marketing the
and/or entities
distri
agreement with the City or to persons
ons to the community; and 15%
nrn·v~~.::wAr:rlnnition Program. Ms. Fernandez
ltl · · committee would review and
nizatiort~f~Tidtor groups eligible to receive tickets and
Commission. Chairperson Weithorn expressed
asked what happened to tickets that were not
which are not picked up would be given to
Employee Recognition Program. City Attorney Smith
ners make note of the how tickets were used using the
in an addendum by the COE.
Chairperson Weith the floor to public comment. Miami Beach Resident
Frank Del Vecchio suggested reducing the administrative burden by following the City's
1993 resolution, keeping the disclosure requirements but removing the distribution policy
and adopting guidelines which reference the guidelines of the CO E. City Attorney Smith
stated that there were other reasons that the 1993 resolution needed to be updated and
that he would go over them with Mr. Del Vecchio. City Manager Jorge Gonzalez asked
what the COE expected the City to do. City Attorney Smith stated that the COE said that
if the City does not follow their guidelines the City could be subject to an ethics
complaint. The Committee recommended that the item be brought back to the Finance
and Citywide Projects Committee and then brought to the September 12, 2012
Commission Meeting.
158
NEW BUSINESS
2. Status Report from the engineering company assigned to do the City's
Citywide Stormwater Master Plan
ACTION
The Committee recommended that the item be brought back to the August
Finance & Citywide Projects Committee meeting and that a special meeting be set
up for the Public Works Director and the public to discuss technical issues with
the Stormwater Master Plan.
Public Works Director Fred Beckmann presented
Jason Johnson of Camp Dresser & McKee (C
master planning for a number of cities includi
and went on to introduce
at has provided stormwater
nice and Italy.
anagement Master
ends sustainable
The previous
provided
SWMMP
more powerful that
and identifies those basins
a computerized
This task
and identified system
The Stormwater Master
· e consultant made use of a
ric sea level data. As a result, for all
feet NAVD88 is now being used for
3.2 feet NAVD88 as a minimum for
were 0.04 feet NAVD88 for sea level
The provide concurrency reviews of recently bid
neighbo oro~1ectst.;~V1· m has prompted changes to the stormwater
designs of·· oornocJas.~aue to the revised sea level elevation and the inter-basin
flows. The ne:lf'l:lll:IOor·no,oCil:t~::rjevlt9Wt9CI to date are: Biscayne Point; Central Bayshore;
Lower North B Pancoast; Sunset Islands I & II. In addition, the new
preparation of the following projects: Star Island; Palm and
Hibiscus Islands; S nds Ill & IV; Sunset Harbor; Flamingo 6th Street; 16th Street;
La Gorce. Further, the SWMMP has developed an order of magnitude cost estimates
for the improvements required that total almost $200 million in needed infrastructure
improvements. These improvements will need to be made over an estimated span of 25
years, contingent upon the rate of sea level rise.
Mr. Johnson presented the report, which is an update and expansion of the SWMMP.
The SWMMP is intended to be a guide for improving the City's stormwater management
system performance for the next 50 years, with considerations to potential sea level rise
over this time period. Ch~irperson Deede Weithorn asked where the outflows are of the
pump stations that are being installed as part of the FOOT project on Alton Road and if
the City needed to get permission from the buildings along Alton Road to install the
outflows. Mr. Beckmann stated that the outflows go to Biscayne Bay and that the pump
159
stations are being installed under the city right-of-ways. Commissioner Jorge Exposito
asked why the recommendation by Coastal Systems International Inc. (CSI) regarding
the sea level rise was not utilized. Mr. Johnson explained that CSi provided a great deal
of information including the latest yearly mean high water elevation which was based off
a document developed by the National Oceanic and Atmospheric Administration.
However sea levels are calculated not over one year but over an epoch; and an epoch is
based on 19 years of information. Mr. Johnson went on to explain that CSI took that
information and made projections based off of Virginia Key. Mr. Johnson then stated that
COM used a combination of the information provided by CSI and the epoch information
to establish their recommendations. Commissioner Exposito expressed concern that
the recommendations by COM were not conservative enough in light of global warming
and rising tides. Mr. Johnson stated that there were three options; one was to raise the
entire elevation of Miami Beach; two, "give back" the city. from part of the city,
more specifically, everything west of Washington Ave be "given back"; or three
find the appropriate level of solutions and implement . more definitive information
regarding sea level rise becomes available. Mr. went on to say that COM's
solutions have been recommended in such a for the City to make the
appropriate level of capital investment over of time based on the
life span of the particular components. n Weithorn
opened the floor to public comment rising sea levels
and whether the proposed minimum Committee
recommended that the item be brought Citywide
Projects Committee meeting an.ft;;ti:Jat a lie Works
Director and the public to discu ·····~ ·. ·. 't!\Qical issues · r Plan.
ACTION
~.,;~~ .:~:-:~~!~~~~
the item be moved and brought to
subject to Mr. Beckmann meeting
CilntBb~;sit)nE'r Exposito to further refine the
Chairnlllrr~~;,n ... .,"•<li\OI:;s~o• at Public Works Director Fred Beckmann meet
of th uage in the Request for Proposal (RFP).
inn·l:!f~~;.,, .• ,...,.,"' t:XI::>Ol:N:te also asked that Mr. Beckmann meet with him to discuss
with
Comm
the RFP. Di;:,vu1::.J::>tu
moved and
Beckmann mAATir,n· ... ;
refine the Request for
Committee recommended that in concept the item be
""'"''"'rnn1=>r 12, 2012 Commission Meeting subject to Mr.
rnc.r~r•n Weithorn and Commissioner Exposito to further
4. Discussion regarding development of criteria and procedures for use of the
Commission Chamber
ACTION
Item Deferred
160
5. Discussion regarding the appropriateness of granting a perpetual sub-
surface easement to Collins 3300, LLC and 3420 Collins Avenue, LLC, for a
proposed sub-surface parking garage
ACTION
The Committee recommended using fee simple methodology for valuation of the
easements with flexibility to have discounts when appropriate based on the
recommendations from the City Appraiser.
Assistant City Manager Jorge Gomez presented the item.
At the June 6, 2012 meeting, the City Commission refe
perpetual easement underneath 34th Street to
Committee (LUDC) and the Finance and Citywide
discussion. On a similar track, a proposed n""'"r"'
Ocean Court was referred to the LUDC.
policy direction should be provided on
easements to use the air rights over and
proposal for a subsurface
Use and Development
Committee (FCWPC) for
for an aerial bridge across
inistration believes that
by both requested
.nrtA'Ift:'r~·th public property.
regarding the
or easement
ity. The
and sending issue of
then discussed thresholds
ld probably have a public
ittee voted 3-0 in favor of
appra the proposed easements
the City on July 6, 2012. Lee Waronker
of Miami handles requests for public
r.nc,rnr.n but suggested that a fee simple
City of Miami Beach would hold an
heig . 'the air rights. Mr. Waronker then stated
concerned with the cost of buying the rights back,
ore than the cost they were sold for. He also
has it as estimating the value of fee simple
interest, temporary construction easement and that, would be
the compens Chairperson Deede Weithorn stated that the City's
valuation techn some differences based on criteria, such as air rights
over an alley ve over a thoroughfare. Chairperson Weithorn then asked
when an appraisal is done using fee simple methodology if the use of the area
mattered. Mr. Waronker stated that it did matter and added that since the City is the
property owner, it should set the value of the property and not use a formula to
determine it. Commissioner Michael Gongora asked what would happen if the current
owner transferred the property to a new owner. Public Works Director Fred Beckmann
stated that it would depend on how the easement is drafted and in most instances it is
transferrable. Chairperson Weithorn opened the floor to public comment. Michael Zurh,
representing Ari Pearl, stated he was in favor of using the fee simple methodology.
Neisen Kasdin, representing the FAENA group, stated that he would expect that a
discount would be applied to the valuation based upon the restricted area and restricted
use. Conversation ensued. Keith Kulynych of Revuelta Architecture International
presented an overview of the Saxony project. Resident Frank Del Vecchio asked if
accommodations or a provision be made for extraordinary conditions, in terms of the
161
rising sea level and the citywide Stormwater Master Plan, for the City that would ensure
that the public interest would be served. Mr. Kasdin stated that the engineers would look
at the range of possibilities and possible needs of the City and account for them by
giving appropriate rights to the City. The Committee recommended using fee simple
methodology for valuation of the easements with flexibility to have discounts when
appropriate based on the recommendations from the City Appraiser.
6. Discussion regarding CDBG funding for fixing storefront
ACTION
The Committee recommended that a start
acceptance of applications be established.
Economic Development Division Director Kevin
:'~~ ~
31, 2012 for the
lli:l>:l•l\ii'J)I!~.wrovides funding in the
~T<:>rru"'T area of Collins
able to apply for
re exhausted,
nants within
are
for proi~~m management. The Administration has
uire about their interest in managing this program
on a positive response, likely due to the low
funding that may be involved. Therefore, the
Admi an in-house process for management of the Fa<;ade
Improvement determine whether or not to hire a qualified independent
contractor as tasks that City staff is unable to perform, if any. A
Memorandum ng (MOU) is being developed between Economic
Development, Plann Real Estate, Housing, and Community Development
(REHCD), which is similar to what REHCD, has done with Community Services and with
Code Enforcement in the past, which clearly establishes the parameters of the program
and how it will be managed. Staff from Economic Development and Planning will work
closely with the applicant through the entire project, and will engage a qualified
independent contractor with experience in federal funding project management for
assistance with the program if necessary, depending on the workload.
During the week of June 25, 2012, Economic Development and Planning staff visited
each business in the target area with an announcement of the program, as well as a
preliminary application, and explained the program to each business owner or scheduled
a follow-up visit to do so. Additionally, staff reached out to each property owner either
through telephone or mail to inform them of the program.
162
Commissioner Michael Gongora asked who would decide whether or not a business
receives funding. Mr. Crowder stated that funding would be awarded on a first come first
serve basis, funds would run through September 30, 2013 and that a deadline of
December 31, 2012 was established for applications. Mr. Crowder added that three
property owners are interested and six storefronts are interested, and that he feels that
there will be more than enough interest in the program to exhaust the funds.
Commissioner Gongora was concerned about the fairness of the funds being awarded
on a first come first serve basis. Chairperson Deede Weithorn suggested that a date be
established for the acceptance of applications and that funds then be awarded on a first
come first serve basis. The Committee recommended that a start date of August 31,
2012 for the acceptance of applications be established.
7. Discussion regarding advertising on Deco
ACTION /~~~~;;,
-~~~~~s;~:~~~-
The Committee recommended moving fo1!W8lrd with optiori~l d bringing the item
:h:fe;:::~a~:~:::~tricia Walker , ,~,~
The request by Deco Bike to al ··
the April 19, 2012 Finance
presented Option J, which .... """"'""
a modest profit to DecoBike
Committee asked
to $6 per hour;
normal, and
Department
long term fiscal s
nance discussed at the June 6, 2012 City
Comm
Finance
discuss add
on requested that the item be brought back to
Prr.t~'t:;·t~ Committee Meeting being held on June 28, 2012 to
Ms. Walker at the the Commission presented Options K, L, and M to the
Finance and mittee, where Option K reflects going to the $6 Hour rate,
Option L eliminates ki advertising and Option M eliminates the City Revenue Share
and kiosk advertising. Chairperson Deede Weithorn stated that the DecoBike Bike
Share Program was being implemented in other cities and asked what the rates would
be in those cities. Mr. Bonifacio Diaz, Chief Operating Officer DecoBike, LLC., stated
that the rates would be the same as the rates in Miami Beach. Chairperson Weithorn
was concerned that if the rates in Miami Beach were higher that bikes would be rented in
the surrounding cities rather than in Miami Beach. Commissioner Jorge Exposito asked
if the other cities were allowing advertising. Mr. Diaz stated that advertising has been
allowed. The Committee recommended moving forward with option J which was
presented at the FCWP on April 19, 2012 meeting and bringing the item to the full
Commission.
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